Bio-Based Energy, Rural Livelihoods and Energy Security in Ethiopia (Development Economics and Policy)

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Dawit Diriba Guta
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Contents: Analysis of biomass energy use in Ethiopian households - Fixed Effect Two-Stage Least Squares - Dynamic long-term model for Ethiopia's energy sector - Agricultural household model - Fuelwood scarcity, cross-wage effects, and their welfare implications - Household energy mix decision and substitution between energy sources - Determinants of household bio-based energy use - Household labour allocation by activities - Household joint labour allocation to livelihood activities - Determinants of household food and energy expenditures - Household bio-based energy utilization and welfare effects of fuelwood scarcity - Decentralized clean energy generation and use - Assessing energy security, uncertainty and renewable energy options - Effects of technological and efficiency innovations on electricity production mix - Institutions and collective action theories - Bottlenecks and barriers to rural renewable energy use - Participatory forest management.
This study explores issues of biomass energy use in relation to household welfare and it assesses Ethiopia's future energy security with a focus on long-term model of the energy sector, and institutional arrangements required for decentralized energy initiatives. Data from Ethiopian rural households reveal negative welfare effects associated with traditional biomass energy utilization, while increases in the opportunity cost of fuelwood collection is associated negatively with allocation of labour to agriculture and fuelwood use. It appears that investment on integrated energy source diversification improves sustainability and resilience, but increases production cost. Innovations that improve alternative sources reduce production cost, improve energy security, and thus serve as an engine of economic growth.

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