A new study by EPIcenter affiliate Marilyn A. Brown and coauthor Majid Ahmadi examines how racial segregation affects what households pay for basic utilities. Using detailed data from Atlanta, Georgia, the authors investigate whether predominantly Black neighborhoods face higher energy burdens only because of income and housing differences, or whether segregation itself plays a direct role. Their analysis combines mortgage denial data, housing information, utility costs, and household income to show how long-standing discriminatory housing and lending practices continue to shape energy affordability today.
A new study by EPIcenter affiliate Marilyn A. Brown and coauthor Majid Ahmadi examines how racial segregation affects what households pay for basic utilities. Using detailed data from Atlanta, Georgia, the authors investigate whether predominantly Black neighborhoods face higher energy burdens only because of income and housing differences, or whether segregation itself plays a direct role. Their analysis combines mortgage denial data, housing information, utility costs, and household income to show how long-standing discriminatory housing and lending practices continue to shape energy affordability today.
Ahmadi and Brown find that neighborhoods with higher shares of Black residents experience higher energy burdens, even after accounting for factors such as income, renter status, and housing characteristics. In this study, energy burden refers mainly to the share of household income spent on electricity, gas, and water. The authors estimate that an approximately 11 percentage-point increase in a neighborhood’s Black population share is associated with about a 1 percentage-point increase in household energy burden, equal to an average annual increase of about $785 in utility costs. These findings suggest that unequal energy burdens are tied not only to household finances, but also to the lasting effects of segregation and discrimination.