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Anticipating Air Conditioning's Impacton the World's Electricity Producers

Abstract:
Electric power planners in developing countries have the oppor-tunity to anticipate air conditioning-induced demand peaks, rather than merely react to them, as has happened in the United States. Demand-side management activities targeting future air conditioning installations therefore may be warranted, based on economic efficiency considerations, the U.S. experience, and worldwide trends in air conditioning usage. The feasibility of such anticipatory efforts is likely to hinge on local parameters, including domestie energy supplies, foreign exchange and capital constraints, rates of load growth, evidence of impacts on load profiles, and familiarity with demand-side planning concepts.

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Energy Specializations: Energy Modeling – Forecasting and Market Analysis; Electricity – Markets and Prices ; Electricity – Policy and Regulation

JEL Codes:
D4 -
D42 - Market Structure, Pricing, and Design: Monopoly
E60 - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook: General

Keywords: Air conditioning, Electricity demand, Peak electric load, Electric utilities

DOI: 10.5547/ISSN0195-6574-EJ-Vol10-No3-7


Published in Volume 10, Number 3 of The Quarterly Journal of the IAEE's Energy Economics Education Foundation.