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Are Building Codes Effective at Saving Energy? Evidence from Residential Billing Data in Florida

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Author Info

  • Grant D. Jacobsen

    (University of Oregon)

  • Matthew J. Kotchen

    (Yale University and NBER)

Abstract

We evaluate the effect of a change in the energy code applied to buildings using residential billing data on electricity and natural gas, combined with data on observable characteristics of each residence. The study is based on comparisons between residences constructed just before and after an increase in the stringency of Florida's energy code in 2002. We find that the code change is associated with a decrease in the consumption of electricity by 4% and natural gas by 6%. We estimate average social and private payback periods that range between 3.5 and 6.4 years. © 2013 The President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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File URL: http://www.mitpressjournals.org/doi/pdf/10.1162/REST_a_00243
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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics and Statistics.

Volume (Year): 95 (2013)
Issue (Month): 1 (March)
Pages: 34-49

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Handle: RePEc:tpr:restat:v:95:y:2013:i:1:p:34-49

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Web page: http://mitpress.mit.edu/journals/

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Web: http://mitpress.mit.edu/journal-home.tcl?issn=00346535

Related research

Keywords: building codes; energy; electricity; natural gas; Florida;

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Cited by:
  1. Kenneth Gillingham & Karen Palmer, 2014. "Bridging the Energy Efficiency Gap: Policy Insights from Economic Theory and Empirical Evidence," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 8(1), pages 18-38, January.
  2. Arimura, Toshi H. & Li, Shanjun & Newell, Richard G. & Palmer, Karen, 2011. "Cost-Effectiveness of Electricity Energy Efficiency Programs," Discussion Papers dp-09-48-rev, Resources For the Future.
  3. Makram El-Shagi & Claus Michelsen & Sebastian Rosenschon, 2014. "Regulation, Innovation and Technology Diffusion: Evidence from Building Energy Efficiency Standards in Germany," Discussion Papers of DIW Berlin 1371, DIW Berlin, German Institute for Economic Research.
  4. Anna Alberini & Will Gans & Charles Towe, 2013. "Free Riding, Upsizing, and Energy Efficiency Incentives in Maryland Homes," Working Papers 2013.82, Fondazione Eni Enrico Mattei.

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