Understanding and improving household energy consumption and carbon emissions policies ? a system dynamics approach

The purpose of this paper is to propose and demonstrate the application of system dynamics modeling approach to analyze and study the behavior the complex interrelationships among the different policies/interventions aimed at reducing household energy consumption and CO2 emissions (HECCE) based on the Climate Change Act of 2008 of the UK government. The paper uses the system dynamics as both the methodology and tool to model the policies/interventions regarding HECCE. The model so developed shows the complex interrelationships among the different policies/interventions variables and presents the basis for simulating the different scenarios of household energy consumption reduction strategies. The paper concludes that the model is capable of adding to the understanding of the complex system under which HECCE operate and improve it accordingly by studying the behavior of each policy/intervention over time. The outcomes of the research will help decision makers draw more realistic policies/interventions for household energy consumption which is critical to the CO2 emissions reductions agenda of the government.