1. Smart Meters and Behavior:
Precourt Energy Efficiency
Center’s Programs
Annika Todd, PhD
Precourt Energy Efficiency Center
Stanford University
September2010

2. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

3. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

4. The Problem The Opportunity
Procrastination
Biases
Bounded
Current Information
Overload Rationality
Energy Use
BiasesProbability
Energy Use Social Bias
Tendencies
Optimal
Energy Use
.

5. The Problem The Opportunity
Procrastination
Eliminate biases working
Biases
against energy savings
Current Information Bounded
Overload
Energy Use
Activate biases that can
Biases
work for energy savings
Prob
Energy Use Social ncies B
Optimal
Energy Use
.

6. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

7. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Motivation
• Implementation
• Games
• Feedback
• Other

8. Smart Incentives Project
Goal
Design an incentive mechanism to get
households to reduce energy use

9. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Motivation
• Implementation
• Games
• Feedback
• Other

10. Smart Incentives Project:
Motivation
Turn off Fixed Reward: 1 cent
lights

11. Smart Incentives Project:
Motivation
Turn off Fixed Reward: 1 cent
lights
Research: small
monetary rewards
are not motivating
Small rewards
bias works
against energy
savings
Eliminate small rewards bias: pool the $

12. Smart Incentives Project:
Motivation
Bias: people tend to overestimate small
probabilities
Probability
bias can work
for energy
savings
Use small
probabilities

13. Smart Incentives Project:
Motivation
Turn off Fixed Reward: 1 cent
lights OR
Random Reward: 1 in 100,000 chance at $1000
Same
expected cost,
more motivating
More KWh savings
per $

14. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Motivation
• Implementation
• Games
• Feedback
• Other

15. Smart Incentives Project:
Implementation
Every
day
Each household’s Online Interface: Energy
smart meter data use and energy savings
POINTS
$0
fxn(energy savings) Points Redeem points in online
random rewards game

16. Smart Incentives Project:
Implementation
Social
tendencies
can work for
Alan Timber Just installed CFLs in all my lights – I energy
won $1000! savings
April 10, 2010 at 1:14pm Delete
Sarah Lake Nice! Which brand of CFLs did you get?
April 10, 2010 at 1:14pm Delete

17. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

18. Massive Multiplayer
Online Game
+15
Turn off
lights in
the real
world
Gaming, goal Get points in the game
setting, and
competition can be
used in favor of
energy savings

19. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

20. Feedback with PowerMeter:
which elements matter?
Randomized, controlled study

21. Summary
• The Problem ↔ The Opportunity
• Stanford Energy Programs
• Smart Incentives
• Games
• Feedback
• Other

22. Other
• Plugload specific feedback
• Automation and control of household energy
• Specific appliance upgrade and retrofit
recommendations

23. Behavior, Energy & Climate
Change Conference (BECC)
• www.beccConference.org
• Nov 14-17 in Sacramento, CA
• The focus: practical applications of social and
behavioral research to achieve viable
solutions to energy/climate challenges
• People: senior-level policymakers, social
scientists, program implementers, media,
energy experts

24. Annika Todd
annika.todd@stanford.edu