Managing the rebound effect

Extreme pessimists argue that energy efficiency policies are futile. If we save energy, and money, we will simply use the saved money to increase our demands for energy services and so increase our energy use. Our new report discusses how energy sufficiency and the rebound effect interact.

Rebound effects can constrain the energy savings from energy efficiency improvements. This report examine the nature of these effects, and ask the question: can greater use of sufficiency policies and actions help to tackle negative rebounds, or will it create rebounds itself?

The report explores the relationship between rebound effects and energy sufficiency, using both economics and social psychology and arguing that both these perspectives are needed to fully understand the effects. It looks at the evidence for the nature and size of rebound effects from improved energy efficiency and suggests ways in which energy sufficiency actions could reduce them. It also investigates how energy sufficiency actions can lead to rebound effects of their own and examines how careful policy design can be used to minimise or avoid increased energy use where this is not improving wellbeing.

Download from the library

eceee concept paper on energy efficiency and rebound