Adoption determinants of biogas and its impact on poverty in Bangladesh

Abstract

Renewable energy resources are critical for reducing poverty and addressing the energy shortage. Renewable energy technologies have been slow to gain traction in Bangladesh. This study examines the factors that influence biogas adoption and the effects on income and poverty levels. A total of 400 respondents were surveyed to achieve the objectives. The data were analysed using descriptive statistics and a set of econometric models. According to the results, approximately one-third of the respondents used biogas technology. Respondents’ perceptions of reduced cooking fuel costs and modern communication technologies such as internet connectivity and mobile phone use played a major role in their adoption decision. The likelihood of adoption is 11.9 per cent and 56.7 per cent higher for those who have access to the internet and mobile phone compared to their counterparts. Adopters of biogas have between 13 and 27 per cent higher per capita household income than non-adopters. Based on radius matching, the household poverty gap is approximately 16 per cent lower for biogas adopters than non-adopters. Modifying the extension approach through the use of modern communication techniques can help achieve widespread adoption. The availability of capital may play a vital role in adoption. There is a need to promote the role of biogas technology in anti-poverty programmes​ in Bangladesh.

Keywords

• Biogas plant
• Income
• Probit model
• Propensity score matching
• Renewable energy