This study examines a field experiment in Texas that includes pricing and informational interventions to encourage energy conservation during summer peak load days when the social cost of generation is the highest. We estimate that our critical peak pricing intervention reduces electricity consumption by 14%. Using unique high frequency appliance-level data, we can attribute 74% of this response to air conditioning. In contrast, we find minimal response to active information provision and conservation appeals. A complementary experimental program also lowers nighttime prices during the off-peak season, providing the first evidence of electric vehicle load-shifting in response to price.
Praveen Kopalle is the Signal Companies’ Professor of Management and Professor of Marketing at the Tuck School of Business, Dartmouth College. Praveen received his Ph.D. from Columbia University, MBA from Indian Institute of Management, Bangalore, and B.E. from Osmania University. Professor Kopalle’s teaching and research interests are in Marketing, Statistics, Pricing, new products/innovation, promotions, customer expectations, and e-commerce. Praveen serves as an Associate Editor at the Journal of Marketing and Journal of Retailing. In addition, he is on the editorial boards of Marketing Science, Journal of Marketing Research, Journal of Consumer Research, Marketing Letters, and Journal of Interactive Marketing. Praveen has won many awards including: 2011 Distinguished Alumni Award, Indian Institute of Management, Bangalore, India, 2015 Core Teaching Excellence Award, Winner, 2005 John Little Award etc. Praveen’s research has been published in many top-tier journals including Journal of Consumer Research, Journal of Marketing Research, Marketing Science, Management Science, International Journal of Research in Marketing, Strategic Management Journal, Organizational Behavior and Human Decision Processes, Journal of Retailing, Production and Operations Management, Journal of Product Innovation Management. He has been invited to speak at over fifty universities and institutes worldwide