Skip to main content
SpringerLink
Log in

A Scenario Based Analysis of Incentive Schemes to Promote the Social Acceptance of Smart Energy Home in China

  • Conference paper
  • First Online:
Proceedings of the 26th International Symposium on Advancement of Construction Management and Real Estate (CRIOCM 2021)

Part of the book series: Lecture Notes in Operations Research ((LNOR))

  • 1373 Accesses

Abstract

Smart home energy technology (SHET) is an important category of smart home, a crucial component of smart city. Currently, the adoption rate of SHET in China is still at low level and there is also a deficiency of incentive policies for SHET promotion. With the objective to bridge the policy gap, so as to promote the social acceptance of smart home energy technology by urban residents of China, thereby building a smart living environment with energy efficiency, comfort, and convenience, this study has proposed two incentive schemes, including Price Subsidy and Time of Use pricing plan. By way of contingent valuation method and ordinal regression, respondent’s willingness to pay for SHET under each incentive scheme has been estimated and the influential factors of WTP also have been investigated. After the comparison between the scenarios of incentive scheme and business as usual, this study revealed that all the two schemes were effective, and the scheme of price subsidy appeared to be the strongest. The different incentive schemes would be influenced by various factors significantly, including the demographic, property ownership and the behavioral related.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 109.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Shen, L., et al.: A holistic evaluation of smart city performance in the context of China. J. Clean. Prod. 200, 667–679 (2018)

    Article  Google Scholar 

  2. Balta-Ozkan, N., et al.: The development of smart homes market in the UK. Energy 60(Supplement C), 361–372 (2013)

    Google Scholar 

  3. Wilson, C., Hargreaves, T., Hauxwell-Baldwin, R.: Benefits and risks of smart home technologies. Energy Policy 103, 72–83 (2017)

    Article  Google Scholar 

  4. Zhou, B., et al.: Smart home energy management systems: concept, configurations, and scheduling strategies. Renew. Sustain. Energy Rev. 61, 30–40 (2016)

    Article  Google Scholar 

  5. Sanguinetti, A., Karlin, B., Ford, R.: Understanding the path to smart home adoption: segmenting and describing consumers across the innovation-decision process. Energy Res. Soc. Sci. 46, 274–283 (2018)

    Article  Google Scholar 

  6. Ford, R., et al.: Categories and functionality of smart home technology for energy management. Build. Environ. 123, 543–554 (2017)

    Article  Google Scholar 

  7. Karlin, B., et al.: Characterization and Potential of Home Energy Management (HEM) Technology. Pacific Gas and Electric, San Francisco (2015)

    Google Scholar 

  8. Balta-Ozkan, N., Boteler, B., Amerighi, O.: European smart home market development: public views on technical and economic aspects across the United Kingdom, Germany and Italy. Energy Res. Soc. Sci. 3, 65–77 (2014)

    Article  Google Scholar 

  9. Sar, H.: Hong Kong Smart City Blueprint, H.S. Innovation and Technology Bureau, Editor. Hong Kong (2017)

    Google Scholar 

  10. Mundaca, L., et al.: Evaluating energy efficiency policies with energy-economy models. Annu. Rev. Environ. Resour. 35(1), 305–344 (2010)

    Article  Google Scholar 

  11. Zeng, L., Yu, Y., Li, J.: China’s promoting energy-efficient products for the benefit of the people program in 2012: results and analysis of the consumer impact study. Appl. Energy 133, 22–32 (2014)

    Article  Google Scholar 

  12. Jiayang Li, L.Z., Tan Zheng, H.B.: Market analysis of China energy efficient products. In: ECEEE 2013 Summer Study on Energy Efficiency: Rethink, Renew, Restart. 2013. ECEEE, Belambra Les Criques, Toulon/Hyères (2013)

    Google Scholar 

  13. Gellings, C.W.: The concept of demand-side management for electric utilities. Proc. IEEE 73(10), 1468–1470 (1985)

    Article  Google Scholar 

  14. Torriti, J., Hassan, M.G., Leach, M.: Demand response experience in Europe: policies, programmes and implementation. Energy 35(4), 1575–1583 (2010)

    Article  Google Scholar 

  15. Wang, Y., Li, L.: Time-of-use electricity pricing for industrial customers: a survey of US utilities. Appl. Energy 149, 89–103 (2015)

    Article  Google Scholar 

  16. Yang, P., Tang, G., Nehorai, A.: A game-theoretic approach for optimal time-of-use electricity pricing. IEEE Trans. Power Syst. 28(2), 884–892 (2013)

    Article  Google Scholar 

  17. Gottwalt, S., et al.: Demand side management—a simulation of household behavior under variable prices. Energy Policy 39(12), 8163–8174 (2011)

    Article  Google Scholar 

  18. Herter, K., McAuliffe, P., Rosenfeld, A.: An exploratory analysis of California residential customer response to critical peak pricing of electricity. Energy 32(1), 25–34 (2007)

    Article  Google Scholar 

  19. Hesselink, L.X.W., Chappin, E.J.L.: Adoption of energy efficient technologies by households – barriers, policies and agent-based modelling studies. Renew. Sustain. Energy Rev. 99, 29–41 (2019)

    Article  Google Scholar 

  20. Balta-Ozkan, N., et al.: Social barriers to the adoption of smart homes. Energy Policy 63(Supplement C), 363–374 (2013)

    Google Scholar 

  21. Mert, W., Tritthart, W.: Get smart! consumer acceptance and restrictions of smart domestic appliances in sustainable energy systems (2012)

    Google Scholar 

  22. CSPG. 13th five-year smart grid development plan of China Southern Power Grid. 2017. https://www.csg.cn/xwzx/2017/gsyw/201708/t20170822_159482.html

  23. Luzar, E.J., Cosse, K.J.: Willingness to pay or intention to pay: the attitude-behavior relationship in contingent valuation. J. Socio-Econ. 27(3), 427–444 (1998)

    Article  Google Scholar 

  24. Ajzen, I.: The theory of planned behavior. Organ. Behav. Hum. Decis. Process. 50(2), 179–211 (1991)

    Article  Google Scholar 

  25. Ali, S., et al.: Determinants of consumer intentions to purchase energy-saving household products in Pakistan. Sustainability 11(5), 1462 (2019)

    Article  Google Scholar 

  26. Judge, M., Warren-Myers, G., Paladino, A.: Using the theory of planned behaviour to predict intentions to purchase sustainable housing. J. Clean. Prod. 215, 259–267 (2019)

    Article  Google Scholar 

  27. Tan, T.H.: Use of structural equation modeling to predict the intention to purchase green and sustainable homes in Malaysia. Asian Soc. Sci. 9(10), 181 (2013)

    Article  Google Scholar 

  28. Taufique, K.M.R., Vaithianathan, S.: A fresh look at understanding Green consumer behavior among young urban Indian consumers through the lens of Theory of Planned Behavior. J. Clean. Prod. 183, 46–55 (2018)

    Article  Google Scholar 

  29. Ji, W., Chan, E.H.W.: Between users, functions, and evaluations: exploring the social acceptance of smart energy homes in China. Energy Res. Soc. Sci. 69, 101637 (2020)

    Article  Google Scholar 

  30. Zhao, L., Yang, Z., Lee, W.: The impact of time-of-use (TOU) rate structure on consumption patterns of the residential customers. IEEE Trans. Ind. Appl. 53(6), 5130–5138 (2017)

    Article  Google Scholar 

  31. Washizu, A., et al.: Willingness to pay for home energy management systems: a survey in New York and Tokyo. Sustainability 11(17), 4790 (2019)

    Google Scholar 

  32. Hanemann, W.M.: Valuing the environment through contingent valuation. J. Econ. Perspect. 8(4), 19–43 (1994)

    Article  Google Scholar 

  33. Yang, W., Lam, P.T.I.: Non-market valuation of consumer benefits towards the assessment of energy efficiency gap. Energy Build. 184, 264–274 (2019)

    Article  Google Scholar 

  34. Gerpott, T.J., Paukert, M.: Determinants of willingness to pay for smart meters: an empirical analysis of household customers in Germany. Energy Policy 61, 483–495 (2013)

    Article  Google Scholar 

  35. Rihar, M., Hrovatin, N., Zoric, J.: Household valuation of smart-home functionalities in Slovenia. Utilit. Policy 33, 42–53 (2015)

    Article  Google Scholar 

  36. Bateman, I.J., et al.: Economic Valuation with Stated Preference Techniques: A Manual. xx + 458 pp. Edward Elgar Publishing Ltd., Cheltenham (2002)

    Google Scholar 

  37. Shields, T., Zeng, K.: The reverse environmental gender gap in China: evidence from “The China Survey.” Soc. Sci. Q. 93(1), 1–20 (2012)

    Article  Google Scholar 

  38. Mills, B., Schleich, J.: Residential energy-efficient technology adoption, energy conservation, knowledge, and attitudes: an analysis of European countries. Energy Policy 49, 616–628 (2012)

    Article  Google Scholar 

  39. Kalish, S., Lilien, G.L.: Optimal price subsidy policy for accelerating the diffusion of innovation. Mark. Sci. 2(4), 407–420 (1983)

    Article  Google Scholar 

Download references

Acknowledgements

The paper is supported by Research Institute for Sustainable Urban Development (RISUD) and Department of Building and Real Estate of the Hong Kong Polytechnic University, Hong Kong SAR, China and also funded by ZhuJi Project, Faculty of Architecture, Civil And Transportation Engineering, Beijing University of Technology, China.

Author information

Authors and Affiliations

  1. Faculty of Architecture, Civil And Transportation Engineering, Beijing University of Technology, Beijing, China

    Weiyu Ji

  2. The Department of Building and Real Estate, The Hong Kong Polytechnic University, Hong Kong, China

    Edwin H. W. Chan

Authors
  1. Weiyu Ji
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Edwin H. W. Chan
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Weiyu Ji .

Editor information

Editors and Affiliations

  1. Department of Construction Management, Tsinghua University, Beijing, China

    Hongling Guo

  2. Department of Construction Management, Tsinghua University, Beijing, China

    Dongping Fang

  3. Department of Real Estate and Construction, University of Hong Kong, Hongkong, China

    Weisheng Lu

  4. Department of Construction Management, Zhejiang University of Finance and Economics, Hangzhou, China

    Yi Peng

Rights and permissions

Reprints and permissions

Copyright information

© 2022 The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd.

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Ji, W., Chan, E.H.W. (2022). A Scenario Based Analysis of Incentive Schemes to Promote the Social Acceptance of Smart Energy Home in China. In: Guo, H., Fang, D., Lu, W., Peng, Y. (eds) Proceedings of the 26th International Symposium on Advancement of Construction Management and Real Estate. CRIOCM 2021. Lecture Notes in Operations Research. Springer, Singapore. https://doi.org/10.1007/978-981-19-5256-2_45

Download citation

Publish with us

Policies and ethics

Search

Navigation