Energy Indicators for Sustainable Development: Guidelines and Methodologies International Atomic Energy Agency United Nations Department of Economic and Social Affairs International Energy Agency Eurostat European Environment Agency


SOC2: Share of household income spent on fuel and electricity



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SOC2: Share of household income spent on fuel and electricity 
Brief Definition 
Share of household disposable income (or private 
consumption) spent on fuel and electricity (on 
average and for the 20% of the population with the 
lowest income) 
Units 
Percentage
Alternative Definitions 
Share of income needed to satisfy minimum 
household commercial energy requirements for 
household income group 
Agenda 21 
Chapter 3: Combating poverty
POLICY RELEVANCE 
(a) Purpose: This indicator provides a measure of energy affordability for the 
average household and for the poorest segment of households. 
(b) Relevance to Sustainable Development: From a sustainable development 
perspective, it is important to examine income, wealth and in particular affordability 
of modern energy services across the population. A country may have a high per 
capita gross domestic product (GDP), but its income distribution may be so skewed 
that a large percentage of the population has no possibility to meet their needs for 
commercial household energy at current energy prices and private income levels. 
Therefore, there is a need to decrease the burden of expenditure on fuel and electricity 
in household budgets for the lower-income groups of the population in developing 
countries, so as to promote social and economic development.  
(c) International Conventions and Agreements: None. 
(d) International Targets/ Recommended Standards: None. 
(e) Linkages to Other Indicators: This indicator is linked to energy prices and to 
several indicators of the social dimension, such as income inequality, shares of 
households without access to electricity or heavily dependent on non-commercial 
energy services and energy use relative to income level. 


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