Strategic management of residential electric services in the competitive market: Demand-oriented perspective

8Citations
Citations of this article
48Readers
Mendeley users who have this article in their library.
Get full text

Abstract

This paper aims to empirically investigate consumers’ preference structures and their willingness to pay for key features of future residential electric power services that they have not experienced in the regulated market. Using a choice experiment based on conjoint survey and applying a mixed logit model, we quantitatively estimate individual utility functions for certain important attributes such as type of service-providing company, installation of smart meter devices, introduction of E-prosumer groups, relaxation of progressive electricity billing system, and share of renewable energy in the generation mix. The analysis reveals that households prefer installation of smart meter devices and introduction of E-prosumer groups, and are willing to pay 10,044 KRW/year (USD 8.97/year) and 5,222 KRW/year (USD 4.66/year), respectively, for these services. However, households dislike the participation of privately-owned companies under the competitive market structure, owing to the possibility of a rise in the electricity price.

Cite

CITATION STYLE

APA

Shim, D., Kim, S. W., & Altmann, J. (2018). Strategic management of residential electric services in the competitive market: Demand-oriented perspective. Energy and Environment, 29(1), 49–66. https://doi.org/10.1177/0958305X17740234

Register to see more suggestions

Mendeley helps you to discover research relevant for your work.

Already have an account?

Save time finding and organizing research with Mendeley

Sign up for free