Rebound effect (conservation)

About: Rebound effect (conservation) is a research topic. Over the lifetime, 773 publications have been published within this topic receiving 25741 citations.

Designing effective and acceptable policy mixes for energy transitions: Countering rebound effects in German industry

Abstract: Energy efficiency policies leading to energy demand reductions are a crucial component of ambitious energy transition strategies. However, rebound effects have been suggested to reduce energy demand reductions from energy efficiency improvements. Such effects have been studied extensively in the literature, but there has been less focus on the question whether (and if so, how) policy action can deliberately counter rebound effects. Also most of the existing literature focuses on households, while rebound effects also occur within industry. In order to address this knowledge gap, we build on the growing literature on policy mixes for transitions. Using a mixed methods approach combining macroeconomic modelling with qualitative stakeholder interviews and workshops, the paper investigates for Germany whether complementing an industrial energy efficiency programme with a number of other policy instruments can counter rebound effects. It assesses the economic impacts of the proposed policy mixes as well as their political acceptability. Our analysis finds that complementing a public funding scheme for industrial energy efficiency investments with other policy instruments can counteract rebounds, but faces a number of challenges in terms of acceptability. The paper argues for a more informed and honest policy and societal debate about rebound effects in order to boost problem awareness and agenda setting and to create a positive narrative around tackling rebounds. The main contribution of the paper is to show how important it is to take political factors into account in the design of policy mixes. It also showcases a mixed methods approach combining modelling with qualitative research which we see as very promising for analysing policy mixes.

Analysis of the Economy-Wide Rebound Effect of Water Efficiency Improvement in China Based on a Multi-Sectoral Computable General Equilibrium Analysis

Abstract: The effectiveness of water efficiency improvement is restricted by the water rebound effect by which anticipated water resource saving from improved water efficiency may be partly or wholly offset or even surpassed by an increase in water demand. The economy-wide rebound effect of water efficiency improvement in China is poorly understood. This study explored the economy-wide rebound effect of water efficiency improvement in China based on a multi-sectoral computable general equilibrium model. The results suggested that water efficiency improvement could effectively reduce water consumption in producing sectors and benefit economic growth and employment. However, the decrease in water consumption was much lower than the volume of water efficiency improvement, which indicated that the rebound effect partly offset water savings caused by water efficiency improvement. We observed a larger reduction in water consumption in the long run, which indicated a smaller rebound effect and a more significant effect in saving water resources in the long term. Notably, the total rebound effect in the short-run closure was much larger than that in the long-run closure, and the effect from the production side was much smaller. Hence, the economic-wide rebound effect is primarily derived from the incremental water consumption by households, investors, and governments.

The delusion of decoupling, and policy options for mitigating the rebound effect and the environmental impact

Abstract: environmental impact DTU Orbit (08/11/2019) The delusion of decoupling, and policy options for mitigating the rebound effect and the environmental impact When analyzing environmental problems, it is useful to apply the following simple equation for the environmental impact ‘I’, (here representing energy consumption): I = P·A·T, With ‘P’ representing population, ‘A’ affluence per capita, and ‘T’ resource intensity, i.e. energy per affluence unit ‘A’. All three factors are through the equation coupled to ‘I’, and in general we should avoid using the misleading terminology of decoupling environmental impact (energy consumption) from the economy, represented by ‘P·A’. So far essentially all policies towards lowering ‘I’ has been devoted towards technical increase in energy efficiency, i.e., lowering ‘T’. The relief thereby obtained on ‘I’, however, tends to be rebounded by increasing both ‘P’ and ‘A’, which pull ‘I’ upwards. In a future degrowth economy, aiming at reducing ‘I’ significantly, focusing only on ‘T’ will not suffice. We must also reduce, or at least limit, ‘P’ and ‘A’, including their rebound growth from the ‘T’ decrease. The paper suggest this to be achievable in affluent countries, by letting ‘P’ decline through low birth rates, and encouraging ‘A’ to decline in exchange for lowering labor input to the economy, partly as shorter work time, and/or more satisfactory work conditions. A rather painless way to reduce ‘A’ can be to gradually extend the life time of durable goods, i.e. slowing down their repetitive replacement. The measures are in line with some trends in public preferences in Western Europe, but totally incompatible with the prevailing financial growth policy pursued by most governments.