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The impact of energy efficiency programs on the growth of electricity sales

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  • Berry, David

Abstract

With increasing concern about carbon dioxide emissions from power generation, high natural gas costs for generating electricity, and rapidly increasing costs of constructing new power plants, energy efficiency programs are being given greater consideration by utilities and regulators. This study reports on a statistical analysis of the relationship between state-level efficiency program effort and growth in electricity sales between 2001 and 2006 in the United States. The higher the utility efficiency program expenditures per capita and the greater the range of other efficiency programs offered, the greater the reduction in the growth of power sales. Application of the portfolio of energy efficiency programs used in the states with most aggressive programs would have reduced the growth in a state's electricity sales by about 60% relative to the case where no efficiency programs were implemented.

Suggested Citation

  • 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.
  • Handle: RePEc:eee:enepol:v:36:y:2008:i:9:p:3620-3625
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    References listed on IDEAS

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    1. Palmer, Karen & Newell, Richard & Gillingham, Kenneth, 2004. "Retrospective Examination of Demand-side Energy-efficiency Policies," Discussion Papers dp-04-19, Resources For the Future.
    2. Dimitropoulos, John, 2007. "Energy productivity improvements and the rebound effect: An overview of the state of knowledge," Energy Policy, Elsevier, vol. 35(12), pages 6354-6363, December.
    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.
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    Cited by:

    1. Alberini, Anna & Gans, Will & Velez-Lopez, Daniel, 2011. "Residential consumption of gas and electricity in the U.S.: The role of prices and income," Energy Economics, Elsevier, vol. 33(5), pages 870-881, September.
    2. Mahmoud, Mohamed A. & Alajmi, Ali F., 2010. "Quantitative assessment of energy conservation due to public awareness campaigns using neural networks," Applied Energy, Elsevier, vol. 87(1), pages 220-228, January.
    3. Goldrath, T. & Ayalon, O. & Shechter, M., 2015. "A combined sustainability index for electricity efficiency measures," Energy Policy, Elsevier, vol. 86(C), pages 574-584.
    4. 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.
    5. repec:hal:wpaper:hal-01205485 is not listed on IDEAS
    6. Heshmati, Almas, 2012. "Survey of Models on Demand, Customer Base-Line and Demand Response and Their Relationships in the Power Market," IZA Discussion Papers 6637, Institute for the Study of Labor (IZA).
    7. 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.
    8. Almas Heshmati, 2014. "Demand, Customer Base-Line And Demand Response In The Electricity Market: A Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 862-888, December.
    9. 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.

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