Who Pays for which Energy? The Social Dimensions of Energy Shocks and Transitions

By Jiayi Wang and Ragdad Cani Miranti 

During a heatwave, temperature is measured in degrees. But the ability to live with that heat is measured in money, housing and choice. Europe’s summer of 2026 made that distinction difficult to ignore. During one severe week in late June, more than 10,000 excess deaths occurred across Europe as extreme temperatures swept the continent. Yet heat is not the same economic experience for everyone. Some households can afford cooling, better insulation or a higher electricity bill. Others cannot. The temperature may be shared; the capacity to respond is not.

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