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The behavioural effect of electronic home energy reports: Evidence from a randomised field trial in the United States

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  • Henry, Marisa L.
  • Ferraro, Paul J.
  • Kontoleon, Andreas

Abstract

Behavioural interventions, such as informational nudges, have become an increasingly popular strategy in demand-side energy management. In particular, home energy reports (HERs) have been used to induce behavioural change among residential consumers. These HERs typically provide peer comparisons of energy use and information about energy savings opportunities. Despite the growing prevalence of HERs and a shift from postal to electronic delivery of HERs, the experimental evidence base of their effectiveness comes primarily from HERs delivered by post from a single vendor (Opower). Whether that evidence generalises to other programmes and to the electronic delivery of HERs is unclear. This paper reports new evidence for HER effectiveness from a 12-month field experiment with approximately 9,000 households that tested electronic HER programme in a deregulated American residential electricity market. Despite high non-compliance with HER delivery, the programme reduced household electricity consumption by 2.9%, 95% CI [-5.0%, −0.76%]. This estimated reduction is consistent with prior estimated impacts of HERs delivered by post and implies electronic HERs are at least as effective as reports delivered by post in reducing electricity consumption, while they are administered at a lower cost.

Suggested Citation

  • Henry, Marisa L. & Ferraro, Paul J. & Kontoleon, Andreas, 2019. "The behavioural effect of electronic home energy reports: Evidence from a randomised field trial in the United States," Energy Policy, Elsevier, vol. 132(C), pages 1256-1261.
    • Handle: RePEc:eee:enepol:v:132:y:2019:i:c:p:1256-1261
    DOI: 10.1016/j.enpol.2019.06.039
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    References listed on IDEAS

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    2. Dietrich Earnhart & Paul J. Ferraro, 2021. "The Effect of Peer Comparisons on Polluters: A Randomized Field Experiment among Wastewater Dischargers," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 79(4), pages 627-652, August.
    3. McAndrew, Ryan & Mulcahy, Rory & Gordon, Ross & Russell-Bennett, Rebekah, 2021. "Household energy efficiency interventions: A systematic literature review," Energy Policy, Elsevier, vol. 150(C).
    4. Andor, Mark A. & Gerster, Andreas & Peters, Jörg & Schmidt, Christoph M., 2020. "Social Norms and Energy Conservation Beyond the US," Journal of Environmental Economics and Management, Elsevier, vol. 103(C).
    5. Cattaneo, Cristina & D’Adda, Giovanna & Tavoni, Massimo & Bonan, Jacopo, 2019. "Can We Make Social Information Programs More Effective? The Role of Identity and Values," RFF Working Paper Series 19-21, Resources for the Future.
    6. Lia Marchi & Jacopo Gaspari, 2023. "Energy Conservation at Home: A Critical Review on the Role of End-User Behavior," Energies, MDPI, vol. 16(22), pages 1-22, November.
    7. Rebecca Afua Klege & Martine Visser & Saugato Datta & Matthew Darling, 2022. "The Power of Nudging: Using Feedback, Competition, and Responsibility Assignment to Save Electricity in a Non-residential Setting," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 81(3), pages 573-589, March.
    8. Kaestner, Kathrin & Vance, Colin, 2022. "On Home Energy Reports and Boomerangs: Evidence from Austria," VfS Annual Conference 2022 (Basel): Big Data in Economics 264122, Verein für Socialpolitik / German Economic Association.
    9. Spandagos, Constantine & Baark, Erik & Ng, Tze Ling & Yarime, Masaru, 2021. "Social influence and economic intervention policies to save energy at home: Critical questions for the new decade and evidence from air-condition use," Renewable and Sustainable Energy Reviews, Elsevier, vol. 143(C).
    10. Asmare, Fissha & Jaraitė, Jūratė & Kažukauskas, Andrius, 2021. "The effect of descriptive information provision on electricity consumption: Experimental evidence from Lithuania," Energy Economics, Elsevier, vol. 104(C).
    11. Myers, Erica & Souza, Mateus, 2020. "Social comparison nudges without monetary incentives: Evidence from home energy reports," Journal of Environmental Economics and Management, Elsevier, vol. 101(C).
    12. Spandagos, Constantine & Yarime, Masaru & Baark, Erik & Ng, Tze Ling, 2020. "“Triple Target” policy framework to influence household energy behavior: Satisfy, strengthen, include," Applied Energy, Elsevier, vol. 269(C).
    13. Zhang, Jin & Huang, Yidi & Zhu, Junming & Zhao, Lijun, 2023. "A meta-analysis on the effectiveness of food-waste reducing nudges," Food Policy, Elsevier, vol. 120(C).
    14. Qin, Botao & Xie, Siyuan & Xu, Chenyang, 2024. "Honor, Goal Setting, and Energy Conservation: Evidence from a Field Experiment in Student Dormitories," MPRA Paper 120869, University Library of Munich, Germany.
    15. Paolo Zangheri & Tiago Serrenho & Paolo Bertoldi, 2019. "Energy Savings from Feedback Systems: A Meta-Studies’ Review," Energies, MDPI, vol. 12(19), pages 1-18, October.
    16. Koasidis, Konstantinos & Marinakis, Vangelis & Nikas, Alexandros & Chira, Katerina & Flamos, Alexandros & Doukas, Haris, 2022. "Monetising behavioural change as a policy measure to support energy management in the residential sector: A case study in Greece," Energy Policy, Elsevier, vol. 161(C).

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