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Can the Composition of Energy Use in an Expanding Economy be Altered by Consumers’ Responses to Technological Change?

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Listed:
  • Karen Turner
  • Gioele Figus
  • John Kim Swales
  • Lisa Ryan
  • Patrizio Lecca
  • Peter McGregor

Abstract

Technological change is necessary for economies to grow and develop. This paper investigates how this technological change could be directed in order to simultaneously reduce carbon-intensive energy use and deliver a range of economic benefits. Using both partial and general equilibrium modelling, we consider improvements in the efficiency in the delivery of electricity as an increasingly low carbon option in the UK. We demonstrate how linking this to policy action to assist and encourage households to substitute away from more carbon-intensive gas- to electricity-powered heating systems may change the composition of energy use, and implied emissions intensity, but not the level of the resulting economic expansion.

Suggested Citation

  • Karen Turner & Gioele Figus & John Kim Swales & Lisa Ryan & Patrizio Lecca & Peter McGregor, 2019. "Can the Composition of Energy Use in an Expanding Economy be Altered by Consumers’ Responses to Technological Change?," The Energy Journal, , vol. 40(4), pages 235-254, July.
    • Handle: RePEc:sae:enejou:v:40:y:2019:i:4:p:235-254
    DOI: 10.5547/01956574.40.4.ktur
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    References listed on IDEAS

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    2. Kenneth Gillingham & David Rapson & Gernot Wagner, 2016. "The Rebound Effect and Energy Efficiency Policy," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 10(1), pages 68-88.
    3. Turner, Karen, 2009. "Negative rebound and disinvestment effects in response to an improvement in energy efficiency in the UK economy," Energy Economics, Elsevier, vol. 31(5), pages 648-666, September.
    4. Gioele Figus & J Kim Swales, 2018. "Can vehicle efficiency beat fuel efficiency in cutting fuel use," Working Papers 1802, University of Strathclyde Business School, Department of Economics.
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