Temperature shocks and multidimensional energy poverty

Evidence from Malawi

Authored by

Musharavati Ephraim Munyanyi, Ulrike Grote

Abstract

This paper contributes to the emerging literature on the relationship between temperature shocks and household energy poverty by providing the first empirical evidence of this link in a low-income country. Using four waves of Malawi's Integrated Household Panel Survey data from the World Bank Microdata Library, matched with weather data from the European Centre for Medium-Range Weather Forecasts, this paper employs a binning approach to capture temperature shocks and measures energy poverty multidimensionally. The results from a fixed effects panel model, robust to several sensitivity checks, indicate that temperature shocks have a positive and statistically significant impact on energy poverty. Specifically, each additional day of extreme temperatures (≥31°C) increases the probability of household energy poverty by 0.9 percentage points. The paper also explores the mediating role of household health and income, and finds that household health is a key channel through which temperature shocks influence energy poverty.

Details

Organisation(s)
Institute of Environmental Economics and World Trade
Type
Article
Journal
Energy economics
Volume
152
ISSN
0140-9883
Publication date
12.2025
Publication status
Published
Peer reviewed
Yes
ASJC Scopus subject areas
Economics and Econometrics, General Energy
Sustainable Development Goals
SDG 7 - Affordable and Clean Energy
Electronic version(s)
https://doi.org/10.1016/j.eneco.2025.108994 (Access: Open )