| Reforestation in Indonesia, to some extent, has been negated by the reliance of rural households on fuelwood. The question as to whether or not household demand for fuelwood can be altered is relevant. This study analyzes factors that may affect a household's decision in choosing a particular type of energy, as well as the factors that may influence the levels of energy used.;The study uses data from Central Java region and shows that household income, family size and education significantly affect the amount and the probability of households in choosing fuelwood and kerosene. The effect of household income on the probability of using fuelwood and the amounts are negative and positive, respectively. The effect of family size is positive for fuelwood and negative for kerosene. Low education level of the head of household, positively associated with the usage of agricultural wastes and fuelwood with significant coefficients.;In case of fuelwood consumption, the levels of use is 2.16 tons or 2.59 cubic meter per household per year or 0.49 cubic meters per capita per year. Increasing a household's income by 10 percent reduces fuelwood use by 12.3 kilograms or 0.0012 tons per household per year. This would lead to decreasing total fuelwood consumption for the region by 0.30 million cubic meters or eliminating fuelwood use by approximately 117,000 households (3 percent of fuelwood using households).;These results, indirectly suggest that reducing the deforestation rate by encouraging a household to use less fuelwood and use other types of fuel, theoretically, is a feasible endeavor. To achieve this objective, however, various programs such as job provision, education, and family planning have to be emphasized in the future.;In addressing those interrelated questions, Tobit model is employed. Tobit model jointly estimates the amount and the probability of a household in choosing a particular type of energy for cooking based on household income, price of fuelwood divided by kerosene price, family size, land ownership, and education level of the head of family. |
