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Firewood and Charcoal Demand in Sub-Saharan Africa: Assessing Sustainability and Trends

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  • Universität Hohenheim
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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. Using data on four cooking fuels (charcoal, firewood, LPG, and kerosene) from the Ghana living standards survey, we found strong evidence that the most preferred fuel is LPG, followed by charcoal, with kerosene the least preferred. In addition, with the exception of kerosene that has price-elastic demand, the price elasticities of demand for the fuel types examined are inelastic. This finding suggests the so-called fuel-ladder is not robust.
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In the 1970s, it appeared that fuelwood use was growing rapidly, and this could have major adverse impacts on the resource and poor users. By the mid-1980s, revised assessments indicated that there was less of a problem than had been foreseen, and much less of a need for forestry interventions to maintain supplies. As a result many of the latter were sharply scaled back. Additional information and analysis that has become available since the 1980s support the view that there is no need for large scale interventions devoted just to provision of fuelwood. However, declining access to supplies or markets can raise significant problems in some areas, and for particular categories of user. Growing urban demand for charcoal can also cause local problems, in particular in Africa. The potentials for appropriate forms of intervention are discussed.
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