Relation of technology and urbanization with electricity consumption in Kazakhstan

Economic Annals-ХХI: Volume 182, Issue 3-4, Pages: 106-116

Citation information:
Tleppayev, A., & Zeinolla, S. (2020). Relation of technology and urbanization with electricity consumption in Kazakhstan. Economic Annals-XXI, 182(3-4), 106-116. doi: https://doi.org/10.21003/ea.V182-11


Arsen Tleppayev
PhD (Economics),
Associate Professor,
Faculty of Economic Sciences,
Kazakh-German University
111 Pushkin Str., Almaty, 050010, Kazakhstan
arsentlp@gmail.com
ORCID ID: https://orcid.org/0000-0001-9754-3383

Saule Zeinolla
PhD (Economics),
Associate Professor,
Academy of Public Administration under the President of the Republic of Kazakhstan
134 Dostyk Str., Almaty, 050051, Kazakhstan
zeinollasaule@gmail.com
ORCID ID: https://orcid.org/0000-0002-9504-9629

Relation of technology and urbanization with electricity consumption in Kazakhstan

Abstract. We analyze the impact of social, economic and technical factors on power consumption in Kazakhstan. The work uses time series cointegration equation with the Granger causality test for data 1993-2019. The results show that urbanization, income levels and technology levels affect electricity consumption in the long term. Urbanization and economic growth have a strong impact on growth in electricity consumption.

In the article, the influence of growth of digital technologies use which can have bi-directional influence on the energy consumption is analyzed. In the long term, the development of digital technologies in Kazakhstan reduces the need for electricity through the use of energy-saving measures. Digitalization should stimulate the efficiency of energy systems by optimizing consumption and metering, reducing losses, generating with the lowest costs and emissions, etc.

Keywords: Electricity Market; Urbanization; Information and Telecommunication Technologies; Digitalization; Energy Consumption

JEL Classіfіcatіon: L11; P48; Q43

Acknowledgements and Funding: This paper presents the results of research funded by the Committee of Science of the Ministry of Education and Science of the Republic of Kazakhstan (Project No. AP05131192).

Contribution: The authors contributed equally to this work.

DOI: https://doi.org/10.21003/ea.V182-11

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Received 1.03.2020
Received in revised form 10.03.2020
Accepted 26.03.2020
Available online 15.04.2020
Updated version of the paper as of 27.06.2020