Scenario Analysis of Electricity Demand in the Residential Sector Based on the Diffusion of Energy-Efficient and Energy-Generating Products

Abstract

A variety of energy-efficient and energy-generating products, such as photovoltaics (PV) and electric vehicles, have diffused into the market to reduce greenhouse gas emissions in the residential sector. Understanding future changes in electricity demand and supply is complicated by uncertainties such as lifestyle shifts and national energy policies, and how such changes interact with the diffusion of products. To address this issue, this study adopts a scenario approach to analyze the impact of product diffusion on residential electricity demand under different social circumstances. Two simulation models are employed for the analysis: (i) a model for estimating the diffusion of products based on consumer preferences and (ii) a model to estimate electricity demand in residential sectors considering product diffusion. To demonstrate the proposed method, a scenario analysis case study was conducted, estimating the electricity demand in the residential sector of Toyonaka City, Osaka, Japan, for 2030. The results show that compared to 2012, the net electricity demand in the city in 2030 is projected to decrease by 20–39% depending on the scenarios considered, with changes in demographics and PV diffusion identified as among the most critical factors.