1. Role of Greener Default Options on Consumer Preferences for Renewable Energy Procurement
- Author
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Agarwal, Ankit and Canfield, Casey
- Subjects
Operations Research, Systems Engineering and Industrial Engineering ,Engineering ,Industrial Technology ,Social and Behavioral Sciences ,Science and Technology Studies - Abstract
Electricity from renewable sources can be procured at the household level in a variety of ways. In addition to the costs and benefits, options may vary based on the effort needed for and duration of procurement. For example, renewable electricity provided by a utility company (i.e., green electricity) can be procured by a phone-call, online form, or mail-in application. In some cases, residents may be automatically enrolled in a greener electricity supply without any effort at all if there is a Community Choice Aggregator (CCA). However, getting rooftop solar PV installed would require an administrative as well as technical process, which needs higher consumer engagement. These differences may influence household choices when comparing procurement options. Therefore, this study focuses on the following research questions: - 1) How does procurement engagement and duration influence perceived utility and willingness to pay for renewable electricity procurement? 2) How does a greener default option (e.g., the CCA model) influence the perceived utility of the default option? 3) What kinds of consumers want more renewable energy than the default option? How does this change when the default option is greener?
- Published
- 2022
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