IDEAS home Printed from https://ideas.repec.org/a/aen/journl/32-4-a05.html
   My bibliography  Save this article

Electric Utility Demand Side Management in Canada

Author

Listed:
  • Nic Rivers
  • Mark Jaccard

Abstract

Government, utility, and private subsidies for energy efficiency play a prominent role in current efforts to reduce greenhouse gas emissions, yet the effectiveness of this policy approach is in dispute. One opportunity for empirical analysis is provided by the past energy efficiency subsidies, called demand-side management programs, offered by electric utilities in North America over several decades. Between 1990 and 2005, most electric utilities in Canada administered such programs, with total spending of $2.9 billion (CDN$2005). This paper uses the significant inter-annual variation in demand side management spending during this period to econometrically estimate the effectiveness of these subsidies. The resulting estimates indicate that these programs have not had a substantial impact on overall electricity consumption in Canada.

Suggested Citation

  • Nic Rivers & Mark Jaccard, 2011. "Electric Utility Demand Side Management in Canada," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 93-116.
    • Handle: RePEc:aen:journl:32-4-a05
    as

    Download full text from publisher

    File URL: http://www.iaee.org/en/publications/ejarticle.aspx?id=2438
    Download Restriction: Access to full text is restricted to IAEE members and subscribers. bers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Alberini, Anna & Filippini, Massimo, 2011. "Response of residential electricity demand to price: The effect of measurement error," Energy Economics, Elsevier, vol. 33(5), pages 889-895, September.
    2. Paul W. Parfomak & Lester B. Lave, 1996. "How Many Kilowatts are in a Negawatt? Verifying Ex Post Estimates of Utility Conservation Impacts at the Regional Level," The Energy Journal, , vol. 17(4), pages 59-87, October.
    3. Marvin J. Horowitz, 2007. "Changes in Electricity Demand in the United States from the 1970s to 2003," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 93-120.
    4. David S. Loughran and Jonathan Kulick, 2004. "Demand-Side Management and Energy Efficiency in the United States," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 19-44.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Athukorala, Wasantha & Wilson, Clevo & Managi, Shunsuke & Karunarathna, Muditha, 2019. "Household demand for electricity: The role of market distortions and prices in competition policy," Energy Policy, Elsevier, vol. 134(C).
    2. repec:osf:osfxxx:d83bu_v1 is not listed on IDEAS
    3. Alasseri, Rajeev & Tripathi, Ashish & Joji Rao, T. & Sreekanth, K.J., 2017. "A review on implementation strategies for demand side management (DSM) in Kuwait through incentive-based demand response programs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 617-635.
    4. Horowitz, Marvin J. & Bertoldi, Paolo, 2015. "A harmonized calculation model for transforming EU bottom-up energy efficiency indicators into empirical estimates of policy impacts," Energy Economics, Elsevier, vol. 51(C), pages 135-148.
    5. Carstens, Herman & Xia, Xiaohua & Yadavalli, Sarma, 2018. "Measurement uncertainty in energy monitoring: Present state of the art," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 2791-2805.
    6. 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.
    7. Krupa, Joel, 2012. "An indeterminate future: Assessing the need for greater US–Canada transmission integration," Utilities Policy, Elsevier, vol. 23(C), pages 99-101.
    8. Luis Ferney Moreno Castillo & Luis Bustos, 2020. "Las Asociaciones Público Privadas (APP) en el Sector Minero-Energético: Experiencia Nacional e Internacional," Books, Universidad Externado de Colombia, Facultad de Derecho, number 1260, May.
    9. Mirnezami, Seyed Reza, 2014. "Electricity inequality in Canada: Should pricing reforms eliminate subsidies to encourage efficient usage?," Utilities Policy, Elsevier, vol. 31(C), pages 36-43.
    10. Wenbiao Cai, Hugh Grant, and Manish Pandey, 2018. "Vintage Capital, Technology Adoption and Electricity Demand-Side Management," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    11. Gulati, Sumeet & McAusland, Carol & Sallee, James M., 2017. "Tax incidence with endogenous quality and costly bargaining: Theory and evidence from hybrid vehicle subsidies," Journal of Public Economics, Elsevier, vol. 155(C), pages 93-107.
    12. Sijousa Basumatary & Mridula Devi & Konita Basumatary, 2021. "Determinants of Household Electricity Demand in Rural India: A Case Study of the Impacts of Government Subsidies and Surcharges," International Journal of Energy Economics and Policy, Econjournals, vol. 11(6), pages 243-249.
    13. Marisa Beck, Randall Wigle, 2014. "Carbon Revenue: Recycling versus Technological Incentives," LCERPA Working Papers 0079, Laurier Centre for Economic Research and Policy Analysis, revised 13 Jan 2014.
    14. Steve Dahlke & Matt Prorok, 2019. "Consumer Savings, Price, and Emissions Impacts of Increasing Demand Response in the Midcontinent Electricity Market," The Energy Journal, , vol. 40(3), pages 243-262, May.
    15. Dahlke, Steven & Prorok, Matt, 2018. "Consumer savings, price, and emissions impacts of increasing demand response in the Midcontinent electricity market," OSF Preprints d83bu, Center for Open Science.
    16. Boogen, Nina & Datta, Souvik & Filippini, Massimo, 2017. "Demand-side management by electric utilities in Switzerland: Analyzing its impact on residential electricity demand," Energy Economics, Elsevier, vol. 64(C), pages 402-414.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Horowitz, Marvin J. & Bertoldi, Paolo, 2015. "A harmonized calculation model for transforming EU bottom-up energy efficiency indicators into empirical estimates of policy impacts," Energy Economics, Elsevier, vol. 51(C), pages 135-148.
    2. van Megen, Bram & Bürer, Meinrad & Patel, Martin K., 2019. "Comparing electricity consumption trends: A multilevel index decomposition analysis of the Genevan and Swiss economy," Energy Economics, Elsevier, vol. 83(C), pages 1-25.
    3. Toshi H. Arimura, Shanjun Li, Richard G. Newell, and Karen Palmer, 2012. "Cost-Effectiveness of Electricity Energy Efficiency Programs," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    4. Boogen, Nina & Datta, Souvik & Filippini, Massimo, 2017. "Demand-side management by electric utilities in Switzerland: Analyzing its impact on residential electricity demand," Energy Economics, Elsevier, vol. 64(C), pages 402-414.
    5. Chong, Howard, 2012. "Building vintage and electricity use: Old homes use less electricity in hot weather," European Economic Review, Elsevier, vol. 56(5), pages 906-930.
    6. Papineau, Maya, 2017. "Setting the standard? A framework for evaluating the cost-effectiveness of building energy standards," Energy Economics, Elsevier, vol. 64(C), pages 63-76.
    7. Wilson, Elizabeth J. & Plummer, Joseph & Fischlein, Miriam & Smith, Timothy M., 2008. "Implementing energy efficiency: Challenges and opportunities for rural electric co-operatives and small municipal utilities," Energy Policy, Elsevier, vol. 36(9), pages 3383-3397, September.
    8. Derya Eryilmaz, Timothy M. Smith, and Frances R. Homans, 2017. "Price Responsiveness in Electricity Markets: Implications for Demand Response in the Midwest," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1).
    9. Anin Aroonruengsawat, Maximilian Auffhammer, and Alan H. Sanstad, 2012. "The Impact of State Level Building Codes on Residential Electricity Consumption," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1).
    10. Ó Broin, Eoin & Nässén, Jonas & Johnsson, Filip, 2015. "Energy efficiency policies for space heating in EU countries: A panel data analysis for the period 1990–2010," Applied Energy, Elsevier, vol. 150(C), pages 211-223.
    11. Berry, David, 2008. "The impact of energy efficiency programs on the growth of electricity sales," Energy Policy, Elsevier, vol. 36(9), pages 3620-3625, September.
    12. Qiucheng Li & Jiang Hu & Bolin Yu, 2021. "Spatiotemporal Patterns and Influencing Mechanism of Urban Residential Energy Consumption in China," Energies, MDPI, vol. 14(13), pages 1-17, June.
    13. Fischbacher, Urs & Schudy, Simeon & Teyssier, Sabrina, 2021. "Heterogeneous preferences and investments in energy saving measures," Resource and Energy Economics, Elsevier, vol. 63(C).
    14. Gilbert E. Metcalf, 2006. "Energy Conservation in the United States: Understanding its Role in Climate Policy," NBER Working Papers 12272, National Bureau of Economic Research, Inc.
    15. Vaona, Andrea, 2013. "The sclerosis of regional electricity intensities in Italy: An aggregate and sectoral analysis," Applied Energy, Elsevier, vol. 104(C), pages 880-889.
    16. Eissa, M.M., 2018. "First time real time incentive demand response program in smart grid with “i-Energy” management system with different resources," Applied Energy, Elsevier, vol. 212(C), pages 607-621.
    17. Dorothée Charlier & Mouez Fodha & Djamel Kirat, 2023. "Residential CO2 Emissions in Europe and Carbon Taxation: A Country-Level Assessment," The Energy Journal, , vol. 44(5), pages 187-206, September.
    18. Massimo Filippini & Bettina Hirl & Giuliano Masiero, 2015. "Rational habits in residential electricity demand," IdEP Economic Papers 1506, USI Università della Svizzera italiana.
    19. Gilbert, Ben & Graff Zivin, Joshua S., 2020. "Dynamic corrective taxes with time-varying salience," Journal of Environmental Economics and Management, Elsevier, vol. 103(C).
    20. Diffney, Seán & Lyons, Seán & Malaguzzi Valeri, Laura, 2013. "Evaluation of the effect of the Power of One campaign on natural gas consumption," Energy Policy, Elsevier, vol. 62(C), pages 978-988.

    More about this item

    JEL classification:

    • F0 - International Economics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aen:journl:32-4-a05. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: David Williams (email available below). General contact details of provider: https://edirc.repec.org/data/iaeeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.