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Household energy choices: New empirical evidence and policy implications for sustainable behaviour

Author

Listed:
  • Katherine Hassett
  • Rose Mba Mebiame
  • Aline Mortha
  • Miwa Nakai
  • Helene Ahlborg
  • Kavya Michael
  • Ugur Ozdemir
  • Ioannis Tikoudis
  • Nicolina Lamhauge
  • Olufolahan Osunmuyiwa
  • Toshi Arimura
  • Nick Johnstone

Abstract

This paper offers insights on the factors that determine household choices related to energy use, based on data from the third OECD Survey on Environmental Policies and Individual Behaviour Change (EPIC). The analysis profiles households according to patterns in reported energy use and investment in energy-related technologies, assesses the factors driving such decisions and estimates households’ willingness to pay to reduce the emissions of the electricity they use. Results suggest that the feasibility of installing low-emissions energy technologies appears to remain a key obstacle to their uptake, and that households are willing to pay a small but positive premium for electricity produced with fewer emissions. The presence of cross-country differences in behaviours and preferences signals the importance of considering local factors in approaches to energy policies. Environmental concern and environmental motivation increase engagement in sustainable choices, pointing to the cross-cutting relevance of policy efforts to improve environmental knowledge and awareness.

Suggested Citation

  • Katherine Hassett & Rose Mba Mebiame & Aline Mortha & Miwa Nakai & Helene Ahlborg & Kavya Michael & Ugur Ozdemir & Ioannis Tikoudis & Nicolina Lamhauge & Olufolahan Osunmuyiwa & Toshi Arimura & Nick J, 2024. "Household energy choices: New empirical evidence and policy implications for sustainable behaviour," OECD Environment Working Papers 247, OECD Publishing.
    • Handle: RePEc:oec:envaaa:247-en
    DOI: 10.1787/534a14fe-en
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    More about this item

    Keywords

    energy conservation; energy efficiency; household behaviour; residential energy consumption;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities

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