Exploring the direct rebound effects for residential electricity demand in urban environments: evidence from Nice

Marco Baudino (), Jackie Krafft and Francesco Quatraro
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Marco Baudino: Université Côte d’Azur

The Annals of Regional Science, 2024, vol. 72, issue 3, No 5, 757-795

Abstract: Abstract Despite the increasing relevance of urban energy programs targeting energy savings in the residential sector, studies exploring rebounds in domestic electricity demand at the urban scale remain limited. The latter occur when increased housing energy efficiency translating into a decrease in the energy price does not lead to a decrease in residential demand for energy usage. This paper provides the first attempt to derive magnitudes of the direct rebound effects for residential electricity demand utilizing district-level data from the 146 districts of the French city of Nice for the year 2016. For the analysis, we employ both non-spatial and spatial specifications, by which we control simultaneously for both spatial dependence and spatial heterogeneity. From our findings, higher-energy efficiency districts do not register necessarily lower magnitudes of rebound effects compared to lower-energy efficiency districts. On the contrary, the districts of Nice endowed with the most efficient energy-saving technologies denote among the highest rebound effects (around 55%) for energy efficiency. At the same time, the relationship between the rebound effect and household income remains blurry.

JEL-codes: Q43 R15 R22 (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s00168-023-01219-0

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