Understanding Household Energy Consumption Choice: Logit Model Estimates on the Role of Poverty, Health Status and Socio-economic Drivers in Turkey

In this article, the structure of demand for different types of energy among Turkish households is examined. This issue is of critical importance for ensuring economic stability, energy security, and sustainable development. The study is based on cross-sectional data obtained from the Household Budget Surveys published by the Turkish Statistical Institute (TURKSTAT), covering approximately 45,000 households over the period 2015–2019. Using a multidimensional household poverty index together with income-based poverty thresholds set at 50%, 60%, and 70% of median incomes, this study investigates, for the first time in the existing literature, the relationship between household poverty status, the health status of the head of the household, and energy demand in Turkey. The findings show that electricity and natural gas consumption increases as the poverty level decreases; furthermore, wealthier individuals prefer to use electricity while households in the lower 50% of median income choose to use cheaper types of fuel such as dried dung. Moreover, household characteristics, income level, and the education level of the head of the household are important factors in energy choice, but age and the marital status of the head of the household do not play a very crucial role in household energy consumption. The findings indicate that households’ socio-economic characteristics, together with health status and poverty, are significant determinants of energy consumption behaviour and, consequently, environmental sustainability.