Demand Side Management in
Low Income Households
Lessons from Sri Lanka
Harsha Wickramasinghe
Sri Lanka Sustainable Energy Authority
Why DSM matters in low income
households?
 Can make or break family budgets
 Disconnections can be costly show stoppers
 Tariff concessions decouple reality from
decision making
 Exert great pressure on generation systems
Why DSM often fail?
 Purchase decisions made, based on short term
perspectives
 No excess cash in hand
 Better technologies never reach the outskirts
of society
 Well insulated from tariffs
Intriguing cash flows of a low
income family
 Single bread winner
 Often the finance manager is the bread winner, but
 Thrift is a feminine concept
 Most families are run by mothers
 Many other financial instruments
 Utility bill payments (complex)  male
 Other expenses (essentials) - female
Why low interest shown by women
in energy saving ?
 Electricity is a techy thing
 Interfere with their only means of
entertainment
 End of month phenomenon, no immediate
pain/joy (if any)
A campaign to reduce demand
not energy
 Focussed on lighting and other contributors to
peak demand
 Main strategies- switch-off, improve efficiency,
differ from peak
 Campaign theme absurdism
 For obvious reasons
Touching the gender divide
 Subtle use of age old rivalry between sexes
 Men as worthless loafers / sinners
 Women as thoughtless wasters
 Creative use of cultural negativism
 Portray energy waste in a bad light
 Rode available cultural / media waves
 Reality shows etc.
 Touched on unfamiliar terrain, to stand out in the clutter
Results
 Contributed to decouple GDP growth from
electricity demand growth
 Lowered demand growth trajectory
 Drove CFL sales up, by 30%
 Made CFL the main source of lighting
312MW demand and 350GWh energy saved
35
70%
30
60%
50%
25
40%
20
30%
15
20%
10
10%
5
0
2001
0%
2002
2003
CFL
2004
2005
2006
Normal
2007
2008
2009
Penetration %
-10%
2010
CFL Penetration %
Light Sources Imported (millions/year)
Lighting Efficiency Gains
Challenges
 Maintaining a media campaign
 Exorbitant cost of media space-time
 Fatigue prone
 Consolidation of change
 Need many other actions, outside
communications sphere
THANK YOU..!