Trends in Customer Response to High-Priced Energy

This Energy Insights report discusses customer reaction to rising energy prices from 2006 to 2008, the impact of higher gasoline prices on customers' household budgets, and actions customers are taking to manage their bills and control costs. Higher monthly utility bills, rising gasoline prices, and interest in helping the environment are all driving customer interest in tools that help them manage and control costs. With the current economic downturn, however, it will be difficult for utilities to convince customers to invest in energy efficiency.

"Energy was a major issue in the recent presidential election. That fact, along with the economic pressure of higher prices, is increasing customer awareness and interest in energy-related issues. We believe this presents opportunities for utilities to educate customers about energy use and to introduce innovative pricing and energy efficiency programs. We also think it is an opportunity for utilities to position themselves as part of the solution to the country's energy problems," says Barb Ryan, research manager for Energy Insights.