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Is information a good policy instrument to influence the energy behaviour of households?

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  • Orset, Caroline

Abstract

Despite several financial aids intended to promote the energy transition, the French people continue to buy energy-intensive products and are not interested in improving the energy performance of their homes. We propose a new measure which consists of provision of information to change individual behaviour. Currently, health and the environment are the prime concerns and we propose to encourage individuals to reduce their energy consumption by informing them of the environmental and health consequences linked to energy consumption. To test the validity of our proposal, we use the willingness to pay for more energy efficient equipment and thermal insulation. We conducted an online survey which included messages on the link between environment-energy and health-energy. We showed that it affected households’ energy behaviour. We compared this strategy with policies already in place. We found that policies that combined provision of information with a subsidy, increase sales of goods that reduce energy consumption and was the best option from a social welfare perspective.

Suggested Citation

  • Orset, Caroline, 2021. "Is information a good policy instrument to influence the energy behaviour of households?," Energy Economics, Elsevier, vol. 102(C).
  • Handle: RePEc:eee:eneeco:v:102:y:2021:i:c:s014098832100339x
    DOI: 10.1016/j.eneco.2021.105451
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    More about this item

    Keywords

    Consumer willingness to pay; Energy efficiency; Energy policy; Health and environment; Information campaign;
    All these keywords.

    JEL classification:

    • C83 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Survey Methods; Sampling Methods
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D60 - Microeconomics - - Welfare Economics - - - General
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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