Accumulation of environmental capital as a result of households' behavior

The energy transition is a complex process that requires cooperation between the government, industry, entrepreneurs and energy users. The process requires decisions by public authorities to diversify energy sources and induce changes in household behaviour. Decisions of households often depend on the government; e.g., implementing a new subsidy programme for low-carbon technologies may influence an individual to invest in a new energy source. In addition, an individual decision by a household may lead to other similar decisions, e.g. if replacing an energy source leads to the thermal refurbishment of a building or influences the purchase of an electric car. Finally, a particular choice made by one household may influence the choices of other households in the immediate vicinity, e.g., purchasing photovoltaic panels may determine neighbours’ choices. In the growing literature on energy system transformation, there is a relatively small number of papers that examine the issue of decisions made in the energy system transformation process, both by public authorities (in terms of enacted policies) and by individual households (investments, behaviour). Firstly, there is a need to answer how public institutions’ administrative decisions in the energy transition process (e.g., taxes or subsidies) determine household behaviour. Second, we need to know whether individual decisions on when and to what extent to participate in the energy transition process influence subsequent decisions on, for example, environmental protection and climate change mitigation, both at the level of individual households and others in their immediate environment. Finally, it is necessary to know whether the benefits of participating in the energy transition process, e.g. the reduction of direct and external costs, accumulate at the individual and societal levels. These questions form the subject matter of this thesis and fill the gap in empirical studies. My dissertation examines the environmental and social impacts of household decisions in this process. In the thesis, I focus mainly on institutions and two types of households that differ regarding financial, social and individual environmental capital: (1) energy-poor households and (2) renewable energy prosumers. I define individual environmental capital as the resources and assets an individual has and can use to improve the environment. It includes knowledge, skills, social networks, financial resources and physical assets. These household groups are relevant for the study of individual environmental capital because the level of this capital can vary considerably between them. These differences can result from awareness of human impacts on the environment and climate (e.g. air pollution from inefficient heating) and access to the financial resources needed to invest in more efficient energy sources. Institutions are a third important actor in the energy transition process that determines changes in individual environmental capital. Changes in household awareness and knowledge about the environment and climate (e.g. through education and information campaigns) and access to financial (e.g. subsidies) or technological (e.g. prohibition of the use of a particular energy technology) resources are determined by decisions taken by public administrations.