Electricity consumption should there be a limit?

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1 Electricity consumption should there be a limit? Implications of people s attitudes for the development of sustainable pricing systems Behave Conference Hege Westskog and Tanja Winther

2 Background for the study Project on information as a policy instrument for energy savings Focus groups and in-depth interviews

3 The Norwegian Context Hydro Power Before 1991: - Two-price tariff - Wattmeter - Limit power outtake After 1991: - Energy Act - Deregulated - Free to choose supplier

4 The Norwegian context right to access the commons The rivers Outdoor Recreation Act (1957) The public has the right to access (also camp) and passage Even private property

5 Electricity: Two different attitudes/logics A common resource Ours (right to access) Justice Implications Export Pricing system A market good One price Externalities

6 Electricity as a market good Tommy: As long as I am paying for it, it is OK. Lars Yes, if it affects the environment, you just increase the price, then you would not have the ability to pay for it, and it will be regulated that way.

7 Electricity as a common resource Jon: «I am not a communist, but when it comes to electricity, I am a bit like that. It is a national thing in my opinion. It is ours. It is our rivers they have messed with. It is us that have dammed it up». Frode: To the extent that we can help others to save electricity, help other people in the world, then we have an obligation to do it as human beings and as a society in the same way as we save and use other resources in a sensible way. It is a resource that can be used somewhere else instead of just wasting it. If we can do that, we can use electricity in a sensible way.

8 Logics theoretical background Sen, Sagoff and Nyborg Fields of rationality What factors make up a given logic for action?

9 The levels

10 The importance of coherence Society Group Individual

11 Importance of coherencejustice Sissel: «It makes me irritated to see those who are building 500 m 2 cabins, and then they keep the heat on everywhere. I am supposed to save electricity, while they, that is what I think. I find that almost s reprehensible. If we are all supposed to save, everyone has to take part.»

12 Importance of coherence - export Kåre: «This gives me a bad taste in the mouth because they are draining our energy reservoirs and selling it to Europe, which then makes electricity prices in Norway go up. This should not be allowed, it should have been regulated how much one is allowed to reduce the water level in the reservoirs. t2

13 Slide 12 t2 Dette punktet om eksport: har litt problemer med å se at den enkelt passer inn under de som ser på strøm som et norsk fellesgode. På side 7 gjengir du et sitat (frode) som mener man bør utveksle og dele godene, dvs han motsier det Kåre sier på denne siden. Jeg tror det hadde vært enklest å behandle eksport til slutt: mange (både blant markeds og rettighetsfolkene) viser skepsis til at kraften eksporteres og at vi må importere når det er dyrt. Det betyr i prinsipp at heller ikke markedsfolkene aksepterer at markedet går utover Norges grenser, som kan være et poeng i seg selv. tanjaw;

14 Sell where the price is highest Sell when have fullfilled the basic needs of Norwegians at a reasonable price. EL: NORWEGIAN MARKET GOOD EL: NORWEGIAN, COMMON PROPERTY/ RIGHT, REQUIRES LIMITED USE Logic: Market Conflict Protest Logic: Common

15 Policy implications understanding people s logics for action Reintroduce a two-price system for electricity? Energy policy the opportunities: Communication of policy New policies Energy policy the fallacies: Introduce policies that do not work The role model one policy for all

16 Electricity as a common resource- the pricing system Gro: «Then we have to do it in such a way that if you use over a certain amount, the cost will double. We should have a norm for how much it costs to heat a house, how much electricity we have to accept at a regular price, and those who want luxury have to pay more.»

17 Concluding remarks Different logics different policy views Particularly interesting: Price as a signal of justice not only efficiency.

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