Sem: Edwin Muchapondwa

Tuesday 05 Dec, 2023

13:00 - 14:00

Utsikten A3 18 (SLU building)

On Tuesday December 5th at 1 pm, our CERE Seminar Series will host Edwin Muchapondwa. Professor of Economics in the School of Economics at the University of Cape Town (UCT), and guest professor at Luleå University of Technology in Sweden.

Notice that, this time, our seminar will be host on a Tuesday.

The seminar will take place at Utsikten A3 18, SLU building.

The title of his presentation is

One-off subsidies, credit regimes and households’ willingness to pay for improved cookstoves in Nigeria

Solomon Aboagye and Edwin Muchapondwa

Despite the well-documented benefits of clean cookstoves and fuels, there is still a significant population lacking access to any clean cooking equipment in Nigeria. Yet, there are several global, national, and local improved cookstove (ICS) programmes and interventions intended to enhance household’s access. However, a growing body of literature shows very low adoption of environmentally friendly technologies such as ICS when economic agents are generally poor, habitually short on cash, face persistent credit rigidities. Thus, to achieve some form of socially efficient level of adoption of ICS, some combinations of subsidies and credit payment regimes may be necessary even if not sufficient. To this end, the study relies on contingent valuation data gathered by the World Bank from households without ICS or any clean cooking technology and for whom biomass is the primary cook fuel. Using heteroscedastic-corrected probit models, the results show that allowing households to pay over time coupled with a one-off subsidy of no less than 34% significantly increases the mean WTP to the extent of supporting a private market for ICS.

We will not provide a zoom link this time. Sorry for the inconvenience!