The digital economy and energy poverty in Central and Eastern Europe

Abstract

Energy policies to address fuel poverty must consider digital transformation, as the entire policy framework needs to be managed as an interconnected system. This analysis explores how internet development and renewable energy consumption affected energy poverty in Central and Eastern European countries. By applying mean group estimators and quantile regression, the study shows that better internet access and foreign direct investment reduce energy poverty, as evidenced by fewer utility bill arrears and more households maintaining warmth. These results highlight the need for a unified policy integrating digital and renewable energy strategies to address energy poverty effectively.