Gasoline is a prime example --> high cost promotes conservation/ fuel efficiency; low cost promotes high usage.

Subsidized energy usage also does not promote conservation

Exponential energy usage curtailed by high price

What areas are good for conservation?

• Buildings and applicances --> better insulation; more efficient lighting, applicances ,etc
• Industry --> ?? since increased costs will be passed on the consumer
• Transportation --> obvious; better fuel efficiency more mass transit

  Where can the individual home owner conserve?

The above calculations assume a low price of 6 cents per KWH. Most areas around the country pay 12-15 cents per KWH.

Consider a typical family of four house equipped with

• Mulitple TVs
• Frost Free Refrigerator
• Home PC
• Stereo
• Washer/Dryer
• Hot Tub
• Water Heater
• Oven, Stove, Microwave, Bread Machine, Expresso Maker, Electric Can Opener, Blender, Toaster, Toaster Oven, Electric Dog Polisher, etc

The average electricity generated by the use of these applicances plus standard household incandescent lighting is about 20,000 KWH per year. At 10 cents per KWH this is 2000 dollars.

The above did not include heating. For most locations, heating requires around 10,000 KWH per year (or more). This means that the typical household energy bill is about $250 per month in many locations around the country. Get some raw data here

This is sufficiently high that it is possible to identify areas where energy conservation is effective and leads to lower utility bills. In fact, most utility companies want their customers to conserve energy and will offer rebates for energy conserving appliances.

Are these utility companies practicing good citizenship or are there other reasons? Well, it costs utitlity companies big bucks whenever demand exceeds capacity and they would like to avoid that situation at all costs.

Saving dollars on lighting

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