Energy rationing primarily involves measures that are designed to force
energy conservation
Energy conservation is the effort to reduce wasteful energy consumption by using fewer energy services. This can be done by using energy more effectively (using less and better sources of energy for continuous service) or changing one's behavi ...
as an alternative to
price mechanism
In economics, a price mechanism refers to the way in which price determines the allocation of resources and influences the quantity supplied and the quantity demanded of goods and services. The price mechanism, part of a market system, functions ...
s in
energy market
An energy market is a type of commodity market on which electricity, heat, and fuel products are traded. Natural gas and electricity are examples of products traded on an energy market. Other energy commodities include: oil, coal, carbon emission ...
s. Because of its economic consequences, energy rationing is used as method of last resort, often at times of emergency such as during an
energy crisis
An energy crisis or energy shortage is any significant Bottleneck (production), bottleneck in the supply of energy resources to an economy. In literature, it often refers to one of the energy sources used at a certain time and place, in particu ...
.
Forms
Examples of energy
rationing
Rationing is the controlled distribution (marketing), distribution of scarcity, scarce resources, goods, services, or an artificial restriction of demand. Rationing controls the size of the ration, which is one's allowed portion of the resourc ...
include fuel rationing and the use of ration books or
ration stamp
Rationing is the controlled distribution of scarce resources, goods, services, or an artificial restriction of demand. Rationing controls the size of the ration, which is one's allowed portion of the resources being distributed on a particul ...
s to restrict personal consumption. Energy rationing may include penalties such as
surcharges and disconnection from electrical supply for those who choose not to reduce their demand voluntarily.
Load shedding Load shedding (LS) is a protective method of emergency power control where, during a large disbalance between supply and demand, the demand (load) is intentionally disconnected ("shed") so that the available electricity supply within a safe timefr ...
is a common form of energy rationing used when
electricity market
An electricity market is a system that enables the exchange of electrical energy, through an electrical grid. Historically, electricity has been primarily sold by companies that operate electric generators, and purchased by consumers or electr ...
s cannot keep up to demand, particularly
peak demand. Limited electrical supply from
power station
A power station, also referred to as a power plant and sometimes generating station or generating plant, is an industrial facility for the electricity generation, generation of electric power. Power stations are generally connected to an electr ...
s at times of drought or after
infrastructure
Infrastructure is the set of facilities and systems that serve a country, city, or other area, and encompasses the services and facilities necessary for its economy, households and firms to function. Infrastructure is composed of public and pri ...
is damaged, can lead authorities to implement rationing.
Brazil was forced to implement energy rationing due to drought in 2001.
Reducing demand in this way aims to avoid forced
power outage
A power outage, also called a blackout, a power failure, a power blackout, a power loss, a power cut, or a power out is the complete loss of the electrical power network supply to an end user.
There are many causes of power failures in an el ...
s which are more disruptive than rationing.
is an energy rationing system designed to enable nations to reduce their
emissions of greenhouse gases along with their use of oil, gas and coal, and to ensure fair access to energy for all.
Issues
One issue with energy rationing is the cost of setting up rationing schemes. Another criticism is that energy rationing schemes are unworkable and face many practical problems including consumer lawsuits.
Due to the general disdain for restrictions that interfere with existing personal freedoms, such as
ecotax
An environmental tax, ecotax (short for ecological taxation), or green tax is a tax levied on activities which are considered to be harmful to the environment and is intended to promote environmentally friendly alternatives via economic incentive ...
es and
carbon rationing, energy rationing is not favoured by policy makers to
mitigate global warming.
Peak oil
As oil becomes more scarce due to
oil depletion, countries that have reserve currencies will prefer to buy oil rather than ration it. The
Oil Depletion Protocol is form of energy rationing that was developed by
Richard Heinberg to ensure that price rationing does not price out poorer countries.
See also
*
Energy descent
*
Food rationing
*
Rolling blackout
A rolling blackout, also referred to as rota or rotational load shedding, rota disconnection, feeder rotation, or a rotating outage, is an intentionally engineered electrical power shutdown in which electricity delivery is stopped for non-over ...
References
{{DEFAULTSORT:Energy Rationing
Energy economics
Electric power distribution
Rationing