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Inferring local social cost from renewable zoning decisions. Evidence from Lower Austria’s wind power zoning

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  • Wehrle, Sebastian
  • Regner, Peter
  • Morawetz, Ulrich B.
  • Schmidt, Johannes

Abstract

Large infrastructures, such as wind turbines, may adversely affect their environment, so their deployment is often regulated. These regulations are frequently based on a dichotomy between areas considered feasible or infeasible areas for infrastructure deployment. To overcome the inability of such a binary distinction to adequately represent the involved economic trade-offs between, but also within feasible and infeasible areas, we establish a discrete choice framework to elicit social preferences implicit in Lower Austria’s wind power zoning and generate comprehensive estimates of local social costs in high spatial resolution. Our findings suggest that wind turbines were attributed significant local social costs in the political zoning process. These local social cost estimates can inform siting decisions, improve power system modelling and open a novel perspective on the assessment of potentials for renewable energies.

Suggested Citation

  • Wehrle, Sebastian & Regner, Peter & Morawetz, Ulrich B. & Schmidt, Johannes, 2024. "Inferring local social cost from renewable zoning decisions. Evidence from Lower Austria’s wind power zoning," Energy Economics, Elsevier, vol. 139(C).
  • Handle: RePEc:eee:eneeco:v:139:y:2024:i:c:s0140988324005735
    DOI: 10.1016/j.eneco.2024.107865
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    References listed on IDEAS

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    More about this item

    Keywords

    Externalities; Wind power; Renewable energy; Power system design; Policy;
    All these keywords.

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • R52 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Land Use and Other Regulations

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