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

    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. Ajanovic, Amela, 2011. "Biofuels versus food production: Does biofuels production increase food prices?," Energy, Elsevier, vol. 36(4), pages 2070-2076.
    2. Savvanidou, Electra & Zervas, Efthimios & Tsagarakis, Konstantinos P., 2010. "Public acceptance of biofuels," Energy Policy, Elsevier, vol. 38(7), pages 3482-3488, July.
    3. 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.
    4. 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.
    5. 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.
    6. 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.
    7. 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.
    8. 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.
    9. Proost, Stef & Van Dender, Kurt, 2012. "Energy and environment challenges in the transport sector," Economics of Transportation, Elsevier, vol. 1(1), pages 77-87.
    10. 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.
    11. 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.
    12. 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.
    13. 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.
    14. 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).
    15. 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.
    16. 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.
    17. 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.
    18. 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.
    19. 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.
    20. 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.
    21. 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.
    22. 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.
    23. 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.
    24. 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.
    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. repec:eee:forpol:v:83:y:2017:i:c:p:99-106 is not listed on IDEAS
    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.

    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.

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

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.