Electricity used as additional medium for household supplementary space heating

Abstract

This article analyses the potential of using electricity for supplementary heating purposes in households during low outside temperatures periods. Space heating using solid state fossil fuels, causes significant pollution of the local environment. In order to assess the potential of replacing fossil fuels with electricity for the supplementary heating purposes, the conditions determining financially reasonable exchanges of the main energy carrier consumption for heating purposes into electricity were analysed as a result of a change in price of this substitute. The concept of cross price elasticity of demand was used to reflect the current price conditions for energy carriers exchange and its values were determined for the energy contained in the most frequently used carriers for heating purposes, in relation to changes in electricity prices. The possible reduction in average electricity prices was considered, resulting from tariff change from a single zone to a two-zone tariff in the case of storage heater use, consuming electricity only in the off-peak zone. What is more, the potential of anti-smog tariff implemented in 2018 concerning the considered aspect was also analysed.