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Heterogeneity in German Residential Electricity Consumption: A quantile regression approach

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  • Frondel, Manuel
  • Sommer, Stephan
  • Vance, Colin

Abstract

In the absence of sufficient coverage of metering data on the electricity consumption of individual devices, this paper estimates the contribution of individual appliances to overall household electricity consumption, drawing on the most recent wave of the German Residential Energy Consumption Survey (GRECS). Moving beyond the standard focus of estimating mean effects, we combine the conditional demand approach with quantile regression methods to capture the heterogeneity in electricity consumption rates of individual appliances. Our results indicate substantial differences in these rates, as well as the end-use shares across households originating from the opposite tails of the electricity consumption distribution. This outcome highlights the added value of applying quantile regression methods in estimating consumption rates of electric appliances and indicates some scope for realizing conservation potentials.

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  • Frondel, Manuel & Sommer, Stephan & Vance, Colin, 2019. "Heterogeneity in German Residential Electricity Consumption: A quantile regression approach," Energy Policy, Elsevier, vol. 131(C), pages 370-379.
    • Handle: RePEc:eee:enepol:v:131:y:2019:i:c:p:370-379
    DOI: 10.1016/j.enpol.2019.03.045
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    18. Salem, Mohammed Z. & Ertz, Myriam & Sarigӧllü, Emine, 2021. "Demarketing strategies to rationalize electricity consumption in the Gaza Strip-Palestine," Renewable and Sustainable Energy Reviews, Elsevier, vol. 143(C).
    19. Kostakis, Ioannis & Lolos, Sarantis & Sardianou, Eleni, 2021. "Residential natural gas demand: Assessing the evidence from Greece using pseudo-panels, 2012–2019," Energy Economics, Elsevier, vol. 99(C).
    20. Zhao, Lu-Tao & Xing, Yue-Yue & Zhao, Qiu-Rong & Chen, Xue-Hui, 2023. "Dynamic impacts of online investor sentiment on international crude oil prices," Resources Policy, Elsevier, vol. 82(C).
    21. Groh, Elke D. & Ziegler, Andreas, 2022. "On the relevance of values, norms, and economic preferences for electricity consumption," Ecological Economics, Elsevier, vol. 192(C).
    22. Taneja, Shivani & Mandys, Filip, 2022. "The effect of disaggregated information and communication technologies on industrial energy demand," Renewable and Sustainable Energy Reviews, Elsevier, vol. 164(C).
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    More about this item

    Keywords

    Electricity consumption; Conditional demand approach; Quantile regression methods;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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