How Do Electricity Pricing Programs Impact the Selection of Energy Efficiency Measures? - A Case Study with U.S. Medium Office Buildings

Ye, Yunyang; Lou, Yingli; Zuo, Wangda; Franconi, Ellen; Wang, Gang

doi:10.1016/j.enbuild.2020.110267

Title: How Do Electricity Pricing Programs Impact the Selection of Energy Efficiency Measures? - A Case Study with U.S. Medium Office Buildings

Journal Article · Thu Jul 02 00:00:00 EDT 2020 · Energy and Buildings

DOI:https://doi.org/10.1016/j.enbuild.2020.110267· OSTI ID:1770906

Ye, Yunyang; Lou, Yingli;

; Franconi, Ellen; Wang, Gang

Building owners usually select energy efficiency measures (EEMs) by referring to return on investment (ROI). Current studies tend to apply static energy price to estimate ROI. However, more and more buildings are adopting dynamic electricity pricing programs. To understand how electricity pricing programs impact the selection of EEMs, this paper presents an analysis of the ROIs of EEMs under different pricing programs using U.S. medium office buildings as an example. Eight EEMs in four typical cities are selected as case studies. Considering five electricity pricing programs scenarios (one static program and four dynamic programs), EEMs are selected based on their ROIs. The main findings are: (1) The ROIs of EEMs change under different pricing programs. (2) In Honolulu, Buffalo, and Denver, replacing interior fixtures with higher-efficiency fixtures has a significantly higher ROI than the rest EEMs under all five pricing programs. However, the ROI of this EEM in Honolulu ranges from 28% to 47% for different pricing programs. (3) Similarly, in Fairbanks, replace heating coil with higher-efficiency coil produce higher ROI than the rest under all five pricing programs. (4) For other EEMs, their ROI rankings vary according to electricity pricing programs.

Cite

Export

Save

Research Organization:: National Renewable Energy Lab. (NREL), Golden, CO (United States)

Sponsoring Organization:: USDOE Office of Energy Efficiency and Renewable Energy (EERE)

DOE Contract Number:: DE-AC36-08GO28308

OSTI ID:: 1770906

Report Number(s):: NREL/JA-5500-79412; MainId:33638; UUID:3ddb2a0f-6493-4870-a6e9-e7cdf00086c5; MainAdminID:19940

Journal Information:: Energy and Buildings, Vol. 224

Country of Publication:: United States

Language:: English

References (31)

Demand Response in Electricity Markets: An Overview Albadi, M. H.; El-Saadany, E. F. 2007 IEEE Power Engineering Society General Meeting https://doi.org/10.1109/PES.2007.385728	conference	June 2007
Automatic generation and simulation of urban building energy models based on city datasets for city-scale building retrofit analysis Chen, Yixing; Hong, Tianzhen; Piette, Mary Ann Applied Energy, Vol. 205 https://doi.org/10.1016/j.apenergy.2017.07.128	journal	November 2017
Investment in Energy Efficiency: Do the Characteristics of Firms Matter? DeCanio, Stephen J.; Watkins, William E. Review of Economics and Statistics, Vol. 80, Issue 1 https://doi.org/10.1162/003465398557366	journal	February 1998
The analysis on photovoltaic electricity generation status, potential and policies of the leading countries in solar energy Dinçer, Furkan Renewable and Sustainable Energy Reviews, Vol. 15, Issue 1 https://doi.org/10.1016/j.rser.2010.09.026	journal	January 2011
A day-ahead electricity pricing model based on smart metering and demand-side management Doostizadeh, Meysam; Ghasemi, Hassan Energy, Vol. 46, Issue 1 https://doi.org/10.1016/j.energy.2012.08.029	journal	October 2012
Dynamic electricity pricing—Which programs do consumers prefer? Dütschke, Elisabeth; Paetz, Alexandra-Gwyn Energy Policy, Vol. 59 https://doi.org/10.1016/j.enpol.2013.03.025	journal	August 2013
A literature review on dynamic pricing of electricity Dutta, Goutam; Mitra, Krishnendranath Journal of the Operational Research Society, Vol. 68, Issue 10 https://doi.org/10.1057/s41274-016-0149-4	journal	October 2017
A multi-objective optimization model for energy-efficiency building envelope retrofitting plan with rooftop PV system installation and maintenance Fan, Yuling; Xia, Xiaohua Applied Energy, Vol. 189 https://doi.org/10.1016/j.apenergy.2016.12.077	journal	March 2017
Refurbishment decision support tools review—Energy and life cycle as key aspects to sustainable refurbishment projects Ferreira, Joaquim; Pinheiro, Manuel Duarte; Brito, Jorge de Energy Policy, Vol. 62 https://doi.org/10.1016/j.enpol.2013.06.082	journal	November 2013
Wall insulation measures for residential villas in Dubai: A case study in energy efficiency Friess, Wilhelm Alexander; Rakhshan, Kambiz; Hendawi, Tamer A. Energy and Buildings, Vol. 44 https://doi.org/10.1016/j.enbuild.2011.10.005	journal	January 2012
Optimizing insulation thickness for buildings using life cycle cost Hasan, Afif Applied Energy, Vol. 63, Issue 2 https://doi.org/10.1016/S0306-2619(99)00023-9	journal	June 1999
Financial and energy impacts of compact fluorescent light bulbs in a rural setting Houri, Ahmad; Khoury, Pierre El Energy and Buildings, Vol. 42, Issue 5 https://doi.org/10.1016/j.enbuild.2009.11.003	journal	May 2010
Value based building renovation – A tool for decision-making and evaluation Jensen, Per Anker; Maslesa, Esmir Building and Environment, Vol. 92 https://doi.org/10.1016/j.buildenv.2015.04.008	journal	October 2015
Dynamic Pricing of Electricity Joskow, Paul L.; Wolfram, Catherine D. American Economic Review, Vol. 102, Issue 3 https://doi.org/10.1257/aer.102.3.381	journal	May 2012
A hybrid decision support system for sustainable office building renovation and energy performance improvement Juan, Yi-Kai; Gao, Peng; Wang, Jie Energy and Buildings, Vol. 42, Issue 3 https://doi.org/10.1016/j.enbuild.2009.09.006	journal	March 2010
Life-cycle carbon and cost analysis of energy efficiency measures in new commercial buildings Kneifel, Joshua Energy and Buildings, Vol. 42, Issue 3 https://doi.org/10.1016/j.enbuild.2009.09.011	journal	March 2010
Evaluation of economically optimal retrofit investment options for energy savings in buildings Kumbaroğlu, Gürkan; Madlener, Reinhard Energy and Buildings, Vol. 49 https://doi.org/10.1016/j.enbuild.2012.02.022	journal	June 2012
An energy systems engineering approach to the optimal design of energy systems in commercial buildings Liu, Pei; Pistikopoulos, Efstratios N.; Li, Zheng Energy Policy, Vol. 38, Issue 8 https://doi.org/10.1016/j.enpol.2010.03.051	journal	August 2010
Existing building retrofits: Methodology and state-of-the-art Ma, Zhenjun; Cooper, Paul; Daly, Daniel Energy and Buildings, Vol. 55 https://doi.org/10.1016/j.enbuild.2012.08.018	journal	December 2012
Life cycle cost analysis and payback period of lighting retrofit at the University of Malaya Mahlia, T. M. I.; Razak, H. Abdul; Nursahida, M. A. Renewable and Sustainable Energy Reviews, Vol. 15, Issue 2 https://doi.org/10.1016/j.rser.2010.10.014	journal	February 2011
Factors influencing energy efficiency investments in existing Swedish residential buildings Nair, Gireesh; Gustavsson, Leif; Mahapatra, Krushna Energy Policy, Vol. 38, Issue 6 https://doi.org/10.1016/j.enpol.2010.01.033	journal	June 2010
Early stage decision support for sustainable building renovation – A review Nielsen, Anne N.; Jensen, Rasmus L.; Larsen, Tine S. Building and Environment, Vol. 103 https://doi.org/10.1016/j.buildenv.2016.04.009	journal	July 2016
A comparison between cost optimality and return on investment for energy retrofit in buildings-A real options perspective Tadeu, Sérgio Fernando; Alexandre, Rafael F.; Tadeu, António J. B. Sustainable Cities and Society, Vol. 21 https://doi.org/10.1016/j.scs.2015.11.002	journal	February 2016
Optimal selection of energy efficiency measures for energy sustainability of existing buildings Tan, Barış; Yavuz, Yahya; Otay, Emre N. Computers & Operations Research, Vol. 66 https://doi.org/10.1016/j.cor.2015.01.013	journal	February 2016
Price-based demand side management: Assessing the impacts of time-of-use tariffs on residential electricity demand and peak shifting in Northern Italy Torriti, Jacopo Energy, Vol. 44, Issue 1 https://doi.org/10.1016/j.energy.2012.05.043	journal	August 2012
Energy savings in retrofitted dwellings: economically viable? Verbeeck, G.; Hens, H. Energy and Buildings, Vol. 37, Issue 7 https://doi.org/10.1016/j.enbuild.2004.10.003	journal	July 2005
Development of building energy asset rating using stock modelling in the USA Wang, Na; Goel, Supriya; Makhmalbaf, Atefe Journal of Building Performance Simulation, Vol. 11, Issue 1 https://doi.org/10.1080/19401493.2015.1134668	journal	January 2016
A methodology to create prototypical building energy models for existing buildings: A case study on U.S. religious worship buildings Ye, Yunyang; Hinkelman, Kathryn; Zhang, Jian Energy and Buildings, Vol. 194 https://doi.org/10.1016/j.enbuild.2019.04.037	journal	July 2019
A comprehensive review of energy-related data for U.S. commercial buildings Ye, Yunyang; Zuo, Wangda; Wang, Gang Energy and Buildings, Vol. 186 https://doi.org/10.1016/j.enbuild.2019.01.020	journal	March 2019
Demand response for residential buildings based on dynamic price of electricity Yoon, Ji Hoon; Bladick, Ross; Novoselac, Atila Energy and Buildings, Vol. 80 https://doi.org/10.1016/j.enbuild.2014.05.002	journal	September 2014
Reliability assessment of photovoltaic power systems: Review of current status and future perspectives Zhang, Peng; Li, Wenyuan; Li, Sherwin Applied Energy, Vol. 104 https://doi.org/10.1016/j.apenergy.2012.12.010	journal	April 2013

Similar Records

The potential for distributed generation in Japanese prototype buildings: A DER-CAM analysis of policy, tariff design, building energy use, and technology development (English Version)

Technical Report · Fri Oct 15 00:00:00 EDT 2004 · OSTI ID:1770906

Zhou, Nan; Marnay, Chris; Firestone, Ryan; +2 more

Investigation of Energy-Efficient Supermarket Display Cases

Technical Report · Fri Jan 21 00:00:00 EST 2005 · OSTI ID:1770906

Walker, D H

Evaluating the energy impact potential of energy efficiency measures for retrofit applications: A case study with U.S. medium office buildings

Journal Article · Mon Mar 01 00:00:00 EST 2021 · Building Simulation · OSTI ID:1770906

Ye, Yunyang; Hinkelman, Kathryn; Lou, Yingli; +3 more

Related Subjects

ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION
electricity price
energy efficiency measure
retrofit
modeling and simulation
demand response

Title: How Do Electricity Pricing Programs Impact the Selection of Energy Efficiency Measures? - A Case Study with U.S. Medium Office Buildings

Citation Formats

References (31)

Similar Records

Related Subjects