Consumers' Preferences for Green and Brown Electricity : a Choice Modelling Approach
Many countries face the choice between continued investment in fossil fuels versus extensive development of renewable energy sources like wind and small scale hydro. While fossil fuels like coal and natural gas are characterized by emissions of greenhouse gases and regional air pollutants, renewables have mainly local impacts in terms of visual intrusion and ecological effects. Thus, for the renewable energy options the location and size of the development have become the main issues. We conduct a Choice Experiment (CE) to elicit people?s preferences and willingness-to-pay (WTP) for different energy sources and their characteristics. The results show that Norwegians prefer wind power in the choice between continued imports of electricity from coalfired power plants versus building more hydro power plants, windfarms or gasfired power plants domestically. They also prefer to concentrate the development to a few large wind farms rather than many small ones. However, we also find a Not-In-My-Back-Yard (NIMBY) effect of wind farms. The observed WTP reflects the difference in external costs between these energy sources, and can be used as an input to a plan that provides an economic optimal mix of investments in different energy sources.
Volume (Year): 117 (2007)
Issue (Month): 5 ()
|Contact details of provider:|| Web page: http://www.cairn.info/revue-d-economie-politique.htm|
When requesting a correction, please mention this item's handle: RePEc:cai:repdal:redp_175_0795. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jean-Baptiste de Vathaire)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.