Does Daylight Saving Time in the Southern United States Save Energy? – Evidence from a Natural Experiment in Arizona

Abstract

Abstract This paper investigates why Arizona does not implement Daylight Saving Time based on energy consumption in the Southern states of the United States. Daylight Saving Time is a practice of adjusting clocks to extend daylight during the day, which can affect energy usage and conservation. While Daylight Saving Time is commonly believed to save energy, Arizona has been exempt from it since 1968, citing concerns of increased energy consumption due to longer daytime. This study employs synthetic control to construct a synthetic Arizona with Daylight Saving Time and compare it with Arizona without Daylight Saving Time. This paper provides evidence supporting the Daylight Saving Time exemption in Arizona by analyzing state-level panel data on energy consumption and related factors.