Household preferences towards energy labels in Malaysia: a pathway to sustainability

Using energy labels helps households save on electricity bills and positively impact the environment by guiding informed purchasing decisions and promoting energy-efficient products. This study employs a hypothetical Choice Experiment (CE) to examine how energy efficiency labels influence Malaysian...

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Main Authors: Kamaludin, Mahirah, Razali, Muhammad Azrin Shah, Haron, Nazatul Faizah, Aziz, Azlina Abd, Samdin, Zaiton
Format: Article
Language:English
Published: Universiti Malaysia Terengganu 2025
Online Access:http://psasir.upm.edu.my/id/eprint/121066/
http://psasir.upm.edu.my/id/eprint/121066/1/121066.pdf
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author Kamaludin, Mahirah
Razali, Muhammad Azrin Shah
Haron, Nazatul Faizah
Aziz, Azlina Abd
Samdin, Zaiton
author_facet Kamaludin, Mahirah
Razali, Muhammad Azrin Shah
Haron, Nazatul Faizah
Aziz, Azlina Abd
Samdin, Zaiton
author_sort Kamaludin, Mahirah
building UPM Institutional Repository
collection Online Access
description Using energy labels helps households save on electricity bills and positively impact the environment by guiding informed purchasing decisions and promoting energy-efficient products. This study employs a hypothetical Choice Experiment (CE) to examine how energy efficiency labels influence Malaysian consumer preferences for refrigerators. Using multinomial logit (MNL) and mixed logit (ML) models, it analyses key attributes considered by households: Energy star ratings, energy consumption, energy savings (nonmonetary attributes), and price (the monetary attribute). Findings reveal that consumers are willing to pay more for refrigerators with high energy-saving attributes, underscoring the significance of energy-efficient choices in reducing monthly energy costs and supporting long-term sustainability. The study highlights the critical role of energy efficiency labels in shaping consumer preferences towards environmentally friendly appliances, contributing to sustainable development. It demonstrates that energy labels are pivotal in promoting energy-efficient products and practices in Malaysia, strongly supporting Goal 7 of the United Nations Sustainable Development Goals (UN SDGs), which emphasises the importance of clean energy, energy efficiency, and sustainable energy access. These findings affirm the value of energy efficiency labels in encouraging sustainable consumer behaviour and fostering an environmentally sustainable and socially inclusive energy landscape.
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institution Universiti Putra Malaysia
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spelling upm-1210662025-10-24T03:12:27Z http://psasir.upm.edu.my/id/eprint/121066/ Household preferences towards energy labels in Malaysia: a pathway to sustainability Kamaludin, Mahirah Razali, Muhammad Azrin Shah Haron, Nazatul Faizah Aziz, Azlina Abd Samdin, Zaiton Using energy labels helps households save on electricity bills and positively impact the environment by guiding informed purchasing decisions and promoting energy-efficient products. This study employs a hypothetical Choice Experiment (CE) to examine how energy efficiency labels influence Malaysian consumer preferences for refrigerators. Using multinomial logit (MNL) and mixed logit (ML) models, it analyses key attributes considered by households: Energy star ratings, energy consumption, energy savings (nonmonetary attributes), and price (the monetary attribute). Findings reveal that consumers are willing to pay more for refrigerators with high energy-saving attributes, underscoring the significance of energy-efficient choices in reducing monthly energy costs and supporting long-term sustainability. The study highlights the critical role of energy efficiency labels in shaping consumer preferences towards environmentally friendly appliances, contributing to sustainable development. It demonstrates that energy labels are pivotal in promoting energy-efficient products and practices in Malaysia, strongly supporting Goal 7 of the United Nations Sustainable Development Goals (UN SDGs), which emphasises the importance of clean energy, energy efficiency, and sustainable energy access. These findings affirm the value of energy efficiency labels in encouraging sustainable consumer behaviour and fostering an environmentally sustainable and socially inclusive energy landscape. Universiti Malaysia Terengganu 2025 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/121066/1/121066.pdf Kamaludin, Mahirah and Razali, Muhammad Azrin Shah and Haron, Nazatul Faizah and Aziz, Azlina Abd and Samdin, Zaiton (2025) Household preferences towards energy labels in Malaysia: a pathway to sustainability. Journal of Sustainability Science and Management, 20 (1). pp. 1-22. ISSN 1823-8556; eISSN: 2672-7226 https://jssm.umt.edu.my/wp-content/uploads/2025/03/1-JSSM-Volume-20-Number-1-January-2025-FINAL.pdf 10.46754/jssm.2025.01.001
spellingShingle Kamaludin, Mahirah
Razali, Muhammad Azrin Shah
Haron, Nazatul Faizah
Aziz, Azlina Abd
Samdin, Zaiton
Household preferences towards energy labels in Malaysia: a pathway to sustainability
title Household preferences towards energy labels in Malaysia: a pathway to sustainability
title_full Household preferences towards energy labels in Malaysia: a pathway to sustainability
title_fullStr Household preferences towards energy labels in Malaysia: a pathway to sustainability
title_full_unstemmed Household preferences towards energy labels in Malaysia: a pathway to sustainability
title_short Household preferences towards energy labels in Malaysia: a pathway to sustainability
title_sort household preferences towards energy labels in malaysia: a pathway to sustainability
url http://psasir.upm.edu.my/id/eprint/121066/
http://psasir.upm.edu.my/id/eprint/121066/
http://psasir.upm.edu.my/id/eprint/121066/
http://psasir.upm.edu.my/id/eprint/121066/1/121066.pdf