Tariff Menus to Avoid Rebound Peaks: Results from a Discrete Choice Experiment with Swiss Customers

Patrick Ludwig and Christian Winzer ()
Additional contact information
Patrick Ludwig: Center for Energy and the Environment (CEE), School of Management and Law, Zurich University of Applied Sciences, 8401 Winterthur, Switzerland
Christian Winzer: Center for Energy and the Environment (CEE), School of Management and Law, Zurich University of Applied Sciences, 8401 Winterthur, Switzerland

Energies, 2022, vol. 15, issue 17, 1-21

Abstract: While automation helps to increase load-shifting, the combination of automation with time-of-use (TOU) or critical-peak prices (CPP) may lead to rebound peaks at the beginning of low-tariff periods which may exceed the original peak. Using a discrete choice experiment with a representative sample of 696 Swiss consumers, we find that a tariff menu including (i) a flat price with direct load control (DLC) and (ii) a time-of-use tariff without direct load control could avoid this problem. The majority (57%) of mostly younger customers, which could be interested in automation would likely sign up for a DLC with flat prices, while the remaining customers would either chose a TOU tariff with manual load control (28%) or avoid any form of load-shifting incentives (15%).

Keywords: demand response; demand side management; choice experiment; direct load control; dynamic electricity tariff; time-of-use tariff; electricity; willingness to accept; rebound peak (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/1996-1073/15/17/6354/pdf (application/pdf)
https://www.mdpi.com/1996-1073/15/17/6354/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jeners:v:15:y:2022:i:17:p:6354-:d:902885

Access Statistics for this article

Energies is currently edited by Ms. Agatha Cao

More articles in Energies from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().