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Exploring household energy rules and activities during peak demand to better determine potential responsiveness to time-of-use pricing

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  • Stelmach, Greg
  • Zanocco, Chad
  • Flora, June
  • Rajagopal, Ram
  • Boudet, Hilary S.

Abstract

The success of time-of-use (TOU) pricing, where consumers are charged higher rates during peak usage windows, depends on consumer flexibility—an assumption that may not be true for all households or activities. We draw on concepts from social practice theory to explore the flexibility of residential electricity consumption, examining both household rules that govern energy conservation and activities that comprise the peak demand period. Surveying 337 households in a Northern California city slated for TOU rates, our goal was to better understand household energy rules and peak activities; willingness-to-shift peak activities; and relationships between household rules, willingness-to-shift and electricity usage. While respondent demographics and estimated monthly electricity bill (our proxy for usage) were associated with following energy rules, motivations for following rules (e.g., environmental, monetary) dominated. For respondents’ willingness-to-shift peak activities, square footage, number of household members, and smart technology were important, along with energy rule participation and the number of peak activities. Energy rule participation was also associated with lower bills, while number of household members and peak activities were associated with higher bills. Our findings provide insights into pathways for modifying energy use during peak to allow for easier integration of renewables into the grid.

Suggested Citation

  • Stelmach, Greg & Zanocco, Chad & Flora, June & Rajagopal, Ram & Boudet, Hilary S., 2020. "Exploring household energy rules and activities during peak demand to better determine potential responsiveness to time-of-use pricing," Energy Policy, Elsevier, vol. 144(C).
  • Handle: RePEc:eee:enepol:v:144:y:2020:i:c:s0301421520303451
    DOI: 10.1016/j.enpol.2020.111608
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