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Hot weather and residential hourly electricity demand in Italy

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  • Alberini, Anna
  • Prettico, Giuseppe
  • Shen, Chang
  • Torriti, Jacopo

Abstract

Concerns about climate change, pollution and energy security have prompted policies aiming at replacing fossil fuels (in heating and cooling, and transportation) with electricity, presumably generated from renewable sources. Climate change itself is expected to increase the demand for cooling in buildings, which is generally met with electricity-powered air conditioning. We use hourly electricity demand from a sample of Italian residences over a full year to examine how sensitive residential demand is to temperature. Our regression model includes a rich set of household-by-time fixed effects to control for dwelling characteristics and equipment, family composition, work and business schedules, demand for lighting, and seasonal habits other than temperature. These allows us to separate the effect of temperature from the demand for lighting and from other seasonal effects that may be correlated with temperature, but are not temperature. We find that demand stays unchanged within a relatively narrow range (and is thus relatively flat) up to temperatures of about 24.4 °C, and increases sharply with temperature thereafter. We find that temperature accounts for a very small share of daily electricity demand. Only on exceptionally hot summer days can temperature account for 12% of hourly electricity use.

Suggested Citation

  • Alberini, Anna & Prettico, Giuseppe & Shen, Chang & Torriti, Jacopo, 2019. "Hot weather and residential hourly electricity demand in Italy," Energy, Elsevier, vol. 177(C), pages 44-56.
    • Handle: RePEc:eee:energy:v:177:y:2019:i:c:p:44-56
    DOI: 10.1016/j.energy.2019.04.051
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    3. Lanlan Li & Xinpei Song & Jingjing Li & Ke Li & Jianling Jiao, 2023. "The impacts of temperature on residential electricity consumption in Anhui, China: does the electricity price matter?," Climatic Change, Springer, vol. 176(3), pages 1-26, March.
    4. Rizzati, Massimiliano & De Cian, Enrica & Guastella, Gianni & Mistry, Malcolm N. & Pareglio, Stefano, 2022. "Residential electricity demand projections for Italy: A spatial downscaling approach," Energy Policy, Elsevier, vol. 160(C).
    5. Francesco Pietro Colelli & Enrica De Cian & Wilmer Pasut & Lucia Piazza, 2023. "Toward Net Zero in the midst of the energy and climate crises: the response of residential photovoltaic systems," Working Papers 2023:18, Department of Economics, University of Venice "Ca' Foscari".
    6. Jinpeng Liu & Hao Yang & Delin Wei & Xiaohua Song, 2021. "Time Distribution Simulation of Household Power Load Based on Travel Chains and Monte Carlo–A Study of Beijing in Summer," Sustainability, MDPI, vol. 13(12), pages 1-19, June.
    7. Bonan, Jacopo & Curzi, Daniele & D'Adda, Giovanna & Ferro, Simone, 2023. "Climate Change Salience and Electricity Consumption: Evidence from Twitter Activity," RFF Working Paper Series 23-34, Resources for the Future.
    8. Besagni, Giorgio & Borgarello, Marco & Premoli Vilà, Lidia & Najafi, Behzad & Rinaldi, Fabio, 2020. "MOIRAE – bottom-up MOdel to compute the energy consumption of the Italian REsidential sector: Model design, validation and evaluation of electrification pathways," Energy, Elsevier, vol. 211(C).
    9. Hu, Wenxuan & Scholz, Yvonne & Yeligeti, Madhura & Deng, Ying & Jochem, Patrick, 2024. "Future electricity demand for Europe: Unraveling the dynamics of the Temperature Response Function," Applied Energy, Elsevier, vol. 368(C).
    10. Zuin, Gianlucca & Buechler, Rob & Sun, Tao & Zanocco, Chad & Galuppo, Francisco & Veloso, Adriano & Rajagopal, Ram, 2023. "Extreme event counterfactual analysis of electricity consumption in Brazil: Historical impacts and future outlook under climate change," Energy, Elsevier, vol. 281(C).
    11. Kang, J. & Reiner, D., 2021. "Identifying residential consumption patterns using data-mining techniques: A large-scale study of smart meter data in Chengdu, China," Cambridge Working Papers in Economics 2143, Faculty of Economics, University of Cambridge.
    12. Jose Juan Caceres-Hernandez & Gloria Martin-Rodriguez & Jonay Hernandez-Martin, 2022. "A proposal for measuring and comparing seasonal variations in hourly economic time series," Empirical Economics, Springer, vol. 62(4), pages 1995-2021, April.
    13. Eshraghi, Hadi & Rodrigo de Queiroz, Anderson & Sankarasubramanian, A. & DeCarolis, Joseph F., 2021. "Quantification of climate-induced interannual variability in residential U.S. electricity demand," Energy, Elsevier, vol. 236(C).
    14. Shen,Chang & Alberini,Anna & Timilsina,Govinda R., 2022. "The Impact of COVID-19 on Electricity Generation : An Empirical Investigation," Policy Research Working Paper Series 10116, The World Bank.
    15. Chen, Haitao & Zhang, Bin & Wang, Zhaohua, 2022. "Hidden inequality in household electricity consumption: Measurement and determinants based on large-scale smart meter data," China Economic Review, Elsevier, vol. 71(C).
    16. Sun, Yannan & Hao, Weituo & Chen, Yan & Liu, Bing, 2020. "Data-driven occupant-behavior analytics for residential buildings," Energy, Elsevier, vol. 206(C).
    17. Agnieszka Kowalska-Styczeń & Tomasz Owczarek & Janusz Siwy & Adam Sojda & Maciej Wolny, 2022. "Analysis of Business Customers’ Energy Consumption Data Registered by Trading Companies in Poland," Energies, MDPI, vol. 15(14), pages 1-23, July.

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