Household Energy Economic Analysis (HHEA)

Switching from conventional to modern clean, safe, and efficient stoves will help address many health and other welfare problems for 2.5 billion people worldwide. A stated preference survey and discrete choice analysis was used to understand the decision making associated with cooking stove choice in Addis Ababa, Ethiopia.

The study found that as compared to the low income group, the higher income group were willing to pay 10 times more for a unit reduction in indoor smoke, 2 times more increased efficiency and 10 times more for increased safety in Addis Ababa.

Previous research focused too much on socio-economic factors and product-specific factors were, to a large extent ignored. This study argues that product specific factors are as important as socio-economic factors to create a market for clean cooking stove. Therefore, future research should strike a balance between product specific factors and socioeconomic factors.

This research introduces an alternative methodology for understanding the strength of product specific factors in cooking stove choice decision and a trade-off between different factors in different socioeconomic classes: this methodology is used extensively in transportation studies for assessment of trade-off between various factors affecting choice.

SEED/HHEA project team/roles:
Takeshi Takama: development of discrete choice modelling framework
Stanzin Tsephel: model application and analysis
Fiona Lambe: regional applications, household energy analysis
Francis X. Johnson: analysis of bio-ethanol markets and impacts
Anders Arvidson: SEI African centre, Dar es Salaam
Milkyas Debebe: Gaia Association, Ethiopia 

Relevant publication: Energy access, climate and development