applying behavioural insights to energy and the environment in
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© Behavioural Insights ltd
Applying Behavioural Insights to energy and the environment in Government
Dr Rory Gallagher, Managing Director, BIT Australia Frontiers of Behavioural Economics , 25th June 2015
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Norweigan study focused on highlighting lifetime costs of tumble dryers and fridge freezers
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John Lewis Trial – Change in KWh per year
0.41
-0.38
-6.64
-0.32
Tumble dryer condenser
Tumble dryer vented
Washer dryer* Washing machine
* Significant at 10%, p≤0.1
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Reducing Departmental Carbon Emissions; performance league tables and real time displays
0
5
10
15
20
25
% Reduction in Carbon Emissions
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Exceeded the 10% target– driven largely by changes to ‘building hardware’?
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Newcastle heating controls trial in social housing
3. In-home advice 2. Leaflet 1. Control
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Consumers who received a leaflet or face to face advice did not use significantly less energy
4.6 4.6 4.7
Control Leaflet Advice Ene
rgy
use
(Kw
H p
er H
eatin
g D
egre
e D
ay)
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Quick final thoughts
Similar principles apply to behaviour change in energy/environment and other policy domains:
Easy: simplification, defaults, remove friction
Attractive: salience, personalisation, incentives
Social: norms, networks, commitments
Timely: key moments, prompts, habits
And similar:
• Challenges – eg. implementation = details matter, ‘co-production’
• Questions – eg. sustainability, segmentation, effectiveness vs regulatory tools
• Opportunities – eg. tech, personalised data/feedback, innovative finance
But some unique challenges? e.g. Gvt levers/access to data, public engagement
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