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2. energypovertyandgender 2.1. Energy poverty Poverty levels in Latin America and the Caribbean have declined over the last decade, mainly due to regional economic growth, increased job opportunities, the expanded coverage of social assistance programmes and the development of new ones. However, the vulnerable population (with incomes between $4 and $10 a day) has increased slightly,32 from 35% in 2000 to 38% in 2012. As a result, despite the improvements, Latin America and the Caribbean is still the region with the highest level of income inequality in the world.33 There are significant gaps in energy access within and between countries in the region and in comparison with developed countries. Energy consumption is typically far greater in developed countries than in Latin America and the Caribbean. For example, US per capita electricity consumption is 13,395 kilowatt hours (kWh) per year, while in Brazil, one of the most developed and populous countries in the region, it is 2,381 kWh/year.34 In other words, a US citizen consumes about five times as much energy as a Brazilian citizen. This scenario of inequality of energy consumption also exists between higher-income countries and lower- income countries within the region. For example, Trinidad and Tobago, a country with large oil reserves, has a per capita energy consumption of 6,332kWh/year35. Meanwhile in Haiti, a country where only 27.8% of the population is connected to the electricity grid, per capita consumption is a mere 32 kWh/year. There are also significant levels of energy poverty across the region. This is more accentuated in rural areas, where about 85 million people are without access to basic services,36 that is, without electricity, water and sanitation and/or modern energy for cooking. Inequality in access to energy is one of the major limitations in the current regional energy model, and is getting worse in countries including Bolivia, Honduras and Guatemala.37 Extreme poverty is most common in rural areas, however it is also frequently found amongst vulnerable communities in peri-urban areas which are home to many migrants from rural areas. The migrants’ expected improvements in terms of quality of life are not achieved immediately; peri-urban settlements usually lack basic services, or where they exist, people do not have sufficient financial resources to access them. In both cases significant consumption of firewood, charcoal and coal takes place, driven by the lack of modern technologies for cooking, lighting and other needs. In Latin America and the Caribbean, there is a close relationship between energy, poverty and environmental degradation; therefore, the management of these factors is becoming a central feature of development plans and initatives to reduce energy poverty and improve the quality of life of the population. The relevance of the social dimension to the energy use of a population can be observed by considering the relationship between per capita energy consumption and the Human Development Index, a statistical tool used to measure a country’s overall achievement in its social and economic dimensions.38 Although the direction of causality is not simple, Figure 6 suggests that energy can contribute to overcoming poverty and moving people up the scale of human development. The relationship between energy and human development must be held as a key factor when discussing low- carbon development. Indeed, civil society often promotes the view that energy should not be considered as a commodity but as a human right. Such is the case of Peru, where the population claims the right to acquire affordable clean energy.39 However, the regional experience also reveals that an increase in energy availability at a country level does not ensure greater access for rural communities and vulnerable populations. Instead energy poverty for such groups tends to remain stable as energy access policies fail to meet the energy needs of excluded communities, whether to cover their basic needs or to supply the energy they need to carry out productive activities. Despite the region’s progressive growth in energy supply, 21 million out of the 30 million people living without access to electricity are poor.40 One of the indicators that best illustrates energy poverty in Latin America and the Caribbean is the prevalence of consumption of firewood and charcoal, a source 12 Low-Carbon Development in Latin America and the Caribbean: Evolution, experiences and challengesPDF Image | Low-Carbon Development in Latin America
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