The cost of catastrophe: The hidden burden of energy poverty

Monash Business School and PhD candidate Yitian Wang.

Monash Business School PhD candidate Yitian Wang.

24 September 2025

Monash Business School PhD candidate Yitian Wang is uncovering the impact of extreme bushfires on household energy hardship, and why some families continue to struggle long after the headlines fade.

When natural disasters strike, the devastation is usually swift and visible: homes and lives are lost, communities are left reeling.

However, some consequences take longer to surface.

Department of Economics PhD candidate Yitian Wang is shedding light on one of the least understood impacts of bushfires: energy poverty.

Her research reveals major fires do far more than destroy property — they increase the risk that households will struggle to afford the essential energy required for everyday living.

“Energy poverty is a good proxy of household energy stress and is a serious global challenge, affecting over a billion people,” Ms Wang said.

“While much research focuses on the effects of disasters on health, income, or employment, energy - something essential to modern life - has received far less attention.”

‘The problem can be easily overlooked’

Ms Wang’s study concentrates on the aftermath of Australia’s deadliest bushfires: the 2009 Black Saturday fires.

By combining national household survey data with geospatial bushfire mapping, she tracks shifts in energy poverty before and after the fires, identifying key contributing factors such as wellbeing and community social support.

“In addition, I explore the role of personality traits and financial planning habits to better understand which households are more vulnerable,” she said.

Her findings show that energy hardship does not appear immediately but accumulates over time, particularly after the conclusion of emergency relief efforts, peaking in the second and third years following the fires.

“The impact is significant and, importantly, delayed,” she said. “This lag means the problem can be easily overlooked.”
While most households eventually recover, her analysis indicates short-term impacts are significant and should not be overlooked.

Deputy Dean (Research) Professor Russell Smyth said Ms Wang’s findings reveal important new insights.

“Yitian’s work shows that energy poverty isn’t just a stand-in for general poverty or poor wellbeing — it has distinct effects above and beyond those,” Prof Smyth said.

“To our knowledge, no one has previously looked at the impact of a catastrophic bushfire on energy poverty anywhere in the world, so it is a real innovation.”

From insight to action

Ms Wang hopes her research will influence how governments and organisations plan for the enduring effects of natural disasters.

“Energy is a basic human need; people rely on it to cook, stay warm, and feel safe,” she said.

“If a disaster quietly pushes a family into energy poverty, it affects their comfort, health, and dignity. Addressing this hidden impact ensures disaster recovery efforts are thorough and effective.”

She is now expanding her research framework to other disaster types and international settings, aiming to develop more targeted, evidence-based recovery systems.

“My goal is to produce research that not only advances academic understanding but also helps shape practical, evidence-based solutions for households and communities most at risk,” she said.

She said she was motivated by the belief that research can support the development of more effective recovery strategies.

“As climate change intensifies and natural disasters grow more frequent and severe, understanding their impacts and post-disaster needs has become more important than ever,” she said.

“Although the work can be challenging, the support from my supervisors keeps me moving forward and growing.”

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