A Field Experiment to Encourage Energy Saving Behavior Using Different Defaults and Dynamic Pricing

Last registered on January 23, 2023

View Trial History

Pre-Trial

Trial Information

General Information

Title

A Field Experiment to Encourage Energy Saving Behavior Using Different Defaults and Dynamic Pricing

RCT ID

AEARCTR-0010811

Initial registration date

January 21, 2023

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published

January 23, 2023, 8:06 AM EST

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Locations

Country

Japan

Region

Primary Investigator

Name

Takunori Ishihara

Affiliation

Kyoto University of Advanced Science

Contact Primary Investigator

Other Primary Investigator(s)

PI Name

Daido Kido

PI Affiliation

Kyoto University

Contact Investigator

PI Name

Takanori Ida

PI Affiliation

Kyoto University

Contact Investigator

Additional Trial Information

Status

In development

Start date

2023-01-23

End date

2023-02-06

Keywords

Behavior, Environment & Energy

Additional Keywords

Energy-Saving, Dynamic Pricing, Opt-in, Opt-out, Compulsory, Heterogeneous Treatment Effect, Treatment Choice

JEL code(s)

Secondary IDs

Prior work

This trial does not extend or rely on any prior RCTs.

Abstract

We study the effects of treatments with dynamic pricing (DP) on electricity-saving behavior. Furthermore, we analyze whether different defaults lead to different treatment effects.

External Link(s)

Registration Citation

Citation

Ida, Takanori, Takunori Ishihara and Daido Kido. 2023. "A Field Experiment to Encourage Energy Saving Behavior Using Different Defaults and Dynamic Pricing." AEA RCT Registry. January 23. https://doi.org/10.1257/rct.10811-1.0

Sponsors & Partners

Experimental Details

Interventions

Intervention(s)

Dynamic Pricing

Intervention Start Date

2023-01-23

Intervention End Date

2023-01-29

Primary Outcomes

Primary Outcomes (end points)

Energy usage (30 minutes interval HEMS data)

Primary Outcomes (explanation)

Secondary Outcomes

Secondary Outcomes (end points)

Secondary Outcomes (explanation)

Experimental Design

【Survey 1】
In conjunction with a Web-based research company, we conducted a survey of monitors to obtain household demographics such as gender, age, and income of household members, as well as their use of home appliances. The survey was conducted online through a Web-based research company. At the beginning of the survey, we asked them for their consent to participate in this research experiment. Only those who have given their consent to participate will be included in the following experiments. In addition, we will pay a reward to the participants of the experiment for their participation in this survey and the following experiments and surveys.

[Experiment]
We randomly divide the monitors of a survey company (3,300 households) that obtained consent to participate in the experiment in Survey 1 above into 10 groups. Details of each group are as follows.
1. Control group:
No intervention.
2. Compulsory treatment group:
They offer compulsory DP.
3. Opt-in group 1:
Default is no DP. If they opt-in, they receive DP.
4. Opt-in group 2:
Default is no DP. Opt-in users will receive 300 yen and they receive DP.
5. Opt-in group 3:
Default is no DP. Opt-in users will receive 600 yen and they receive DP.
6. Opt-in group 4:
Default is no DP. Opt-in users will receive 900 yen and they receive DP.
7. Opt-in group 5:
Default is no DP. Opt-in users will receive 1,200 yen and they receive DP.
8. Opt-out group 1:
Default is DP. If they opt-out, they do not receive DP.
9. Opt-out group 2:
Default is DP. If they opt-out, they do not receive DP.
10. Opt-out group 3:
Default is DP. If they opt out, they receive 600 yen and do not receive a DP.

We will obtain the 30-minute electricity consumption data (HEMS data: November-February 2022) from participants for the event period and the periods before and after the event through the monitoring company. Participants in this experiment will receive treatments by DP during the week of January 23-29, 2023. We set the upper and lower prices of DP at ¥100/kWh and ¥13/kWh, respectively. We also set the base price at 30 yen/kWh. We then calculate the payment for the participants who received the intervention during the event period calculated at the base price and calculated at the DP respectively. Finally, we pay the participants the difference between them as a reward for saving electricity (maximum: 2,000 yen worth of points).

[Survey 2]
For those who assigned to the above control group or the opt-in / out group that did not opt-in for the DP, we will conduct a survey asking them if they are home or not home on a particular day (February 5 and 6). We will pay respondents $300 worth of points as a reward for this survey.

Experimental Design Details

Randomization Method

randomization done in office by a computer

Randomization Unit

household level randomization

Was the treatment clustered?

Experiment Characteristics

Sample size: planned number of clusters

3,300 households

Sample size: planned number of observations

1,000,000

Sample size (or number of clusters) by treatment arms

330 control, 330 compulsory treatment, 330 opt-in 1, 330 opt-in 2, 330 opt-in 3, 330 opt-in 4, 330 opt-in 5, 330 opt-out 1, 330 opt-out 2, 330 opt-out 3.

Minimum detectable effect size for main outcomes (accounting for sample design and clustering)

Supporting Documents and Materials

IRB