Modelling thermal insulation investment choice in the EU via a behaviourally informed agent-based model

In spite of the established importance that retrofitting existing building stock has in decreasing end-use carbon emissions and large availability policies aimed at financially supporting renovations, investments residential sector remain below optimal levels. The paper proposes an encompassing theoretical framework merges economic, behavioural social motives suggests diverse policy instruments to promote their appropriate targets. exploits Consumers Survey data from Second consumer market study on functioning retail electricity markets for consumers EU (2016) calibrate agent-based model thermal insulation investment choice. simulates choice 19,538 homeowners based perceived financial situation environmental concern, introduces unobserved networks which adoption by imitation occurs. We investigate effect a incentive, pro-environmental campaign norm-based intervention rate. Results show interplay between behavioural, produces unexpected outcomes: leverage only one motive are nonetheless affected others.