BEIS Call for Evidence on Facilitating Energy Efficiency in the Electricity System
New technology is creating opportunities for improved and increased energy efficiency in consumers’ homes. For example, smart meters create significant potential for far more detailed advice to be provided based on the consumer’s detailed usage data.
To encourage behaviour change, consumers must have access to the right information in order to be willing and able to act. Schemes aimed at consumers must reflect consumer behaviour.
To ensure that electricity networks fairly and appropriately consider energy efficiency within their cost and benefit analyses with respect to network reinforcement options, it may be necessary to amend the price control mechanisms to take energy efficiency into account. A number of considerations need to be taken into account in such a move. To resolve outstanding, we recommend further real-world trials, including cost/benefit assessments, be undertaken to better calculate the rewards of energy efficiency versus network reinforcement or other mechanisms. It would also be useful to better understand the potential role of networks or other parties in delivering energy efficiency improvements.