The impact of water scarcity on energy poverty and its mechanism: evidence from a rural household analysis in northern China

ABSTRACT Sustainable development goals (SDGs) require addressing water scarcity (WS) and eliminating energy poverty (EP). However, the relationship between the two has received less focus, particularly in rural areas. The rural areas of northern China, which are potentially alarmed by EP and WS, are ideal research locations for this study. This study investigates the effects of WS on EP and its underlying mechanisms within the context of groundwater irrigation practices among rural households in northern China. The findings reveal that WS exacerbates EP among rural households through the channels of labor loss and factor substitution. This suggests that in response to WS, farmers may prioritize immediate benefits over long-term gains, thereby heightening their risk of EP. This study enhances the empirical evidence on the detrimental effects of WS on EP and elucidates the underlying mechanisms, offering a novel perspective on the interconnectedness of mitigating WS and alleviating EP.