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Title: Evaluating Energy Efficiency Policies with Energy-Economy Models

Abstract

The growing complexities of energy systems, environmental problems and technology markets are driving and testing most energy-economy models to their limits. To further advance bottom-up models from a multidisciplinary energy efficiency policy evaluation perspective, we review and critically analyse bottom-up energy-economy models and corresponding evaluation studies on energy efficiency policies to induce technological change. We use the household sector as a case study. Our analysis focuses on decision frameworks for technology choice, type of evaluation being carried out, treatment of market and behavioural failures, evaluated policy instruments, and key determinants used to mimic policy instruments. Although the review confirms criticism related to energy-economy models (e.g. unrealistic representation of decision-making by consumers when choosing technologies), they provide valuable guidance for policy evaluation related to energy efficiency. Different areas to further advance models remain open, particularly related to modelling issues, techno-economic and environmental aspects, behavioural determinants, and policy considerations.

Authors:
; ; ;
Publication Date:
Research Org.:
Lawrence Berkeley National Lab. (LBNL), Berkeley, CA (United States)
Sponsoring Org.:
Environmental Energy Technologies Division
OSTI Identifier:
1001644
Report Number(s):
LBNL-3862E
Journal ID: ISSN 1543-5938; TRN: US201102%%368
DOE Contract Number:
DE-AC02-05CH11231
Resource Type:
Journal Article
Resource Relation:
Journal Name: Annual Review of Environment and Resources
Country of Publication:
United States
Language:
English
Subject:
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION; 29 ENERGY PLANNING, POLICY, AND ECONOMY; DECISION MAKING; ENERGY EFFICIENCY; ENERGY SYSTEMS; EVALUATION; HOUSEHOLDS; MARKET; SIMULATION; TESTING; Bottom-up energy-economy models, energy efficiency policy, household sector, induced technological change, policy evaluation

Citation Formats

Mundaca, Luis, Neij, Lena, Worrell, Ernst, and McNeil, Michael A. Evaluating Energy Efficiency Policies with Energy-Economy Models. United States: N. p., 2010. Web. doi:10.1146/annurev-environ-052810-164840.
Mundaca, Luis, Neij, Lena, Worrell, Ernst, & McNeil, Michael A. Evaluating Energy Efficiency Policies with Energy-Economy Models. United States. doi:10.1146/annurev-environ-052810-164840.
Mundaca, Luis, Neij, Lena, Worrell, Ernst, and McNeil, Michael A. Sun . "Evaluating Energy Efficiency Policies with Energy-Economy Models". United States. doi:10.1146/annurev-environ-052810-164840. https://www.osti.gov/servlets/purl/1001644.
@article{osti_1001644,
title = {Evaluating Energy Efficiency Policies with Energy-Economy Models},
author = {Mundaca, Luis and Neij, Lena and Worrell, Ernst and McNeil, Michael A.},
abstractNote = {The growing complexities of energy systems, environmental problems and technology markets are driving and testing most energy-economy models to their limits. To further advance bottom-up models from a multidisciplinary energy efficiency policy evaluation perspective, we review and critically analyse bottom-up energy-economy models and corresponding evaluation studies on energy efficiency policies to induce technological change. We use the household sector as a case study. Our analysis focuses on decision frameworks for technology choice, type of evaluation being carried out, treatment of market and behavioural failures, evaluated policy instruments, and key determinants used to mimic policy instruments. Although the review confirms criticism related to energy-economy models (e.g. unrealistic representation of decision-making by consumers when choosing technologies), they provide valuable guidance for policy evaluation related to energy efficiency. Different areas to further advance models remain open, particularly related to modelling issues, techno-economic and environmental aspects, behavioural determinants, and policy considerations.},
doi = {10.1146/annurev-environ-052810-164840},
journal = {Annual Review of Environment and Resources},
number = ,
volume = ,
place = {United States},
year = {Sun Aug 01 00:00:00 EDT 2010},
month = {Sun Aug 01 00:00:00 EDT 2010}
}