Know Better, Power Smarter: How Energy Literacy Relates to Household Energy Use

Reaching the climate goals of the Paris Agreement requires major changes in how households use and manage energy. Energy literacy (EL), understood as people’s knowledge of how energy works and how their actions affect consumption, can help make these changes possible. However, research on EL has mostly focused on energy saving and has rarely explored how it relates to flexibility, such as shifting electricity use to different times of the day. This paper systematically reviews 45 peer-reviewed studies to understand how EL relates to household energy behaviour. We identify four groups of behaviours linked to EL: energy efficiency actions, energy efficiency investments, energy flexibility actions, and energy flexibility investments. Most studies find that people with higher EL are more likely to save energy and invest in efficient technologies. Evidence on flexibility is still limited but points to similar trends. We also show that specific skills matter: financial literacy and cost awareness may help with some investment decisions, while understanding tariffs and being able to adapt routines support flexibility. The review provides a clear framework that links knowledge and skills to practical outcomes. Strengthening energy literacy could make households more efficient, flexible, and active participants in a low-carbon energy system.