THE ANALYSIS OF THE EFFECT OF GDP PER CAPITA AND HOUSEHOLD SIZE ON ENERGY CONSUMPTION: A REGIONAL APPROACH

Abstract

 The aim of this study is to analyze the effect of GDP per capita and household size on electricity consumption in the 81 sub regions of NUTS level 3 for the period 2008-2018. The fixed effect panel quantile regression model was used in the study.  According to the results of the study,  house hold size affects electricity demand negatively while GDP per capita affects electricity consumption positively.  An increase 1 % in per capita income rises electricity demand by 0.14 %  while increase one unit in house hold size decreases electricity demand by 0.32 %  in the provinces where electricity consumption is lower than average electricity consumption. An increase 1 % in GDP per capita rises electricity demand by 0.06 % unit while increase one unit in house hold size decreases electricity demand by 0.34 %  in the provinces where electricity consumption is higher than  average electricity consumption.