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Retrospective Examination of Demand-side Energy-efficiency Policies

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  • Palmer, Karen

    () (Resources for the Future)

  • Newell, Richard

    () (Resources for the Future)

  • Gillingham, Kenneth

Abstract

Energy efficiency policies are a primary avenue for reducing carbon emissions, with potential additional benefits from improved air quality and energy security. We review literature on a broad range of existing non-transportation energy efficiency policies covering appliance standards, financial incentives, information and voluntary programs, and government energy use (building and professional codes are not included). Estimates indicate these programs are likely to have collectively saved up to 4 quads of energy annually, with appliance standards and utility demand-side management likely making up at least half these savings. Energy Star, Climate Challenge, and 1605b voluntary emissions reductions may also contribute significantly to aggregate energy savings, but how much of these savings would have occurred absent these programs is less clear. Although even more uncertain, reductions in CO2, NOX, SO2, and PM-10 associated with energy savings may contribute about 10% more to the value of energy savings.

Suggested Citation

  • Palmer, Karen & Newell, Richard & Gillingham, Kenneth, 2004. "Retrospective Examination of Demand-side Energy-efficiency Policies," Discussion Papers dp-04-19, Resources For the Future.
  • Handle: RePEc:rff:dpaper:dp-04-19
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    Cited by:

    1. Jaffe, Adam B. & Newell, Richard G. & Stavins, Robert N., 2005. "A tale of two market failures: Technology and environmental policy," Ecological Economics, Elsevier, vol. 54(2-3), pages 164-174, August.
    2. Roland-Holst, David, 2008. "Energy efficiency, innovation, and job creation in California," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt7qz3b977, Department of Agricultural & Resource Economics, UC Berkeley.
    3. Ghaderi, A. & Parsa Moghaddam, M. & Sheikh-El-Eslami, M.K., 2014. "Energy efficiency resource modeling in generation expansion planning," Energy, Elsevier, vol. 68(C), pages 529-537.
    4. Blonz Joshua & Burtraw Dallas & Walls Margaret A, 2010. "Climate Policy's Uncertain Outcomes for Households: The Role of Complex Allocation Schemes in Cap-and-Trade," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(2), pages 1-35, November.
    5. Carley, Sanya, 2011. "Decarbonization of the U.S. electricity sector: Are state energy policy portfolios the solution?," Energy Economics, Elsevier, vol. 33(5), pages 1004-1023, September.
    6. Sousa, José Luís & Martins, António Gomes & Jorge, Humberto, 2013. "Dealing with the paradox of energy efficiency promotion by electric utilities," Energy, Elsevier, vol. 57(C), pages 251-258.
    7. Fischer, Carolyn, 2005. "On the importance of the supply side in demand-side management," Energy Economics, Elsevier, vol. 27(1), pages 165-180, January.
    8. Girod, Bastien & Stucki, Tobias & Woerter, Martin, 2017. "How do policies for efficient energy use in the household sector induce energy-efficiency innovation? An evaluation of European countries," Energy Policy, Elsevier, vol. 103(C), pages 223-237.
    9. Toshi H. Arimura, Shanjun Li, Richard G. Newell, and Karen Palmer, 2012. "Cost-Effectiveness of Electricity Energy Efficiency Programs," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    10. 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.
    11. DAUBANES Julien, 2009. "Changement climatique, instruments économiques et propositions pour un accord post-Kyoto : une synthèse," LERNA Working Papers 09.19.295, LERNA, University of Toulouse.
    12. Olanrewaju, O.A & Jimoh, A.A, 2014. "Review of energy models to the development of an efficient industrial energy model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 30(C), pages 661-671.
    13. Jackson, Jerry, 2010. "Improving energy efficiency and smart grid program analysis with agent-based end-use forecasting models," Energy Policy, Elsevier, vol. 38(7), pages 3771-3780, July.
    14. Newell, Richard & Wilson, Nathan, 2005. "Technology Prizes for Climate Change Mitigation," Discussion Papers dp-05-33, Resources For the Future.
    15. Schmid, Eva & Knopf, Brigitte, 2012. "Ambitious mitigation scenarios for Germany: A participatory approach," Energy Policy, Elsevier, vol. 51(C), pages 662-672.
    16. Sorrell, Steve & Harrison, David & Radov, Daniel & Klevnas, Per & Foss, Andrew, 2009. "White certificate schemes: Economic analysis and interactions with the EU ETS," Energy Policy, Elsevier, vol. 37(1), pages 29-42, January.
    17. Anin Aroonruengsawat, Maximilian Auffhammer, and Alan H. Sanstad, 2012. "The Impact of State Level Building Codes on Residential Electricity Consumption," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1).
    18. repec:eee:appene:v:217:y:2018:i:c:p:166-177 is not listed on IDEAS
    19. Burtraw, Dallas & Palmer, Karen, 2005. "The Environmental Impacts of Electricity Restructuring: Looking Back and Looking Forward," Discussion Papers dp-05-07, Resources For the Future.
    20. Gillingham, Kenneth, 2009. "Economic efficiency of solar hot water policy in New Zealand," Energy Policy, Elsevier, vol. 37(9), pages 3336-3347, September.
    21. Kniesner, Thomas J. & Rustamov, Galib, 2015. "Differential and Distributional Effects of Energy Efficiency Surveys: Evidence from Electricity Consumption," IZA Discussion Papers 9567, Institute for the Study of Labor (IZA).
    22. Benjamin Sovacool, 2007. "Coal and nuclear technologies: creating a false dichotomy for American energy policy," Policy Sciences, Springer;Society of Policy Sciences, vol. 40(2), pages 101-122, June.

    More about this item

    Keywords

    energy efficiency policy; appliance standards; information; incentives; voluntary programs;

    JEL classification:

    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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