 Market transformation has rapidly become the objective of many privately and publicly supported energy efficiency programs in the United States and other countries.First coined in a paper presented at the ACEEE Summer Study in 1992, the term "market transformation" is underpinned by the classic microeconomic model of markets, which describes a downward-sloping demand curve and an upward-sloping, presumably short-run supply curve.In the energy efficiency market, however, standard price and quantity equilibria are often rendered inefficient because of structural market barriers like split incentives, asymmetric information, distorted market power, and hassle costs.