Americans overwhelmingly agree that the nation’s electrical grid infrastructure should be upgraded to support new generation and further deployment of alternative energy technologies, according to a new survey.
However, the 2009 Green Power Progress Survey also found that there is concern and confusion over the cost. While there are indications that Americans are willing to pay more for infrastructure to generate energy from alternative sources, a sizable gap exists between what they think this will cost and what they say they are willing to pay.
The Green Power Progress Survey shows that Americans say they are willing to pay 15% more ($18/month, based on the average electricity bill noted by respondents) than what they pay today for energy that comes from alternative sources. In a stark comparison, Americans also believe green energy is at least 50% more ($62/month) expensive than what they currently pay. These findings point to a ($40+) Green Power Pricing and Perception Gap existing among consumers. Not surprisingly, the gap ($29) is smaller for Green Elites, a group identified as active participants in the sustainability and environment sector.
"This gap is limiting the role end users can play in upgrading the nation’s grid infrastructure and deploying green technology solutions," said Jennifer Graham Clary, Chair, Global Technology Practice, Burson-Marsteller. "Consumer awareness around pricing, value and the specific consumer benefits of these upgrades is critical for companies and public agencies seeking to drive the commercialization of new energy and green technology solutions."
"Consumers overwhelmingly support government investment in green technology," said Derek Richer, Director, Penn, Schoen & Berland Associates. "Seven in 10 Americans and eight in 10 Green Elites support the alternative energy technology investments included in the stimulus package – and a majority said that more should have been allocated for these projects." Indeed, 57 percent of Americans and 70 percent of Green Elites agree that significant upgrades to the nation’s electrical grid are necessary to meet the demand for electricity over the next 5 years.
In the survey, more than 1000 Americans were asked about their monthly electricity bill. Respondents indicated that they paid an average of $117 in April 2009 for electricity. For most Americans (61 percent), this was an increase from last year. The survey also found that there are indications that Americans may be willing to directly pay for the benefits of Smart Grid and green technology solutions for their household. On average, Americans are willing to pay a onetime fee of $50 to install necessary hardware in their homes and service charges of $10 per month.
"Additionally, we found that more than six in 10 Americans and Green Elites are very likely to support increased government investment in Smart Grid technology that incentivizes them to better manage costs by cutting back on consumption during peak periods," said Graham Clary. "The support likely stems from empowering the individual to have greater control over energy usage."
View an executive summary of the study at the link below.
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