Public Seminar: Understanding Energy Demand
Curbing greenhouse gas emissions in order to fight climate change is imperative and one can think of two way to do that. First, a decrease in electricity consumption would decrease the need to burn fossil fuels. Second, a change in electricity generation technologies using renewable energy sources would also decrease emissions. For both strategies to be successful, the electricity demand of households must decrease and/or needs to become more flexible.
However, the determinants of this demand and their effect is not easy to understand. Electricity is a very peculiar good such that many behavioral frictions affect the households’ consumption choice. Households usually lack information concerning the production technology of energy services and is compounded by the billing structure of electricity.
With hyperbolic discounting households’ behavior exhibits a present bias, which also affects their technology choice(s). In this research, Dr Joerg Lingens will discuss the likely effects of these behavioral issues on electricity demand and about possible policy options that nudge households to lower electricity usage.
Dr David Byrne, University of Melbourne, will chair the seminar and David Blowers, Grattan Institute, will be a discussant.
University of Melbourne
Faculty of Business and Economics Building
111 Barry Street, Carlton
Level 2, Theatre 4
The seminar is brought to University of Melbourne courtesy of the European Union Centre on Shared Complex Challenges.