| close this window |
| Source: | News Observer |
| Published: | Thursday, December 20, 2007 |
Introduction
As an increasing number of retailers launch green tariffs and green energy is more prominently offered, Australian consumers are signing up to green power at a rapid rate. The country now has amongst the highest penetration of residential customers buying accredited green energy in the world, and the share of households taking a green product is expected to reach double figures by 2009.
Scope
A May 2007 survey of 2000 Australian households regarding behaviours and attitudes towards green energy and other environmental initiatives. A comparison of the 2007 survey results with a similar survey conducted in 2005. Breakdown of responses by state, age group, spending and household size. Analysis of historic take-up of accredited green power by state, share of customers by supplier and price comparisons across all tariffs.
Highlights
Residential green power customers doubled in the 12 months to June 2007 to pass half a million by June 2007. The number is expected to reach one million by mid-2009, with 11.5% of households expected to be purchasing accredited green power. Take-up is being driven by desire to help the environment and a limited price differential with existing tariffs, with green power just one of an increasingly wide range of environmental measures being adopted by households. Resistance to green tariffs is primarily due to additional cost and lack of understanding, though consumer awareness campaigns and new regulations helped significantly to improve knowledge of green power during 2007.
Reasons to Purchase
Identify key sources of information for consumers when switching and the effectiveness of various offers in encouraging customers to switch. Understand the reasons behind customers choosing to buy green power, and what is preventing others. Evaluate the potential for further take-up of green power by state, including forecasts through to 2009.
Contents:
Our View
Catalyst
Summary
Methodology
Analysis
Australia has one of the highest rates of take-up of green tariffs worldwide
Residential green power customers doubled in the 12 months to the end of June 2007 to pass half a million
Over 10% of residential customers in Victoria had signed up to green power by 30 June 2007
Take-up of green energy in Australia is higher that many other deregulated energy markets
While consumers are increasingly taking up green power, most are choosing options with the smallest share of accredited green power
Origin Energy has dominated the green power market, but the market is becoming increasingly fragmented
Prices vary significantly within the different accredited bands
Take-up is being driven by desire to help the environment and limited price differential with existing tariff
Resistance to green tariffs is primarily due to additional cost and lack of understanding
The more options, the more confusion for customers
A quarter of respondents have not got round to it
Carbon offsetting is not expected to take the place of green energy
Green power is just one of an increasingly wide range of environmental measures being adopted by households
CONCLUSIONS AND FORECASTS
Australia forecast to have over one million green power customers by mid-2009
APPENDIX
Green energy products offered in Australia
ActewAGL
AGL
Alinta
Australian CO2 Exchange (ACX)
Aurora Energy
Australian Power & Gas
Click Energy
Climate Friendly
Country Energy
COzero
EnergyAustralia
Energy Pacific/Pacific Hydro
Ergon Energy
GreenSwitch
Integral Energy
Jackgreen
Origin Energy
Qenergy
Simply Energy
Synergy
TRUenergy
Victoria Electricity
Definitions
Sources
Further reading
Ask the analyst
List of Tables
For more information visit http://www.researchandmarkets.com/reports/c77998