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energy conservation rebates
Why do energy companies promote energy conservation and efficiency?

My gas company gave me a free energy audit of my home, and offers generous rebates to install insulation and other energy saving products. I don’t understand why they do this. If I use less gas, they make less money. Why are they doing these things?
By the way, I won’t believe any answers that say “it’s the right thing to do”, or “they want to be green”. I don’t buy that. Profit drives almost all business decisions, and this doesn’t seem profitable to me.

They have a set price they can sell their product for. They have to go through a long process to raise their prices. By keeping the volume of gas for sale down, they don’t need to expand infrastructure which costs lots of money and would necessitate a price hike.


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February 20th, 2010 at 4:25 am

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