IDEAS home Printed from https://ideas.repec.org/a/eee/renene/v83y2015icp398-406.html
   My bibliography  Save this article

Do the Spanish want biodiesel? A case study in the Catalan transport sector

Author

Listed:
  • Kallas, Zein
  • Gil, José María

Abstract

In this paper, we analyse the opinions, attitudes and willingness of consumers to pay for biodiesel as an alternative to diesel in Barcelona province. Data were gathered from face-to-face structured questionnaires from 300 diesel car owners/users that regularly purchase fuel. A variation of the traditional choice experiments (CE) was used by excluding the price attribute from the design. In a subsequent contingent valuation (CV) exercise, respondents were asked to state their maximum willingness to pay (WTP) for their preferred choice sets using the “payment card” format. The relative importance of the attributes and levels were calculated by estimating a random parameter logit model. The results demonstrated, contrary to the literature in Spain, that consumers were not willing to pay for biodiesel, especially when its production may negatively affect food prices. The main limitation was that car manufacturers do not recommend its use as it may lead to engine failure. The public authorities are asked to work jointly with the automotive industry to address this drawback.

Suggested Citation

  • Kallas, Zein & Gil, José María, 2015. "Do the Spanish want biodiesel? A case study in the Catalan transport sector," Renewable Energy, Elsevier, vol. 83(C), pages 398-406.
  • Handle: RePEc:eee:renene:v:83:y:2015:i:c:p:398-406
    DOI: 10.1016/j.renene.2015.04.047
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0960148115003274
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.renene.2015.04.047?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jeanty, Pierre Wilner & Haab, Timothy C. & Hitzhusen, Frederick J., 2007. "Willingness to Pay for Biodiesel in Diesel Engines: A Stochastic Double Bounded Contingent Valuation Survey," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon 9868, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Sanz, M. Teresa & Cansino, José M. & González-Limón, José M. & Santamaría, Marta & Yñiguez, Rocío, 2014. "Economic assessment of CO2 emissions savings in Spain associated with the use of biofuels for the transport sector in 2010," Utilities Policy, Elsevier, vol. 29(C), pages 25-32.
    3. Simla Tokgoz & Amani Elobeid & Jacinto Fabiosa & Dermot J. Hayes & Bruce A. Babcock & Tun-Hsiang (Edward) Yu & Fengxia Dong & Chad E. Hart, 2008. "Bottlenecks, Drought, and Oil Price Spikes: Impact on U.S. Ethanol and Agricultural Sectors," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 30(4), pages 604-622.
    4. Rathmann, Régis & Szklo, Alexandre & Schaeffer, Roberto, 2010. "Land use competition for production of food and liquid biofuels: An analysis of the arguments in the current debate," Renewable Energy, Elsevier, vol. 35(1), pages 14-22.
    5. Crago, Christine Lasco & Khanna, Madhu, 2014. "Carbon abatement in the fuel market with biofuels: Implications for second best policies," Journal of Environmental Economics and Management, Elsevier, vol. 67(2), pages 89-103.
    6. Escobar, José C. & Lora, Electo S. & Venturini, Osvaldo J. & Yáñez, Edgar E. & Castillo, Edgar F. & Almazan, Oscar, 2009. "Biofuels: Environment, technology and food security," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(6-7), pages 1275-1287, August.
    7. Proost, Stef & Van Dender, Kurt, 2012. "Energy and environment challenges in the transport sector," Economics of Transportation, Elsevier, vol. 1(1), pages 77-87.
    8. Jeff Brazell & Christopher Diener & Ekaterina Karniouchina & William Moore & Válerie Séverin & Pierre-Francois Uldry, 2006. "The no-choice option and dual response choice designs," Marketing Letters, Springer, vol. 17(4), pages 255-268, December.
    9. Arabatzis, G. & Malesios, Ch., 2011. "An econometric analysis of residential consumption of fuelwood in a mountainous prefecture of Northern Greece," Energy Policy, Elsevier, vol. 39(12), pages 8088-8097.
    10. Zein Kallas & José A. Gómez‐Limón & Jesús Barreiro Hurlé, 2007. "Decomposing the Value of Agricultural Multifunctionality: Combining Contingent Valuation and the Analytical Hierarchy Process," Journal of Agricultural Economics, Wiley Blackwell, vol. 58(2), pages 218-241, June.
    11. Amanor-Boadu, Vincent & Pfromm, Peter H. & Nelson, Richard, 2014. "Economic feasibility of algal biodiesel under alternative public policies," Renewable Energy, Elsevier, vol. 67(C), pages 136-142.
    12. Petrolia, Daniel R. & Bhattacharjee, Sanjoy & Hudson, Darren & Herndon, Cary W., 2010. "Do Americans want ethanol? A comparative contingent-valuation study of willingness to pay for E-10 and E-85," Energy Economics, Elsevier, vol. 32(1), pages 121-128, January.
    13. Ajanovic, Amela, 2011. "Biofuels versus food production: Does biofuels production increase food prices?," Energy, Elsevier, vol. 36(4), pages 2070-2076.
    14. Sobrino, Fernando Hernández & Monroy, Carlos Rodríguez, 2009. "Critical analysis of the European Union directive which regulates the use of biofuels: An approach to the Spanish case," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(9), pages 2675-2681, December.
    15. Carlsson, Fredrik & Frykblom, Peter & Johan Lagerkvist, Carl, 2005. "Using cheap talk as a test of validity in choice experiments," Economics Letters, Elsevier, vol. 89(2), pages 147-152, November.
    16. Perdiguero, Jordi & Jiménez, Juan Luis, 2011. "Sell or not sell biodiesel: Local competition and government measures," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(3), pages 1525-1532, April.
    17. Kallas, Zein & Maria Gil, Jose, 2011. "A Dual Response Choice Experiments (DRCE) design to assess rabbit meat preference in Catalonia: A Heteroescedatistic Extreme-Value Model," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114779, European Association of Agricultural Economists.
    18. Jeanty, P. Wilner & Hitzhusen, Fred, 2007. "Using Stated Preferences to Estimate Environmental Benefits of Biodiesel Fuel in Diesel Engines," Biofuels, Food and Feed Tradeoffs Conference, April 12-13, 2007, St, Louis, Missouri 313701, Farm Foundation.
    19. Cansino, J.M. & Pablo-Romero, M.del P & Román, R. & Yñiguez, R., 2012. "Promotion of biofuel consumption in the transport sector: An EU-27 perspective," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(8), pages 6013-6021.
    20. Jeanty, Pierre Wilner & Hitzhusen, Frederick J., 2007. "Using stated preferences to estimate the environmental benefits of using biodiesel fuel in diesel engines," Biofuels, Food and Feed Tradeoffs Conference, April 12-13, 2007, St, Louis, Missouri 48773, Farm Foundation.
    21. Serra, Teresa, 2012. "Biofuel-related price volatility literature: a review and new approaches," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126057, International Association of Agricultural Economists.
    22. Savvanidou, Electra & Zervas, Efthimios & Tsagarakis, Konstantinos P., 2010. "Public acceptance of biofuels," Energy Policy, Elsevier, vol. 38(7), pages 3482-3488, July.
    23. Bosworth Ryan & Taylor Laura O., 2012. "Hypothetical Bias in Choice Experiments: Is Cheap Talk Effective at Eliminating Bias on the Intensive and Extensive Margins of Choice?," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 12(1), pages 1-28, December.
    24. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    25. Solomon, Barry D. & Johnson, Nicholas H., 2009. "Valuing climate protection through willingness to pay for biomass ethanol," Ecological Economics, Elsevier, vol. 68(7), pages 2137-2144, May.
    26. Fazal, M.A. & Haseeb, A.S.M.A. & Masjuki, H.H., 2011. "Biodiesel feasibility study: An evaluation of material compatibility; performance; emission and engine durability," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(2), pages 1314-1324, February.
    27. Delshad, Ashlie B. & Raymond, Leigh & Sawicki, Vanessa & Wegener, Duane T., 2010. "Public attitudes toward political and technological options for biofuels," Energy Policy, Elsevier, vol. 38(7), pages 3414-3425, July.
    28. Bozbas, Kahraman, 2008. "Biodiesel as an alternative motor fuel: Production and policies in the European Union," Renewable and Sustainable Energy Reviews, Elsevier, vol. 12(2), pages 542-552, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Baral, Nabin & Rabotyagov, Sergey, 2017. "How much are wood-based cellulosic biofuels worth in the Pacific Northwest? Ex-ante and ex-post analysis of local people's willingness to pay," Forest Policy and Economics, Elsevier, vol. 83(C), pages 99-106.
    2. Penn, Jerrod & Hu, Wuyang, 2016. "Making the Most of Cheap Talk in an Online Survey," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236171, Agricultural and Applied Economics Association.
    3. le Maitre, Julia & Ryan, Geraldine & Power, Bernadette & Sirr, Gordon, 2024. "Mechanisms to promote household investment in wind energy: A national experimental survey," Renewable Energy, Elsevier, vol. 220(C).
    4. José A. León & Gisela Montero & Marcos A. Coronado & José R. Ayala & Daniela G. Montes & Laura J. Pérez & Lisandra Quintana & Jesús M. Armenta, 2022. "Thermodynamic Analysis of Waste Vegetable Oil Conversion to Biodiesel with Solar Energy," Energies, MDPI, vol. 15(5), pages 1-17, March.
    5. Anthony PARIS & Pascal GASTINEAU & Pierre-Alexandre MAHIEU & Benoît CHEZE, 2020. "Citizen involvement in the energy transition: Highlighting the role played by the spatial heterogeneity of preferences in the public acceptance of biofuels," LEO Working Papers / DR LEO 2828, Orleans Economics Laboratory / Laboratoire d'Economie d'Orleans (LEO), University of Orleans.
    6. Mamadzhanov, Alisher & McCluskey, Jill J. & Li, Tongzhe, 2019. "Willingness to pay for a second-generation bioethanol: A case study of Korea," Energy Policy, Elsevier, vol. 127(C), pages 464-474.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kallas, Zein & Gil, José Maria, 2014. "Consumers' preferences towards biodiesel in the Spanish transport sector: A case study in Catalonia," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182801, European Association of Agricultural Economists.
    2. Loureiro, Maria L. & Labandeira, Xavier & Hanemann, Michael, 2013. "Transport and low-carbon fuel: A study of public preferences in Spain," Energy Economics, Elsevier, vol. 40(S1), pages 126-133.
    3. Sivashankar, Pathmanathan & Weerahewa, Jeevika & Pushpakumara, Gamini & Galagedara, Lakshman, 2016. "An estimation of the willingness to pay for biodiesel: a pilot study of diesel consumers," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 5(1), pages 1-19, April.
    4. Balogh, P. & Bai, A. & Popp, J. & Huzsvai, L. & Jobbágy, P., 2015. "Internet-orientated Hungarian car drivers’ knowledge and attitudes towards biofuels," Renewable and Sustainable Energy Reviews, Elsevier, vol. 48(C), pages 17-26.
    5. Jeong Hwan Bae, 2014. "Supply Portfolio of Bioethanol in the Republic of Korea," Korean Economic Review, Korean Economic Association, vol. 30, pages 133-161.
    6. Shin, Jungwoo & Hwang, Won-Sik, 2017. "Consumer preference and willingness to pay for a renewable fuel standard (RFS) policy: Focusing on ex-ante market analysis and segmentation," Energy Policy, Elsevier, vol. 106(C), pages 32-40.
    7. Lim, Seul-Ye & Kim, Hyo-Jin & Yoo, Seung-Hoon, 2017. "Public's willingness to pay a premium for bioethanol in Korea: A contingent valuation study," Energy Policy, Elsevier, vol. 101(C), pages 20-27.
    8. Gracia, Azucena & Barreiro-Hurlé, Jesús & Perez y Perez, Luis, 2011. "Consumers’ willingness to pay for biodiesel in Spain," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114605, European Association of Agricultural Economists.
    9. Ho-Young Kim & So-Yeon Park & Seung-Hoon Yoo, 2016. "Public Acceptability of Introducing a Biogas Mandate in Korea: A Contingent Valuation Study," Sustainability, MDPI, vol. 8(11), pages 1-16, October.
    10. Gracia, Azucena & Barreiro-Hurlé, Jesús & Pérez y Pérez, Luis, 2014. "Will consumers use biodiesel? Assessing the potential for reducing CO2 emissions from private transport in Spain," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182802, European Association of Agricultural Economists.
    11. Aguilar, Francisco X. & Cai, Zhen & Mohebalian, Phillip & Thompson, Wyatt, 2015. "Exploring the drivers' side of the “blend wall”: U.S. consumer preferences for ethanol blend fuels," Energy Economics, Elsevier, vol. 49(C), pages 217-226.
    12. Anthony PARIS & Pascal GASTINEAU & Pierre-Alexandre MAHIEU & Benoît CHEZE, 2020. "Citizen involvement in the energy transition: Highlighting the role played by the spatial heterogeneity of preferences in the public acceptance of biofuels," LEO Working Papers / DR LEO 2828, Orleans Economics Laboratory / Laboratoire d'Economie d'Orleans (LEO), University of Orleans.
    13. Mohammed H. Alemu & Søren B. Olsen, 2017. "Can a Repeated Opt-Out Reminder remove hypothetical bias in discrete choice experiments? An application to consumer valuation of novel food products," IFRO Working Paper 2017/05, University of Copenhagen, Department of Food and Resource Economics.
    14. Jensen, Kimberly L. & Clark, Christopher D. & English, Burton C. & Menard, R. Jamey & Skahan, Denise K. & Marra, Adrienne C., 2010. "Willingness to pay for E85 from corn, switchgrass, and wood residues," Energy Economics, Elsevier, vol. 32(6), pages 1253-1262, November.
    15. Ajanovic, Amela & Haas, Reinhard, 2017. "The impact of energy policies in scenarios on GHG emission reduction in passenger car mobility in the EU-15," Renewable and Sustainable Energy Reviews, Elsevier, vol. 68(P2), pages 1088-1096.
    16. Foo, K.Y. & Hameed, B.H., 2010. "Insight into the applications of palm oil mill effluent: A renewable utilization of the industrial agricultural waste," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(5), pages 1445-1452, June.
    17. Aytav, Emre & Kocar, Günnur, 2013. "Biodiesel from the perspective of Turkey: Past, present and future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 25(C), pages 335-350.
    18. Zhao, Xiaoli & Cai, Qiong & Li, Shujie & Ma, Chunbo, 2018. "Public preferences for biomass electricity in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 95(C), pages 242-253.
    19. Zhang, Yong & Yu, Yifeng & Li, Tiezhu & Zou, Bai, 2011. "Analyzing Chinese consumers' perception for biofuels implementation: The private vehicles owner's investigating in Nanjing," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(5), pages 2299-2309, June.
    20. Li, Tongzhe & McCluskey, Jill J., 2017. "Consumer preferences for second-generation bioethanol," Energy Economics, Elsevier, vol. 61(C), pages 1-7.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:renene:v:83:y:2015:i:c:p:398-406. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/renewable-energy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.