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Determinants of green electricity tariff uptake in the UK

Author

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  • MacPherson, Ronnie
  • Lange, Ian

Abstract

A number of countries offer domestic consumers the option of buying their electricity supply through a ‘green tariff’, whereby the supplier typically guarantees that all or part of the supply has been generated using renewable energy sources. Previous studies that have sought to identify variables predicting why consumers choose to purchase a green tariff have utilized surveys specifically about the topic. This study builds on previous work by reviewing the UK market using data from the Understanding Society Survey, a general survey of households which should be free from framing or focalism concerns. In addition, this data includes variables that – to the authors’ knowledge – have not been tested through other work. Results find that individuals in the highest income quartile, those with higher qualifications, those supporting the Green political party, and those exhibiting strong environmental behaviour were all more likely to have purchased green tariffs. Significant to a lesser degree were strong environmental attitudes and those households with some form of renewable energy technology installed.

Suggested Citation

  • MacPherson, Ronnie & Lange, Ian, 2013. "Determinants of green electricity tariff uptake in the UK," Energy Policy, Elsevier, vol. 62(C), pages 920-933.
    • Handle: RePEc:eee:enepol:v:62:y:2013:i:c:p:920-933
    DOI: 10.1016/j.enpol.2013.07.089
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    6. Sauthoff, Saramena & Danne, Michael & Mußhoff, Oliver, 2017. "To switch or not to switch? – Understanding German consumers’ willingness to pay for green electricity tariff attributes," Department of Agricultural and Rural Development (DARE) Discussion Papers 260771, Georg-August-Universitaet Goettingen, Department of Agricultural Economics and Rural Development (DARE).
    7. Bae, Jeong Hwan & Rishi, Meenakshi, 2018. "Increasing consumer participation rates for green pricing programs: A choice experiment for South Korea," Energy Economics, Elsevier, vol. 74(C), pages 490-502.
    8. Fabian Scheller & Isabel Doser & Daniel Sloot & Russell McKenna & Thomas Bruckner, 2020. "Exploring the Role of Stakeholder Dynamics in Residential Photovoltaic Adoption Decisions: A Synthesis of the Literature," Energies, MDPI, vol. 13(23), pages 1-31, November.
    9. Hast, A. & Syri, S. & Jokiniemi, J. & Huuskonen, M. & Cross, S., 2015. "Review of green electricity products in the United Kingdom, Germany and Finland," Renewable and Sustainable Energy Reviews, Elsevier, vol. 42(C), pages 1370-1384.
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