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Higher peak power prices cut home use more than asking people to save

An adult in a checked cardigan reaches up and pulls the cord of a tall floor lamp, then lets it spring back.

The study

Who took part

Homes in Keihanna Science City near Kyoto, Japan, that said yes to a mailed invite. The number of homes isn't given in the part of the paper we had.

What they did

Every home had a screen that showed its power use each hour. On test days, one group paid 65 cents per unit of power at peak hours instead of the usual 25. Another group paid the usual price and got messages that asked them to save power. The last group had no change.

What happened

The higher price cut peak use by about 16% in summer and winter, and the authors say this barely faded. Asking people to save cut use by just 3 to 4% and faded when repeated; the winter drop was not clear. We only had the paper's add-on pages, so many details are missing.

  1. Helped

    A higher price at peak hours cut home use by about 16% against homes with a screen, and barely faded.

    Trial in households near Kyoto, Japan · vs homes with only a power-use screen · behaviour was recorded

  2. Mixed

    Asking homes to save power cut use by just 3 to 4% against screen-only homes, and faded when repeated.

    Trial in households near Kyoto, Japan · vs homes with only a power-use screen · behaviour was recorded

Source

Moral Suasion and Economic Incentives: Field Experimental Evidence from Energy Demand (2018)

DOI: 10.1257/pol.20160093 (opens in a new tab)

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