Improving blackout policies with smart meters

Mar Reguant, IAE-CSIC, and ICREA Research Professor, Spain

Monday 1 December 2025, 12.00 PM

ICMAB - Sala d'Actes Carles Miravitlles and ONLINE (Register here)

Abstract

As shortages of resources like water and electricity due to extreme weather events become more frequent, high prices alone may fail to curb demand, making shortages more common. We propose a power limit policy for residential electricity households that rations electricity consumption rather than setting it to zero, as in a traditional rolling blackout. We find that power limits can provide equivalent savings to large blackouts, even when generous. Additionally, due to selection, power limits reduce the number of households affected by a shortage event. We conclude by discussing the welfare consequences of power limits and their heterogeneous impact across households.

Short bio

Hosted by Albert Verdaguer, from the Surfaces group (Materials for Energy Research Line)

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