Q48

Energy: Government Policy

Regional economic effects of changes in South Africa's electricity generation mix

This paper examines the long-run regional economic effects within South Africa of changing the electricity-generation mix away from coal. We use a regional CGE model of South Africa to conduct our analysis. The results of our simulations suggest that the effect of the policy is sensitive to other economic and policy conditions, in particular export market conditions regarding coal. Under conditions in which surplus coal resulting from lower domestic demand cannot be readily exported, the economies of coal-producing regions in South Africa such as Mpumalanga are significantly affected.

Unveiling the Energy Saving Role of Banking Performance in Sub-Sahara Africa

Using a two-step system generalized method of moment (GMM) technique and a panel data for 43 sub-Sahara African countries from 1998 to 2012, this article examines the drivers of energy intensity. Specifically, the article tests two hypotheses: (1) improved banking performance does not foster energy efficiency improvements, and (2) institutional quality (democracy) does not compromise the energy-saving role of improved banking performance. The study uses a unique bank-based data by Andrianova et al.

South African attitudes about nuclear power: The case of the nuclear energy expansion

The objective of our study is to investigate households’ attitudes and willingness to pay (WTP) for the proposed second nuclear power plant in South Africa. Traditional analysis of such data has tended to ignore zero WTP values. A spike model which explicitly accounts for zero WTP is employed. We also test for effect of distance on WTP. The proximity to the nuclear plant dummy is negative and significant in the probit model, which implies that those who are closer to the plant are more likely to state a zero WTP.

Demand for cooking fuels in a developing country. To what extent do taste and preferences matter?

Overreliance on biomass energy, such as firewood and charcoal, for cooking in developing countries has contributed to high rates of deforestation and resulted in substantial indoor pollution which has negatively impacted the health of many individuals. However, the effectiveness of public policies aimed at encouraging households to switch to cleaner fuels, such as liquefied petroleum gas (LPG) and kerosene, hinges on the extent to which they are mentally committed to specific fuels.

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