we power: leveraging choice for a new energy future

8/14/2019 WEPOWER: Leveragingchoiceforanewenergyfuture

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WEPOWER:

Leveragingchoiceforanewenergyfuture

DanielEtra&DawnDanby

MGT556 RenewableEnergy

BainbridgeGraduateInstitute

15June2007

Please Note: this paper is a synthesis of research, which has been aggregated online at

http://consumptionfeedback.wordpress.com. Thewebsiteprovidesessentiallinks,blogposts,and

afullannotatedbibliographytoenabletoreadertobetteraccessoursources.


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We Power: Leveraging choice for a new energy future / Etra + Danby 2

CONTENTSTheFieldofView

Efficiency+Conservation

I.Demand:

Human

Behavior

and

Energy

Awareness

BehaviorChangeTheory

ToolstoIncreaseEnergyAwareness

DirectFeedback IndirectFeedback Inadvertentfeedback

Utility

controlled

feedback

SummaryofToolsOpportunitiesforGreaterLeverage

II.Supply: DecentralizationandMicrogeneration

TheCaseforDecentralization

Motivations

ToolsandMethods

HackingtheBuildEnvironment Services FortheCommunityandCollective

GoingForward

References


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TheFieldofViewWhenwe thinkaboutrenewableenergy, imagesofgrandwind turbinesand fieldsof

solar panels come first to mind. Next to mind come biofuels made from algae,

hydrogen generators and hybrid cars, livingbuildings and all variety of new, sexytechnologies and toys. Inourprogressoriented cultures,we tend tobe increasingly

enthralledwithsolutionsthatallowustodomoreandmorewithlessandlessimpact.

Andyetwhilethesestrategiesandtechnologiesareappealingandareinfactacrucial

componentoftheenergymixforthefuturethrivabilityofoureconomies,societies,and

ecosystems they sometimes seem akin to developing a better sump pump for a

basementatsealevelastheoceansbegintorise.

Whetherforreasonsofclimatechange,pollution,securityrisksorhouseholdexpenses,

there isa litanyofreasons for fundamentallychangingourrelationship tohousehold

energy. Electricitygenerationissuchacomplexissuethatitcanoftenbeachallengefor

citizenstoengageinchange,particularlygivenhowpoliticized,andregionspecific,the

energysystemis.Outsideofworkbeingdoneinthepoliticalandcorporaterealms,the

individualcitizenhashistoricallyhadlimitedaccesstoenergygenerationalternatives,

aswellasalimitedabilitytounderstandwhereourimpactsare. Itmayappearthatthe

mostpowerfulleveragepointsformakingchangeintheenergysectortakeplaceinside

governmentsandcompanies,andyetcitizensbehaviordrivesdemand. Understanding

customerpsychologyis,inmanyways,justasimportantasinventingnewtechnologies,

sincetechnologieshavenovalueunlesstheycanbeeasilydeployedandunderstoodby

thepeopletheyserve.

Mostenergystrategiesfocusonutilityscale technologiessupplysidetechnologies

that provide ever more capacity to meet everincreasing demand. Our current

infrastructure is the result of complex sociohistorical developments over the last

centuries. But large, centralpowerplants and incentives forutilities to sell asmuch

productaspossiblearenot theonlywaysoforganizingourenergy infrastructureor

economy. There areother viable options. And they aremore thanviable; they are

profitableandempoweringforthecommunitiesandindividualsthatdependonthem.

Inorder

to

actualize

these

options,

however,

we

need

to

change

both

as

individuals

and

associeties.

Thispaperlooksatthewaysthatcitizenscantakecontroloftheuseandgenerationof

householdenergy,aswebelievethatboththesupplyanddemandofelectricityneeds

tobeevaluatedandunderstood. Weaddresstwoprinciplecomponentsoftherobust

energymosaicneeded toturnthetide:conservation (i.e.behaviorchange)andmicro


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generation(distributedpowersystems).Wehopetoprovideaglimpseintosomenew

waysofthinkingaboutenergysolutionsthatputpower,literallyandfiguratively,into

the hands of the people who consume it. We ground our discussions in practical

businessapplicationsandexamplesofthemanysuccessescommunitiesandcountries

havehaddevelopingthesepracticesoverthelastseveraldecades.


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Efficiency+ConservationWe track our energy use by the balance on our energy meters. Meters can run

forwards,aswedrawpowerdown from thegrid;and (for someofus) theycan run

backward,aswe replenish it. Conservation slows thedraw,efficienciesdecrease theneed,andenergygenerationrefillsthecup. Firstthingsfirst:beforeinvestinginthose

PVpanels,everythingshouldbedone to improveabuildingsefficiency, itselectrical

load,andthebehaviorofitsinhabitants. Anytransitiontoanimprovedenergyfuture

hastofirstoptimizetheexistingload,sincethisisalwaysthemosteffective,andleast

expensivewaytolowernetenergyuse. Aroofcoveredinphotovoltaicsisafarmore

significant capital investment than a home energy audit, a replacement of key

appliances,andchangesinbehavior. Assuch,thesearenonnegotiablefirststeps.

For decades, energy conservation and energy efficiency have been the focus of

governments,energygroups,andevenenergycompanies. Despitehundredsofpapers

from a range of disciplines economics, engineering, environmental protection, and

academiatonameafewcontinuousconservationimprovementsateverylevelofour

societies remain elusive. Certainly, there have been vast increases in the energy

efficiencyofappliancesthroughgovernmentprogramssuchasEnergyStar. Therehave

alsobeenlargesuccessesinthereductionofenergyleakagesandmoreefficientenergy

useinthebuiltenvironmentwiththeburgeoninggreenbuildingmovement,bolstered

by LEED certification frameworks. But energy efficiency and conservation are two

differentalbeitcloselyrelatedissues.

Energyefficiencytypicallydoesnotrequireanindividualtochangehisorherbehavior

in any lasting ormeaningfulway. It often requires the decisionby a consumer to

purchaseanewtechnologyatamarginallyhighershorttermpricetag. Forexample,

buyingamoreefficienthomerefrigeratoror installingdoubleglazedwindowsallows

forthedeliveryofthesameserviceswithlessresourceuse. Otherthaninvestingina

newpurchase,nolongtermbehaviorchange isrequired. Theeconomic,engineering,

andpoliticalcase forenergyefficiencyhasbeenexploredextensively,and isperhaps

mostcomprehensivelyarguedanddemonstratedbyAmoryLovinsinaseriesofpapers

overthe

last

decade

from

the

Rocky

Mountain

Institute

(Lovins,

1990,

1995,

2005).

Drawingfrommanyempiricalcases,Lovinsdemonstrateshowtunnelingthroughthe

efficiency cost barrier to overcome diminishing marginal returns on efficiency

measuresisachievedbyoptimizingsystemwideperformanceinadditiontoindividual

componentperformance(Lovins,2005).


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Whilethepotentialgainsthroughwidespreadefficiencyareimpressive,itdoesbegthe

question aboutwhether thesemeasures, even if adopted throughout our economies,

have thepotential tooffset theprojected increases inconsumption. Or,asstated ina

2002dissertationonhowtopresentinformationtoconsumerstoreduceconsumption,

Inaffluent

countries,

efficiency

gains

in

one

area

often

stimulate

demand

for

the

product

orserviceitselfbyrendering itlessexpensive,ortheyleadtothedevelopmentofnew

productsandareasofconsumerdemand.(Goldblatt,2002.p.31)

This isknownas thereboundeffect. Inaddition to thismacrolevel trend, there is

also evidence that relatively few individual consumers think in terms of systems.

Behavior in one area often counteractsbehaviors in another, albeit unintentionally.

Consider,forexample,theindividualwhopurchasesanew,superefficientrefrigerator

andputstheoldoneinthegaragetokeepbeercold. Overall,trendstendtopointto

ever increasingenergyconsumption. Take, forexample,aggregatedata from theUS

Energy

Information

Administration

showing

energy

consumption

by

end

use

for

the

period19502005asshownhere:

We

believe

that,

ultimately,

only

a

change

in

behavior,

values

and

culture

will

help

us

get to the root of our current social and ecological dilemmas. This changewillbe

facilitatedbytechnologiesforefficiencyandproduction,policies,andeconomics. But

tofocusonlyontechnologywillperpetuatetheclassicsystemsarchetypeoffixesthat

fail,whichisexactlywherewefindourselvestoday.


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Conservationiscloselyrelatedtoefficiency,andthetwocomplementoneanother. For

example, installing more energy efficient lightbulbs or a low flow showerhead are

forms of conservation. For the purposes of this discussion, however, the term

conservation is used to imply a change in individual or collective patterns of behavior

associatedwithareductioninresourceconsumption.

Weproposethatbehaviorchangecanbesexyandprofitable. Conservationmakesgood

economicsense. Successfullyimplementingitonalargescalewillrequiresophisticated

new technologies that help develop positive feedback loops. By empowering

individuals tomake informedmarket andvaluesbaseddecisionsabout resourceuse

andallocation,conservationhasthepotentialtobeasteppingastonetoanentirelynew

energyparadigm.


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I.Demand:HumanBehaviorandEnergyAwareness

BehaviorChangeTheory

Thepsychologyofbehaviorchangehasalonghistoryanditiswellbeyondthescopeofthispapertocoverindepthhowwecanfacilitatelargescalesocialchangebytapping

into individualbehavior. However, therearebitsandpiecesof thisknowledgebase

thatprovideinsightintoleveragepointsforchangeregardingenergyuse.

Specifically,wefindthattheenergybehaviorchangemodelpresentedina2005paper

toUKs SustainableConsumptionRoundtable is ausefulway of thinking about the

relationshipsbetweentheseissues:

Changing energyrelatedbehavior and energy awareness is particularly challenging

becauseofthenatureofenergyasaresource. Itishardtoconceptualizeenergyandsee

itasaproductaroundwhichbehavior can change. Afterall,onedoesnot consume

energybutinsteadconsumestheservicesprovidedbyenergyhotwater,light,emailandrefrigeration,tonameafew.

Stimulating electricity conservation is a difficult task, because electricity differs in

significantwaysfromotherconsumergoods.Itisabstract,invisibleanduntouchable.It

is not consumed directly but indirectly via various energy services. Electricity

consumptionisthereforenotperceivedasacoherentfieldofaction.Rather,itinvolves

activitiesasdiverseaslisteningtomusic,cookingmeals,workingwiththecomputer,or


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makingaphonecall.Moreover,electricityconservationisnotlimitedtotheactofusing

electricitybut startswith choosingandpurchasing energyusingappliances likeaTV

set,washingmachine,computerequipmentorelectricheater.Ineachoftheseactivities,

conservation means a different set ofbehavioralmodifications. It is difficult for the

consumertolinkallthesevariousactivitiesanddevelopacoherent,comprehensibleand

concisecognitiveframeofwhatelectricityconservationcouldmeanineverydaylife.()Also,electricitysqualitiesincludingitsecologicalfeaturescannotbedirectlyperceived,

makingithardfortheconsumertodevelopanemotionalinvolvement.Itishardlyaproducttobe

proudof,toshowaround,ortoworryabout.(Fischer,2007.p.1.emphasisadded)

Changingbehavior toward energy requires changingbehavior toward an array of

productsusedincompletelydifferentwaysfordifferentpurposes.

Oneof the first steps for changingenergy relatedbehavior is therefore tohelpmake

individualsawareofenergyinthefirstplace. Asitturnsout,thistooiseasiersaidthan

done.Those

who

best

understand

energy

are

frequently

at

aloss

as

to

how

to

explain

it

inwaysthatmakesensetothosewhouseit. InherpaperEnergyKnowledges,Elizabeth

Shovesetsouttoexploresomeofthesecomplicationswithhowpeopleexperienceand

understand energy, with implications for labeling, metering, billing and education

aimed at fostering energy reduction (1997). After presenting several instances of

differentways that even energy experts think about energy, sheoffers the following

insight:

In developing a subtlybut significantly different perspective Ive suggested thatwe

shouldat leastconsider the idea thatpeoplesactionsdonot reflectdifferent typesof

knowledgeaboutenergybutinsteadreflectalternativeconceptualizationsofwhatenergy

is. Accepting this notion, we then have to see languages of measurement not as

alternativewaysofmirroringwhatsreallygoingonbutasdevicesforconstructingand

creatingknowledgewithintheboundsofaspecificparadigm.Cast in these terms, the

experiences of solar energy researchers and insulation installers relate to two quite

different energyworlds. It is not that each sees different aspects of the same thing.

Instead, eachdeals in adifferentwaywithwhat are, for allpracticalpurposes,quite

differentissues.(p.8)

Understanding the fact that simply presenting energy informationmay not lead to

behavior changeoreven comprehension is critical forany successfulprogramor

technologydesigned

to

catalyze

different

consumption

patterns.

Given

this,

what

might be effective strategies or tools for helping individual consumers understand

energyuseandmakemeaningfulbehaviorchangestoreducetheirenergyfootprint? In

thefollowingsection,wesummarizesomeoftheresearchandcasestudiestodateand

provide an overview of the ways different utilities and companies have begun to

answerthisquestion.


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ToolstoIncreaseEnergyAwareness

Over the last several years, at least three literature reviews and papers havebeen

written that summarize the successes and failures of numerous studies aimed at

providingfeedbacktoconsumersforthepurposesofenergyconservation(Darby,2006;

Fisher, 2007; Roberts, 2003). Rather than repeat the valuable work doneby theseauthors,wewill simply present some of the findings forwhat appears tomake an

effectivefeedbacksystem. Inaddition,wewillusethegeneralcategoriesoffeedback

types topoint tosomemorerecentproductson themarketweare familiarwith that

posittoenabletheseideastobecomewidespreadreality.

Drawingononeofherearlierarticles,Darby(2006)presentsausefulsetofcategories

forthinkingaboutfeedbackandspecifictechnologies. Theseareusedastheorganizing

principleforthefollowingsections.

DirectFeedback

Direct feedback systems involve a slew of activities that are aimed at teaching

customersbyhavingthemunderstandtheirownconsumptionatpointofuse,mostly

bylookingandlearning.

For example, teaching a homeowner how to read the existingmeter to see current

consumption isonesuchdirect feedbacktechnique. Overall,this isnotveryeffective

because meters are not generally designed for consumer use or understanding (as

anyonewhohastriedcanwellattest).

There are several products on

the market that translate

information from the existing

meter intomore relevantdata.

One suchdevice,calledPower

Cost Monitor, consists of two

primaryparts:anopticalsensor

that is installed on the actual

powermeter

and

awireless

display thatshowsauserreal

time data. This allows a

consumer to carry the device

through the building to


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monitorchanges inenergyusewhen specificdevicesareonoroff. Thisdevice,and

othersinthesamevein,consistofadirectdisplayofenergyandcostinformationona

portableunit.

Among the other features that several products and systems offer is the capacity to

connect to a personal computer to storedata and ambient display. Direct feedback

ranges fromsinglemeasurementdevicesaffixed to individualappliances tobuilding

wide monitoring systems including security, water, and heating systems. The

effectivenessofthesesystemsforreducingenergyconsumptionisintherangeof515%.

IndirectFeedback

Indirect feedback typically consists of information sent to customersby a utility to

provide information about past energy use. Usually includedwith amonthlybill,

customers are meant to engage with this informationby learning via reading and

reflecting.

Notsurprisingly,theeffectivenessofindirectfeedbackforstimulatingbehaviorchange

variesquiteabitdependingonthewaytheinformationispresented. Inalignmentwith

theinsightsdiscussedearlierbyShove,peopleunderstandenergydifferentlyandhave

differentlevelsofcomprehensionforevenbasicchartsandgraphics. Inanevaluation

ofdifferentbillingpresentations,Egan(1999)concludes,

Insummary,consumersmayindicateahighlevelofawarenessofaninformationtool,

andmayeven state that theyplaceahighvalueon that tool.However, thisdoesnot

necessarilytranslate

to

consumer

comprehension

or

alikelihood

of

using

the

information provided. Simply stated, awareness and enthusiasm are not adequate

indicatorsofaninformationprogramsefficacyorsuccess.(p.11)

Forexample,whenpresentedwithabellversusabarchart,customershadonlyslightly

lowercomprehensionof the information in thebellchartbutsignificantdistaste fora

bellchart. Theauthorofferssomeinsightsintothisfinding:

Whyisthereagapbetweenpeoplesreasonablygoodcomprehensionofthebellcurve,

and peoples lower selfrating of ease in understanding it or wanting to receive it?

Qualitative data from our semistructured interviews support that bell curves are

perceived

as

difficult.

Some

interviewees

indicated

that

while

they

understood

the

bell

curve,theydidntthinkthattheaveragepersonwould.Thesemistructuredinterviews

also indicated thatwhilepeoplemayunderstandbell curves, theydo not like them.

Severalintervieweesexpressedthisdirectly.(p.7)

InEgansadditionalreviewofa specific labelingprogram fora testcase for theEPA

EnergyStarBilling(ESB)programwithTraerMunicipalUtilities(TMU),heidentifiesa

labelthatfailsonalmostallcounts:


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AsFischer(2007)notesinherreviewofexistingcasestudies,veryfewstudieshave

considered the relevanceofgraphicdesignor formulationof text at all (p. 9). It is

almostasifutilitiesarecompletelyunawareofthelast30yearsofresearchinthefields

of education and learning that reveal much about learning styles and information

presentation. Theassumptionwithmostindirectfeedbacksystemstodateseemstobe

thatpresentingtheinformationisenoughtocausebehaviorchange.

Thankfully, interest seems to be

emerging from the design communityabouthow toapply informationdesign

approaches to environmental issues,

andenergyisnoexception. Arecentset

ofproposalshavecomeoutoftheUKs

DesignCouncilsRED FutureCurrents

project, including aggregated billing

statements.

Research

generally

indicates

that

well

designedbilling canbejust as effective as advancedmeters anddirect feedback for

spurring conservation.However, the increase in directdebit customers canmake it

increasinglydifficult to reach consumers and engage them about energy information

and use (Roberts, 2003). This poses additional challenges for utilities wishing to

implementsophisticatednewtechnologies,andisfurtherreasonforasystemthinking

mindsetwhenitcomestothefutureofenergy.

Ifconnectionscouldbemadebetweeneducators,designers,energyexpertsandutilities,

indirect feedback systemswould likelymemuchmore effective at inspiring energy

behaviorchange. Bymaking thecontentrelevantandapproachable to theconsumer,indirect feedbackhashighpotentialasoneof the tools in the consumption feedback

toolkit.

Inadvertentfeedback

Darby indicates that in advertent feedback, or learningby association, can alsobe

effective. For example, consumerswho are involvedwithmicrogeneration aremore


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activelyinvolvedwithenergyproductionandthereforehaveabetterunderstandingof

therelationshipbetweenconsumptionactivitiesandthesystemsperformance.

TheSustainableConsumptionRoundtables (SCR)UKfocused report,Seeing the light:

theimpactofmicrogenerationonthewayweuseenergy,demonstratedthattheinstallation

ofmicrogeneration technologies fundamentally transformed citizens attitude toward

energy use: Instead of being invisible and unengaging, they could now see the

creativeprocessofenergybeingmadeandpowering theirbuildings (p.72). Asan

elderlycouple inSouthwesternLancashire(UK)describedtheirexperience inawind

poweredresidence,

Whenthatredlightisonweknowweareexportingtothegridsoitstimetoputthe

washingmachineonoritsOKtoboilthekettle. Whenthatlightisnotonwemakesure

that everything is off nothing is on standby coswe know that its probably really

costingus.(p.52)

Utilitycontrolledfeedback

These feedback systems, frequently referred to as smart metering systems, are

increasinglyviewedasanopportunityforsystemwideoptimization. Inthesecases,the

utilityreplaces the traditionalenergymeteraffixed to thebuildingwithanewdevice

that provides two way flows of information about energy use. These systems

frequently obviate the need for physicalmeter readings one of the primary cases

made for theeconomicsof investing insuchasystem. Severalcompaniesoffer these

technicalsolutions,anddiffusionofsmartmeteringsystemsappearsmorewidespread

inEurope

than

in

the

United

States.

Smartmeteringshouldallow forutilities tobettermanage theentiregrid. Theyalso

provide a large potential for assisting consumers in reducing energy usage by

providingdataaboutrealtimeandhistoricalenergyuse(Venables,2007). Giventhat

oneof themajorbarriers toproviding this information is thecurrentmeter,replacing

the meter opens up new opportunities for engagement between utilities and their

customers. Infact,newmeteringtechnologyhasthecapacitytocompletelytransform

this relationship, leading to different environmental outcomes and increased

profitabilityforutilities(Guy&Marvin,1995).

SummaryofTools

Thisbrief reviewjust scratches the surfaceof thenumberof toolsandprojectsbeing

implementedintheareaofconsumptionfeedbacksystems. Ingeneral,however,here


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are some highlevel findings for what makes a successful feedback system that

encouragesenergyconservationbehavior.

Oneresult,atleast,seemsclear:Feedbackstimulatesenergy(andspecifically,electricity)

savings. Not all studies discuss actual savings, some concentrate on customer

preferencesor

on

satisfaction

with

feedback

schemes.

But

those

who

do

generally

find

savingsrangingfrom1.1%toover20%,dependingonthetreatment.Usualsavingsare

between 5 and 12%. () I found that,with regard to the design features discussed

above,atleasttwo(andusuallyatleastthree)ofthefollowingfeatureswerepresentin

thebestcases:

multipleoptions for feedbackavailableat theusers choice through computerizedfeedback (e.g. consumption over various time periods, comparisons, additional

informationlikeenvironmentalimpactorenergysavingtips)

aninteractiveelementthatengageshouseholdsthroughcomputerizedfeedbackorrequiredactivitieslikemeterreading

feedback given more often than monthly (continuously, daily load curves, orimmediatelyaftertheaction)

adetailed,appliancespecificbreakdown comparisonswithpreviousperiods.(Fischer,2007.pp.6,9)

Themyriad of technologies emerging to help facilitate adeeper interactionbetween

individualsandtheirconsumptionpattersisencouraging. Manyofthesetechnologies

aresuretocapturetheimaginationsandpocketbooksofindividualsandutilities. And

yet it is importantnot to fall symptom tobelieving that there isone silverbullet for

feedback systems. If anything, the research points to the need for a diversity ofapproachesand technologiesatboth the individualandutility level for inspiring

changeinbehavior.

OpportunitiesforGreaterLeverage

Despitethenumberofsolutionsthatareemergingtohelppeoplesaveenergy,itishard

to imagine that many of themwill reach acceptance levels needed to have a large

aggregate impact. Utilityside effortshave thegreatestpotential to reach the largest

numberofpeople,bututilitiesareslowtorespondtomarketchanges,slowtoinnovate,

andeven

slower

to

respond

to

customer

demand.

One

hope

is

that

awell

designed

homeenergymonitorbecomesasintegratedintobuildingbestpracticesasthemodern

thermostat. But even if thiswas the case, and everyhousewere equippedwith an

energymonitor,behaviorremainshardtochange.

One opportunity to overcome some of the inertia around behavior change is well

documented insocialandpsychological literature:peerpressure. Associalcreatures,


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theopinionsofotherstendtobestrongmotivatorsforindividualbehavior. Despitethis

commonsenseknowledge,fewenergyfeedbackprogramstrulytapthesecomparative

andnormativepressuresasleveragepointsforbehaviorchange. Comparativefeedback

hasbeen found tobe important forcustomers tounderstand theirownenergyusage

(Darby,2006;Egan,1999;Fisher,2007;Roberts,2003),butithasyettobeusedinaway

thatistrulymeaningfulforthepersonreceivingtheinformation.

For example, almost every study that evaluated comparative feedback looked at

individualenergyuseascomparedtoanationalaverageorhomesofsimilarsize. Yet

these comparisons are technical and not social. Might it be more motivating, for

example,foraconsumertomakeacomparisontoanactualsocialgroup,andtohave

thisinformationbeavailabletoallmembersofthatgroup? Thisseemslikeanemergent

andpowerfulopportunityforthefeedbacknetworksnotjustisolatedfeedbacknotesof

thefuture.

Using as apotentialmodel the emergence of socialnetworking tools in the internet

spacethatcarrytheirinfluenceintorealworldbehavior,itseemspossibletoimaginea

situationwhereaconsumerdefineshisorherowncomparisongroup. Socialwebsites

suchasChangeEverything.ca,Change.org,andPledgebank.comleveragethepowerof

socialpressure tomotivate individualbehaviorchange. Catchingon to thepowerof

thisconcept,atleasttwoleadingedgefeedbacksystemsareleaninginthisdirection.

The creators of the Wattson home energy

monitor,adirect

feedback

device

combined

with

ambient display that is not yet in production,

appears to include thecapacity foruserdefined

comparison groups andnetworked owners. In

additional to fostering positive peer pressure,

this has the capacity for providing more

meaningful impact information, thereby

increasingpositive reinforcement for additional

change.

Inamockfuturenewsflash,theREDFutureCurrentsteamhasimaginedaprogramthatallowsutilitycustomerstoreleasetheirenergyusedatatothepublicinreturnfor

learninghowtheystackuptoothersthroughoutthecity.

Asmoreandmorework isdone tobetterhone the tools for informationsharingand

socialcapacitybuildingonline,onecouldimagineafuturewhereconsumersareableto

benchmark theirprogressagainst theirownusepatterns,but inaway thatcompares


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theiractivity toasocialgroup that ismoremeaningful than thosedefinedbyelectric

utilities.

Ifenergyconservationcanbecomeasocialactivityandifthebenefitsandimpactsof

conservationcanbepresented ineffectiveandmeaningfulcontexts there isa larger

likelihoodof itswidespread acceptance. Returning to the theoryof energybehavior

changethathasguidedthisessaysofar,thisactivitywouldhelptocompletethefinal,

criticalstep inthechangeprocess loopwherean individualseesthebenefitsofhisor

heractivity.


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II.Supply: DecentralizationandMicrogeneration

As in the previous section, what follows here is meant not as an overview of the

technicalsolutionsforhouseholdmicrogeneration,butisinsteadalookatthesystems

andservicesthatenablepeople togainaccessto thesesolutionsandthereforechangetheirrelationshiptoenergy. Wehavealsonotemphasizedpolicyrecommendationson

accountof thecomplexityofstateandprovincial systems thatheavily influence their

success. Whilebroad, universal governmental actions and incentives would move

North Americans much more swiftly towards a more resilient energy system, the

current context demands innovative approaches in the spacesbetweenmajor policy

actions; in the actions taken by individuals, businesses and increasingly

communities.

TheCase

for

Decentralization

NorthAmerica isdependentuponanenormous,brittle setofelectricalgrids. In the

summerof2003,50Millionpeopleon theeastcoastofNorthAmericawerehitbya

blackout. Theelectrical failure flowedacross thenetworks fromasinglepoint in the

Midwest. Throughout the region, thepopulation soondiscovered that the effectsof

such grid failure are systemwide: effects cascade rapidly through all fundamental

services. Whengaspumpsabruptlycease to function,carsandpublic transportation

bothstopmoving,aregionstransportationcapacityslowsandthengrindstoahalt.

ATM

machines

blink

out

along

with

cash

registers

and

internet

connections;

the

money

systemreverts tocash. Foodbegins tospoil,and smallgrocersscramble to liquidate

theirinventory. Thecityswatersupplydwindles. Peopletakeofftheirdressshoesand

beginalongmarchtothesuburbs.

While there is a lot of accidentalbeauty tobe found in a summertime citywithout

power, the 2003 blackout provided a perfect illustration of the grids brittleness,

rigidity,andfailuretorecover. Italsodemonstratedhowfewcitizensorcommunities

havecontroloverthepowertheygenerate. Centralpowerplantsarelargelypowered

bycoal,hydroelectricandnuclearenergy,andarethedomainofthelargecorporation

andthegovernment. Tobesure,largeplantsbenefittremendouslyfromeconomiesofscale,yet citizens canneither controlemissions,nor cost. AsGreenpeace found (see

figurebelow), centralized technologies are often frighteningly inefficient, with two

thirdsofallenergylostbeforereachingahomeowner. Thegreatestenergylosseswere

not,asonemightbelieve,inthetransmissionacrosswires,butratherinthewastedheat

andinefficientgenerationoffossilfuelenergyatthesource.


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Bycontrast,microgenerationsystemsdonothavethescaleoroverflowtoaffordsuch

losses. Takenasawhole,microgenerationreferstoelectricalandheatenergygenerated

onsite, and comprises a range of electrical technologies including smallscalewind

turbines,solarphotovoltaics,andheatingalternativessuchasgeoexchangeheatpumps

and solarhotwater. While feedbackmechanismsenableus to superviseourenergy

demand,microgenerationempowersustomanageoursupply,whilstembeddingmore

sustainablepracticesintoourdailylives.

Adecentralizedsystemofmicrorenewableswilldecreasecollectivecarbonemissions,

overcomefuelpoverty,andmaintainthesecurityofsupply. Adecentralizedgrid,with

moreonsitemicrogeneration,isalsoclean;loseslessenergytotransmission;andhasan

immediateeffectonenergyuse. Ensuringthatmicrogenerationgrowsasasignificant

percentageofourtotalenergyuserequiresasystemsview:movingfromheretothere

meanscombiningawholerangeofappropriatetechnologieswiththeservices,policies,

andbusinessesneededtodeploythem.

In

perhaps

one

of

the

most

complete

resources

on

the

economic

and

technical

case

for

decentralized power systems,Amory Lovins Small is Profitable concludeswith the

following:

Themostperfectwaytoproduceelectricityisjustaneedlessexpenseiftheelectricityis

then wasted. The intimate challenge, and opportunity, isnt merely to displace

centralizedwithrightsizedelectricgenerators; its first touseelectricity inaway that

savesmoneyandimprovesourlives.(2002.p.381)


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Motivation

Microgenerationempowers

citizens

to

take

control

of

their

ecological

impacts,

their

energy security, and, increasingly, the cost of living. Moving our cities towards a

greater use of microrenewables means asking ourselves: What compels people to

changetheirrelationshiptotheirenergysupply? Howcanweeducateandempower

thosewholacktheknowledgeandcapitaltomakethistransition?

Aswithmonitoringsystemsthatprovideconsumptionfeedback,microgenerationis

directlylinkedtohumanpsychology:understandingconsumersmotivationsiscritical

totheeducationandmarketingrequiredtodeploysuchsystemsonalargescale.

If decentralized power is so much more reasonable, then why dont utilities and

governmentsmakeitapriority? Theenergysystemwasnotdesignedtoallowcitizenstooptout. Afterall,theNorthAmericangridasweknowitwasnotconceivedforits

currentscaleitemergedfromabasicsetofprinciples,focusedoncentralizationand

servicedeliveryandenergycompanieshavehistoricallyfailedtosupporthousehold

microgeneration.

Yetthecombinationofincreasingenergyprices,alongwithanemergingawarenessof

the ecological and human impacts of energy production, has recently amplified the

demand for alternatives. The pioneering work and experience in the world of

householdrenewables

has

been

done

by

people

who

are

fed

up.

Lacking

services,

financing, or products, thosewho have created thebaseline formicrogeneration in

NorthAmerica recognized that takingcontrolof theirsourceofenergymeantopting

out of the system altogether. Thosewho take their homes off themain grid have

traditionally been motivated by ecological concerns, or a desire to achieve self

sufficiency. Doingso isoftenasignificanttask,sinceretrofittingahomesystemwith

microrenewablesoftenrequirestwoessentialelements:knowledgeandcapital.

The Sustainable Consumption Roundtables report provides a comprehensive set of

research on the motivations of consumers to manage or transition to a household

powered by microrenewables. While a whole range of households in the study

benefited tremendously from the incorporationofmicrogeneration into theirhomes,

those few familieswho had taken a real interest in their energy consumptionwere

referredtoasactivehouseholds.Affluentandknowledgeable,thesehouseholdshad

afargreaterunderstandingaboutecologicalissues,usedtheinternetforresearch,and

were more technologically savvy than others: all of these attributes gave them the


20/32


meansandthewillto,forexample,installsolarpanelsorwindturbines.

Thechallenge that facesus is that thisprofileonlydescribesenthusiasts:afractionof

the population. A widespread paradigm shift would require a far larger uptake

throughout less informed, and less affluent, communities. While household

microgenerationmaysavemoneyinthelongterm,fewpeoplehavetheavailablecash

to invest innewtechnologies. Particularly intheabsenceofgovernmental incentives,

greenmortgages,andtaxbreaks,itisimperativetocreatemethodsofmakingmicro

renewables more accessible to the greater population, and this means addressing

economicdisparity.

ToolsandMethods

ThetoolsavailableforNorthAmericanenergyconsumersrangefromdevelopingfully

autonomous, offgrid systems, to participation in communitybased programs for

helpinglowincomeconsumersbettermanagetheircosts.

Thereisanenormousamountofinformationavailabletotheindividualenthusiast. For

instance, Home Power magazine was established in 1987, and has long served the

community of microgeneration enthusiasts, both on and off the central grid. The

publicationhasmaintainedaclear,pragmaticapproach,andprovidessomeofthemost

comprehensive informationon implementingmicrogeneration technologies including

smallscalewindturbines,solarphotovoltaics,andmicrohydro.

HackingtheBuiltEnvironment

Livinginhomesthatconsumemorepowerthantheyuseiscertainlyonekeyapproach

to seizing controlofonesenergy footprint. The rapidgrowthof thegreenbuilding

sector has pushed renewables into wider use, though primarily within new

construction. A Net Zero Energy, or Zero Energy Home, such as those being

prototypedby theUSDepartment of Energys Building Technologies Program, and

CanadasNetZeroEnergyHomeCoalition,address this challenge. NetZerohomes

typicallytakeonthebuildingasanenergysystem, incorporatingdaylighting,passive

solar,properbuilding siting, air flow and insulation inorder to reduce theupfront

need for heating, cooling, or electrical energy. To get real uptake of conservation

approaches and microgeneration technologies in society, however, much more

retrofittingneedstobedone.


21/32


Thereareexcellentexamplesofretrofits thatsucceedboth technicallyand financially.

In 2004, BrianMcConnell, a selfdescribed engineer and tinkerer, reduced his San

Francisco homes energy footprintby 90%by deftly combining conservation efforts,

solarelectrical,solarwaterheating,andsolarairheatingtechnologies,withCalifornia

staterebates. Hewasalsoabletoincorporatethecostsintoarefinancedmortgage. In

anarticleforOReillyMedia,McConnellcitesthefollowingadditionalfinancialbenefits

tohisretrofit:

Increaseinhomevalue:each$1inutilitybillreductionisestimatedtoincreasehomevalueby$20.Therefore,theenergyproductionsystemsincreasethevalueofmyhome

byabout$34,000,yieldinganimmediate50%returnoninvestment.

Stable,longtermenergycosts:becauseitproducesmostofitspower,myhomeislargelyprotectedagainstincreasesinenergycosts.Asenergycostsincrease,themath

becomesevenmorefavorabletowardrenewableenergysystems.

Protectionagainstpropertyincursions:localzoningrulesoftenprohibitneighboringpropertyownersfrombuildinganythingthatwillcastashadowonrooftopsolar

installations.Thisisahelpfulprotectioninurbanenvironments,asitpreventssomeone

frombuildinga McMansion nextdoortoyourhome,whichhelpstoprotectyour

homesappearanceandvalue.

However, the economics of retrofits and remodels vary enormously in response to

locale. Formost citizens, the capital cost of smallscale renewable powermakes it

inaccessible;thecostofphotovoltaics,inparticular,pushthemoutsidethebudgetofthe

vastmajorityofhouseholds. NetMetering lawsareanotherstrongdeterminantas to

whethercitizens

can

install

grid

tied

systems

in

their

homes,

and

there

are

still

regions

inNorthAmerica,suchasAlbertaandAlabama,inwhichnetmeteringisunsupported

bygovernmentandutilities.Thelevelofgovernmentalorutilitysupportforindividual

renewablesprogramsvariestremendouslydependingonthestateorprovince. TheUS

basedDatabaseofStateIncentivesforRenewables&Efficiency,andCanadasPollution

Probe Consumer Guide to Green Power in Canada provide the best listing and

aggregationof lawsand incentives. McConnellsexample, therefore, illustrateswhat

canbe possible in the rare cases where all the pieces fall into place: a committed,

educatedhomeowner and obsessiveproblemsolver, living in a region that supports

andcreatesincentivesforrenewables,whosehomeiswellsitedandautonomous,can

bewildlysuccessfulindramaticallyreducinghisenergyfootprint. Onesmallquestion

remains:whatabouteveryoneelse?

Services

Karl Schwingel sells and installs solar PV and microwind systems on residences

throughout theUpperMidwest. Hiscustomers typically fit theclassic selfsufficient,


22/32


offthegrid personality, and Karl often sees his work as being that of an energy

educator. Igetpeopletotalktooneanother,andturnthemintoenergygeeks. Itsas

muchaboutenergyeducationas it isjustslappingsomepanelsontheroof. (Author

conversationwithKarlSchwingel,May2007)

Still, the work that Karls company does is highly skilled. While independently

workingwithpeopletodotheirowninstallationswouldsuitKarlsdoityourselfethic,

he recognizes that the kind of work he does means having a certain degree of

mechanical aptitude, which applies to home efficiency as well as to technology

installation.

Having a centralized power supply means that citizens arent required to manage

systemsthattheydonthavetheknowledgebasetomaintainorinstall. Unlessonehas

theskill to retrofitahomewithouthelp,awhole rangeofconsultationneeds to take

place. Home audits may be done by one consultant, while solar heating will beinstalledbyanother. Governmentsmayormaynotbewillingtohelpout;banksmay

ormaynothavecriticalfinancingavailable.

FutureCurrents proposesasystemsapproach:

Awholenewmodelisneeded,notsomuchofenergyservicescompaniesESCOsas

wholehouse environmental services companies () HOUSECOs could follow the

exampleof thenewconcierge servicesdevelopedbygroups like10UK.Thekey to

suchservicesistrust,andtheknowledgethattheserviceproviderisonthesideofthe

householderin

navigating

the

complexities

of

the

market.

In

this

new

support

economy

economiesoftrustbecomemoreimportantthaneconomiesofscale. HOUSECOswould

offerapremiumservice,involvingfullhandholdingfromassessment,design,project

management,servicingfollowupandleasingofequipment.

This ismore thanjust a vague concept. EnWise Power Solutions,based in Toronto

Ontario, also recognizes that decreasing ones whole energy footprint requires a

differentstrategyforeachhousehold. Oneofthemostcompellingopportunitiesinthe

renewableenergysector is in this turnkeyapproach,wherecomplicateddecisionsare

managedbyasingleserviceprovider. Ratherthanbeinginthebusinessofsellingan

individualproduct, theyarrange thewholeworks:energyaudits, consultations,help

with installation, and, most interestingly, financing through EnWise Capital

Corporation:

Whetheryouareconsideringanenergyefficientretrofit,thereplacementofyourmajor

appliancesor anew roof,ECC canprovide simple, affordableEndtoEndFinancing.

()By financingyour solutionwithECC at competitivemarket rates,you canbegin


23/32


savingmoneyinstantly(actualsavingswilldependonyourenergyusage,thevalueof

yourretrofitandthefinancingterm).

Real estate developers can establish other financing arrangements. Montralbased

urbaninfill

developers

EcoCit

created

Canada

sfirst

green

condos,

while

figuring

out

howtomakeecologicalarchitecturetotallyaffordableintheQubecclimate.Itwasfar

easiertoincorporategeoexchangesystemsintothedesignthantoarrangefinancingfor

solarphotovoltaics. SinceEcoCit sought tokeep theunitsaffordable, they chose to

avoidthecapitalcostsofbuyingPVs insteaddesigninglocationsforPVinstallationfor

when the unit owners could afford to buy them. In the meantime, they sold the

geothermalunits likeitsaunitonthebooks,sothatitdoesntincreasethecostofeach

oftheunits.Itsnotasale, saidGladu, itsmoreofafinancingarrangement.1Inother

words, thebuilding ownerswould eventuallypay for the financing of theirheating

system,andcollectivelyownitoutright.

FortheCommunityandCollective

Any significant reduction in our collective energyusehas to recognize the essential

positiverole thatboth lowincome,anddenseurbancommunitiescanplay. Itsclear

thattherearelimitationstocreatingautonomous,offgridenergysystems. Andasever,

whilethereremainsignificantbarrierstoaccessingrenewableenergy,microrenewables

shouldneverbe the firstorderofbusiness. This isparticularly true for lessaffluent

communities.Energy

costs

frequently

impact

low

income

communities

far

more

severely than others, since the percentage of ones income that goes into powering,

heating and cooling isoftenmuchhigher, and rentershavevirtuallyno incentive to

retrofit housing for improved efficiency. FlexYourPower, Californias initiative for

conservationandefficiency,findsthat

Lowincome familiesareparticularly susceptible tohighand fluctuatingenergycosts,

basedontheearningstoexpenditureratio.EstimatesindicatethatwhiletheaverageUS

householdsenergycostsareequalto7%ofhouseholdincome,lowincomehouseholds

spend 17% of their household earnings. The immediate result is that less money is

available forsatisfyingotherbasicneeds.Also, the frequentlypoorqualityof lowcost

housing creates an increasedburden, sincemore energy is needed to keep residents

healthyandcomfortable.

1 Cheryl Gladu Presentation at EnvironDesign 10, May 2006, Toronto Ontario.


24/32


Communitybased organizations, such as Chicagos Center for Neighborhood

Technology, have found energy prices tobe amore universally applicable point of

contactformakingchange. TheirnonprofitCommunityEnergyCooperativeprovides

citizenswiththeresourcestounderstandhowtocontroltheirenergycosts.ThePower

Smart Pricing initiativemoves households off of fixed energy prices, instead giving

themaccesstonewmetersandwholesalepricingthatvarieshourtohour.Byproviding

userswithinformationabouthourlypricing,andgettingintouchwithpeoplepriorto

price spikes,participants canchange theirbehavior inorder toaccess lessexpensive,

offpeakelectricity,resultinginanaverage10%dropinenergyuseoverall.

After all, renewable energy incentives programs couldbe considered discriminatory

when itcomes to thediversityofhousingcircumstances. Evenamonghomeowners,

noteveryonehasaccess torooftopswiththeappropriatesitingorarchitecture. How,

then,doweaccesscleanpowerifwelackthehomeorlandbestsuitedforinstallingit?

One successful model is the cooperatively owned, largescale renewable project.Insteadofwaiting forHydroOne,Ontarios electricalutility, to invest in renewables,

TorontosWindshare installedNorthAmericasonly largescaleurban turbineon the

shoreofLakeOntario,visibletothewholecity. Itwasfinancedby,andprovidespower

to,severalhundred localhouseholds. Asamodel forwhatcanbepossible,andasa

publicstatement,thesingleturbinewaswildlysuccessful,andhasenabledWindshare

tobegin thedevelopment of theLakewindPowerProject, a ruralurbanpartnership

plannedtopowermorethan3,400Ontariohomes.

VirtualNet

Metering

is

avery

similar

model

with

alot

of

potential.

In

late

2006,

the

townofEllensburg,Washington,installeda36kWsysteminanearbyfield,givingthe

participating communitymembers the ability to coown andmanage a photovoltaic

array. TheBonnevilleEnvironmentalFoundationalsoenablesonlinerealtimetracking

oftheEllensburgproject(seebelow),whichatthetimeofwritinghadavoided33,730

lbs ofCO2. Once again, thismodel is not a technicalbreakthrough: its a financial

structure that enables the use of a technologyby a group of peoplewho otherwise

wouldnthaveaccesstoit.


25/32


Onecan imagine thesameapproachbeingcombinedwith thenewuseofbrownfield

sitesasbrightfields,suchasthe425kWsolararrayinBrockton,Massachusetts,which

reusescontaminatedlandforlargerscalegeneration.

TheUtility

Someofthemostcompellingnewinnovationshavetodowiththestructureofthegrid

itself, and the role that utilities can play in a decentralized system. SmartGrids are

computerenabled networks that provide a web of information and feedback

throughout the system to improve thegridsbrittleness. TheSmartGrid targetsand

manages information about the electrical system, and may prove to be a fantastic

enabler, connecting a latticework of urban renewables. AsJamais Cascio wrote in

February2005,

Distributedenergy iscurrentlymorecostly thancentralizedpower. Someof thatcostcomes frommanaging the complexity of variable power generation, changing usage

patterns, and amultiplicity of sources.Distributed energy resourceswill have tobe

managedmorelikeacomputernetwork,completewithabundantroutersandswitches.

The success of distributed energy is ultimately dependent upon the increasing

availabilityofcomputerenabledpowernetworks,or smartgrids. Andsmartgridsfor


26/32


27/32


GoingForward

Giving citizens tools for controlling their energy footprint needntbe contrarian or

anarchistic. Whilesheshouldbecommendedforhertrailblazingattitude,theoffgridsolarenthusiastisnotarealisticmodelformostofsociety. Todecreaseourcollective

household energy use, we must humbly acknowledge the barriers that currently

preventus from living completelyoff thegrid, including economicdisparity, lackof

knowledge,andadearthofpowerfulincentives,effectivelyperpetuatingthestatusquo.

The most promising developments in decreasing household energy use are not

technical ones alone: the greatest innovations have yet to emerge in the realm of

appropriately incentivizing and enabling access to microrenewables in conjunction

witheducationalfeedbackmechanismstocontrolconsumption. Incentivesforgreater

efficiency and collaboration with powerful stakeholders such as utilities and

governmentsarealsocritical.

InGreenpeaces 2005 report, Decentralising Power:An Energy Revolution For The 21st

Century, theauthors imaginea convergenceof technologiesandapproacheswithina

singlecommunity:Existing technologies, applied in a decentralised way and combined with efficiency

measures and zero emission developments, can deliver low carbon communities as

illustrated here. Power is generated using efficient cogeneration or trigeneration

technologieswiththeheat(andsometimescooling)pluselectricitydistributedvialocal

networks.Thissupplementstheenergyproducedfrombuilding integratedgeneration.

Energysolutionscomefromlocalopportunitiesatboththesmallandcommunityscale

withthis townmakinguseofamongstotherswind,biomassandhydroresources.

Naturalgas,whereneeded,canbedeployed inahighlyefficientmanner.Privatewire

electricity networks deliver power in the town but are connected to neighbouring

networks and the national system to allow for export and import and to assist in

security. This towns decentralised system is flexible and able to adapt to future

circumstances. More importantly it can be constructed relatively swiftly using

technologiesavailabletoday.

Ifthereareanyhighlevelinsightsofferedinthispaperitisthattechnologyaloneisnot

thesolutiontoourmanyenergywoes,andneitherisenergyeducation. Thesolutionis

actuallyaportfolioofsolutionsnestedwithineachother. Strategiestoincreaseconsumer

awarenessaboutenergyusecandecreaseoveralldemand,slowingtherateofgrowthof

ourenergyinfrastructures. Increasedawarenessaboutenergyusecanbeastepping


28/32


stonetoapreferredmicrogenerationsystem. Infact,moreefficientuseofenergyand

microgenerationpositivelyreinforceeachother.

Utilitieswhoinvestinsmartmeteringtechnologiestobettermanagetheirgridsareina

goodpositiontoprovidemoreaccurateinformationtocustomers,therebydecreasing

consumption. Theyarealsoinabetterpositiontoovercomethecomplexitiesof

microgenerationandarebetterpositionedtocapitalizeonemergingopportunitiesfor

energyserviceproviders.

Theprevalenceofwebbasedsocialnetworkingandtheincreasinginnovationand

availabilityofspecificsupplyanddemandsidetechnologieswillbetterenable

communitiestoaddresstheirownenergyneeds.

Ofallofthesesolutions,weofferseveralcriticalsuggestionsformovingforwardin

thesearenas:

ForUtilities:

Justprovidinginformationaboutenergyuseisnotenough;ithastobepresentedinwaysthatcustomersunderstand. Workcloselywithdesigners

andeducatorsbeforerevampingyourbillingsystems.

Decentralizedpowermakeseconomicandsocialsense Smartmeteringtechnologiescanprovidemultiplebenefits Customersdontwantkilowatthours;theywantservicessuchashot

showers,cold

beer,

lit

rooms,

and

spinning

shafts,

which

can

come

more

cheaplyfromusinglesselectricitymoreefficiently.Goodprogramstosave

commercialandindustrialelectricitycostonlyaboutahalfcentperkilowatt

hour,whichisseveralfoldcheaperthanjustoperatingacoalornuclearplant,

and10to20timescheaperthanbuildinganewone.(Lovins,1990)

ForConsumers

Dontgobuyingsolarpanelsuntilyouvepluggedtheholesinyourhouse. Ifyoucantpayforitalone,itslikelythatasacommunityyoucan,leadingto

costsavings,increasedreliability,andastrongereconomy.

Energyconservationcanbesexy. Yes,itcanmeanbuyingcoolnewtoysandtherearelotstochoosefrom. Tryitathome.

Thesystemcanchange. Youcanhelpmakeithappen.ForPolicymakers

Regulationsandincentivesmatter. Theymatteralot. Choosewisely.


29/32


These solutions have the potential to increase economic independence and self

sufficiencyofallcommunities,notjustwealthyones. Theycan increasegridstability

and resilience, and theymay even connectus toourneighbors inunexpectedways,

leading to increased social capitalwhilewe actively decrease our energy footprints.


30/32


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we power: leveraging choice for a new energy future

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