Introduction

Fereidoon P. Sioshansi, Menlo Energy Economics

1 Electricity Demand Growth

Electricity demand growth has been steadily falling within the OECD block for 30+ years. In many developed economies including the United States, the EU and Japan, future demand is projected to grow at a tepid rate of 1 percent or less. In the case of United States, the Energy Information Administration (EIA) projects 0.7 percent growth per annum under a business-as-usual scenario for the period to 2035. On a per-capita basis, electricity consumption has been flat – as in California – or falling in some cases. Moreover, there is a growing recognition that it is feasible, and many experts believe, desirable to eliminate electricity demand growth cost-effectively ...

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