More than two-thirds of consumers are unwilling to invest more time or money in sustainable energy actions, even though they have high levels of awareness about energy sustainability. This is due to their belief that their views on access and affordability prevent them from adopting clean energy practices.

Over three years, EY polled almost 100,000 residential energy users in 21 markets throughout North and South America, Europe, and Asia Pacific for the study “Energy transition consumer insights.”

Key highlights: 

The study highlights interesting consumer behavior in adopting sustainable energy solutions.

• 65% know how to begin making sustainable energy decisions
• 31% are currently willing to invest more time and money in sustainable energy actions
• 26% have a good understanding of terms like sustainability and renewable energy
• 30% are confident that their energy will remain affordable, 
• Two-thirds report being unable to absorb a 10% increase in energy bills
• Two-thirds have no plans to invest in new energy products over the next three years, but they are interested in rooftop solar or electric vehicles

Challenges:

The study discovered gaps in consumer behavior and government focus areas for clean energy policies. 

For instance, the report emphasized how some jurisdictions are beginning to prioritize replacing gas boilers with heat pumps in their policies. This is even though only 11% of consumers said that heat pumps would be their first choice for energy product purchases over the next three years.

These findings suggest that rising pressures on consumers’ energy affordability are a major reason why consumers are reluctant to invest in clean energy. 

Access is another major barrier preventing the widespread adoption of clean energy. Only 33% of respondents said they were confident in their ability to access clean energy options. Those with low incomes and renters are two to three times less likely to be planning investments in new energy solutions.

Quotes:

Greg Guthridge, Leader, Global Energy & Resources Customer Experience Transformation, EY, emphasized the need to tackle consumer apathy towards energy sustainability, as consumer action is crucial for the success of the energy transition. “Seventy percent of the outcomes of the energy transition depend on people changing their energy consumption, behaviors, and lifestyles. But consumer fatigue is setting in, stalling confidence and stagnating progress.”

He said, “Consumer apprehension comes as we enter a new — more difficult — phase of the energy transition, all while dealing with higher energy prices, geopolitical volatility, and growing concerns around energy equity. While efforts on the supply side are gaining momentum, we need an even more fundamental shift in how we engage and encourage sustainable consumer behavior. Energy consumers want a clean energy future but need a broad range of support to make personal energy choices. Closing the gap between their interest and action will depend on energy providers, government, and the broader energy ecosystem working together to pull every lever available.”