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Estimating response to price signals in residential electricity consumption
Uppsala University, Disciplinary Domain of Science and Technology, Earth Sciences, Department of Earth Sciences.
2013 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Based on a previous empirical study of the effect of a residential demand response program in Sala, Sweden, this project  investigated the economic consequences of consumer behaviour change after a demand-based time of use distribution tariff was employed. The economic consequences of consumers were proven to be disadvantageous in terms of unit electricity price. Consumers could achieve more electricity bill saving through stabilising their electricity consumption during peak hours, and this way bring least compromising of their comfort level.

In order to estimate the price elasticity of the studies demand response program, a new method of estimation price elasticity was proposed. With this method, the intensity of demand response of the demand response program was estimated in terms of price elasticity. Regression analysis was also applied to find out the price incentives of consumer behaviour change. And the results indicated that the rise in electricity supply charge hardly contributes to load reduction, while the demand-based tariff constituted an advantageous solution on load demand management. However stronger demand response still requires better communication with customers and more incentives other than the rise in distribution tariff.

Place, publisher, year, edition, pages
2013. , 26 p.
Examensarbete vid Institutionen för geovetenskaper, ISSN 1650-6553 ; 174
Keyword [en]
economic consequence, consumer behaviour change, residential demand response, demand-based tariff, price elasticity
National Category
Natural Sciences
URN: urn:nbn:se:uu:diva-212935OAI: oai:DiVA.org:uu-212935DiVA: diva2:679784
Subject / course
Sustainable development
Educational program
Master Programme in Sustainable Development
2013-05-29, Norrland 1, Department of Earth Science, Villavagen 16 75236 Uppsala, Uppsala, 10:30 (English)
Available from: 2014-01-15 Created: 2013-12-16 Last updated: 2014-01-15Bibliographically approved

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Huang, Yizhang
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