Abstract
The household sector is one of the most energy-intensive sectors in Europe, and thus a focal point for reducing greenhouse gas emissions associated with energy consumption. Energy efficiency is considered a key measure to reduce household energy consumption, but several factors could lead to an underinvestment in energy efficiency. This is the so-called energy efficiency gap or paradox. The factors in question are grouped under market failures (including informational failures), behavioural failures and other factors. Various policies can be used to address these failures and promote the adoption of energy-efficient technologies, including energy standards and codes, economic incentives and information instruments. This paper reviews the empirical evidence to date on energy efficiency policies and discusses their effectiveness. On the one hand, command and control instruments seem to be effective policies, but they have to overcome several barriers. In the case of price instruments, subsidies and taxes do not seem to be effective while rebates present mixed results as they sometimes are effective and in other cases, they could present significant shortcomings. Finally, the effectiveness of informational policies is not always ensured as they depend on the country, sector and product category. Information feedback tools also seem to be effective as they work as a constant reminder of energy-efficient behaviour. Some limitations of energy efficiency policies are also identified, such as the difficulties of implementing codes and standards given that a minimum level need to be achieved, differences in the effectiveness of rebate programmes and non-conclusive results in regard to the effectiveness of monetary energy efficiency labels.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
Notes
More details about the report: https://www.eceee.org/all-news/news/new-analysis-member-states-must-do-more-to-meet-2030-eu-energy-efficiency-target/
For more details, see the results of the CONSEED project: https://www.conseedproject.eu/conseed-survey-report
An Excel spreadsheet with the different stduies reviwed ha been built and is available on request
An in-depth review of the literature has been undertaken by the authors in the framework of H2020 CONSEED project. For more information, see www.conseed.eu.
Giraudet (2020) explains the difference between symmetric information problems and information asymmetries.
Price elasticity of demand is an economic measure of the change in the quantity demanded of a good in relation to changes in its price.
There are several potential explanations: lack of awareness by consumers of the technology (information problems), the principal agent problem or unobserved costs and other explanations that do not represent market failures (private information costs, high discount rates etc.).
The Excel spreadsheet used for this study is available on request
The vast size of the country, the temperature differences between north and south and the large number of buildings that do not comply with EE standards are just a few examples of these barriers and challenges.
Relative labels establish EE level and fuel consumption compared with the relevant market segment, while absolute labels establish that A-labelled cars consume least (these are usually small cars) and higher vehicles are rated as B or higher.
Compared to receiving the same information via e-mail, apps, SMS or websites.
References
Abrahamse, W., Steg, L., Vlek, C., & Rothengatter, T. (2005). A review of intervention studies aimed at household energy conservation. Journal of Environmental Psychology, 25, 273–291. https://doi.org/10.1016/j.jenvp.2005.08.002.
Alberini, A., & Towe, C. (2015). Information v. energy efficiency incentives: Evidence from residential electricity consumption in Maryland. Energy Economics, 52, S30–S40. https://doi.org/10.1016/j.eneco.2015.08.013.
Alberini, A., Bareit, M., Filippini, M., (2014). Does the Swiss car market reward fuel efficient cars? Evidence from Hedonic pricing regressions, matching and a regression discontinuity design. https://doi.org/10.2139/ssrn.2380034
Allcott, H. (2011a). Social norms and energy conservation. Journal of Public Economics, Special Issue: The Role of Firms in Tax Systems, 95, 1082–1095. https://doi.org/10.1016/j.jpubeco.2011.03.003.
Allcott, H. (2011b). Consumers’ perceptions and misperceptions of energy costs. The American Economic Review, 101, 98–104. https://doi.org/10.1257/aer.101.3.98.
Allcott, H., & Knittel, C. (2019). Are consumers poorly informed about fuel economy? Evidence from two experiments. American Economic Journal: Economic Policy, 11, 1–37. https://doi.org/10.1257/pol.20170019.
Allcott, H., & Sweeney, R. L. (2016). The role of sales agents in information disclosure: Evidence from a field experiment. Management Science, 63, 21–39. https://doi.org/10.1287/mnsc.2015.2327.
Amecke, H. (2012). The impact of energy performance certificates: A survey of German home owners. Energy Policy, 46, 4–14. https://doi.org/10.1016/j.enpol.2012.01.064.
Anderson, S. T., & Newell, R. G. (2004). Information programs for technology adoption: the case of energy-efficiency audits. Resource and Energy Economics, 26, 27–50. https://doi.org/10.1016/j.reseneeco.2003.07.001.
Andor, M., Gerster, A., Sommer, S., (2016). Consumer inattention, heuristic thinking and the role of energy labels (SSRN Scholarly Paper No. ID 2874905). Social Science Research Network, Rochester, NY.
Aravena, C., Riquelme, A., & Denny, E. (2016). Money, comfort or environment? Priorities and determinants of energy efficiency investments in Irish households. Journal of Consumer Policy, 39, 159–186.
Aroonruengsawat, A., Auffhammer, M., & Sanstad, A. H. (2012). The impact of state level building codes on residential electricity consumption. The Energy Journal, 33.
Asensio, O. I., & Delmas, M. A. (2016). The dynamics of behavior change: Evidence from energy conservation. Journal of Economic Behavior and Organization, 126(Part A), 196–212. https://doi.org/10.1016/j.jebo.2016.03.012.
Banerjee, A., & Solomon, B. D. (2003). Eco-labeling for energy efficiency and sustainability: a meta-evaluation of US programs. Energy Policy, 31, 109–123. https://doi.org/10.1016/S0301-4215(02)00012-5.
Bastida, L., Cohen, J. J., Kollmann, A., Moya, A., & Reichl, J. (2019). Exploring the role of ICT on household behavioural energy efficiency to mitigate global warming. Renewable and Sustainable Energy Reviews, 103, 455–462. https://doi.org/10.1016/j.rser.2019.01.004.
Berrang-Ford, L., Pearce, T., & Ford, J. D. (2015). Systematic review approaches for climate change adaptation research. Regional Environmental Change, 15, 755–769. https://doi.org/10.1007/s10113-014-0708-7.
Bertoldi, P. (2020). Chapter 4.3 - Overview of the European Union policies to promote more sustainable behaviours in energy end-users. In M. Lopes, C. H. Antunes, & K. B. Janda (Eds.), Energy and Behaviour (pp. 451–477). Academic Press. https://doi.org/10.1016/B978-0-12-818567-4.00018-1.
Bird, S., & Hernández, D. (2012). Policy options for the split incentive: Increasing energy efficiency for low-income renters. Energy Policy, Special Section: Frontiers of Sustainability, 48, 506–514. https://doi.org/10.1016/j.enpol.2012.05.053.
Blasch, J., Filippini, M., & Kumar, N. (2019). Boundedly rational consumers, energy and investment literacy, and the display of information on household appliances. Resource and Energy Economics. https://doi.org/10.1016/j.reseneeco.2017.06.001.
Borozan, D. (2018). Regional-level household energy consumption determinants: The European perspective. Renewable and Sustainable Energy Reviews, 90, 347–355. https://doi.org/10.1016/j.rser.2018.03.038.
Brounen, D., & Kok, N. (2011). On the economics of energy labels in the housing market. Journal of Environmental Economics and Management, 62, 166–179. https://doi.org/10.1016/j.jeem.2010.11.006.
Brühl, J., Smith, G., & Visser, M. (2019). Simple is good: Redesigning utility bills to reduce complexity and increase understanding. Utilities Policy, 60, 100934. https://doi.org/10.1016/j.jup.2019.100934.
Bull, J. (2012). Loads of green washing—can behavioural economics increase willingness-to-pay for efficient washing machines in the UK? Energy Policy, Special Section: Past and Prospective Energy Transitions - Insights from History, 50, 242–252. https://doi.org/10.1016/j.enpol.2012.07.001.
Busse, M. R., Knittel, C. R., & Zettelmeyer, F. (2013). Are consumers myopic? Evidence from new and used car purchases. The American Economic Review, 103, 220–256. https://doi.org/10.1257/aer.103.1.220.
Bye, T., & Bruvoll, A. (2008). Multiple instruments to change energy behaviour: The emperor’s new clothes? Energy Efficiency, 1, 373–386. https://doi.org/10.1007/s12053-008-9023-9.
Cajias, M., Piazolo, D. (2013). Green performs better: Energy efficiency and financial return on buildings (SSRN Scholarly Paper No. ID 2362914). Rochester: Social Science Research Network.
Carroll, J., Lyons, S., & Denny, E. (2014). Reducing household electricity demand through smart metering: The role of improved information about energy saving. Energy Economics, 45, 234–243.
Carroll, J., Aravena, C., & Denny, E. (2016a). Low energy efficiency in rental properties: Asymmetric information or low willingness-to-pay? Energy Policy, 96, 617–629. https://doi.org/10.1016/j.enpol.2016.06.019.
Carroll, J., Denny, E., & Lyons, S. (2016b). The effects of energy cost labelling on appliance purchasing decisions: Trial results from Ireland. Journal of Consumer Policy, 39, 23–40. https://doi.org/10.1007/s10603-015-9306-4.
Casado, F., Hidalgo, M. C., & García-Leiva, P. (2017). Energy efficiency in households: The effectiveness of different types of messages in advertising campaigns. Journal of Environmental Psychology, 53, 198–205. https://doi.org/10.1016/j.jenvp.2017.08.003.
Cattaneo, C. (2019). Internal and external barriers to energy efficiency: which role for policy interventions? Energy Efficiency. https://doi.org/10.1007/s12053-019-09775-1.
Cecere, G., Mancinelli, S., & Mazzanti, M. (2014). Waste prevention and social preferences: the role of intrinsic and extrinsic motivations. Ecological Economics, 107, 163–176. https://doi.org/10.1016/j.ecolecon.2014.07.007.
Chegut, A., Eichholtz, P., & Kok, N. (2014). Supply, demand and the value of green buildings. Urban Studies, 51, 22–43. https://doi.org/10.1177/0042098013484526.
Chegut, A., Eichholtz, P., & Holtermans, R. (2016). Energy efficiency and economic value in affordable housing. Energy Policy, 97, 39–49. https://doi.org/10.1016/j.enpol.2016.06.043.
Cohen, F., Glachant, M., & Söderberg, M. (2017). Consumer myopia, imperfect competition and the energy efficiency gap: Evidence from the UK refrigerator market. European Economic Review, 93, 1–23. https://doi.org/10.1016/j.euroecorev.2017.01.004.
Corradini, M., Costantini, V., Mancinelli, S., & Mazzanti, M. (2014). Unveiling the dynamic relation between R&D and emission abatement: National and sectoral innovation perspectives from the EU. Ecological Economics, 102, 48–59. https://doi.org/10.1016/j.ecolecon.2014.03.017.
D’Amato, A., Mancinelli, S., & Zoli, M. (2016). Complementarity vs substitutability in waste management behaviors. Ecological Economics, 123, 84–94. https://doi.org/10.1016/j.ecolecon.2015.12.005.
Datta, S., & Filippini, M. (2016). Analysing the impact of ENERGY STAR rebate policies in the US. Energy Efficiency, 9, 677–698. https://doi.org/10.1007/s12053-015-9386-7.
Davis, L. W. (2011). Evaluating the slow adoption of energy efficient investments: Are renters less likely to have energy efficient appliances? NBER, 301–316.
Davis, L. W., & Metcalf, G. E. (2016). Does better information lead to better choices? Evidence from energy-efficiency labels. Journal of the Association of Environmental and Resource Economists, 3, 589–625. https://doi.org/10.1086/686252.
de Ayala, A., Galarraga, I., & Spadaro, J. V. (2016). The price of energy efficiency in the Spanish housing market. Energy Policy, 94, 16–24. https://doi.org/10.1016/j.enpol.2016.03.032.
DECC. (2014). Evaluation of the DECC and John Lewis energy labelling trial - GOV.UK.
Deutsch, M. (2010). Life cycle cost disclosure, consumer behavior, and business implications. Journal of Industrial Ecology, 14, 103–120. https://doi.org/10.1111/j.1530-9290.2009.00201.x.
Drivas, K., Rozakis, S., & Xesfingi, S. (2019). The effect of house energy efficiency programs on the extensive and intensive margin of lower-income households’ investment behavior. Energy Policy, 128, 607–615. https://doi.org/10.1016/j.enpol.2019.01.040.
Eurostat. (2019a). Climate change - driving forces - statistics explained.
Eurostat. (2019b). Energy consumption in the EU increased by 1% in 2017.
Faure, C., & Schleich, J. (2020). Poor energy ratings when appliances convey? Energy Policy, 139, 111359. https://doi.org/10.1016/j.enpol.2020.111359.
Franke, T., Schmalfuß, F., Cocron, P., Neumann, I., Krems, J. (2012). Enhancing sustainability of electric vehicles: A field study approach to understanding user acceptance and behavior. In: Advances in Traffic Psychology. pp. 295–306.
Frederiks, E. R., Stenner, K., & Hobman, E. V. (2015). Household energy use: Applying behavioural economics to understand consumer decision-making and behaviour. Renewable and Sustainable Energy Reviews, 41, 1385–1394. https://doi.org/10.1016/j.rser.2014.09.026.
Frondel, M., & Vance, C. (2013). Heterogeneity in the effect of home energy audits: Theory and evidence. Environmental and Resource Economics, 55, 407–418. https://doi.org/10.1007/s10640-013-9632-4.
Fuerst, F., & McAllister, P. (2011). The impact of Energy Performance Certificates on the rental and capital values of commercial property assets. Energy Policy, Sustainability of Biofuels, 39, 6608–6614. https://doi.org/10.1016/j.enpol.2011.08.005.
Fuerst, F., McAllister, P., Nanda, A., & Wyatt, P. (2015). Does energy efficiency matter to home-buyers? An investigation of EPC ratings and transaction prices in England. Energy Economics, 48, 145–156. https://doi.org/10.1016/j.eneco.2014.12.012.
Fuerst, F., McAllister, P., Nanda, A., & Wyatt, P. (2016). Energy performance ratings and house prices in Wales: An empirical study. Energy Policy, 92, 20–33. https://doi.org/10.1016/j.enpol.2016.01.024.
Galarraga, I., González-Eguino, M., & Markandya, A. (2011a). Willingness to pay and price elasticities of demand for energy-efficient appliances: Combining the hedonic approach and demand systems. Energy Economics., Supplemental Issue: Fourth Atlantic Workshop in Energy and Environmental Economics 33 Supplement, 1, S66–S74. https://doi.org/10.1016/j.eneco.2011.07.028.
Galarraga, I., Heres, D. R., & Gonzalez-Eguino, M. (2011b). Price premium for high-efficiency refrigerators and calculation of price-elasticities for close-substitutes: a methodology using hedonic pricing and demand systems. Journal of Cleaner Production, 19, 2075–2081. https://doi.org/10.1016/j.jclepro.2011.06.025.
Galarraga, I., Lucas, J., & González-Eguino, M. (2012). Evaluación económica del etiquetado de eficiencia energética: el caso de las lavadoras en España. Papeles de Economía Española, 211–221.
Galarraga, I., Abadie, L. M., & Ansuategi, A. (2013). Efficiency, effectiveness and implementation feasibility of energy efficiency rebates: The “Renove” plan in Spain. Energy Economics., Supplement Issue: Fifth Atlantic Workshop in Energy and Environmental Economics 40 Supplement, 1, S98–S107. https://doi.org/10.1016/j.eneco.2013.09.012.
Galarraga, I., Ramos, A., Lucas, J., & Labandeira, X. (2014). The price of energy efficiency in the Spanish car market. Transport Policy, 36, 272–282. https://doi.org/10.1016/j.tranpol.2014.09.003.
Galarraga, I., Abadie, L. M., & Kallbekken, S. (2016). Designing incentive schemes for promoting energy-efficient appliances: A new methodology and a case study for Spain. Energy Policy, 90, 24–36. https://doi.org/10.1016/j.enpol.2015.12.010.
Galarraga, I., Kallbekken, S., & Silvestri, A. (2020). Consumer purchases of energy-efficient cars: How different labelling schemes could affect consumer response to price changes. Energy Policy, 137, 111181. https://doi.org/10.1016/j.enpol.2019.111181.
Galvin, R. (2010). Thermal upgrades of existing homes in Germany: The building code, subsidies, and economic efficiency. Energy and Buildings, 42, 834–844. https://doi.org/10.1016/j.enbuild.2009.12.004.
Gerarden, T. D., Newell, R. G., & Stavins, R. N. (2017). Assessing the energy-efficiency gap. Journal of Economic Literature, 55, 1486–1525. https://doi.org/10.1257/jel.20161360.
Gibbons, J., & Gwin, H. (2004). History of conservation measures for energy. Elsevier Science.
Gilli, M., Mancinelli, S., & Mazzanti, M. (2014). Innovation complementarity and environmental productivity effects: Reality or delusion? Evidence from the EU. Ecological Economics, 103, 56–67. https://doi.org/10.1016/j.ecolecon.2014.04.004.
Gillingham, K., & Palmer, K. (2014). Bridging the energy efficiency gap: Policy insights from economic theory and empirical evidence. Review of Environmental Economics and Policy, 8, 18–38. https://doi.org/10.1093/reep/ret021.
Giraudet, L.-G. (2020). Energy efficiency as a credence good: A review of informational barriers to energy savings in the building sector. Energy Economics, 87, 104698. https://doi.org/10.1016/j.eneco.2020.104698.
Goeschl, T. (2019). Cold Case: The forensic economics of energy efficiency labels for domestic refrigeration appliances. Energy Econ., Eighth Atlantic Workshop on Energy and Environmental. Economics, 84, 104468. https://doi.org/10.1016/j.eneco.2019.08.001.
Gölz, S. (2017). Does feedback usage lead to electricity savings? Analysis of goals for usage, feedback seeking, and consumption behavior. Energy Efficiency, 10, 1453–1473. https://doi.org/10.1007/s12053-017-9531-6.
Greene, D. L. (2011). Uncertainty, loss aversion, and markets for energy efficiency. Energy Economics Special Issue on The Economics of Technologies to Combat Global Warming, 33, 608–616. https://doi.org/10.1016/j.eneco.2010.08.009.
Heinzle, S. L., & Wüstenhagen, R. (2012). Dynamic adjustment of eco-labeling schemes and consumer choice – the revision of the EU energy label as a missed opportunity? Business Strategy and the Environment, 21, 60–70. https://doi.org/10.1002/bse.722.
Houde, S., & Aldy, J. E. (2017). Consumers’ response to state energy efficient appliance rebate programs. American Economic Journal: Economic Policy, 9, 227–255.
Hyland, M., Lyons, R. C., & Lyons, S. (2013). The value of domestic building energy efficiency — evidence from Ireland. Energy Economics, 40, 943–952. https://doi.org/10.1016/j.eneco.2013.07.020.
Jacobsen, G. D. (2019). An examination of how energy efficiency incentives are distributed across income groups. The Energy Journal, 40. https://doi.org/10.5547/01956574.40.6.gjac.
Jacobsen, G. D., & Kotchen, M. J. (2011). Are building codes effective at saving energy? Evidence from residential billing data in Florida. The Review of Economics and Statistics, 95, 34–49. https://doi.org/10.1162/REST_a_00243.
Jaffe, A., & Stavins, R. (1994a). The energy paradox and the diffusion of conservation technology. Resource and Energy Economics, 16, 91–122.
Jaffe, A., & Stavins, R. (1994b). The energy-efficiency gap. What does it mean? Energy Policy, Markets for energy efficiency, 22, 804–810. https://doi.org/10.1016/0301-4215(94)90138-4.
Jaffe, A., Newell, R., & Stavins, R. (2004). Economics of energy efficiency. Encyclopedia of Energy, 2, 79–90.
Jensen, A. F., Cherchi, E., & Ortúzar, J. d. D. (2014). A long panel survey to elicit variation in preferences and attitudes in the choice of electric vehicles. Transportation, 41, 973–993. https://doi.org/10.1007/s11116-014-9517-6.
Jensen, O. M., Hansen, A. R., & Kragh, J. (2016). Market response to the public display of energy performance rating at property sales. Energy Policy, 93, 229–235. https://doi.org/10.1016/j.enpol.2016.02.029.
Jiménez, J. L., Perdiguero, J., & García, C. (2016). Evaluation of subsidies programs to sell green cars: Impact on prices, quantities and efficiency. Transport Policy, 47, 105–118. https://doi.org/10.1016/j.tranpol.2016.01.002.
Jones, R. V., & Lomas, K. J. (2015). Determinants of high electrical energy demand in UK homes: Socio-economic and dwelling characteristics. Energy and Buildings, 101, 24–34. https://doi.org/10.1016/j.enbuild.2015.04.052.
Kahneman, D. (1994). New challenges to the rationality assumption. Journal of Institutional and Theoretical Economics (JITE) / Zeitschrift für die gesamte Staatswissenschaft, 150, 18–36.
Kahneman, D., & Tversky, A. (1984). Choices, values, and frames. Cambridge University Press.
Kallbekken, S., Sælen, H., & Hermansen, E. A. T. (2013). Bridging the energy efficiency gap: A field experiment on lifetime energy costs and household appliances. Journal of Consumer Policy, 36, 1–16. https://doi.org/10.1007/s10603-012-9211-z.
Kontokosta, C. E., Spiegel-Feld, D., & Papadopoulos, S. (2020). The impact of mandatory energy audits on building energy use. Nature Energy, 5(4), 309–316. https://doi.org/10.1038/s41560-020-0589-6.
Krutwig, M. C., & Tanțău, A. (2018). Obligatory versus voluntary energy audits: are there differences in quality? Proceedings of the International Conference on Business Excellence, 12, 522–532. https://doi.org/10.2478/picbe-2018-0047.
Labandeira, X., Labeaga, J. M., & López-Otero, X. (2012). Estimation of elasticity price of electricity with incomplete information. Energy Economics, 34, 627–633. https://doi.org/10.1016/j.eneco.2011.03.008.
Lang, S. (2004). Progress in energy-efficiency standards for residential buildings in China. Energy Build Energy and Environment of Residential Buildings in China, 36, 1191–1196. https://doi.org/10.1016/j.enbuild.2003.09.014.
Lillemo, S. C. (2014). Measuring the effect of procrastination and environmental awareness on households’ energy-saving behaviours: An empirical approach. Energy Policy, 66, 249–256. https://doi.org/10.1016/j.enpol.2013.10.077.
Linares, P., & Labandeira, X. (2010). Energy efficiency: Economics and policy. Journal of Economic Surveys, 24, 573–592. https://doi.org/10.1111/j.1467-6419.2009.00609.x.
Liu, Y., Veríssimo, D., & Farhidi, F. (2016). Using social norm to promote energy conservation in a public building. Energy and Buildings, 133, 32–36. https://doi.org/10.1016/j.enbuild.2016.09.041.
Lucas, J., & Galarraga, I. (2015). Green energy labelling. In Green energy and efficiency, green energy and technology (pp. 133–164). Cham: Springer. https://doi.org/10.1007/978-3-319-03632-8_6.
Markandya, A., & Rübbelke, D. T. G. (2012). Impure public technologies and environmental policy. Journal of Economics Studies, 39, 128–143. https://doi.org/10.1108/01443581211222626.
Markandya, A., Ortiz, R. A., Mudgal, S., & Tinetti, B. (2009). Analysis of tax incentives for energy-efficient durables in the EU. Energy Policy, 37, 5662–5674. https://doi.org/10.1016/j.enpol.2009.08.031.
Markandya, A., Labandeira, X., & Ramos, A. (2015). Policy instruments to foster energy efficiency. In Green energy and efficiency, green energy and technology (pp. 93–110). Cham: Springer. https://doi.org/10.1007/978-3-319-03632-8_4.
Marmolejo-Duarte, C., Spairani Berrio, S., Del Moral-Ávila, C., & Delgado Méndez, L. (2020). The relevance of EPC labels in the Spanish residential market: The perspective of real estate agents. Buildings, 10, 27. https://doi.org/10.3390/buildings10020027.
Maruejols, L., & Young, D. (2011). Split incentives and energy efficiency in Canadian multi-family dwellings. Energy Policy, 39, 3655–3668.
Michelsen, C. C., & Madlener, R. (2016). Switching from fossil fuel to renewables in residential heating systems: An empirical study of homeowners’ decisions in Germany. Energy Policy, 89, 95–105. https://doi.org/10.1016/j.enpol.2015.11.018.
Min, J., Azevedo, I. L., Michalek, J., & de Bruin, W. B. (2014). Labeling energy cost on light bulbs lowers implicit discount rates. Ecological Economics, 97, 42–50.
Murphy, L. (2014a). The influence of the Energy Performance Certificate: The Dutch case. Energy Policy, 67, 664–672. https://doi.org/10.1016/j.enpol.2013.11.054.
Murphy, L. (2014b). The influence of energy audits on the energy efficiency investments of private owner-occupied households in the Netherlands. Energy Policy, 65, 398–407. https://doi.org/10.1016/j.enpol.2013.10.016.
Olsthoorn, M., Schleich, J., Gassmann, X., & Faure, C. (2017). Free riding and rebates for residential energy efficiency upgrades: A multi-country contingent valuation experiment. Energy Economics, 68, 33–44.
Orlov, A., & Kallbekken, S. (2019). The impact of consumer attitudes towards energy efficiency on car choice: Survey results from Norway. Journal of Cleaner Production, 214, 816–822. https://doi.org/10.1016/j.jclepro.2018.12.326.
Palmer, K., Walls, M., Gordon, H., & Gerarden, T. (2013). Assessing the energy-efficiency information gap: results from a survey of home energy auditors. Energy Efficiency, 6, 271–292. https://doi.org/10.1007/s12053-012-9178-2.
Panzone, L. A. (2013). Saving money vs investing money: Do energy ratings influence consumer demand for energy efficient goods? Energy Economics, 38, 51–63. https://doi.org/10.1016/j.eneco.2013.03.002.
Papineau, M. (2013). Energy codes and the landlord-tenant problem. UC Berkeley: Department of Agricultural and Resource Economics. Retrieved from https://escholarship.org/uc/item/2bq3x1t6.
Phillips, Y. (2012). Landlords versus tenants: Information asymmetry and mismatched preferences for home energy efficiency. Energy Policy, 45, 112–121. https://doi.org/10.1016/j.enpol.2012.01.067.
Ramos, A., Gago, A., Labandeira, X., & Linares, P. (2015). The role of information for energy efficiency in the residential sector. Energy Economics, Frontiers in the Economics of Energy Efficiency, 52(Supplement 1), S17–S29. https://doi.org/10.1016/j.eneco.2015.08.022.
Ramos, A., Labandeira, X., & Löschel, A. (2016). Pro-environmental households and energy efficiency in Spain. Environmental and Resource Economics, 63, 367–393. https://doi.org/10.1007/s10640-015-9899-8.
Rodriguez Fernandez, M., Gonzalez Alonso, I., & Zalama Casanova, E. (2016). Online identification of appliances from power consumption data collected by smart meters. Pattern Analysis and Applications, 19, 463–473. https://doi.org/10.1007/s10044-015-0487-x.
Roman De Lara, M. V., & Galarraga, I. (2016). The Paris Summit: The beginning of the end of the carbon economy. Dyna Energía y Sostenibilidad., 5. https://doi.org/10.6036/ES7954.
Rosenow, J., Cowart, R., & Thomas, S. (2018). Market-based instruments for energy efficiency: a global review. Energy Efficiency. https://doi.org/10.1007/s12053-018-9766-x.
Sammer, K., & Wüstenhagen, R. (2006). The influence of eco-labelling on consumer behaviour – results of a discrete choice analysis for washing machines. Business Strategy and the Environment, 15, 185–199. https://doi.org/10.1002/bse.522.
Sanchez, M. C., Brown, R. E., Webber, C., & Homan, G. K. (2008). Savings estimates for the United States Environmental Protection Agency’s ENERGY STAR voluntary product labeling program. Energy Policy, 36, 2098–2108. https://doi.org/10.1016/j.enpol.2008.02.021.
Schultz, P. W., Nolan, J. M., Cialdini, R. B., Goldstein, N. J., & Griskevicius, V. (2007). The constructive, destructive, and reconstructive power of social norms. Psychological Science, 18, 429–434. https://doi.org/10.1111/j.1467-9280.2007.01917.x.
Shen, J., & Saijo, T. (2009). Does an energy efficiency label alter consumers’ purchasing decisions? A latent class approach based on a stated choice experiment in Shanghai. Journal of Environmental Management, 90, 3561–3573. https://doi.org/10.1016/j.jenvman.2009.06.010.
Sorrell, S., Scott, S., & Schleich, J. (2004). The economics of energy efficiency: Barriers to cost-effective investment. Cheltenham, Northampton: Edward Elgar Pub.
Stanley, S., Lyons, R. C., & Lyons, S. (2016). The price effect of building energy ratings in the Dublin residential market. Energy Efficiency, 9, 875–885. https://doi.org/10.1007/s12053-015-9396-5.
Sterner, T. (2007). Fuel taxes: An important instrument for climate policy. Energy Policy, 35, 3194–3202.
Sterner, T. (2012). Fuel taxes and the poor: The distributional effects of gasoline taxation and their implications for climate policy. Fuel Taxes and the Poor: The Distributional Effects of Gasoline Taxation and their Implications for Climate Policy 1–364. https://doi.org/10.4324/9781936331925.
Train, K. (1985). Discount rates in consumers’ energy-related decisions: A review of the literature. Energy, 10, 1243–1253. https://doi.org/10.1016/0360-5442(85)90135-5.
Tversky, A., & Kahneman, D. (1981). The framing of decisions and the psychology of choice. Science, 211, 453–458. https://doi.org/10.1126/science.7455683.
Vassileva, I., & Campillo, J. (2014). Increasing energy efficiency in low-income households through targeting awareness and behavioral change. Renewable Energy, Renewable Energy for Sustainable Development and Decarbonisation, 67, 59–63. https://doi.org/10.1016/j.renene.2013.11.046.
Villca-Pozo, M., & Gonzales-Bustos, J. P. (2019). Tax incentives to modernize the energy efficiency of the housing in Spain. Energy Policy, 128, 530–538. https://doi.org/10.1016/j.enpol.2019.01.031.
Acknowledgements
This study was conducted as part of the CONSumer Energy Efficiency Decision making (CONSEED) project, an EU-funded H2020 research project under grant agreement number 723741. This research is also supported by the Spanish State Research Agency through María de Maeztu Excellence Unit accreditation 2018-2022 (Ref. MDM-2017-0714). The project leading to these results has received funding from ‘la Caixa’ Foundation under the project SR0435 led by Ibon Galarraga. Amaya de Ayala also acknowledges the support of Fundación Ramon Areces under XVIII Concurso Nacional para la Adjudicación de Ayudas a la Investigación en Ciencias Sociales. Marta Escapa is grateful for financial support from the University of the Basque Country (Grant GIU18/136) and from the Spanish Ministry of Science, Innovation and Universities (Grant RTI2018-093352-B-I00).
Author information
Authors and Affiliations
Corresponding author
Ethics declarations
Conflict of interest
The authors declare that they have no conflict of interest.
Additional information
Publisher’s note
Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.
This article is part of the Topical Collection on Consumer energy efficiency decision making across sectors
Rights and permissions
About this article
Cite this article
Solà, M.d.M., de Ayala, A., Galarraga, I. et al. Promoting energy efficiency at household level: a literature review. Energy Efficiency 14, 6 (2021). https://doi.org/10.1007/s12053-020-09918-9
Received:
Accepted:
Published:
DOI: https://doi.org/10.1007/s12053-020-09918-9