This article evaluates demand-side interventions aimed at reducing residential consumption during the peak energy periods. The interventions were applied to a sample of high-income households and included a set of text message reminders advising participants to reduce electricity use during peak hours. One group of participants received accompanying intra-day increases in peak-hour kWh rates, while another group of participants did not receive any price incentives. We find that intra-day price increases, though small in absolute magnitude, produced significant reductions in peak energy use. Reductions in use, as compared to a control group, were significantly higher among the pricing group compared to the group only receiving text messages, suggesting that pricing played a central role in influencing behaviour. Our results contribute to ongoing policy discussion about the effect of dynamic pricing on consumer energy demand.
How to Harness Human Nature in a Heatwave
Analysis of a pilot program to encourage household energy conservation in Texas reveals that messaging interventions to “nudge” consumers reduced e...
PJM’s Opposing Efforts to Accommodate and Exclude State Clean Energy Policies in Wholesale Markets
Press Release — Jun 18, 2019
New Episode of Resources Radio on Rural Energy Access
In this podcast, Subhrendu Pattanayak discusses ways rural energy access can be improved.