The threats associated with climate change and the worsening ecological crisis have led to a growing interest in energy-conservation policies. Policymakers across the globe have been scrambling to find cost-effective and sustainable methods to meet the world’s growing energy demands. Traditional policies have so far largely focused on supply-side interventions aimed at encouraging energy efficiency via green innovation and new technologies. However, as several studies have indicated, supply-side policies alone are unlikely to be adequate to achieve the ambitious changes required to make our future sustainable. This review article draws on recent studies in behavioural economics to emphasize the need to reorient public policy towards altering consumer end-uses through behavioural interventions. In an attempt to draw out important lessons for public policy, the article reviews this emerging strand of literature and underlines the complex factors that influence energy consumption in a household. Although preceding studies have primarily focused on developed nations, the output of these studies could guide policymakers in developing and emerging market economies as well.