Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets
Diffusion of microgeneration technologies, particularly rooftop photovoltaic (PV), represents a key option in reducing emissions in the residential sector. We use a uniquely rich dataset from the burgeoning residential PV market in Texas to study the nature of the consumer’s decision-making process...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
IOP Publishing
2013-01-01
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| Series: | Environmental Research Letters |
| Subjects: | |
| Online Access: | https://doi.org/10.1088/1748-9326/8/1/014022 |
| _version_ | 1797748453933056000 |
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| author | Varun Rai Benjamin Sigrin |
| author_facet | Varun Rai Benjamin Sigrin |
| author_sort | Varun Rai |
| collection | DOAJ |
| description | Diffusion of microgeneration technologies, particularly rooftop photovoltaic (PV), represents a key option in reducing emissions in the residential sector. We use a uniquely rich dataset from the burgeoning residential PV market in Texas to study the nature of the consumer’s decision-making process in the adoption of these technologies. In particular, focusing on the financial metrics and the information decision-makers use to base their decisions upon, we study how the leasing and buying models affect individual choices and, thereby, the adoption of capital-intensive energy technologies. Overall, our findings suggest that the leasing model more effectively addresses consumers’ informational requirements and that, contrary to some other studies, buyers and lessees of PV do not necessarily differ significantly along socio-demographic variables. Instead, we find that the leasing model has opened up the residential PV market to a new, and potentially very large, consumer segment—those with a tight cash-flow situation. |
| first_indexed | 2024-03-12T16:04:59Z |
| format | Article |
| id | doaj.art-d84e0a4e761447f4bd67ad510e2321f0 |
| institution | Directory Open Access Journal |
| issn | 1748-9326 |
| language | English |
| last_indexed | 2024-03-12T16:04:59Z |
| publishDate | 2013-01-01 |
| publisher | IOP Publishing |
| record_format | Article |
| series | Environmental Research Letters |
| spelling | doaj.art-d84e0a4e761447f4bd67ad510e2321f02023-08-09T14:25:35ZengIOP PublishingEnvironmental Research Letters1748-93262013-01-018101402210.1088/1748-9326/8/1/014022Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV marketsVarun Rai0Benjamin Sigrin1LBJ School of Public Affairs, The University of Texas at Austin , USA; Mechanical Engineering Department, The University of Texas at Austin , USALBJ School of Public Affairs, The University of Texas at Austin , USADiffusion of microgeneration technologies, particularly rooftop photovoltaic (PV), represents a key option in reducing emissions in the residential sector. We use a uniquely rich dataset from the burgeoning residential PV market in Texas to study the nature of the consumer’s decision-making process in the adoption of these technologies. In particular, focusing on the financial metrics and the information decision-makers use to base their decisions upon, we study how the leasing and buying models affect individual choices and, thereby, the adoption of capital-intensive energy technologies. Overall, our findings suggest that the leasing model more effectively addresses consumers’ informational requirements and that, contrary to some other studies, buyers and lessees of PV do not necessarily differ significantly along socio-demographic variables. Instead, we find that the leasing model has opened up the residential PV market to a new, and potentially very large, consumer segment—those with a tight cash-flow situation.https://doi.org/10.1088/1748-9326/8/1/01402288.05.Gh88.40.fc89.65.Ghresidential solar PVdiscount ratessolar business models |
| spellingShingle | Varun Rai Benjamin Sigrin Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets Environmental Research Letters 88.05.Gh 88.40.fc 89.65.Gh residential solar PV discount rates solar business models |
| title | Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets |
| title_full | Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets |
| title_fullStr | Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets |
| title_full_unstemmed | Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets |
| title_short | Diffusion of environmentally-friendly energy technologies: buy versus lease differences in residential PV markets |
| title_sort | diffusion of environmentally friendly energy technologies buy versus lease differences in residential pv markets |
| topic | 88.05.Gh 88.40.fc 89.65.Gh residential solar PV discount rates solar business models |
| url | https://doi.org/10.1088/1748-9326/8/1/014022 |
| work_keys_str_mv | AT varunrai diffusionofenvironmentallyfriendlyenergytechnologiesbuyversusleasedifferencesinresidentialpvmarkets AT benjaminsigrin diffusionofenvironmentallyfriendlyenergytechnologiesbuyversusleasedifferencesinresidentialpvmarkets |