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Energy Demand for Heating in Spain: An Empirical Analysis with Policy Purposes

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Author Info

  • Xavier Labandeira

    ()
    (Rede (Universidade de Vigo) and Economics for Energy)

  • José M. Labeaga

    ()
    (Instituto de Estudios Fiscales and UNED)

  • Xiral López-Otero

    ()
    (Rede (Universidade de Vigo) and Economics for Energy)

Abstract

Household energy consumption, mostly due to residential heating, is a large component of energy demand in developed countries and thus a target for public policies aimed at reducing negative environmental effects and energy dependence. This paper uses detailed Spanish household micro data to model the related decisions on the type of heating energy source and on the amount of energy used for heating. This way, the article provides accurate estimates that may be used to assess the short and long term effects of public policies in this field. In particular, the relative prices of the three main energy sources for heating influence the discrete decision on the type of energy source in a sort of medium/long term effect. Moreover, the short-term demand reactions to energy price changes are found to be limited but variable across the different energy sources for heating in Spain.

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File URL: http://www.eforenergy.org/docpublicaciones/documentos-de-trabajo/WP06-2011.pdf
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Bibliographic Info

Paper provided by Economics for Energy in its series Working Papers with number 06-2011.

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Length: 34 pages
Date of creation: Oct 2011
Date of revision:
Handle: RePEc:efe:wpaper:06-2011

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Web page: http://www.eforenergy.org

Related research

Keywords: Environment; energy; security; discrete; continuous; choice; taxes; prices;

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References

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  1. E. Raphael Branch, 1993. "Short Run Income Elasticity of Demand for Residential Electricity Using Consumer Expenditure Survey Data," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 111-122.
  2. Jean-Thomas Bernard & Denis Bolduc & Donald Belanger, 1996. "Quebec Residential Electricity Demand: A Microeconometric Approach," Canadian Journal of Economics, Canadian Economics Association, vol. 29(1), pages 92-113, February.
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  5. Xavier Labandeira & José M. Labeaga & Miguel Rodríguez, . "A Residential Energy Demand System for Spain," Working Papers 2005-04, FEDEA.
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  8. Nesbakken, Runa, 2001. " Energy Consumption for Space Heating: A Discrete-Continuous Approach," Scandinavian Journal of Economics, Wiley Blackwell, vol. 103(1), pages 165-84, March.
  9. Xavier Labandeira Villot & José María Labeaga & Xiral López-Otero, 2009. "Estimation of Elasticity Price of Electricity with Incomplete Information," Working Papers 2009-18, FEDEA.
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  14. Bernstein, Ronald & Madlener, Reinhard, 2011. "Responsiveness of Residential Electricity Demand in OECD Countries: A Panel Cointegation and Causality Analysis," FCN Working Papers 8/2011, E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN).
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  16. Bhat, Chandra R. & Sen, Sudeshna, 2006. "Household vehicle type holdings and usage: an application of the multiple discrete-continuous extreme value (MDCEV) model," Transportation Research Part B: Methodological, Elsevier, vol. 40(1), pages 35-53, January.
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Cited by:
  1. Yearwood Travezan, Jessica & Harmsen, Robert & van Toledo, Gideon, 2013. "Policy analysis for energy efficiency in the built environment in Spain," Energy Policy, Elsevier, vol. 61(C), pages 317-326.

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