Residential Electricity Consumption and Housing Development in Taiwan

This research examines the possibility of managing housing development policy in terms of reducing residential electricity consumption by using monthly time series model. It is proposed that rural housing development may help reducing electricity consumption due to urban heat island effects. Using a monthly dynamic residential electricity consumption model, tests are performed to examine possible rural housing development policy in Taiwan. Empirically, rural housing proves to be influential to reduced residential electricity consumption. The estimated results conclude that rural housing instead of further urbanization should be promoted in Taiwan for effective reduction of residential electricity consumption. Green housing is also important to remodel or rebuild urban houses.