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Energy Efficiency in Saint Lucia. Cassidy DeMos, Lena Forman, Abby Kerin, Meryl Klein, Travis Reynolds, Alanna Toner. Overview. Project Goals Objectives Previous Work Hypotheses Methods Results PSA Recommendations. Project Goals.
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Energy Efficiency in Saint Lucia Cassidy DeMos, Lena Forman, Abby Kerin, Meryl Klein, Travis Reynolds, Alanna Toner
Overview • Project Goals • Objectives • Previous Work • Hypotheses • Methods • Results • PSA • Recommendations
Project Goals • To reduce energy consumption in St. Lucia through the promotion of energy efficient practices • Economic • Environmental
Objectives • Engage in consumer research • Survey • Promote energy-saver light bulbs through cost subsidization • Coupon Distribution • Promote energy-saver light bulbs through consumer education • Public Service Announcement (PSA)
Survey Background • 263 surveys gathered in 2006 • Price respondents were willing to pay was EC$5 • Barriers to purchasing energy-saver bulbs Reynolds, T., Murray, B., & Neil, H. (2006b). Energy Efficiency in Saint Lucia Final Report. CDAE 195 Final Report: University of Vermont.
Hypotheses H1: As education levels increase there will be a higher self-reported willingness to pay for energy-saver bulbs H2: As knowledge of energy efficiency increases, it will lead to a higher self-reported willingness to pay H3: As price of energy-saver bulbs is reduced through coupons the number of energy-saver bulbs purchased by Saint Lucian consumers will increase
Survey Methods • 4 January – 10 January • Castries, Rodney Bay, Soufriere, Vieux Fort • 530 consumer surveys • Personal interviews • Intercept surveys
H1 Results – Education vs Willingness-to-Pay • On average consumers only want to pay EC$11 regardless of education • Those with no education were only willing to pay an average of EC$7.50
H2 Results – Knowledge vs Willingness to Pay • People familiar with energy efficiency were on average willing to pay EC$1.50 more for energy-saver bulbs than those who were not familiar (P-value: 0.033) Increased income was not associated with increased willingness to pay
Coupon Distribution • URECA Grant • Distributed with surveys • Discounts of 10%, 25%, 50%, 75%, 90% off • Free bulbs
Coupon Distribution Results • Preliminary results • 23 redeemed • 8 – 90% off • 6 – 75% off • 7 – 50% off • 1 – 25% off • 1 – 10% off
Conclusions • Consumers are generally positive toward energy-saver bulbs • Consumers are generally not aware of energy efficient appliances • Education is positively related to a consumers willingness to pay more for energy-saver bulbs • Increased knowledge about energy efficiency leads to a willingness to pay more for energy-saver bulbs • Income does not effect consumer’s willingness to pay • Subsidies to decrease price • Increase education
Public Service Announcement (PSA) Lindsley Philbert Electrical Engineer Local consumer answering survey questions
“I purchased four energy-saver bulbs and I saw a big decrease in my electricity bill.” - Castries resident
95,000 tons of oil were imported at a cost of $25 million • 30% used to generate electricity¹ • Domestic consumption of electricity was 35.7% • 3.2% increase from 2004² ¹ Ministry of Physical Development, Environment, and Housing May 2003. Saint Lucia Energy Sector Policy and Strategy. ² Ministry of Finance International Financial Services and Economic Affairs 2006. 2005 Economic and Social Review.
Policy Recommendations • Increased Energy Week Publicity • School Programs • Reduce/eliminate duties and taxes on energy efficient products • Subsidize prices of energy efficient products
Future Recommendations • Educational workshops with Saint Lucian residents • Analysis of available energy efficient appliances and consumer’s knowledge of them
Philip McClauren Ministry of Consumer Affairs John Worrell St. Louis Ministry of Agriculture & Forestry Guillaume Simon Ministry of Consumer Affairs Fabian Jules Ministry of Agriculture & Forestry Lindsley Philbert Sir Arthur Lewis Community College Johnson’s Hardware (Castries & Rodney Bay) DuBoulay’s Building Supply (Soufriere) Builder’s Choice Limited (Vieux Fort) Project Partners