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Peak electricity demand is a pressing international energy policy concern, causing widespread blackouts and increasing the cost of electricity for all consumers. In Australia alone, billions of dollars in investment are being used to upgrade electricity distribution and transmission infrastructure, and build generation plants to provide power during periods of peak demand. Despite these efforts (and in some cases because of them), there are growing concerns about the frequency of blackouts, particularly on hot summer days when residential air-conditioning demand adds disproportionately to peak loads (Wilkenfeld, 2004). Consequently, a range of demand management strategies have emerged, such as time-of-use pricing and consumption feedback, to educate and incentivize consumers to shift or reduce peak demand.

The primary purpose of this conceptual chapter is not to contribute towards existing debates about …