Fuel poverty – Data, Definition and Dilemmas

16.06.2015

Orsolya Fülöp policy directorEnergiaklub Climate Policy Institute

• European Commission: 50-125 million people affected

• problem not defined

• general approach: households regarded fuel poor if a certain proportion of its income is/should be spent on energyHow much is „certain”?

• United Kingdom: the only EU country with an official definition and annual statistics

Fuel poverty in the European Union

A household is in fuel poverty if

2001-2013: they spend 10% or more of their income (twice the national median level) on energy-> 15% of all households (2012)

since 2013: they have required fuel costs that are above the national median

levelAND were they to spend that amount they would be left with a

residual income below the official poverty line-> 10% of all households

•

Fuel poverty in the UK

National average: 18%National median: 15%

Fuel poverty in Hungary

below 5%

5-10% 10-15% 15-20% 20-25% 25-30% 30-35% 35-40% above 40%

0%

5%

10%

15%

20%

25%

30%

2%

19%

28%

21%

12%

7%

4%2%

4%

proportion of energy expenditures in the income of the household

households %

According to the old UK definition: 10% households according to the new UK definition: 21% of households

are in fuel poverty in Hungary.

Fuel poverty in Hungary

Fuel poverty in Hungary

old UK definition (10%)

new UK definition (poverty line)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

27%17%

23%

13%

12%

10%

6%

5%

12%

22%

2%

8%

8%

12%

10% 14% Other

Single parent with children

Couple with 3 children or more

Couple with 1 or 2 children

Couple without children, at least one of them 65 or older

Couple without children, both be-low 65

Single, 65 and above

Single, below 65

Fuel poverty in Hungary

fuel poor acc. to the old UK definition (10%)

fuel poor acc. to the new UK definition

(poverty line)

all households

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

80%

76%

63%

9%

13%

21%

10%

11%

16%

single family house panel blocks of flats other multi-apartment buildings

Fuel poverty in Hungary

fuel poor acc. to old UK definition (10%)

fuel poor acc. to new UK definition (poverty

line)

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

not poor poor

Hard to talk about a problem which is not defined…

…and we also lack the necessary data to define it.

Conclusion