Lowering Cost Barriers to Adopting Energy Efficient Technologies

The E&E Lab has co-led the E2e Evidence for Action on Energy Efficiency project, a joint initiative of recognized leaders in energy research, which tackles one of the most perplexing energy puzzles of our time – the efficiency gap.

As part of this project, the E&E Lab has partnered with the New York State Energy Research and Development Authority to assess the role of cost barriers on adoption of energy-efficient technology. Air Source Heat Pumps are energy-efficient heating, ventilation and air conditioning systems (HVAC) that can cool and heat homes or businesses with up to four times the efficiency of conventional HVACs. When paired with a renewable energy-powered grid, they produce no greenhouse gas emissions. Despite the technology’s performance and potential to generate savings for customers, take-up has been slow. The Lab developed a randomized control trial to measure consumer price sensitivity to heat pump adoption. The project sheds light on how effective incentive programs can be in accelerating the adoption of energy-efficient technologies and help inform the design of decarbonization policy.