INCREASING BLOCK RATE ELECTRICITY PRICING AND PROPENSITY TO PURCHASE ELECTRIC APPLIANCES: EVIDENCE FROM A NATURAL EXPERIMENT

INCREASING BLOCK RATE ELECTRICITY PRICING AND PROPENSITY TO PURCHASE ELECTRIC APPLIANCES: EVIDENCE FROM A NATURAL EXPERIMENT

Autor: Salim Turdaliev BSc M.A.,
Typ: IES Working Papers
Rok: 2021
Číslo: 27
ISSN / ISBN:  
Publikováno v: IES Working Papers 27/2021
Místo vydání: Prague
Klíčová slova: appliances, increasing-block-rate tariff, electricity prices, energy efficiency gap
JEL kódy: Q3, Q4, D1, D9
Citace: Turdaliev S. (2021): "Increasing Block Rate Electricity Pricing and Propensity to Purchase Electric Appliances: Evidence from a Natural Experiment" IES Working Papers 27/2021. IES FSV. Charles University.
Granty: GAUK 454120 Efekt nelineárního tarifu na poptávku po energiích a investic do předmětů dlouhodobé spotřeby v tranzitivních ekonomikách: Odhady využívající mikro data a přirozený experiment
Abstrakt: This paper provides empirical evidence on the relationship between increasing-block-rate (IBR) pricing of electricity and the propensity of households to buy major electric appliances. I use variation from a natural experiment in Russia that introduced IBR pricing for residential electricity in a number of experimental regions in 2013. The study employs household-level panel data which records, among others, whether the household has purchased any major electric appliances during the last 3 months. Using difference-in-differences specification I show that in the regions with IBR pricing the purchase of major electric appliances has increased by more than 25 percent (2 percentage points). The findings suggest that price-based energy policies may be an effective tool in shaping the behavior of households.
Ke stažení: wp_2021_27_turdaliev.pdf