The Impacts of Alternative
Policy Instruments 1
Marilyn A. Brown, Pamela Brandis, Bruce Cody, and Philipp Degens
Editors' Note: The issue of cost-effectiveness is central to energy program evaluation. This chapter and the next four address issues relating to cost-effectiveness. An issue that comes to the fore in this chapter has to do with sectoral emphasis. Depending on whether program design emphasizes a market-based approach or an approach based in the public sector, different issues come into focus and different socio- economic consequences may flow for program participants. The authors use the cost-effectiveness criterion as a basis for comparing two very different policy approaches aimed at promoting energy efficiency in the home construction industry. The first is a market-driven approach that relies on consumer demand to stimulate energy efficient construction practices. The second, a regulatory approach, incorporates the desired practices into the code structure. This chapter presents the state-of-the-art in methodologies for measuring participation and savings derived from the comparison.
This chapter assesses the relative effectiveness of codes and marketing as alternative approaches to promoting energy-efficient new homes. Insights are drawn primarily from comparing and contrasting the ex-