Household Preferences for Load Restrictions: Is There an Effect of Pro-Environmental Framing?

CERE Working Paper, 2019:8

29 Pages Posted: 19 Jun 2019

See all articles by Thomas Broberg

Thomas Broberg

affiliation not provided to SSRN

Aemiro Melkamu Daniel

University of Umea - Centre for Environmental and Resource Economics

Lars Persson

University of Umea - Centre for Environmental and Resource Economics

Date Written: June 12, 2019

Abstract

In this paper we investigate if a pro-environmental framing influences households' stated willingness to accept restrictions on their electricity use. We use a split-sample choice experiment (CE) and ask respondents to choose between their current electricity contract and hypothetical contracts featuring various load controls and a monetary compensation. Our results indicate that the pro-environmental framing have little impact on the respondents' choices. We observe a significant framing eeffect on choices and marginal willingness-to-accept (MWTA) for only a few contract attributes. The results further suggest that there is no significant framing effect among households that engage in different pro-environmental activities.

Keywords: Choice experiment, Demand response, Electricity contract, Load management, Pro-environmental framing, Willingness to accept

JEL Classification: C25, D83, Q51, Q54

Suggested Citation

Broberg, Thomas and Daniel, Aemiro Melkamu and Persson, Lars, Household Preferences for Load Restrictions: Is There an Effect of Pro-Environmental Framing? (June 12, 2019). CERE Working Paper, 2019:8. Available at SSRN: https://ssrn.com/abstract=3402964 or http://dx.doi.org/10.2139/ssrn.3402964

Thomas Broberg

affiliation not provided to SSRN

Aemiro Melkamu Daniel (Contact Author)

University of Umea - Centre for Environmental and Resource Economics ( email )

Umeå, S-901 87
Sweden

Lars Persson

University of Umea - Centre for Environmental and Resource Economics ( email )

Umeå, S-901 87
Sweden

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