Efficiency Boost Backfires: Energy Consumption Surges Despite Climate Gains
Energy efficiency improvements can actually increase energy consumption due to rebound effects. This study looked at how breakthroughs in energy efficiency and changes in energy prices affect energy consumption and emissions. They found that while efficiency improvements can lead to more energy use, higher energy prices can help reduce this rebound effect. Additionally, limiting competition or individual access can help lessen the rebound effects of energy efficiency improvements.