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The impact of natural disasters on energy consumption: An analysis of renewable and nonrenewable energy demand in the residential and industrial sectors
Author(s) -
Doytch Nadia,
Klein Yehuda L.
Publication year - 2018
Publication title -
environmental progress and sustainable energy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.495
H-Index - 66
eISSN - 1944-7450
pISSN - 1944-7442
DOI - 10.1002/ep.12640
Subject(s) - renewable energy , non renewable resource , consumption (sociology) , economics , natural resource economics , energy consumption , natural disaster , estimation , panel data , econometrics , geography , engineering , social science , management , sociology , meteorology , electrical engineering
This study examines the impact of infrastructure‐damaging natural disasters (meteorological and geophysical disasters) on energy consumption differentiating by type of energy: residential versus industrial and nonrenewable versus renewable. We used a novel comprehensive unbalanced data set spanning 50 years (1961–2011) for up to 80 countries, which we group by level of development to reduce heterogeneity within the group. We applied an estimation method that takes into account the dynamics of the economic processes in the panel: the Blundell and Bond GMM estimator. For high‐income economies, which are also technologically the most advanced, we are able to demonstrate a positive impact on renewable energy use 5 years after the occurrence of a geophysical disaster. For low‐income economies, we observe positive effects on industrial energy consumption; for middle‐income countries, on residential energy consumption. © 2017 American Institute of Chemical Engineers Environ Prog, 37: 37–45, 2018