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Factors Influencing German House Owners' Preferences on Energy Retrofits

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Abstract

In this paper, we identify key drivers and barriers for the adoption of building energy retro fits in Germany, which is promoted by public policy as an important measure to address the future challenges of climate change and energy security. We analyze data from a 2009 survey of more than 400 owner-occupiers of single-family detached, semidetached, and row houses in Germany, that was conducted as a computer-assisted personal interview (CAPI). In the survey, respondents were asked directly for reasons for and against retrofi tting their homes, but also faced a choice experiment involving di fferent energy retrofi t measures. Overall, both the descriptive and econometric results show that house owners who are able to aff ord it fi nancially, for whom it is profi table, and for whom there is a favorable opportunity, are more likely to undertake energy retro fit activities. Based on an estimated mixed logit error component model, we also simulate the incentive effects of di fferent policy options, such as public subsidies and energy tax increases.

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  • Achtnicht, Martin & Madlener, Reinhard, 2012. "Factors Influencing German House Owners' Preferences on Energy Retrofits," FCN Working Papers 4/2012, E.ON Energy Research Center, Future Energy Consumer Needs and Behavior (FCN).
  • Handle: RePEc:ris:fcnwpa:2012_004
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    Keywords

    Building energy retro fit; Choice experiment; Energy efficiency; Residential buildings;

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General

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