ISSN: 2222-6990
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Appliance energy labels are gaining global recognition as policymakers increasingly prioritize measures to enhance energy efficiency and reduce carbon emissions. They serve as effective tools in encouraging consumers to choose appliances that are more energy-efficient. This study investigated consumer preferences and their willingness to pay (WTP) for energy efficiency labels on rice cooker specifically. The data was surveyed through a choice experiment and analyzed using conditional logit (CL) models. The findings of the study revealed that the signs of all attributes (energy efficiency level, size, warranty period, design, and price) are as expected, and highly significant expect SIZE2 and WARR2. Furthermore, a WTP analysis was conducted for each attribute, highlighting that consumers valued improvements in energy efficiency the most. The WTP values were estimated at CNY1091.95 (USD163) for energy efficiency level 1. These findings have significant policy implications for both energy efficiency labeling programs and home appliance manufacturers.
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In-Text Citation: (Hong et al., 2023)
To Cite this Article: Hong, X., Mohamad, W. N. W., Samdin, Z., & Abdul Samad, A. R. (2023). Consumers’ Preference and Willingness to Pay for Energy Efficiency Labels. International Journal of Academic Research in Business and Social Sciences, 13(8), 882– 890.
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