Onzo

The Government’s Energy White Paper, to be published tomorrow, will fail unless urgent steps are taken to encourage consumers to cut their energy consumption in the home, according to Onzo, which works with utilities to change their customers’ behaviour.

Joel Hagan, the company’s chief executive, said that ministers committed to a low-carbon economy needed to do more to raise awareness of the amount of energy people were wasting in their homes

“If the Government is serious about cutting CO2 emissions, it needs to tackle the chronic energy inefficiency of the country’s existing homes,” said Mr Hagan. “The most promising way to deal with the problem in practical terms is by promoting behaviour change among householders.

“The Government claims the general introduction of smart gas and electricity meters will do that, This is not true. Smart meters provide greater accuracy and frequency of billing but on their own do not provide any more information to consumers, or incentive to change their behaviour, than the present generation of meters does.

“Reducing energy usage and cutting carbon emissions requires effective consumer engagement. Research shows that real-time energy monitoring displays in the home are the most effective tool for bringing about a reduction in energy use. They can cause a fall of some 14 per cent if used fully.

“Rather than demanding investment that is just not going to materialise in the short to medium term, the Government should accept reality and concentrate on promoting more practical ways of meeting the aim of cutting energy use in the home.”

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Onzo, the global provider of unique products and services that help utilities build strong customer relationships, has welcomed the recent report of the New Zealand Parliamentary Commissioner for the Environment, which recognises that smart meters, as they are generally being installed at the moment, have only limited benefit to consumers or to the environment.  Onzo calls for energy retailers to supplement them with other tools.

Nick Lonie, Onzo’s Australia and New Zealand Director, explains, “The installation of smart meters is a good first stage in reducing energy usage and cutting carbon emissions.  The next step requires effective customer engagement.  Research shows that energy monitoring displays are one very effective tool for reducing consumption and shifting use from peak times.  Work carried out by Onzo has found that the energy saved through the use of displays could amount to as much as 13 per cent of the total”.

Displays are not, however, the only way for retailers to provide information about energy use.  Other means, such as web sites, printed reports, and messages sent to mobile telephones all have their part to play.  Onzo believes it would be a mistake for the government to be too specific over how consumers acquire knowledge about energy.  The company’s view is that the objective of providing information rather than how this is done should be stipulated.  Leaving it to the retailers, rather than to the government, to decide how that objective should be met would encourage both innovation and competition.

According to Joel Hagan, Chief Executive of Onzo,” If energy retailers are to avoid the threat of intrusive regulation, now is the time for them to act by investing in consumer-orientated tools”.

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