Residential fuel consumption and technology choices: an application of FGNLS and random effects binary logit model

Abstract In this study, Ethiopian households’ residential fuel usage and technological preferences are analyzed. For 2524 urban families, we use panel data from two waves of the Socioeconomic Survey (ESS). Households’ technology choices short-run energy consumption behavior modeled jointly. To estimate behavior, feasible generalized nonlinear least squares (FGNLS) iterated. Random effects binary logit models used to predict choice. The effective price elasticity firewood, charcoal, electricity was found be negative less than unity. for baking cooking has a detrimental considerable impact on choice traditional oven positively significantly affected by cost firewood. Traditional stove also influenced charcoal. Technology appliance dwelling size, type kitchen. Since decisions choose electric appliances over those that charcoal firewood heavily housing-related difficulties, prices efficiency appliances, policy interventions should include house infrastructure installations appliances.