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Price effects of energy-efficient technologies: a study of residential demand for heating and cooling

Dubin, Jeffrey A. and Miedema, Allen K. and Chandran, Ram V. (1986) Price effects of energy-efficient technologies: a study of residential demand for heating and cooling. RAND Journal of Economics, 17 (3). pp. 310-325. ISSN 0741-6261.

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Energy-efficient appliances reduce the marginal price of the services the)) deliver. This article shows empirically that such price reductions result in energy savings that are smaller than those engineering techniques generally project. Using econometric techniques with data from a unique utility experiment and a detailed engineering-thermal load model, we find that actual conservation is as much as 13% below engineering estimates for cooling and 8-12% below for heating. Customers who conserve electricity are also persistent; their houses are comparatively warmer in Summer and cooler in Winter.

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Additional Information:© 1986 RAND Corporation. This research was funded by Florida Power and Light Company. The authors want to thank W. Bentley, J. Evelyn, W. Davis, and K. Tang of Florida Power and Light for their helpful support. We acknowledge the useful comments of two anonymous referees and the extensive suggestions provided by the Editor. Formerly SSWP 548.
Subject Keywords:Electricity, Cooling, Electrical engineering, Electric heating, Household appliances, Heating, Heat pumps, Technology, Energy conservation, Billing
Issue or Number:3
Record Number:CaltechAUTHORS:20171113-163417007
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Usage Policy:No commercial reproduction, distribution, display or performance rights in this work are provided.
ID Code:83179
Deposited By: Jacquelyn Bussone
Deposited On:15 Nov 2017 23:37
Last Modified:03 Oct 2019 19:03

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