Energy efficiency and consumption — the rebound effect — a survey
TL;DR: In this paper, a review of some of the relevant literature from the US offers definitions and identifies sources including direct, secondary, and economy-wide sources and concludes that the range of estimates for the size of the rebound effect is very low to moderate.
About: This article is published in Energy Policy.The article was published on 2000-06-01. It has received 1867 citations till now. The article focuses on the topics: Rebound effect (conservation) & Energy consumption.
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TL;DR: In this article, the authors trace the evolution path of dematerialization and decoupling in environmental sciences and trace the methodologies, the evidence, and the evidence for dematerialisation.
Abstract: The two essential terms in environmental sciences – dematerialization and decoupling – have always been controversial. This study aims to trace the evolution path on the methodologies, the evidence...
14 citations
Cites background from "Energy efficiency and consumption —..."
...Except for the possible causes of the production functions selected and the elasticity of substitution (Greening et al. 2000), an essential reason for the low rebound estimation is the narrowly confined boundaries, i....
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...Except for the possible causes of the production functions selected and the elasticity of substitution (Greening et al. 2000), an essential reason for the low rebound estimation is the narrowly confined boundaries, i.e. taking the direct rebound into consideration only. The indirect rebound and the other macro effects are methodologically difficult to measure; thus, the whole rebound effects are not conclusive in research community. An effective way to tackle this problem is to get around tricky methods and find out the relations between technology and the final energy use on the macro-level directly. Polimeni and Polimeni (2006) develop two time-series cross-sectional (TSCS) regres-...
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...Except for the possible causes of the production functions selected and the elasticity of substitution (Greening et al. 2000), an essential reason for the low rebound estimation is the narrowly confined boundaries, i.e. taking the direct rebound into consideration only....
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01 Apr 2009
TL;DR: In this article, the main regulatory instruments used in practice are fuel economy standards, vehicle emission standards and fuel quality standards, while most developing countries have yet to introduce fuel economy standard.
Abstract: This study reviews regulatory instruments designed to reduce environmental externalities from the transport sector. We find that the main regulatory instruments used in practice are fuel economy standards, vehicle emission standards and fuel quality standards. While industrialized countries have introduced all three standards with strong enforcement mechanisms, most developing countries have yet to introduce fuel economy standards. The emission standards introduced by many developing countries to control local air pollutants follow either the EU or U.S. standards. Fuel quality standards, particularly for gasoline and diesel, have been introduced in many countries mandating 2 to 10 percents blending of biofuels, 10 to 50 times reduction of sulfur from 1996 levels and banning lead contents. Although inspection and maintenance (I/M) programs are in place in both industrialized and developing countries to enforce regulatory standards, these programs have faced several challenges in developing countries due to a lack of resources. The study also highlights several factors affecting the selection of regulatory instruments, such as countries’ environmental priorities and institutional capacities.
14 citations
Cites background from "Energy efficiency and consumption —..."
...Greening et al. (2000), however, argued that the increase in travel resulting from the decrease in cost per mile and reduced fuel intensity arising from the CAFE standards is minimal....
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01 Jan 2017
TL;DR: In this article, the authors analyse current areas of improvement in energy policy targeting energy efficiency in the light of the rebound effect and try to advance a different policy framework, based on a deeper understanding of this phenomenon.
Abstract: With more energy efficiency it is possible to do the same—or even more—with less energy. This is why energy efficiency is prompted by many as an absolute remedy for the evils of energy use, such as the environmental pressure or the security of supply. Nevertheless, historically energy consumptions at the world level have always been growing in spite of—or perhaps because of—an increasing level of energy efficiency. Some scholars have called this paradox the rebound effect. The rebound effect (REE) is an unintended consequence of the introduction of more energy-efficient technology. It occurs when the reduction in energy consumption is less than that expected from the magnitude of the increase in energy efficiency. REE and backfire are caused by behavioural and/or other systemic responses to efficiency gains in production or consumption (Maxwell et al. in Addressing the rebound effect, a report for the European Commission DG Environment, 2011). However, this paradoxical nexus between energy efficiency and energy consumption is not only confined to human-made systems: nature exhibits a same type of linkage among energy efficiency, energy growth and complexity. To what extent can the energetics of evolution help us in understanding this conundrum and forge a doable energy policy aimed at reducing energy use by fostering energy efficiency? In this chapter we will analyse current areas of improvement in energy policy targeting energy efficiency in the light of the rebound effect and we will try to advance a different policy framework, based on a deeper understanding of this phenomenon.
14 citations
TL;DR: In this paper, the authors analyse the electricity consumption of a set of four traditional white goods in a panel of ten EU countries observed over 21 years (1990-2010), with the aim of disentangling the amount of technical efficiency from the overall energy saving.
Abstract: Traditional large appliances absorb a large share of residential electricity consumption and represent important targets of energy policy strategies aimed at achieving energy security. Despite being characterized by rather mature technologies, this group of appliances still offers large potential in terms of efficiency gains due to their pervasive diffusion. In this paper we analyse the electricity consumption of a set of four traditional ‘white goods’ in a panel of ten EU countries observed over 21 years (1990-2010), with the aim of disentangling the amount of technical efficiency from the overall energy saving. The technical efficiency trend is modelled through a set of technology components representing both the invention and adoption process by the means of specific patents weighted by production and bilateral import flows, which allows to overcome the rigid Stochastic Frontier framework in modelling the effect of technical change. Our results show that the derived energy demand and inefficiency trends are both related to changes in the amount of available technology embodied in energy efficient appliances. The effect is significant both in its domestic and international components and suggests an active role of innovation and trade policies for achieving efficiency targets which directly impact the amount of electricity consumed by households.
14 citations
Cites background from "Energy efficiency and consumption —..."
...Moreover, when investigating the relationships between energy consumption and efficiency gains, a further relevant issue is represented by the so-called ‘rebound effect’ (Khazzoom, 1980; Greening et al., 2000; Sorrell and Dimitropoulos, 2008)....
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...6 For some empirical evidence on the rebound effect in the residential sector see Greening et al. (2000), Saunders, 2013; Hilty et al., 2006 and Davis, 2008....
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TL;DR: In this paper, the authors provide detailed qualitative and quantitative analyses of the effect of IHDs on more than 200 apartments in four Danish buildings, along with the consumptions of heating, electricity and water.
14 citations
References
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Book•
01 Jan 1980
TL;DR: Deaton and Muellbauer as mentioned in this paper introduced generations of students to the economic theory of consumer behaviour and used it in applied econometrics, including consumer index numbers, household characteristics, demand, and household welfare comparisons.
Abstract: This classic text has introduced generations of students to the economic theory of consumer behaviour. Written by 2015 Nobel Laureate Angus Deaton and John Muellbauer, the book begins with a self-contained presentation of the basic theory and its use in applied econometrics. These early chapters also include elementary extensions of the theory to labour supply, durable goods, the consumption function, and rationing. The rest of the book is divided into three parts. In the first of these the authors discuss restrictions on choice and aggregation problems. The next part consists of chapters on consumer index numbers; household characteristics, demand, and household welfare comparisons; and social welfare and inequality. The last part extends the coverage of consumer behaviour to include the quality of goods and household production theory, labour supply and human capital theory, the consumption function and intertemporal choice, the demand for durable goods, and choice under uncertainty.
3,952 citations
TL;DR: In this article, an industrial demand for energy is essentially a derived demand: the firm's demand for the energy is an input, derived from demand for a firm's output, which is an output.
Abstract: Industrial demand for energy is essentially a derived demand: the firm's demand for energy is an input is derived from demand for the firm's output. Inputs other than energy typically also enter the firm's production process. Since firms tend to choose that bundle of inputs which minimized the total cost of producing a giving level of output, the derived demand for inputs, including energy, depends on the level of output, the submitions possibilies among inputs allow by production technology, and the relative prices of all inputs.
1,422 citations
TL;DR: In this article, a model of individual behavior in the purchase and utilization of energy-using durables is presented, where the tradeoff between capital costs for more energy efficient appliances and operating costs for the appliances is emphasized.
Abstract: This article presents a model of individual behavior in the purchase and utilization of energy-using durables. The tradeoff between capital costs for more energy efficient appliances and operating costs for the appliances is emphasized. Using data on both the purchase and utilization of room air conditioners, the model is applied to a sample of households. The utilization equation indicates a relatively low price elasticity. The purchase equation, based on a discrete choice model, demonstrates that individuals do trade off capital costs and expected operating costs. The results also show that individuals use a discount rate of about 20 percent in making the tradeoff decision and that the discount rate varies inversely with income.
1,361 citations
TL;DR: In this article, the authors argue that the indiscriminate use of mandated standards will backfire, but a mix of selective standards and reliance on prices as a restraint can be effective.
Abstract: Regulations which mandate appliance efficiency standards may be based on calculations which exaggerate the potential energy savings. Improved efficiency can, in fact, increase demand enough to be counterproductive unless the standards are applied selectively. As appliances improve, they are used more, new stock is demanded, and the demand for and use of related equipment increases. The policy implications of these empirical studies are that the indiscriminate use of mandated standards will backfire, but a mix of selective standards and reliance on prices as a restraint can be effective. 11 references, 5 figures, 2 tables. (DCK)
802 citations
Posted Content•
TL;DR: In this article, the authors present a detailed study of automobile demand and use, presenting forecasts based on the powerful new techniques of qualitative choice analysis and standard regression techniques, which are combined to analyze situations that neither alone can accurately forecast.
Abstract: This book addresses two significant research areas in an interdependent fashion. It is first of all a comprehensive but concise text that covers the recently developed and widely applicable methods of qualitative choice analysis, illustrating the general theory through simulation models of automobile demand and use. It is also a detailed study of automobile demand and use, presenting forecasts based on these powerful new techniques. The book develops the general principles that underlie qualitative choice models that are now being applied in numerous fields in addition to transportation, such as housing, labor, energy, communications, and criminology. The general form, derivation, and estimation of qualitative choice models are explained, and the major models - logit, probit, and GEV - are discussed in detail. And continuous/discrete models are introduced. In these, qualitative choice methods and standard regression techniques are combined to analyze situations that neither alone can accurately forecast. Summarizing previous research on auto demand, the book shows how qualitative choice methods can be used by applying them to specific auto-related decisions as the aggregate of individuals' choices. The simulation model that is constructed is a significant improvement over older models, and should prove more useful to agencies and organizations requiring accurate forecasting of auto demand and use for planning and policy development. The book concludes with an actual case study based on a model designed for the investigations of the California Energy Commission.
726 citations