Demand and Pricing in Electricity Markets: Evidence from San Diego During California's Energy Crisis /

We study the electricity consumption of San Diego-area households following a series of price changes and related events during California's energy crisis in 2000-01. The analysis uses a five-year panel of disaggregate billing and weather data for a random sample of 70,000 households. In contra...

Ausführliche Beschreibung

Gespeichert in:
Weitere Titel:
Demand and Pricing in Electricity Markets
1. Verfasser:
Reiss, Peter C.
Körperschaft:
National Bureau of Economic Research
Weitere Verfasser:
White, Matthew W.
Format:
Elektronisch E-Book
Sprache:
Englisch
Veröffentlicht:
Cambridge, Mass. National Bureau of Economic Research 2003.
Zusammenfassung:
We study the electricity consumption of San Diego-area households following a series of price changes and related events during California's energy crisis in 2000-01. The analysis uses a five-year panel of disaggregate billing and weather data for a random sample of 70,000 households. In contrast to prior work, these data allow us to proceed without behavioral assumptions regarding a consumer's knowledge of energy prices. We find that after a rapid price increase in summer 2000, consumption fell substantially over about 60 days, averaging 12% per household; consumption then rebounded to within 3% of pre-crisis levels after a price cap was imposed. Under the price cap public appeals for energy conservation and a remunerative voluntary conservation program had significant, but transitory, effects. Further, a large share of households reduced electricity consumption substantially (over 10%) but saved small monetary amounts ($10 or less). Overall, the results indicate consumers may be far more responsive to pecuniary and non-pecuniary incentives for altering their energy use than is commonly believed.
Umfang:
1 online resource: illustrations (black and white);
Anmerkungen:
September 2003.
Schlagworte: