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The Role of Individual Preferences in Explaining the Energy Performance Gap

Salomé Bakaloglou and Dorothée Charlier (dorothee.charlier@univ-smb.fr)
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Dorothée Charlier: IREGE - Institut de Recherche en Gestion et en Economie - USMB [Université de Savoie] [Université de Chambéry] - Université Savoie Mont Blanc

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Abstract: The aim of this research is to understand the role of socioeconomic characteristics and individual preferences in explaining the energy performance gap in the residential sector. This gap reflects the difference between the theoretical energy consumption of homes assessed by engineering models and real energy consumption. Using the ratio of the two consumption amounts to measure the gap, we perform a quantile regression to tease out the effects of preferences on the entire distribution of the energy performance gap spectrum instead of focusing on the conditional average. As a result, this research provides an original contribution: depending on the direction of the gap, our findings suggest that significant drivers include individual preferences for comfort over economy, which explain up to 12% of the gap variability, and poverty. This context should serve as a reminder to public authorities regarding the issues of rebound effect and household welfare.

Keywords: Residential energy consumption; Household preferences; Energy performance gap; Quantile regression; Quantile treatment effect (search for similar items in EconPapers)
Date: 2021-12
New Economics Papers: this item is included in nep-ene
Note: View the original document on HAL open archive server: https://hal.science/hal-03894082
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Citations: View citations in EconPapers (3)

Published in Energy Economics, 2021, 104, pp.105611. ⟨10.1016/j.eneco.2021.105611⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03894082

DOI: 10.1016/j.eneco.2021.105611

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