The rebound effect of solar panel adoption: evidence from Dutch households

Aydın, Erdal and Brounen, Dirk and Ergün, Ahmet (2023) The rebound effect of solar panel adoption: evidence from Dutch households. Energy Economics, 120 . ISSN 0140-9883

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Households adopt solar panels for different reasons, but usually with a reduced electricity bill in mind. However, the access to solar power at near zero marginal costs may well induce rebound effects which shift households’ demand curve and distort the net effects of solar PV investments. By analyzing high frequency data on household electricity consumption and production, we document solar PV rebound effect of 7.7 percent, a result that is robust to different sample and model specifications. We also find that households shift their consumption to the time periods when solar electricity production is higher. The solar PV rebound effect shows heterogeneity across time and production level, with higher rebound effects during seasons characterized by higher solar irradiance.
Item Type: Article
Uncontrolled Keywords: Electricity consumption; Rebound effect; Renewable energy; Solar panels
Divisions: Faculty of Arts and Social Sciences
Depositing User: Erdal Aydın
Date Deposited: 05 Aug 2023 11:24
Last Modified: 05 Aug 2023 11:24

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