WHITE PAPER Energy & Environment Consumer Survey Consumer Attitudes and Awareness of 13 Smart Energy Concepts Published 4Q 2012 Charul Vyas Industry Analyst Carol L. Stimmel Research Director Energy & Environment Consumer Survey Section 1 EXECUTIVE SUMMARY 1.1 Introduction Pike Research conducted a consumer survey of more than 1,000 U.S. adults, based on a nationally representative and demographically balanced sample, during the third quarter of 2012. The survey included questions on a variety of energy topics, as well as a thorough examination of consumer demand for electric vehicles and smart grid technologies. Analysis of consumer demand for electric vehicles and smart grid technologies is featured in two separate Pike Research reports: Electric Vehicle Consumer Survey and Smart Grid Consumer Survey. The 2012 consumer survey also included a question aimed at ascertaining a more general view of consumer attitudes toward the following energy and environmental concepts: » » » » » Clean Energy › Solar energy › Wind energy › Clean coal › Nuclear power Clean Transportation › Hybrid vehicles › Electric cars › Natural gas vehicles › Biofuels Smart Grid › Smart grid › Smart meters Carbon Management › Carbon offsets/credits › Cap and trade Building Efficiency › LEED certification ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 1 Energy & Environment Consumer Survey In order to create this broad view of consumer opinions, Pike Research presented the following question and possible responses to respondents: Please indicate your impression of each of the following concepts related to energy and the environment. If you are not familiar with a term, please choose N/A. » Strongly unfavorable » Somewhat unfavorable » Neutral » Favorable » Very favorable » N/A – Not sure / not familiar This white paper presents all of the responses to this question as a basis for comparing consumer views of these topics to one another. In addition to favorable and unfavorable opinions, Pike Research analyzes the number of respondents unfamiliar with a concept to compare the levels of consumer awareness within each topic. 1.2 Key Findings There were few changes in the survey responses from 2011 to 2012. First, many in the general population are likely to have already formed opinions about energy and environmental topics, and these views are holding steady despite some challenges in the space. Examples of such challenges include the demise of some high profile solar energy firms and concerns around smart grids/smart meters and consumer privacy. In addition, despite efforts to educate consumers about the benefits of these energy and environmental topics, attitudes around these topics are slow or difficult to change. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 2 Energy & Environment Consumer Survey Chart 1.1 shows the percentage of favorable and very favorable responses to each of the 13 topics presented in the survey with the following noteworthy findings: Chart 1.1 » More than two-thirds of respondents (69%) favored the concept of solar energy, which led all concepts in favorable responses. » Cap and trade received the fewest favorable responses (only 15%). Favorable Impressions of Energy and Environmental Concepts, United States: 2012 Solar Energy 28% 41% Wind Energy 30% Hybrid Vehicles 30% Electric Cars 28% 19% Nuclear Power 23% 18% 25% 14% 23% Smart Grid 16% 21% Carbon Offsets/Credits 13% LEED Certification Cap and Trade 8% 0% 15% 8% 11% 9% 7% 10% 49% 21% 23% Smart Meters 54% 22% Clean Coal Biofuels 66% 24% 27% Natural Gas Vehicles 69% 36% 49% 42% 41% 39% 39% Favorable 36% Very Favorable 21% 20% 15% 20% 30% 40% 50% 60% 70% 80% (n=989) (Source: Pike Research) Chart 1.2 includes the percentage of unfavorable responses while Chart 1.3 indicates the percentage of respondents who were unfamiliar with or neutral on each topic. These summary graphs reveal the following key results: » Nuclear power, cap and trade, and carbon credits/offsets garnered the most unfavorable reactions with 20%, 19%, and 19% respectively. Solar and Leadership in Energy and Environmental Design (LEED) certification had the smallest percentage of negative responses (7% and 8%, respectively). » Consumers were the least familiar with LEED certification; nearly three-fourths of respondents reported that they were not familiar with or neutral on the concept. Solar energy and wind were recognizable to most consumers, resulting in less than a quarter of respondents choosing the unfamiliar/neutral response option. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 3 Energy & Environment Consumer Survey Chart 1.2 Unfavorable Impressions of Energy and Environmental Concepts, United States: 2012 Nuclear Power 20% 12% 8% Cap and Trade 11% 8% 19% Carbon Offsets/Credits 11% 8% 19% Electric Cars Hybrid Vehicles 5% Biofuels 5% Clean Coal 4% 14% 9% 7% 12% 11% 7% Wind Energy 4% 6% Natural Gas Vehicles 4% 6% Smart Meters 4% 5% Smart Grid 4% 4% 8% LEED Certification 4% 4% 8% 10% 10% 9% 7% Solar Energy 3% 4% 0% Somewhat Unfavorable 17% 10% 7% Strongly Unfavorable 10% 20% 30% 40% 50% 60% 70% 80% (n=989) (Source: Pike Research) Chart 1.3 Neutral Impression/No Opinion of Energy and Environmental Concepts, United States: 2012 LEED Certification 42% Cap and Trade 30% 36% Carbon Offsets/Credits Smart Grid 31% 30% 31% 9% Electric Cars 6% Hybrid Vehicles 6% Wind Energy 6% Solar Energy 5% 0% 50% 46% 28% 11% Nuclear Power 51% 34% 18% Natural Gas Vehicles 57% 27% 16% Clean Coal 58% 27% 24% Biofuels 42% 38% 29% 2034 28% 26% N/A 32% Neutral 24% 18% 23% 18% 10% 66% 30% 27% Smart Meters 72% 20% 30% 40% 50% 60% 70% 80% (n=989) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 4 Energy & Environment Consumer Survey Table 1.1 shows the favorable impressions (top two boxes) of energy and environmental concepts for each year between 2009 and 2012. For concepts where there is a year over year change that falls beyond the 3% margin of error an up or down arrow is shown, indicating that these concepts have seen a change from the previous year. Not all concepts were asked about from the start of the survey, and those that were not in earlier surveys are indicated with an N/A. Since 2009, there have been steady declines in favorability for some concepts, particularly the most favorable concepts such as solar energy, wind energy, hybrid vehicles, and electric cars. For other concepts such as clean coal, nuclear power, and biofuels, there has been stabilization in favorability between 2011 and 2012. Table 1.1 Favorable Impressions of Energy and Environmental Concepts, United States: 2009-2012 Concept 2009 2010 2011 2012 Solar Energy 81% 79% 77% 69% Wind Energy 79% 75% 71% 66% Hybrid Vehicles 70% 64% 61% 54% Electric Cars 62% 57% 55% 49% N/A N/A 51% 49% Clean Coal 52% 47% 42% 42% Nuclear Power 47% 42% 40% 41% Biofuels 56% 47% 39% 39% N/A 37% 38% 39% Smart Grid 47% 37% 37% 36% Carbon Offsets/Credits 26% 24% 19% 21% LEED Certification 16% 19% 18% 20% Cap and Trade 16% 15% 14% 15% Average Favorability 50% 45% 43% 42% Natural Gas Vehicles Smart Meters (Source: Pike Research) Arrows indicate a significant increase or decrease from the previous year outside the +/- 3% margin of error for this survey. Table 1.2 shows the unfavorable responses (bottom two boxes) to the 13 energy and environmental concepts the survey inquired about. As expected, the unfavorable responses to topics such as solar energy, wind energy, hybrid vehicles, and electric cars has increased over the years as favorable responses have decreased. However, these changes have been slow and not significant, aside from electric cars between 2010 and 2011 and hybrid vehicles between 2011 and 2012. Some other concepts that had seen increases in unfavorable ratings in past years, such as carbon offsets, cap and trade, and LEED certification, saw stabilization between 2011 and 2012. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 5 Energy & Environment Consumer Survey Table 1.2 Unfavorable Impressions of Energy and Environmental Concepts, United States: 2009-2012 Concept 2009 2010 2011 2012 Solar Energy 3% 4% 6% 7% Wind Energy 4% 5% 8% 10% Hybrid Vehicles 8% 9% 10% 14% Electric Cars 9% 10% 16% 17% Natural Gas Vehicles N/A N/A 9% 10% Clean Coal 11% 11% 12% 11% Nuclear Power 16% 19% 23% 20% Biofuels 8% 9% 9% 12% Smart Meters N/A 7% 9% 9% Smart Grid 7% 5% 6% 8% 20% 18% 25% 19% 5% 5% 9% 8% 12% 18% 22% 19% 9% 10% 13% 13% Carbon Offsets/Credits LEED Certification Cap and Trade Average Unfavorability (Source: Pike Research) Arrows indicate a significant increase or decrease from the previous year outside the +/- 3% margin of error for this survey. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 6 Energy & Environment Consumer Survey Section 2 CLEAN ENERGY 2.1 Solar Energy As shown in Chart 1.1 and Chart 1.2 in the previous section, solar energy possesses both the highest percentage of favorable opinions (69%) and the lowest percentage of unfavorable opinions (7%) among all energy and environmental concepts covered. This concept also received the smallest percentage of neutral (18%) and not sure/not familiar (5%) responses. Chart 2.1 below illustrates the breakdown of consumer impressions of the solar energy concept. Responses for the top two boxes (very favorable and favorable) are down 8 percentage points from 2011 when 77% of respondents viewed solar energy in a positive light. While the survey did not explore the reasons behind this decrease, Pike Research believes it may be due to the negative media attention around the failure of some solar energy firms in the United States. A large number of respondents (42%) indicated a very favorable impression of the solar energy concept; it is one of the least controversial green technologies in the eyes of consumers. Pike Research attributes solar energy’s high level of consumer acceptance to its relatively long history in the market, the variety of applications, and the non-intrusive nature of most solar technologies, including photovoltaic (PV) panels. Chart 2.1 Consumer Favorability for Solar Energy, United States: 2012 Strongly Unfavorable 3% Somewhat Unfavorable 4% N/A 5% Very Favorable 42% Neutral 18% Favorable 28% (n=989) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 7 Energy & Environment Consumer Survey Pike Research’s demographic analysis of responses to the solar energy concept revealed a few distinct trends, as shown in Chart 2.2 below. The high levels of favorable impressions across the gender, income, education, and age segments suggest that solar energy enjoys widespread appeal from the mass market. While favorable opinions were high among all education segments, those with the highest level of education had the highest favorable rating for solar energy at 77%.Those with the lowest level of education, a high school diploma or less, exhibited a distinctly lower percentage of favorable responses (58%). Another interesting demographic correlation exists across age segments. Surprisingly, older respondents were more likely to have a favorable view of solar energy than younger respondents. While it is commonly assumed that younger consumers are more enthusiastic about energy and environmental concepts, the percentage of favorable responses in the under 30 age segment was 13 percentage points lower than in the 45–64 age segment. However, it was the oldest age segment (65 or older) that had the highest percent of respondents that viewed solar energy positively (76%). Also of note, solar energy favorability increases as income levels increase. A higher percent of respondents with incomes of $125,000 or more (80%) had a favorable view of solar energy compared to those with incomes of less than $35,000 (66%). ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 8 Energy & Environment Consumer Survey Chart 2.2 Consumer Favorability for Solar Energy by Demographic Segment, United States: 2012 Average 41% Education Graduate School 44% 4-Year College Degree 2-Year College Degree Income 30% 39% 44% $75,000 - $125,000 44% $35,000 - 75,000 44% Less than $35,000 Gender 35% 44% $125,000+ Very Favorable Favorable 27% 36% High School Graduate or Less Age 33% 41% Technical School/Some College 19% 35% 24% 27% 40% 26% Female 42% Male 41% 65+ 41% 35% 45 - 64 43% 31% 30 - 44 42% Under 30 29% 26% 28% 37% Caucasian Ethnicity 28% 23% 43% Hispanic 28% 36% African American 32% Asian American 33% 17% 41% All Other 39% 33% 0% 20% 29% 40% 60% 80% 100% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 9 Energy & Environment Consumer Survey A segmentation analysis based on behavioral and political trends such as the respondents’ monthly spend on electricity, self-identification in the tech adopter lifecycle, and political identification is shown below in Chart 2.3. It shows that favorability levels were varied across monthly electric spending segments and that Democrats had higher favorability for solar than Republicans (75% and 65%, respectively). While the merits of some clean technologies have yet to be established in the minds of consumers, solar energy has reached a point where the vast majority of consumers view the concept in a positive light. Chart 2.3 Consumer Favorability for Solar Energy by Behavioral and Political Segment, United States: 2012 Very Favorable Average 41% Early Adopter 42% Early Majority 28% 21% 46% Late Majority Monthly Electric Bill Favorable 27% 43% Laggards 31% 30% Less than $100 28% 44% $100 - $200 24% 41% $200 - $300 31% 43% More than $300 29% 38% Not Sure About Bill 38% 29% 24% Democrats 49% Republicans 26% 36% 0% 10% 20% 29% 30% 40% 50% 60% 70% 80% (n=989) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 10 Energy & Environment Consumer Survey 2.2 Wind Energy Only slightly less popular than solar energy, wind energy was viewed as either favorable or very favorable by 66% of respondents, down slightly from 71% in 2011. Only 10% of respondents held unfavorable opinions of wind energy, up slightly (2 percentage points) from 2011. Approximately a quarter of respondents were neutral or had no opinion on wind energy. The similarly high levels of favorable views toward solar and wind energy indicates that consumers are generally supportive of the more established renewable energies that harness naturally occurring power sources. Since these two concepts have retained their most favored status year over year, Pike Research asserts that consumers consider these renewable energies to be important pieces in the power generation portfolio of the future. Chart 2.4 Consumer Favorability for Wind Energy, United States: 2012 Strongly Unfavorable 4% N/A 6% Somewhat Unfavorable 6% Very Favorable 36% Neutral 18% Favorable 30% (n=989) (Source: Pike Research) The demographic patterns of consumer views of wind energy are analogous to those of solar energy. As shown in Chart 2.5 below, education, income, and age exhibit the most significant impact on a consumer’s view of wind energy. The high school graduate or less segment displayed a slightly lower favorability response (57%) compared to the higher education segments. The 65 and older age group had the highest favorability with wind energy (73%), while the under 30 age group was least enthusiastic about wind energy (59%). Favorable opinions of wind energy also rose with incomes. Of the respondents who made less than $35,000, 62% reported favorable opinions of wind energy compared to 74% of those with incomes of $125,000 or more. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 11 Energy & Environment Consumer Survey Chart 2.5 Consumer Favorability for Wind Energy by Demographic Segment, United States: 2012 Average Education Graduate School 4-Year College Degree Income Gender 30% 35% 2-Year College Degree 34% $125,000+ 34% $75,000 - $125,000 23% 40% 26% 43% $35,000 - 75,000 28% 40% 28% 33% Female 37% Male 35% 65+ 31% 29% 32% 41% 45 - 64 35% 33% 30 - 44 27% 39% Under 30 Favorable 30% 38% High School Graduate or Less Very Favorable 33% 33% Less than $35,000 Age 34% 40% Technical School/Some College Ethnicity 30% 36% 29% 30% Caucasian 39% 29% Hispanic 40% 28% African American 24% Asian American 22% All Other 23% 0% 20% 52% 32% 20% 40% 60% 80% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 12 Energy & Environment Consumer Survey When viewed by behavioral and political segmentation, Pike Research’s survey shows that respondents who viewed themselves as the early majority or late majority in terms of technology adoption held slightly more positive views of wind energy, 70% and 69%, respectively. Note that these results differ from those for clean technology topics such as smart grids where early adopters reported the highest level of favorability. This may be because wind and solar energy are becoming more mainstream. Also of note, respondents with electric bills in excess of $200 held more positive opinions of wind energy, as did those who identified themselves as Democrats. Chart 2.6 Consumer Favorability for Wind Energy by Behavioral and Political Segment, United States: 2012 Very Favorable Average 36% Early Adopter 36% Early Majority 30% 26% 39% Late Majority Monthly Electric Bill Favorable 31% 37% Laggards 32% 29% Less than $100 27% 37% $100 - $200 29% 35% 32% $200 - $300 41% 31% More than $300 42% 30% Not Sure About Bill 23% 28% Democrats 44% Republicans 28% 34% 0% 10% 20% 26% 30% 40% 50% 60% 70% 80% (n=989) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 13 Energy & Environment Consumer Survey 2.3 Clean Coal Consumer impressions of clean coal were less favorable than those for the renewable energy concepts covered. 42% of respondents indicated a very favorable or favorable impression of clean coal, the same percentage as 2011 and a decrease of 5 percentage points from Pike Research’s survey in 2010. This concept ranked seventh among all the concepts covered in this survey in terms of unfavorable impressions with 11% of respondents. A large percentage of respondents (47%) were unfamiliar with clean coal or had no opinion on it. Chart 2.7 Consumer Favorability for Clean Coal, United States: 2012 N/A 18% Very Favorable 19% Strongly Unfavorable 4% Somewhat Unfavorable 7% Favorable 23% Neutral 29% (n=988) (Source: Pike Research) When demographic information is applied to consumer attitudes toward clean coal, some interesting variations are evident. As Chart 2.8 below shows, men had a more favorable view of clean coal than women (46% vs. 38%). In addition, favorability varied by age group, as older respondents had a more favorable opinion of clean coal technology. Only 37% of the under 30 segment had favorable views on the concept. However, more than half of the 65 and older segment reported a favorable view on the concept. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 14 Energy & Environment Consumer Survey Education Chart 2.8 Consumer Favorability for Clean Coal by Demographic Segment, United States: 2012 Average 19% Graduate School 20% 4-Year College Degree 19% 2-Year College Degree Income Gender 23% Favorable 24% High School Graduate or Less 21% $125,000+ 19% $75,000 - $125,000 17% 23% 21% 27% $35,000 - 75,000 27% 16% 19% 20% Female 22% 16% Male 24% 21% 65+ 32% 19% 45 - 64 23% 17% 30 - 44 22% 21% Under 30 18% Caucasian 18% Hispanic 19% 23% 19% 22% African American 16% Asian American 17% All Other 19% 28% 24% 20% 0% Very Favorable 23% 17% Less than $35,000 Age 29% 16% Technical School/Some College Ethnicity 23% 10% 20% 30% 40% 50% 60% (n=986) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 15 Energy & Environment Consumer Survey Certain behavioral trends also play a role in a consumer’s view of clean coal, as illustrated in Chart 2.9. Consumers who indicated that they are early adopters of new technologies showed significantly higher levels of favorable responses (55%) than the entire sample (42%). Those with electric bills in excess of $200 per month also held more favorable views of clean coal. When viewed along political lines, more Republicans (53%) held favorable views of clean coal than Democrats (35%). Chart 2.9 Consumer Favorability for Clean Coal by Behavioral and Political Segment, United States: 2012 Average 23% 19% Early Adopter Early Majority 24% 20% Late Majority Monthly Electric Bill 22% 33% Laggards Very Favorable 24% 17% 22% 12% Less than $100 17% $100 - $200 18% $200 - $300 Favorable 23% 24% 23% 28% More than $300 31% 33% Not Sure About Bill 17% 6% Democrats 20% 15% Republicans 29% 24% 0% 10% 20% 30% 40% 50% 60% 70% (n=988) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 16 Energy & Environment Consumer Survey 2.4 Nuclear Power Among the clean energy concepts covered in this report, nuclear power received the smallest percentage of favorable responses (41%) and the largest percentage of unfavorable responses (20%). Additionally, 39% of respondents had a neutral opinion or no opinion when it comes to nuclear power. It is interesting to note that even with the disaster in Fukushima, Japan opinions of nuclear power have not changed much in the past 2 years. Chart 2.10 Consumer Favorability for Nuclear Power, United States: 2012 N/A 9% Strongly Unfavorable 8% Very Favorable 18% Somewhat Unfavorable 12% Favorable 23% Neutral 30% (n=982) (Source: Pike Research) Opinions of nuclear power vary significantly depending on the consumer’s demographics. As shown in Chart 2.11 below, clear correlations exist within each demographic category. Similar to clean coal, there are differences in opinions about nuclear energy in relation to gender. These differences are even more pronounced for nuclear, with 30% of women and half of men holding favorable views of nuclear energy. Favorable opinions of nuclear energy increase with age. In fact, it is the 65 and older segment that has the highest favorable impression of nuclear energy (52%). This percentage is slightly lower than in the 2011 survey (54%) and much lower than in the 2010 survey. In the latter survey, 72% of respondents in the 65 and older age group reported a favorable impression of nuclear energy. There is also a clear positive correlation between level of education and favorability toward nuclear power, as the percentage of favorable responses increases along with the level of education. A similarly positive correlation exists across income segments. Half of respondents earning between $75,000 and $125,000 per year and 54% of respondents earning $125,000 or ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 17 Energy & Environment Consumer Survey more a year had a favorable impression of nuclear power, while only 34% of those earning less than $35,000 expressed this view. Chart 2.11 Consumer Favorability for Nuclear Power by Demographic Segment, United States: 2012 Average 18% Education Graduate School 22% 4-Year College Degree 2-Year College Degree Income Gender 25% 19% Technical School/Some College 15% High School Graduate or Less 15% Very Favorable 16% 28% Favorable 15% 22% $75,000 - $125,000 33% 30% $35,000 - 75,000 20% 19% Less than $35,000 22% 13% Female 21% 11% 19% Male 25% 65+ Age 25% 21% $125,000+ 26% 24% 45 - 64 18% 30 - 44 18% Under 30 Ethnicity 23% 28% 23% 20% 13% Caucasian 20% Hispanic 19% African American 7% Asian American 22% 23% 19% 19% 14% All Other 11% 0% 31% 20% 10% 20% 30% 40% 50% 60% (n=980) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 18 Energy & Environment Consumer Survey Behavioral tendencies are weaker indicators of favorability toward nuclear power. However, 58% of respondents with electric bills higher than $300 a month held positive impressions of nuclear energy. Those consumers who identified themselves as laggards in the technology adoption curve and those who identified themselves as Democrats were less enthusiastic about nuclear energy. Chart 2.12 Consumer Favorability for Nuclear Power by Behavioral and Political Segment, United States: 2012 Average Early Adopter 25% 25% Early Majority 24% 18% Late Majority Monthly Electric Bill 23% 18% 24% 20% Laggards Less than $100 Very Favorable 18% 10% Favorable 24% 16% $100 - $200 20% $200 - $300 20% More than $300 23% 23% 26% 32% Not Sure About Bill 18% 9% Democrats 22% 11% Republicans 25% 27% 0% 10% 20% 30% 40% 50% 60% 70% (n=982) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 19 Energy & Environment Consumer Survey Section 3 CLEAN TRANSPORTATION 3.1 Hybrid Vehicles Following the two clean energy concepts of solar and wind, hybrid vehicles received the highest percentage of favorable responses at 54%, down from 62% in 2011. With a majority of favorable responses (only 14% unfavorable responses), hybrid vehicles are another widely accepted clean technology among consumers. The concept also received the third fewest neutral and not familiar responses among all concepts at 32%. The full breakdown of responses to the hybrid vehicle concept can be found in Chart 3.1. Chart 3.1 Consumer Favorability for Hybrid Vehicles, United States: 2012 Strongly Unfavorable 5% Somewhat Unfavorable 9% N/A 6% Very Favorable 24% Neutral 26% Favorable 30% (n=986) (Source: Pike Research) A demographic segmentation analysis of responses within the hybrid vehicle section shows little significant variation. The exceptions exist within the education and income segments. Those respondents with a high school education or less had a lower favorability rating for hybrid vehicles, and those with graduate degrees had the highest favorability rating (59%). Favorability also increases with income. 47% of respondents with incomes of less than $35,000 and 61% of respondents with incomes of $125,000 or more per year held favorable views of hybrid vehicles. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 20 Energy & Environment Consumer Survey Chart 3.2 Consumer Favorability for Hybrid Vehicles by Demographic Segment, United States: 2012 Education Average Graduate School 26% 4-Year College Degree 26% 2-Year College Degree Income 33% $125,000+ 28% $75,000 - $125,000 29% $35,000 - 75,000 33% 29% 31% 27% 20% Female 24% 29% Male 24% 30% 65+ 26% 31% 34% 23% 30 - 44 28% 27% Under 30 30% 21% Caucasian 29% 24% Hispanic 31% African American 31% Asian American 29% 20% 43% 24% All Other 36% 16% 0% Favorable 18% 27% 45 - 64 Very Favorable 32% 23% Less than $35,000 Gender 31% 25% High School Graduate or Less Age 33% 20% Technical School/Some College Ethnicity 29% 24% 20% 40% 60% 80% (n=984) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 21 Energy & Environment Consumer Survey Chart 3.3 demonstrates that a segmentation analysis based on behavioral habits revealed a few notable findings. As expected, those respondents who categorized themselves as early adopters or early majority held more positive views of hybrid vehicles (62% and 61%, respectively), while those that described themselves as laggards held less favorable opinions of hybrid vehicles (40%). Additionally, respondents with electric bills in excess of $300 held much more favorable opinions of hybrid vehicles (70%). In terms of political segments, there was a 25 percentage point spread between Republicans and Democrats; 41% of Republicans and 66% of Democrats held positive views of hybrids. Chart 3.3 Consumer Favorability for Hybrid Vehicles by Behavioral and Political Segment, United States: 2012 Average 24% Early Adopter 39% Early Majority 23% 26% Late Majority Monthly Electric Bill 30% 34% 23% Laggards 31% 16% Less than $100 24% $100 - $200 23% $200 - $300 Very Favorable 24% 29% Favorable 33% 29% 19% More than $300 44% Not Sure About Bill 15% Democrats 26% 29% 32% Republicans 16% 0% 10% 34% 25% 20% 30% 40% 50% 60% 70% 80% (n=986) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 22 Energy & Environment Consumer Survey 3.2 Electric Cars The concept of electric cars tied for fourth place with the concept of natural gas cars (after wind, solar, and hybrid vehicles) in terms of having the most favorable responses at 49%, which decreased 6 percentage points in the last year. Chart 3.4 points out that of the remaining 51%, a third were neutral or had no opinion and 17% held unfavorable views. Chart 3.4 Consumer Favorability for Electric Cars, United States: 2012 Strongly Unfavorable 7% N/A 6% Very Favorable 22% Somewhat Unfavorable 10% Neutral 28% Favorable 27% (n=980) (Source: Pike Research) When segmenting the favorable responses by the demographic characteristics of the respondents, differences were again seen within the education segments. The least educated respondents had lower favorability ratings for electric cars (40%), and the most educated had the highest favorability ratings (56%). Within the income levels, only the highest income bracket gave electric cars a noticeably higher favorability rating. Unlike previous years, there was little difference by age range; favorability ranged between 46% and 51%. In 2011, younger consumers held a more positive view of electric cars (61% for those under 30) than the older than 65 consumers (46%). In 2012, some variation was seen within ethnicity; the Asian American segment showed a higher percentage of favorable views. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 23 Energy & Environment Consumer Survey Chart 3.5 Consumer Favorability for Electric Cars by Demographic Segment, United States: 2012 Average 22% Education Graduate School 25% 4-Year College Degree Income Gender 28% Very Favorable 2-Year College Degree 16% 28% Favorable 20% High School Graduate or Less Age 31% 23% Technical School/Some College Ethnicity 27% 29% 22% $125,000+ 26% $75,000 - $125,000 27% $35,000 - 75,000 20% Less than $35,000 22% Female 20% Male 18% 32% 23% 33% 22% 28% 23% 65+ 20% 45 - 64 21% 30 - 44 25% 28% 25% 25% 26% Under 30 19% 30% Caucasian 21% 27% Hispanic 29% African American 22% 21% Asian American 22% 30% All Other 41% 24% 0% 20% 20% 40% 60% 80% (n=978) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 24 Energy & Environment Consumer Survey As Chart 3.6 details, those respondents that identified themselves with the early adopter and early majority groups held higher favorability ratings for electric cars (59% and 54%, respectively). In addition, those with higher electric bills (monthly bills in excess of $300) looked more favorably upon electric cars. Also of note, there was a 23 percentage point gap between Democrats and Republicans. Chart 3.6 Consumer Favorability for Electric Cars by Behavioral and Political Segment, United States: 2012 Average 22% Early Adopter 32% Early Majority 27% 24% Late Majority Monthly Electric Bill 27% 30% 20% Laggards 28% 16% Less than $100 22% $100 - $200 Favorable 23% 20% $200 - $300 Very Favorable 19% 31% 23% More than $300 29% 40% Not Sure About Bill 15% Democrats 18% 23% 28% Republicans 32% 15% 0% 10% 23% 20% 30% 40% 50% 60% 70% (n=980) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 25 Energy & Environment Consumer Survey 3.3 Natural Gas Vehicles As with electric cars, favorability for natural gas vehicles was close to 50%, consistent with the 52% favorability rating seen in 2011. More than 40% of respondents had a neutral opinion or no opinion on this topic, and 10% had unfavorable views of natural gas vehicles. This is an interesting finding since there are no commercially available natural gas vehicles in the United States. It may be that consumers lump all alternative fuel vehicles together or assume that a natural gas car would be less expensive to run than a gasoline-powered car. Chart 3.7 Consumer Favorability for Natural Gas Vehicles, United States: 2012 N/A 11% Strongly Unfavorable 4% Very Favorable 21% Somewhat Unfavorable 6% Neutral 30% Favorable 28% (n=985) (Source: Pike Research) When segmenting the favorable responses by the demographic characteristics of the respondents, differences were once again seen within the education segment. Those respondents with a high school diploma or less held lower favorability ratings of natural gas vehicles than those with 4-year college degrees (43% vs. 54%). In addition, those that earned more than $75,000 annually held a more favorable impression of natural gas vehicles, as did men. Survey participants who were younger than 30 years old held lower favorability impressions of natural gas vehicles compared to the older age groups. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 26 Energy & Environment Consumer Survey Chart 3.8 Consumer Favorability for Natural Gas Vehicles by Demographic Segment, United States: 2012 Average 21% Age Gender Income Education Graduate School 18% 4-Year College Degree 29% 24% 2-Year College Degree 30% 15% 32% Technical School/Some College 21% High School Graduate or Less 22% $125,000+ 22% $75,000 - $125,000 $35,000 - 75,000 21% Less than $35,000 20% Female 38% 26% 29% 26% 26% 24% 65+ 21% 45 - 64 22% 30 - 44 21% 30% 28% 33% 28% 16% Caucasian 23% 20% Hispanic 22% African American 22% Asian American 28% 26% 22% 17% All Other 43% 24% 0% 10% Favorable 21% 17% Male Very Favorable 28% 28% Under 30 Ethnicity 28% 24% 20% 30% 40% 50% 60% 70% (n=983) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 27 Energy & Environment Consumer Survey Within the behavioral and political segments for natural gas vehicles, trends were similar to those seen for electric cars. As Chart 3.9 shows, Democrats, those with electric bills in excess of $300 per month, and consumers who identified themselves as early adopters held more favorable impressions of natural gas vehicles. Chart 3.9 Consumer Favorability for Natural Gas Vehicles by Behavioral and Political Segment, United States: 2012 Average 21% Early Adopter 32% Early Majority Monthly Electric Bill 28% 27% 22% Late Majority 18% Laggards 18% Less than $100 19% $100 - $200 30% 31% Very Favorable 19% 22% $200 - $300 29% 24% More than $300 Favorable 29% 30% 38% Not Sure About Bill 7% 23% Democrats 21% Republicans 21% 0% 20% 10% 29% 27% 20% 30% 40% 50% 60% 70% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 28 Energy & Environment Consumer Survey 3.4 Biofuels Favorable views on biofuels were less common than for any other clean transportation concept. Almost half of respondents stated they were either neutral or unfamiliar with biofuels, 39% held a favorable opinion on this topic, and 12% had an unfavorable view of the topic. Chart 3.10 Consumer Favorability for Biofuels, United States: 2012 N/A 16% Very Favorable 14% Strongly Unfavorable 5% Favorable 25% Somewhat Unfavorable 7% Neutral 33% (n=983) (Source: Pike Research) Chart 3.11 below shows the favorability impressions of biofuels by the various demographic segments. Like many of the energy and environmental concepts covered in the survey, favorability increases as income increases. Close to half of respondents with a 4-year college degree indicated favorable views of the concept, while approximately one-third of respondents within the high school education segment expressed a favorable opinion. Respondents in the under 30 age group had the highest favorability rating for biofuels, and Asian Americans and Hispanics also skewed more positive. However, the latter findings may be due to the small sample size for these ethnicities. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 29 Energy & Environment Consumer Survey Education Chart 3.11 Consumer Favorability for Biofuels by Demographic Segment, United States: 2012 Average 14% Graduate School 14% 4-Year College Degree 2-Year College Degree 9% Income 23% Very Favorable 23% 15% $125,000+ Gender 29% 12% High School Graduate or Less Favorable 16% 14% $75,000 - $125,000 37% 19% $35,000 - 75,000 15% Less than $35,000 13% Female 22% 26% 21% 12% Male 25% 16% 65+ Age 29% 17% Technical School/Some College 10% 45 - 64 25% 24% 11% 30 - 44 24% 17% Under 30 23% 16% Caucasian Ethnicity 25% 27% 14% Hispanic 18% African American 17% Asian American 23% 28% 25% 13% All Other 9% 0% 42% 20% 10% 20% 30% 40% 50% 60% (n=981) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 30 Energy & Environment Consumer Survey As Chart 3.12 details, it is once again the early adopters and respondents with high electric bills that look upon biofuels most favorably. 59% of early adopters and 69% of respondents with electric bills in excess of $300 held favorable impressions of biofuels. In terms of political segments, there was a 13 percentage point difference between Democrats and Republicans. Chart 3.12 Consumer Favorability for Biofuels by Behavioral and Political Segment, United States: 2012 Average Early Adopter 27% 32% Early Majority 29% 14% Late Majority Monthly Electric Bill 25% 14% 25% 12% Laggards Very Favorable 17% 8% Less than $100 13% 25% $100 - $200 13% 25% $200 - $300 14% More than $300 Favorable 28% 33% 35% Not Sure About Bill 19% 7% Democrats 28% 17% Republicans 22% 10% 0% 10% 20% 30% 40% 50% 60% 70% 80% (n=983) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 31 Energy & Environment Consumer Survey Section 4 SMART GRID 4.1 Smart Grid Despite the continued buildout of smart grids and deployments of smart meters, consumer perceptions of these topics remain stagnant. While the clean energy and transportation concepts received high levels of favorable responses and low levels of unfamiliarity, consumer views on the smart grid and smart meters remain less positive and more uncertain. As Chart 4.1 shows, 36% of respondents stated their opinions of smart grids were favorable or very favorable, which is about half of the favorability rating of solar energy. Interestingly, the percentage of unfavorable responses to the smart grid was similar to that of solar energy (8%). Perhaps most telling is that 56% of respondents were either neutral or had no opinion on the concept of smart grids. Thus, despite the low level of unfavorable responses, utilities upgrading their infrastructure to include smart grid capabilities must do a better job of educating consumers about the benefits the smart grid can provide. Chart 4.1 Consumer Favorability for Smart Grid, United States: 2012 Very Favorable 15% N/A 29% Favorable 21% Strongly Unfavorable 4% Somewhat Unfavorable 4% Neutral 27% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 32 Energy & Environment Consumer Survey Chart 4.2 below indicates that the favorability rating for smart grid varies by education level, gender, and income. Those respondents who had household incomes in the $75,000–$125,000 range held a 48% favorability rating for the smart grid, versus 27% for those earning less than $35,000 annually. In addition, 41% of men held a favorable impression of smart grid technology versus 29% of women. Within the education segment, there was a 23 percentage point difference in favorable impressions of the smart grid between respondents with the lowest education levels (25%) and those with the highest education levels (48%). These patterns are very close to the ones seen in previous years. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 33 Energy & Environment Consumer Survey Chart 4.2 Consumer Favorability for Smart Grid by Demographic Segment, United States: 2012 Education Average 15% Graduate School 22% 4-Year College Degree 2-Year College Degree 9% Income Favorable 11% 18% $75,000 - $125,000 29% 24% $35,000 - 75,000 23% 14% Less than $35,000 Gender Very Favorable 17% 14% $125,000+ 26% 24% 10% High School Graduate or Less 13% Female 10% Male 23% 14% 19% 19% 65+ Age 26% 17% Technical School/Some College 13% 45 - 64 10% 22% 17% 24% 30 - 44 20% Under 30 22% 17% Caucasian Ethnicity 21% 18% 15% Hispanic 19% 17% African American 12% Asian American 24% 17% 17% All Other 11% 0% 35% 18% 10% 20% 30% 40% 50% 60% (n=982) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 34 Energy & Environment Consumer Survey As Chart 4.3 shows, early adopters of technology and respondents who identified themselves as part of the early majority showed a substantially higher percentage of favorable responses (54% and 48%, respectively). In addition, those with higher electric bills (monthly bills of $300 or more) had the most favorable opinion of smart grid technology (59%). With more than half of all respondents unfamiliar or neutral about smart grids, educating consumers about the benefits of the smart grid should be the critical focal point for utilities. Chart 4.3 Consumer Favorability for Smart Grid by Behavioral and Political Segment, United States: 2012 Average 29% 20% Late Majority Monthly Electric Bill 21% 33% Early Majority Laggards 21% 15% Early Adopter 19% 12% Very Favorable 14% 4% Less than $100 14% $100 - $200 14% $200 - $300 21% 18% 16% More than $300 Favorable 22% 22% 37% Not Sure About Bill 19% 9% Democrats 25% 17% Republicans 22% 11% 0% 10% 20% 30% 40% 50% 60% 70% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 35 Energy & Environment Consumer Survey 4.2 Smart Meters The breakdown of responses to the concept of smart meters is nearly identical to that of the smart grid, as seen in Chart 4.4. Both concepts received a moderate number of favorable responses (39% for smart meters), few unfavorable responses (9%), and a relatively large percentage of unfamiliar or neutral responses (52%). Chart 4.4 Consumer Favorability for Smart Meters, United States: 2012 Very Favorable 16% N/A 24% Strongly Unfavorable 4% Favorable 23% Somewhat Unfavorable 5% Neutral 28% (n=985) (Source: Pike Research) Chart 4.5 shows the demographic breakout of responses for smart meters. The data shows that more than half of consumers with incomes in the $75,000–$125,000 range gave smart meters a favorable rating. Asian Americans also had higher favorable opinions of smart meters, as did respondents in the 30–44 age range. When examining the education segments, the favorable responses ranged from 31% (for technical school/some college) to 47% (for those with a graduate degree). ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 36 Energy & Environment Consumer Survey Chart 4.5 Consumer Favorability for Smart Meters by Demographic Segment, United States: 2012 Education Average 23% 16% Graduate School 21% 4-Year College Degree 19% 2-Year College Degree 27% 26% 23% 12% Technical School/Some College Very Favorable 21% 10% Favorable High School Graduate or Less Age Gender Income $125,000+ 29% 17% $75,000 - $125,000 25% 25% $35,000 - 75,000 25% 16% Less than $35,000 13% Female 13% Male 18% 65+ 17% 45 - 64 18% 22% 24% 22% 25% 13% 30 - 44 27% 19% Under 30 17% 14% Caucasian Ethnicity 17% 15% 23% 16% Hispanic 26% 17% African American 17% 10% Asian American 30% 20% All Other 18% 7% 0% 10% 20% 30% 40% 50% 60% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 37 Energy & Environment Consumer Survey Noticeable differences in favorable views of smart meters are apparent when viewed through the behavioral and political scope. Self-identified early adopters and early majority respondents stand out within the behavioral segments; 51% of early adopters and 50% of the early majority held favorable impressions of smart meters, compared to the average of 39%. Those with electric bills in excess of $300 also held more favorable opinions of smart meters. There was no difference in regard to political affiliation, as 40% of Democrats and 40% of Republicans held favorable views of smart meters. Chart 4.6 Consumer Favorability for Smart Meters by Behavioral and Political Segment, United States: 2012 Average 23% 16% Early Adopter Early Majority Monthly Electric Bill 31% 19% Late Majority Laggards 14% 38% 23% 12% Very Favorable 17% 5% Less than $100 14% 24% $100 - $200 14% 25% $200 - $300 19% 19% More than $300 Favorable 22% 36% Not Sure About Bill 16% 9% Democrats 22% 18% Republicans 26% 14% 0% 10% 20% 30% 40% 50% 60% 70% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 38 Energy & Environment Consumer Survey Section 5 CARBON MANAGEMENT 5.1 Carbon Offsets/Credits Even more controversial than the smart grid concepts, carbon management concepts received some of the highest percentages of unfavorable responses from consumers. Since the concepts of carbon offsets/credits and cap and trade are relatively new, these results are not surprising. When compared to the responses to other energy and environment topics, it is clear that consumers are unlikely to warm up to the idea of making payments in exchange for carbon emissions anytime in the near future. Approximately one-fifth of respondents, or 21%, held favorable impressions of carbon offsets/credits – the third-lowest percentage of favorable responses among all concepts surveyed. This is very similar to results seen in 2011, when carbon offsets also ranked as the least favorable concept. One change between 2011 and 2012 is that the percentage of unfavorable responses decreased by 6 percentage points to 19% in 2012 (from the 2011 number of 25%). However, the majority of respondents remain either neutral or not familiar (60%), indicating that many consumers are either ambivalent about or unaware of the concept. Chart 5.1 Consumer Favorability for Carbon Offsets/Credits, United States: 2012 Very Favorable 8% N/A 28% Strongly Unfavorable 11% Favorable 13% Neutral 32% Somewhat Unfavorable 8% (n=984) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 39 Energy & Environment Consumer Survey Chart 5.2 shows the favorability ratings for the carbon offset/credit concept by demographic segment. The study found that respondents who earn $75,000–$125,000 or more than $125,000 annually had double the favorability rating for carbon offsets/credits than those earning less than $35,000 (30% for the $75,000–$125,000 income range, 31% for the $125,000 or more income range, and only 15% for those earning less than $35,000). In addition, those who reported lower levels of education demonstrated a favorability rating for carbon offsets/credits that was half that given by the more educated respondents. More specifically, 13% of those with a high school diploma or less had favorable responses, compared to 27% of those with a 4-year college degree and 28% of those with graduate degrees. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 40 Energy & Environment Consumer Survey Chart 5.2 Consumer Favorability for Carbon Offsets/Credits by Demographic Segment, United States: 2012 Average Education Graduate School 2-Year College Degree 8% Technical School/Some College 7% High School Graduate or Less 6% Income Gender 15% Very Favorable 10% Favorable 8% 19% 12% $75,000 - $125,000 13% 18% $35,000 - 75,000 17% 6% Less than $35,000 Age 16% 11% $125,000+ Ethnicity 17% 12% 4-Year College Degree 7% 7% Female 13% 6% Male 65+ 13% 9% 13% 11% 12% 5% 45 - 64 12% 6% 30 - 44 11% 14% Under 30 7% Caucasian 8% Hispanic 17% 12% 17% 12% African American 11% Asian American 11% All Other 7% 0% 12% 30% 4% 10% 20% 30% 40% 50% (n=982) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 41 Energy & Environment Consumer Survey Chart 5.3 shows consumer opinions toward carbon offsets/credits by behavioral and political segmentation. Within this breakdown, respondents who indicated they spend $300 or more on their monthly electric bill had the most favorable opinion of this concept at 52%. As expected, laggards had the lowest favorability rating for carbon offsets/credits at 10%, while early adopters had a favorability rating of 47%. Chart 5.3 Consumer Favorability for Carbon Offsets/Credits by Behavioral and Political Segment, United States: 2012 Average 8% 13% Early Adopter 24% Early Majority 10% Monthly Electric Bill Late Majority Laggards 5% 4% 7% $100 - $200 8% $200 - $300 16% 12% Very Favorable 7% Less than $100 Favorable 12% 15% 10% 12% More than $300 Not Sure About Bill 23% 32% 3% 7% Democrats 8% Republicans 8% 0% 20% 18% 11% 10% 20% 30% 40% 50% 60% (n=984) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 42 Energy & Environment Consumer Survey 5.2 Cap and Trade The concept of cap and trade, a market-based approach to regulating carbon emissions, continues to be one of the least favorable topics covered in the survey. It is noteworthy that cap and trade was the only concept to receive more unfavorable responses than favorable ones. While only 15% of respondents rated cap and trade as favorable or very favorable, 19% stated their opinion of cap and trade was either somewhat unfavorable or strongly unfavorable. In addition, a full two-thirds stated they were either unfamiliar with or had no opinion on the subject of cap and trade. Chart 5.4 Consumer Favorability for Cap and Trade, United States: 2012 Very Favorable 7% Favorable 8% N/A 36% Neutral 30% Strongly Unfavorable 11% Somewhat Unfavorable 8% (n=987) (Source: Pike Research) Chart 5.5 below highlights the demographic characteristics of respondents to the cap and trade question. The most noticeable variation in favorability ratings for cap and trade is seen within the income and education levels. Those respondents who had a high school diploma or less had an 11% favorability rating for cap and trade, while those with graduate degrees had a 22% favorability rating for this topic. In addition, only 10% of respondents with incomes of less than $35,000 had favorable or very favorable impressions of cap and trade, while 25% of respondents with incomes greater than $125,000 had favorable views. Favorability also decreased with age, from 20% for those under 30 to 11% for those 65 and older. Notably, the minority groups (African American, Asian Americans, and Native American/Other) had higher favorable responses to cap and trade in both 2011 and 2012. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 43 Energy & Environment Consumer Survey Chart 5.5 Consumer Favorability for Cap and Trade by Demographic Segment, United States: 2012 Average 7% 8% Education Graduate School 12% 4-Year College Degree 8% 2-Year College Degree 11% 6% 9% Very Favorable Technical School/Some College 2% High School Graduate or Less 7% 6% Income 15% $75,000 - $125,000 Gender 10% 12% $35,000 - 75,000 5% Less than $35,000 Female 6% 5% Male 11% 9% 4% 9% 8% 65+ Age Favorable 6% $125,000+ 8% 5% 45 - 64 6% 3% 6% 30 - 44 11% Under 30 9% 8% Caucasian Ethnicity 10% 11% 6% Hispanic 7% 12% African American 9% Asian American 9% All Other 4% 0% 10% 14% 19% 7% 5% 10% 15% 20% 25% 30% (n=985) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 44 Energy & Environment Consumer Survey As Chart 5.6 shows, the level of favorable responses to cap and trade mirror those for the carbon offsets/credits concept, with early adopters more than twice as likely as the general respondent pool to hold positive impressions of cap and trade (39% vs. 15%). Those with higher electric bills ($300 or more per month) held the most favorable opinion of the concept (47%). Chart 5.6 Consumer Favorability for Cap and Trade by Behavioral and Political Segment, United States: 2012 Average 7% 8% Early Adopter 25% Early Majority 6% Monthly Electric Bill Late Majority Less than $100 12% 5% Laggards 2% Very Favorable 6% 6% 3% $100 - $200 Favorable 7% 7% $200 - $300 8% 10% 5% More than $300 Not Sure About Bill 14% 31% 3% Democrats 4% 8% Republicans 5% 0% 16% 11% 9% 10% 20% 30% 40% 50% (n=987) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 45 Energy & Environment Consumer Survey Section 6 BUILDING EFFICIENCY 6.1 LEED Certification With only one-fifth of respondents indicating a favorable or very favorable impression of LEED certification, it would appear that this building efficiency concept is relatively unappealing to consumers. However, Chart 6.1 paints a more accurate picture of how consumers view the concept. LEED certification has the second-lowest percentage of favorable responses, sandwiched between the carbon concepts discussed in the previous section. However, it was also in the bottom half among all concepts in terms of unfavorable responses at 8% (just above highly favorable concepts such as solar energy). The majority of consumers (72%) are simply unfamiliar with or have no opinion of this green building certification program. As seen in previous years, LEED certification was unfamiliar to more consumers than any other energy or environmental concept identified in the survey and was the only concept for which a majority of respondents selected not familiar. Clearly, this is the concept that has the least amount of consumer awareness. Yet, since LEED certification exists in both residential and commercial buildings, consumers are just as likely to benefit from the program as businesses. Chart 6.1 Consumer Favorability for LEED Certification, United States: 2012 Very Favorable 9% Favorable 11% N/A 42% Neutral 30% Strongly Unfavorable 4% Somewhat Unfavorable 4% (n=984) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 46 Energy & Environment Consumer Survey As Chart 6.2 below shows, there are some variations in LEED favorability. Favorability increases with education, steadily rising from a 10% favorability rating from respondents with a high school diploma or less to 35% from those with a graduate degree. The older demographic groups, those in the 45–64 and 65 and older groups, held favorability ratings of 16% and 15%, respectively, for LEED certification. Meanwhile, the under 30 and 30–44 age groups each held favorability ratings of 25%. This may be because older consumers are less aware of LEED certification than the younger consumers. 29% of respondents who earned between $75,000 and $125,000 and 37% of those who earned more than $125,000 reported a favorable opinion of the concept. However, only 16% of respondents earning less than $35,000 annually had a favorable opinion of LEED certification. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 47 Energy & Environment Consumer Survey Chart 6.2 Consumer Favorability for LEED Certification by Demographic Segment, United States: 2012 Average 9% 11% Education Graduate School 17% 4-Year College Degree 13% 2-Year College Degree 14% 6% Technical School/Some College 12% 4% High School Graduate or Less 6% Favorable 4% Income 20% $75,000 - $125,000 Gender 16% 15% $35,000 - 75,000 14% 7% Less than $35,000 Age Very Favorable 7% $125,000+ 11% 8% Female 8% 8% Male 10% 11% 65+ 5% 45 - 64 6% 11% 10% 10% 30 - 44 15% Under 30 11% 11% Caucasian Ethnicity 18% 14% 9% Hispanic 10% 14% African American 12% Asian American 13% All Other 7% 0% 14% 9% 24% 7% 10% 20% 30% 40% (n=982) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 48 Energy & Environment Consumer Survey Chart 6.3 shows the behavioral and political segment breakout by tech adopter, monthly electric bill, and political identification. Similar to the smart grid and carbon management topics, 43% (double the average) of consumers who identified themselves as early adopters of technology held favorable impressions of LEED certification compared to a meager 7% of laggards. Another 43% of those who had electric bills of more than $300 monthly had a favorable view of LEED certification, also more than double the average for this topic. Chart 6.3 Consumer Favorability for LEED Certification by Behavioral and Political Segment, United States: 2012 Average 11% 9% Early Adopter Early Majority Monthly Electric Bill 16% 11% Late Majority Laggards 15% 28% 9% 7% Less than $100 Very Favorable 5% 3% Favorable 10% 8% $100 - $200 9% 12% $200 - $300 9% 12% More than $300 10% 33% Not Sure About Bill 9% 4% Democrats 14% 12% Republicans 6% 0% 5% 8% 10% 15% 20% 25% 30% 35% 40% 45% 50% (n=984) (Source: Pike Research) ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 49 Energy & Environment Consumer Survey Section 7 SUMMARY AND CONCLUSIONS 7.1 Clean Energy Consumer opinions of the clean energy concepts were generally positive; all four concepts (solar, wind, clean coal, and nuclear) received favorable responses from at least 40% of respondents. Most notably, the two renewable energy concepts, wind and solar, continued to generate favorable opinions among more consumers than any other topic included in the survey. The non-renewable clean energy concepts, clean coal and nuclear power, did not enjoy the same level of enthusiasm from the respondent base. Nuclear power also earned the highest percentage of unfavorable and neutral responses among all energy and environmental concepts. These results have held steady year over year. Of the four clean energy concepts, consumers were the least familiar with clean coal; 18% of respondents selected not familiar for this concept. These results reveal that solar and wind power have reached a point of mass appeal among consumers. Clean energy concepts that do not utilize renewable resources are less likely to appeal to the vast majority of consumers. 7.2 Clean Transportation Clean transportation concepts are also well-liked by consumers, though not to the levels achieved by solar and wind energy. Hybrid vehicles, electric cars, and natural gas vehicles were all considered favorable by approximately half of all respondents. Biofuels were favored by less than two-fifths of respondents (39%) and received the highest incidence of unfamiliar or neutral responses (50%) among the clean transportation concepts. Given the longevity of cars like the Toyota Prius and other hybrids, as well as extensive advertising and publicity campaigns for electric cars such as the Nissan Leaf and Chevy Volt, it is interesting that not much has changed in terms of consumer favorability in regard to vehicles that utilize electricity in some form. An interesting note is that natural gas-powered vehicles received similar favorability ratings to electric cars even though natural gas powered-vehicles are largely limited to commercial vehicles. Within the various demographic splits, consumers with higher education and higher income levels continue to have the highest favorability ratings for clean transportation. The marketing messages for these alternative fuel vehicles often focus on the environmentally friendly benefits of low to zero emissions. With gas prices in the United States likely to fluctuate in the coming years, consumers are likely to be drawn to the potential cost savings these cars provide – as well as their low impact on the environment. 7.3 Smart Grid Little has changed between 2011 and 2012 in regard to smart grid concepts. Consumer reactions to smart grid and smart meters concepts appeared less positive, with smaller ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 50 Energy & Environment Consumer Survey percentages of favorable responses than the clean energy and transportation topics. However, a closer review of the responses to the concepts reveals that there are also few consumers who hold an unfavorable view of the smart grid or smart meters (less than 10%). In fact, all concepts except solar energy and LEED certification received higher percentages of unfavorable responses than either of the smart grid concepts. What stood out in the survey results for the smart grid and smart meters was the high number of respondents reporting they were unfamiliar with or held neutral opinions on these concepts. In general, the higher educated, higher income-earning male respondents had the highest favorability ratings for smart grid technologies, as did consumers with higher monthly electric bills. As smart grid and smart meter deployments and installations continue, it is clear that consumers are still learning about the energy savings potential of smart grid technologies. 7.4 Carbon Management Lagging behind nearly all other concepts in favorable responses, the concepts dealing with carbon management (carbon offsets/credits and cap and trade) did not garner a high level of favorable responses by survey respondents. The lack of favorable responses to these topics was accompanied by relatively high percentages of unfavorable and unfamiliar responses. This consumer reaction is interesting since these concepts are designed to be utilized by businesses. It may be that some negative media coverage and weak political support has drawn consumer attention to these topics. Carbon offsets/credits and cap and trade tied with the most unfavorable ratings, both at 19%. In addition, 27% of respondents were unfamiliar with carbon offsets/credits and 36% were unfamiliar with the concept of cap and trade. Of note, both carbon offsets/credits and cap and trade were better received by consumers with higher education, income levels, and those who consider themselves early adopters. 7.5 Building Efficiency The only building efficiency topic included in the survey was LEED certification. As in previous Energy and Environment Consumer Surveys, consumers continue to state they are not acquainted with the concept. Pike Research believes this is because green building certification programs such as LEED have yet to draw significant attention outside of the real estate and construction industries. With nearly three-fourths of respondents selecting these two choices (42% unfamiliar and 30% neutral), it is clear that a greater emphasis needs to be placed on educating end users about LEED certification and the benefits and value of certification. A closer examination of segments shows that early adopters and higher income earners are the most aware of LEED certification and hold more favorable opinions of the concept. While this low level of familiarity among the general population is challenging, a positive finding is that consumers do not generally hold adverse opinions on the concept. In other words, there are not as many negative perceptions to overcome. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 51 Energy & Environment Consumer Survey Section 8 TABLE OF CONTENTS Section 1 ........................................................................................................................................................... 1 Executive Summary .......................................................................................................................................... 1 1.1 Introduction ........................................................................................................................................ 1 1.2 Key Findings ...................................................................................................................................... 2 Section 2 ........................................................................................................................................................... 7 Clean Energy ..................................................................................................................................................... 7 2.1 Solar Energy ...................................................................................................................................... 7 2.2 Wind Energy ...................................................................................................................................... 11 2.3 Clean Coal ........................................................................................................................................ 14 2.4 Nuclear Power ................................................................................................................................... 17 Section 3 .......................................................................................................................................................... 20 Clean Transportation ....................................................................................................................................... 20 3.1 Hybrid Vehicles ................................................................................................................................. 20 3.2 Electric Cars ..................................................................................................................................... 23 3.3 Natural Gas Vehicles ......................................................................................................................... 26 3.4 Biofuels ............................................................................................................................................. 29 Section 4 .......................................................................................................................................................... 32 Smart Grid ........................................................................................................................................................ 32 4.1 Smart Grid ........................................................................................................................................ 32 4.2 Smart Meters ..................................................................................................................................... 36 Section 5 .......................................................................................................................................................... 39 Carbon Management ........................................................................................................................................ 39 5.1 Carbon Offsets/Credits ...................................................................................................................... 39 ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 52 Energy & Environment Consumer Survey 5.2 Cap and Trade .................................................................................................................................. 43 Section 6 .......................................................................................................................................................... 46 Building Efficiency ........................................................................................................................................... 46 6.1 LEED Certification ............................................................................................................................. 46 Section 7 .......................................................................................................................................................... 50 Summary and Conclusions .............................................................................................................................. 50 7.1 Clean Energy .................................................................................................................................... 50 7.2 Clean Transportation ......................................................................................................................... 50 7.3 Smart Grid ........................................................................................................................................ 50 7.4 Carbon Management.......................................................................................................................... 51 7.5 Building Efficiency ............................................................................................................................. 51 Section 8 .......................................................................................................................................................... 52 Table of Contents ............................................................................................................................................. 52 Section 9 .......................................................................................................................................................... 54 Table of Charts and Figures ............................................................................................................................. 54 Section 10 ........................................................................................................................................................ 57 Scope of Study ................................................................................................................................................. 57 Survey Methodology ........................................................................................................................................ 57 ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 53 Energy & Environment Consumer Survey Section 9 TABLE OF CHARTS AND FIGURES Chart 1.1 Favorable Impressions of Energy and Environmental Concepts, United States: 2012 ....................... 3 Chart 1.2 Unfavorable Impressions of Energy and Environmental Concepts, United States: 2012 .................... 4 Chart 1.3 Neutral Impression/No Opinion of Energy and Environmental Concepts, United States: 2012 ........... 4 Chart 2.1 Consumer Favorability for Solar Energy, United States: 2012 ......................................................... 7 Chart 2.2 Consumer Favorability for Solar Energy by Demographic Segment, United States: 2012 .................. 9 Chart 2.3 Consumer Favorability for Solar Energy by Behavioral and Political Segment, United States: 2012 ........................................................................................................................................... 10 Chart 2.4 Consumer Favorability for Wind Energy, United States: 2012 ......................................................... 11 Chart 2.5 Consumer Favorability for Wind Energy by Demographic Segment, United States: 2012 ................. 12 Chart 2.6 Consumer Favorability for Wind Energy by Behavioral and Political Segment, United States: 2012 .. 13 Chart 2.7 Consumer Favorability for Clean Coal, United States: 2012 ........................................................... 14 Chart 2.8 Consumer Favorability for Clean Coal by Demographic Segment, United States: 2012 .................... 15 Chart 2.9 Consumer Favorability for Clean Coal by Behavioral and Political Segment, United States: 2012 .... 16 Chart 2.10 Consumer Favorability for Nuclear Power, United States: 2012 ................................................. 17 Chart 2.11 Consumer Favorability for Nuclear Power by Demographic Segment, United States: 2012 .......... 18 Chart 2.12 Consumer Favorability for Nuclear Power by Behavioral and Political Segment, United States: 2012 ....................................................................................................................................... 19 Chart 3.1 Consumer Favorability for Hybrid Vehicles, United States: 2012 .................................................... 20 Chart 3.2 Consumer Favorability for Hybrid Vehicles by Demographic Segment, United States: 2012 ............. 21 Chart 3.3 Consumer Favorability for Hybrid Vehicles by Behavioral and Political Segment, United States: 2012 ........................................................................................................................................... 22 Chart 3.4 Consumer Favorability for Electric Cars, United States: 2012 ......................................................... 23 Chart 3.5 Consumer Favorability for Electric Cars by Demographic Segment, United States: 2012 ................. 24 ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 54 Energy & Environment Consumer Survey Chart 3.6 Consumer Favorability for Electric Cars by Behavioral and Political Segment, United States: 2012 .. 25 Chart 3.7 Consumer Favorability for Natural Gas Vehicles, United States: 2012 ............................................ 26 Chart 3.8 Consumer Favorability for Natural Gas Vehicles by Demographic Segment, United States: 2012 ..... 27 Chart 3.9 Consumer Favorability for Natural Gas Vehicles by Behavioral and Political Segment, United States: 2012 ........................................................................................................................................... 28 Chart 3.10 Consumer Favorability for Biofuels, United States: 2012 ........................................................... 29 Chart 3.11 Consumer Favorability for Biofuels by Demographic Segment, United States: 2012 .................... 30 Chart 3.12 Consumer Favorability for Biofuels by Behavioral and Political Segment, United States: 2012 .... 31 Chart 4.1 Consumer Favorability for Smart Grid, United States: 2012............................................................ 32 Chart 4.2 Consumer Favorability for Smart Grid by Demographic Segment, United States: 2012 .................... 34 Chart 4.3 Consumer Favorability for Smart Grid by Behavioral and Political Segment, United States: 2012 ..... 35 Chart 4.4 Consumer Favorability for Smart Meters, United States: 2012 ........................................................ 36 Chart 4.5 Consumer Favorability for Smart Meters by Demographic Segment, United States: 2012 ................ 37 Chart 4.6 Consumer Favorability for Smart Meters by Behavioral and Political Segment, United States: 2012 . 38 Chart 5.1 Consumer Favorability for Carbon Offsets/Credits, United States: 2012.......................................... 39 Chart 5.2 Consumer Favorability for Carbon Offsets/Credits by Demographic Segment, United States: 2012 .. 41 Chart 5.3 Consumer Favorability for Carbon Offsets/Credits by Behavioral and Political Segment, United States: 2012 ................................................................................................................................ 42 Chart 5.4 Consumer Favorability for Cap and Trade, United States: 2012 ..................................................... 43 Chart 5.5 Consumer Favorability for Cap and Trade by Demographic Segment, United States: 2012 .............. 44 Chart 5.6 Consumer Favorability for Cap and Trade by Behavioral and Political Segment, United States: 2012 ........................................................................................................................................... 45 Chart 6.1 Consumer Favorability for LEED Certification, United States: 2012 ................................................ 46 Chart 6.2 Consumer Favorability for LEED Certification by Demographic Segment, United States: 2012 ......... 48 Chart 6.3 Consumer Favorability for LEED Certification by Behavioral and Political Segment, United States: 2012 ........................................................................................................................................... 49 ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 55 Energy & Environment Consumer Survey Table 1.1 Favorable Impressions of Energy and Environmental Concepts, United States: 2009-2012 ............... 5 Table 1.2 Unfavorable Impressions of Energy and Environmental Concepts, United States: 2009-2012 ........... 6 ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 56 Energy & Environment Consumer Survey Section 10 SCOPE OF STUDY Pike Research has prepared this report to provide participants involved in clean technology markets with a study of consumer opinions about a select set of energy and environment topics. One of the major objectives of the report is to impartially assess levels of consumer interest in various concepts dealing with clean energy, clean transportation, smart grid, carbon management, and building efficiency. Pike Research also provides an analysis of key consumer attitudes that are relevant to the clean technology market. Great care was taken in constructing a survey questionnaire that would yield the most accurate and unbiased results possible. However, it should be noted that consumers often have difficulty providing survey responses that will accurately predict their purchase behavior for products that have not yet been introduced into the market. SURVEY METHODOLOGY Pike Research conducted a web-based survey of 1,001 United States consumers in the fall of 2012 using a structured online questionnaire. The survey invitation was sent to a nationally representative and demographically balanced sample of consumers who are members of a large online panel. Respondents were offered a chance to win prizes in exchange for their participation. The margin of error for these survey results is +/- 3% with a 95% confidence interval. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 57 Energy & Environment Consumer Survey Published 4Q 2012 ©2012 Navigant Consulting, Inc. 1320 Pearl Street, Suite 300 Boulder, CO 80302 USA Tel: +1.303.997.7609 http://www.navigant.com/pikeresearch This publication is provided by Pike Research, a part of the Navigant Consulting, Inc. (“Navigant”) Energy Practice and has been provided for informational purposes only. This publication may be used only as expressly permitted by license from Navigant and may not otherwise be reproduced, recorded, photocopied, distributed, displayed, modified, extracted, accessed, or used without the express written permission of Navigant. Navigant makes no claim to any government data and other data obtained from public sources found in this publication (whether or not the owners of such data are noted in this publication), and makes no express or implied warranty, guaranty, or representation concerning the information contained in this publication, its merchantability, or its fitness for a particular purpose of function. Any reference to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise, does not necessarily constitute or imply an endorsement, recommendation, or favoring by Navigant. Navigant does not assume, and hereby disclaims, any liability that may result from any reliance on or use of any information contained in this publication, or for any loss or damage caused by errors or omissions in this publication. This publication is intended for the sole and exclusive use of the original purchaser. If you do not have a license from Navigant covering this publication, please refrain from accessing or using this publication. Please contact Navigant to obtain a license to this publication. ©2012 Navigant Consulting, Inc. Notice: No material in this publication may be reproduced, stored in a retrieval system, or transmitted by any means, in whole or in part, without the express written permission of Navigant Consulting, Inc. 58