Energetic and Economic Aspects of Rebound, Part II: Applications of the Framework

Widespread implementation of energy efficiency is a key greenhouse gas emissions mitigation measure, but rebound can “take back” energy savings. However, the absence of solid analytical foundations hinders empirical determination of rebound magnitudes. In Part I, we developed foundations of a rigorous, analytical, consumer-sided rebound framework that is approachable for both energy analysts and economists. In this paper (Part II), we develop energy, expenditure, and consumption planes, a novel, mutually consistent, and numerically precise way to visualize and illustrate rebound. Further, we operationalize the macro factor ( <mml:math xmlns:mml="http://www.w3.org/1998/Math/MathML" display="inline" overflow="scroll"> <mml:mrow> <mml:mi>k</mml:mi> </mml:mrow> </mml:math> ) for macroeconomic rebound. Using the framework and rebound planes, we calculate and show total rebound (using <mml:math xmlns:mml="http://www.w3.org/1998/Math/MathML" display="inline" overflow="scroll"> <mml:mrow> <mml:mi>k</mml:mi> <mml:mo>=</mml:mo> <mml:mn>3</mml:mn> </mml:mrow> </mml:math> ) for two examples: energy efficiency upgrades of a car (56.2%) and an electric lamp (67.0%). We also calculate rebound when extending the framework to include an energy price effect. Finally, we provide information about new open-source software tools for calculating rebound magnitudes and visualizing rebound effects. JEL Classification: O13, Q40, Q43