||Adoption and Usage of Photovoltaic System in the Philippines
||Adoption and Usage of Photovoltaic System in the Philippines
||Institute of International Management
Organizational adoption of innovation
Solar energy usage through rooftop photovoltaic (PV) system has a very great potential in the Philippines where sunlight is abundant. Its electricity rate is the second highest in Asia. Meanwhile, prices of solar panels are dropping. However, solar energy is not yet widely used and is still in its beginning stage in the Philippines.
This study focuses on the adoption and usage of PV systems among companies and institutions in Metro Manila. It aims to determine the factors of their satisfaction on their PV systems and identify other outcomes of their usage.
The research method used was qualitative research method utilizing grounded theory method for data analysis. The Use-Diffusion model which is one of the models that illustrate the diffusion of an innovative product was applied to this study. As an extension for the UD model, the antecedents for PV System adoption are “Product Cost”, “Electricity Needs and Requirements”, “Regulatory Environment”, “Supplier’s Characteristic and Communication”. These antecedents altogether influences the satisfaction of the users and results to the UD outcome of “Increased Customer Base”, “Pro-environment Brand Enhancement” and “Public Interest to Adopt PV Systems”
One surprising finding of this research is that four of the users interviewed have different perceptions on the net metering scheme. This goes to show that there is a need for coherent, clear and wide information dissemination on this scheme and other regulatory framework that influences PV system adoption.
TABLE OF CONTENTS
TABLE OF CONTENTS IV
LIST OF TABLES VII
LIST OF FIGURES IX
CHAPTER ONE INTRODUCTION 1
1.1 Research Background and Motivation. 1
1.2 PV System Product Description. 6
1.3 Research Gap. 7
1.4 Research Objectives. 9
1.5 Research Contribution. 9
CHAPTER TWO LITERATURE REVIEW 11
2.1 Diffusion of Innovation (DOI) Theories. 11
2.1.1 Roger’s DOI Model. 11
2.1.2 Use-Diffusion (UD) Model. 13
2.2 Technological Dimension as Antecedent to Renewable Energy Usage. 16
2.3 Organizational Dimension as Antecedent to Renewable Energy Usage. 17
2.4 Variety of Use Motivation for Green Technology. 19
2.4.1 Enhanced Corporate Image through Green Branding. 19
2.4.2 Improved Financial Performance. 20
2.5 Use-Diffusion (UD) Outcome. 22
2.5.1 Satisfaction with Technology. 22
2.5.2 Interest in Acquiring Related Technologies. 22
2.5.3 Diffusion Outcomes. 23
2.6 Review of Studies on User Experience of Solar Energy Technology. 24
2.6.1 User Satisfaction of Solar Home System (SHS) in Bangladesh. 24
2.6.2 Household Solar Home System in UK. 26
CHAPTER THREE RESEARCH DESIGN AND METHODOLOGY 28
3.1 Research Approach. 28
3.2 Research Setting. 28
3.3 Data Collection. 29
CHAPTER FOUR RESEARCH ANALYSIS AND FINDING 33
4.1 Open Coding. 34
4.1.1 Green Initiatives. 34
4.1.2 Motivation for Adoption. 35
4.1.3 Hesitation. 35
4.1.4 Risk. 36
4.1.5 Decision-making Process. 36
4.1.6 After-sales Services. 36
4.1.7 Issues on Usage. 37
4.1.8 Positive Feedback on Usage. 37
4.1.9 Advantage. 38
4.1.10 Disadvantage. 38
4.1.11 Feedback on the Supplier’s Characteristics and Communication. 38
4.1.12 People’s Reaction. 39
4.1.13 Regulatory Environment. 39
4.2 Axial Coding. 40
4.3 Data Authenticity. 43
CHAPTER FIVE THEORETICAL DEVELOPMENT AND DISCUSSION 45
5.1 Selective Coding. 45
5.2 Theoretical Development. 46
5.3 Theory Interpretation. 47
5.3.1 Use-Diffusion Antecedents. 48
5.3.2 Use-Diffusion Outcomes. 56
5.4 Discussion. 60
5.4.1 Satisfaction. 60
5.4.2 Other Outcomes. 66
CHAPTER SIX CONCLUSION AND SUGGESTION 70
6.1 Conclusion. 70
6.2 Research Contribution. 71
6.3 Managerial Implications. 74
6.4 Research Limitation. 77
6.5 Research Suggestions. 79
Transcript of Supplier No. 1 84
Transcript of User #1 (Hospital) 92
Transcript of Supplier #2 (Solar Power Systems supplier) 95
Transcript of User #2 (Local Bank) 101
Transcript of User #3 (School) 108
Transcript of User #4 ( Foreign Bank) 113
Transcript of User #5 (Coffee Shop) 119
Averdung, A., & Wagenfuehrer, D. (2011). Consumers´ acceptance, adoption and behavioural intentions regarding environmentally sustainable innovations. Journal of Business Management and Economics, 2(3), 98-106.
Balachandra, P., Kristle Nathan, H. S., & Reddy, B. S. (2010). Commercialization of sustainable energy technologies. Renewable Energy, 35(8), 1842-1851.
Baziliana, M., Onyejia, I., Liebreichd, M., MacGille, I., Chased, J., Shahf, J., et al. (2013). Re-considering the economics of photovoltaic power. Renewable Energy, 53(0), 329-338.
Berkhout, T., & Rowlands, I. H. (2007). The voluntary adoption of green electricity by Ontario-based companies. Organization & Environment, 20(3), 281-303.
Bolton, R. N., & Lemon, K. N. (1999). A dynamic model of customers' usage of services: Usage as an antecedent and consequence of satisfaction. Journal of Marketing Research, 36(2), 171-186.
Caird, S., & Roy, R. (2008). User-centered improvements to energy efficiency products and renewable energy systems: Research on household adoption and use. International Journal of Innovation Management, 12(3), 327-355.
Caird, S., Roy, R., & Herring, H. (2008). Improving the energy performance of UK households: Results from surveys of consumer adoption and use of low- and zero-carbon technologies. Energy Efficiency 1(2), 149-166.
Chiesa, V., & Frattini, F. (2011). Commercializing technological innovation: Learning from failures in high-tech markets. Journal of Product Innovation Management, 28(4), 437–454.
Churchill, G. A., & Surprenant, C. (1982). An investigation into the determinants of customer satisfaction. Journal of Marketing Research 19(4), 14-31.
Couture, T., & Gagnon, Y. (2010). An analysis of feed-in tariff remuneration models: Implications for renewable energy investment. Energy Policy, 38(2), 955-965.
Dalton, G. J., Lockington, D. A., & Baldock, T. E. (2008). A survey of tourist attitudes to renewable energy supply in Australian hotel accommodation. Renewable Energy, 33(10), 2174-2185.
Dwivedi, Y. K., Choudrie, J., & Brinkman, W.-P. (2006). Consumer usage of broadband in British households. International Journal of Services and Standards, 2(4), 400-416.
Feng, H. (2012). Key factors influencing users' intentions of adopting renewable energy technologies. Academic Research International, 2(2), 156-168.
Fornell, C., Johnson, M. D., Anderson, E. W., Jaesung, C., & Bryant, B. E. (1996). The American customer satisfaction index: Nature, purpose, and findings. Journal of Marketing Research, 60(4), 7-18.
Frambach, R. T., & Schillewaert, N. (2002). Organizational innovation adoption: A multi-level framework of determinants and opportunities for future research. Journal of Business Research, 55(2), 163-176.
Gliedt, T., Berkhout, T., Parker, P., & Doucet, J. (2010). Voluntary environmental decision making in firms: Green electricity purchases and the role of champions. International Journal of Business Environment, 3(3), 308-328.
Ha, S., Chung, T.-L., Hamilton, J., & Park, J. (2010). Moving beyond acceptance: Exploring determinants of consumer use of mobile services. International Journal of Mobile Marketing, 5(2).
Hamblin, R., Miller, J. L. L., & Saxton, D. E. (1979). Modeling use diffusion. Social Forces, 57(3), 799-811.
Hau, Y. S., Kim, G., & Kim, B. (2012). Antecedents of user satisfaction in the context of mobile data services: The moderating role of variety and rate of usage. International Journal of Mobile Communications, 10(6), 617-636.
Hu, A. (2007). An empirical test of a use-diffusion model for Taiwan mobile digital TV. International Journal of Technology Management, 39(3), 248-263.
Kaplan, A. W. (1999). From passive to active about solar electricity: Innovation decision process and photovoltaic interest generation. Technovation, 19(8), 467-481.
Katsikeas, C. S., & Al-Khalifa, A. (1993). The issue of import motivation in manufacturer—overseas distributor relationships: Implications for exporters. Journal of Marketing Management, 9(1), 65-77.
Keirstead, J. (2007). Behavioural responses to photovoltaic systems in the UK domestic sector. Energy Policy, 35(8), 4128-4141.
Komareka, T. M., Lupib, F., Kaplowitzc, M. D., & Thorp, L. (2013). Influence of energy alternatives and carbon emissions on an institution's green reputation. Journal of Environmental Management, 128(15), 335-344.
Komatsua, S., Kanekoa, S., Ghoshb, P. P., & Morinagac, A. (2013). Determinants of user satisfaction with solar home systems in rural Bangladesh. Energy 61(1), 1-7.
Lehmann, D. R., & O'shaughnessy, J. (1974). Difference in attribute importance for different industrial products. The Journal of Marketing, 38(2), 36-42.
Levitan, D. (2013). A solar mirage in the Middle East? IEEE, 50(5), 10-11.
Mahajan, V., & Muller, E. (1979). Innovation and diffusion and new product growth models in marketing. Journal of Marketing, 4(3), 53-68.
Mallett, A. (2007). Social acceptance of renewable energy innovations: The role of technology cooperation in urban Mexico. Energy Policy, 35(5), 2790-2798.
McCarthy, J., & Wright, P. (2004). Technology as experience. Massachusetts: MIT Press.
Molina-Azorın, J. F., Claver-Cortes, E., Lopez-Gamero, M. D., & Tari, J. J. (2009). Green management and financial performance: A literature review. Management Decision, 47(7), 1080-1100.
Momotaz, S. N., & Karim, A. M. (2012). Customer satisfaction of the solar home system service in Bangladesh. World Journal of Social Sciences, 2(7), 193-210.
Mukherjee, I., & Sovacool, B. K. (2012). Sustainability principles of the Asian Development Bank's (ADB's) energy policy: An opportunity for greater future synergies. Renewable Energy, 48(0), 173-182.
Painuly, J. P. (2001). Barriers to renewable energy penetration: A framework for analysis. Renewable Energy, 24(1), 73-89.
Patton, M. Q. (2002). Qualitative Research and Evaluation Methods. Thousand Oaks, CA: Sage Publications.
Peter, R., Ramaseshan, B., & Nayar, C. V. (2002). Conceptual model for marketing solar based technology to developing countries. Renewable Energy, 25(4), 511-524.
Rao, K., & Kishore, V. (2010). A review of technology diffusion models with special reference to renewable energy technologies. Renewable and Sustainable Energy Reviews, 14(3), 1070-1078.
Rivera, J. (2002). Assessing a voluntary environmental initiative in the developing world: The Costa Rican certification of sustainable tourism. Policy Sciences, 35(4), 333-360.
Rogers, E. M. (1995). Diffusion of innovations (4th ed.). New York: Free Press.
Sardianou, E., & Genoudi, P. (2013). Which factors affect the willingness of consumers to adopt renewable energies? Renewable Energy, 57(0), 1-4.
Saunders, M., Lewis, P., & Thornhill, A. (2007). Research methods for business students (4th ed.). Upper Saddle River, New Jersey: Prentice Hall.
Shih, C., & Venkatesh, A. (2004). Beyond adoption: Development and application of a use-diffusion model. Journal of Marketing, 68(1), 59-72.
Siegel, J. R. R., A. (2011). The diffusion of off-grid solar photovoltaic technology in rural Bangladesh. In T. F. School (Ed.), Energy, Climate, and Innovation Discussion Paper. Medford, MA: Tufts University.
Sinke, W. C. (2009). Grid parity: Holy grail or hype? International Sustainable Energy Review, 3(1), 34-37.
Sriwannawit, P., & Laestadius, S. (2013). Diffusion of photovoltaic systems for rural electrification in Thailand. International Journal of Energy and Environment, 5(1), 49-58.
Strauss, A. L., & Corbin, J. M. (1998). Basics of qualitative research: Grounded theory procedures and techniques California: SAGE Publications Inc.
Swallow, D., Blythe, M., & Wright, P. (2005). Grounding experience: Relating theory and method to evaluate the user experience of smartphones. Paper presented at the 2005 Annual Conference on European Association of Cognitive Ergonomics, Chania, Greece.
Tang, A. K. Y., Lai, K., & Cheng, T. C. E. (2012). Environmental governance of enterprises and their economic upshot through corporate reputation and customer satisfaction. Business Strategy and the Environment, 21(6), 401-411.
Theotokis, A., & Doukidis, G. (2009). When adoption brings addiction: A use-diffusion model for social information systems. Paper presented at the International Conference on Information Systems, Phoenix, Arizona, USA.
Venkatesh, A., Kruse, E., & Shih, C. (2003). The networked home: An analysis of current developments and future trends. Cognition, Technology & Work, 5(1), 23-32.
Wiser, R., Fowlie, M., & Holt, E. (2001). Public goods and private interests: Understanding non-residential demand for green power. Energy Policy, 29(13), 1085-1097.
Wüstenhagen, R., Wolsink, M., & Bürer, M. J. (2007). Social acceptance of renewable energy innovation: An introduction to the concept. Energy Policy, 35(5), 2683-2691.
Yeon, S., Park, S., & Kim, S. (2006). A dynamic diffusion model for managing customer's expectation and satisfaction. Technological Forecasting and Social Change, 73(6), 648-665.
Yuan, X., Zuo, J., & Ma, C. (2011). Social acceptance of solar energy technologies in China—End users’ perspective. Energy Policy, 39(3), 1031-1036.
Zaltman, G., Duncan, R., & Holbek, J. (1973). Innovations and organizations. New York: John Wiley & Sons.