UTILITY WEEK | MAY 2021 |
5
KNOWLEDGE WORTH KEEPING
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When nudge
comes to shove
It is now a commonly observed fact that the next phase of emissions reduction
for the UK cannot be achieved without a transformation in consumer engage-
ment with the goal of net zero and a major shi in people's willingness to
make signi• cant lifestyle and behavioural changes to that end.
But the government's new target to slash emissions by 78 per cent before
2035 brings the challenges involved in this endeavour into sharp focus.
Between 1990 and the end of 2020 the UK managed to reduce harmful
greenhouse gas emissions by 50 per cent. In the next 15 years we must achieve
a further 63 per cent reduction, according to authoritative calculations,
something we can only begin to aspire to by making huge strides in the decar-
bonisation of transport and heat, as well as • nally getting a grip on energy
e‡ ciency.
To help consumers make choices that enable the • rst two goals, suitable
zero carbon products and supporting infrastructure, as well as trustworthy
service and consumer protection channels, must be fast-tracked within this
decade. And then we need the populace to adopt these (a‹ ordable) products
and services in quick order.
On energy e‡ ciency, while the failure of the Green Homes Grant Scheme
(covered by our correspondent David Blackman on p19) is certainly a cause for
despondency, it also serves to highlight the critical importance of activating
the "able to pay" market for energy e‡ ciency to get independent movement.
The good news is that numerous consumer sentiment barometers show the
dial is moving in the right direction on engagement. According to PWC, 43 per
cent of consumers now say they are very conscious of their energy use – an
uptick of 13 per cent over the past year, perhaps driven by the stay-at-home
requirements of the pandemic. Furthermore, 97 per cent now say they are open
to making changes to the way they use energy.
The bad news is that these numbers still mean over half of the popula-
tion are unaware of their energy consumption and apparently uninterested
in changing that. Evidence published in April by National Grid also shows
that even interested consumers feel broadly "hopeless" about their ability
to play a part in the net zero transition – that they feel underinformed and
unsupported.
Many utilities have been earnestly applying nudge theory to try and get
consumers to edge towards actions and purchases which are good for the
energy transition. For utilities who believe they have a role and responsibility
here, it's time to apply more shove.
Jane Gray, content director, janegray@fav-house.com
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t: 01342 333004
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t: 01342 332015
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Energy editor:
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e: tomgrimwood@fav-house.com;
t: t: 01342 332061
Reporter:
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t: 01342 332069
Water correspondent:
Ruth Williams,
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t: 01342 332069
Policy correspondent:
David Blackman,
e: davidblackman@fav-house.com
Letter from the Editor
Jane Gray
Verint:
No going back: the pandemic year
that shook up utility customer
services
https://bit.ly/3r26Wx8
Maintel:
Why utility companies should
embrace digital innovation
https://bit.ly/3tyOGgs
Vision:
How to fi x megaprojects (and all
capital projects that matter)
https://bit.ly/3qzY2Ha