Policy lab auctions for energy efficiency

Purpose and goal

The overall goal is to show how the rate of energy efficiency can be increased. Energy efficiency is almost always the fastest and cheapest way to make more energy available, but efficiency rates are still lower than desired from a societal point of view. Therefore policy is needed. Reverse auctions have been successful in other European countries, but are not entirely easy to design. This project will do a policy lab and a pilot test to investigate how such a system could work in Sweden.

Expected effects and result

The project will show how a system for reverse auctions for energy efficiency can be designed to be implemented in Sweden. It is also expected to produce indirect results and effects, such as an increased interest in and knowledge of energy efficiency, and an increased understanding of what is required to increase the rate of efficiency improvements. Lessons learned from the project are also expected to be used in other areas.

Planned approach and implementation

The project is carried out as a policy lab. The first step is to develop simple prototypes of a system for reverse auctions, and test these "on paper" with the intended target group. In the next phase, the prototype(s) are further developed and a larger pilot test (still on paper) is designed. The test is carried out towards a wider target group and learnings and lessons are collected. A plan for upscaling will also be developed. The pilot will be carried out in the Västra Götaland region.