EMPIRICAL EVIDENCE TO SUPPORT ENERGY EFFICIENCY POLICIES
Implicit Discount Rates (IDRs) are the at the core of both BRISKEE and CHEETAH.
The BRISKEE project – Behavourial Response to Investment Risk in Energy Efficiency – was a Horizon 2020-funded major study that ran between 2014 and 2017. The project aimed at deepening our understanding of the behaviour of household decision-makers when investing in energy efficiency technologies and then applied these insights when modelling the energy demand and macro-economic consequences of this investment behaviour. Using empirical behavioural results from a very large multi-country representative survey (15 000 households in eight EU countries), the study found that the modelled EU energy demand by 2030 would be significantly lower than previously believed. The survey results also give guidance to policy makers how they can develop more effective policy interventions.
CHEETAH – Changing Energy Efficiency Technology Adioption in Households – is a related Horizpon 2020 proejct which started in 2016 and will end in November 2019. This project has a stronger focus on policy design. Relying on representative choice experiments in eight EU countries, the micro-level analysis investigates individuals’ responses to policies such as energy labels or subsidies, thereby allowing these responses to vary by individual characteristics and attitudes. At the meso- and macro level, CHEETHA explores the effects of micro-level decision-making and of energy-efficiency policies on EU residential energy demand and on macro-economic variables until 2030.
The two projects very strongly complement each other together they will help formulate more effective EU and national policies in the residential sector.