IDEAS home Printed from https://ideas.repec.org/a/kap/enreec/v83y2022i3d10.1007_s10640-022-00710-0.html
   My bibliography  Save this article

Assessing the Impact of Offshore Wind Power Deployment on Fishery: A Synthetic Control Approach

Author

Listed:
  • Hideki Shimada

    (National Institute of Advanced Industrial Science and Technology)

  • Kenji Asano

    (Central Research Institute of Electric Power Industry)

  • Yu Nagai

    (Central Research Institute of Electric Power Industry)

  • Akito Ozawa

    (National Institute of Advanced Industrial Science and Technology)

Abstract

Global efforts to decarbonize the energy sector are necessary to curb global warming, and many countries plan to achieve this through the rapid deployment of offshore wind power. However, the deployment will likely decelerate if local fishers plying their trade near maritime areas likely to host offshore wind farms oppose the deployments due to anticipated fishery disruptions. To date, there is no body of knowledge on the causal impact of offshore wind farm installation on local fisheries. Using fishery production panel data at the municipality level in Japan, this study applies a synthetic control method to measure causal impacts. The results suggest that offshore wind farms currently installed in Japan are unlikely to disrupt local fisheries. We find no statistically significant effects either on aggregated fishery production or on production categorized by fishery type. Moreover, we find no spatial spillover effects. Although the generalization of our findings requires caution because they are based on small-scale wind farms, our results imply that such moderate-size wind projects may not harm local fisheries.

Suggested Citation

  • Hideki Shimada & Kenji Asano & Yu Nagai & Akito Ozawa, 2022. "Assessing the Impact of Offshore Wind Power Deployment on Fishery: A Synthetic Control Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 83(3), pages 791-829, November.
  • Handle: RePEc:kap:enreec:v:83:y:2022:i:3:d:10.1007_s10640-022-00710-0
    DOI: 10.1007/s10640-022-00710-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10640-022-00710-0
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10640-022-00710-0?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. Kirkpatrick, A. Justin & Bennear, Lori S., 2014. "Promoting clean energy investment: An empirical analysis of property assessed clean energy," Journal of Environmental Economics and Management, Elsevier, vol. 68(2), pages 357-375.
    2. Matthew A. Cole & Robert J R Elliott & Bowen Liu, 2020. "The Impact of the Wuhan Covid-19 Lockdown on Air Pollution and Health: A Machine Learning and Augmented Synthetic Control Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 76(4), pages 553-580, August.
    3. Mónica Amador-Jiménez & Naomi Millner & Charles Palmer & R. Toby Pennington & Lorenzo Sileci, 2020. "The Unintended Impact of Colombia’s Covid-19 Lockdown on Forest Fires," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 76(4), pages 1081-1105, August.
    4. Eli Ben-Michael & Avi Feller & Jesse Rothstein, 2021. "The Augmented Synthetic Control Method," Journal of the American Statistical Association, Taylor & Francis Journals, vol. 116(536), pages 1789-1803, October.
    5. Eli Ben‐Michael & Avi Feller & Jesse Rothstein, 2022. "Synthetic controls with staggered adoption," Journal of the Royal Statistical Society Series B, Royal Statistical Society, vol. 84(2), pages 351-381, April.
    6. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
    7. Upton, Gregory B. & Snyder, Brian F., 2017. "Funding renewable energy: An analysis of renewable portfolio standards," Energy Economics, Elsevier, vol. 66(C), pages 205-216.
    8. Snyder, Brian & Kaiser, Mark J., 2009. "Ecological and economic cost-benefit analysis of offshore wind energy," Renewable Energy, Elsevier, vol. 34(6), pages 1567-1578.
    9. Hooper, Tara & Ashley, Matthew & Austen, Melanie, 2015. "Perceptions of fishers and developers on the co-location of offshore wind farms and decapod fisheries in the UK," Marine Policy, Elsevier, vol. 61(C), pages 16-22.
    10. Jarvis, Stephen, 2021. "The economic costs of NIMBYism: evidence from renewable energy projects," LSE Research Online Documents on Economics 113653, London School of Economics and Political Science, LSE Library.
    11. Karen Maguire & Abdul Munasib, 2016. "The Disparate Influence of State Renewable Portfolio Standards on Renewable Electricity Generation Capacity," Land Economics, University of Wisconsin Press, vol. 92(3), pages 468-490.
    12. Severin Borenstein, 2012. "The Private and Public Economics of Renewable Electricity Generation," Journal of Economic Perspectives, American Economic Association, vol. 26(1), pages 67-92, Winter.
    13. Gasparatos, Alexandros & Doll, Christopher N.H. & Esteban, Miguel & Ahmed, Abubakari & Olang, Tabitha A., 2017. "Renewable energy and biodiversity: Implications for transitioning to a Green Economy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 70(C), pages 161-184.
    14. Susan Athey & Guido W. Imbens, 2017. "The State of Applied Econometrics: Causality and Policy Evaluation," Journal of Economic Perspectives, American Economic Association, vol. 31(2), pages 3-32, Spring.
    15. Victor Chernozhukov & Kaspar Wüthrich & Yinchu Zhu, 2021. "An Exact and Robust Conformal Inference Method for Counterfactual and Synthetic Controls," Journal of the American Statistical Association, Taylor & Francis Journals, vol. 116(536), pages 1849-1864, October.
    16. Keita Abe & Christopher M. Anderson, 2022. "A Dynamic Model of Endogenous Fishing Duration," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 9(3), pages 425-454.
    17. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    18. Martin D. Heintzelman & Carrie M. Tuttle, 2012. "Values in the Wind: A Hedonic Analysis of Wind Power Facilities," Land Economics, University of Wisconsin Press, vol. 88(3), pages 571-588.
    19. Wee, Sherilyn, 2016. "The effect of residential solar photovoltaic systems on home value: A case study of Hawai‘i," Renewable Energy, Elsevier, vol. 91(C), pages 282-292.
    20. Mattmann, Matteo & Logar, Ivana & Brouwer, Roy, 2016. "Wind power externalities: A meta-analysis," Ecological Economics, Elsevier, vol. 127(C), pages 23-36.
    21. Alberto Abadie & Alexis Diamond & Jens Hainmueller, 2015. "Comparative Politics and the Synthetic Control Method," American Journal of Political Science, John Wiley & Sons, vol. 59(2), pages 495-510, February.
    22. Ando, Michihito, 2015. "Dreams of urbanization: Quantitative case studies on the local impacts of nuclear power facilities using the synthetic control method," Journal of Urban Economics, Elsevier, vol. 85(C), pages 68-85.
    23. Reilly, Kieran & O’Hagan, Anne Marie & Dalton, Gordon, 2015. "Attitudes and perceptions of fishermen on the island of Ireland towards the development of marine renewable energy projects," Marine Policy, Elsevier, vol. 58(C), pages 88-97.
    24. Cathrine Ulla Jensen & Toke Emil Panduro & Thomas Hedemark Lundhede, 2014. "The Vindication of Don Quixote: The Impact of Noise and Visual Pollution from Wind Turbines," Land Economics, University of Wisconsin Press, vol. 90(4), pages 668-682.
    25. Zerrahn, Alexander, 2017. "Wind Power and Externalities," Ecological Economics, Elsevier, vol. 141(C), pages 245-260.
    26. Varela-Vázquez, Pedro & Sánchez-Carreira, María del Carmen, 2017. "Estimation of the potential effects of offshore wind on the Spanish economy," Renewable Energy, Elsevier, vol. 111(C), pages 815-824.
    27. Grant R. McDermott & Kyle C. Meng & Gavin G. McDonald & Christopher J. Costello, 2019. "The blue paradox: Preemptive overfishing in marine reserves," Proceedings of the National Academy of Sciences, Proceedings of the National Academy of Sciences, vol. 116(12), pages 5319-5325, March.
    28. Alberto Abadie, 2021. "Using Synthetic Controls: Feasibility, Data Requirements, and Methodological Aspects," Journal of Economic Literature, American Economic Association, vol. 59(2), pages 391-425, June.
    29. Alexander, Karen A. & Wilding, Thomas A. & Jacomina Heymans, Johanna, 2013. "Attitudes of Scottish fishers towards marine renewable energy," Marine Policy, Elsevier, vol. 37(C), pages 239-244.
    30. Joseph Cullen, 2013. "Measuring the Environmental Benefits of Wind-Generated Electricity," American Economic Journal: Economic Policy, American Economic Association, vol. 5(4), pages 107-133, November.
    31. Cathrine Ulla Jensen & Toke Emil Panduro & Thomas Hedemark Lundhede, 2014. "The Vindication of Don Quixote: The Impact of Noise and Visual Pollution from Wind Turbines," Land Economics, University of Wisconsin Press, vol. 90(4), pages 668-682.
    32. King, Gary & Zeng, Langche, 2006. "The Dangers of Extreme Counterfactuals," Political Analysis, Cambridge University Press, vol. 14(2), pages 131-159, April.
    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. Danovaro, Roberto & Bianchelli, Silvia & Brambilla, Paola & Brussa, Gaia & Corinaldesi, Cinzia & Del Borghi, Adriana & Dell’Anno, Antonio & Fraschetti, Simonetta & Greco, Silvestro & Grosso, Mario & N, 2024. "Making eco-sustainable floating offshore wind farms: Siting, mitigations, and compensations," Renewable and Sustainable Energy Reviews, Elsevier, vol. 197(C).

    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. Dennis Shen & Peng Ding & Jasjeet Sekhon & Bin Yu, 2022. "Same Root Different Leaves: Time Series and Cross-Sectional Methods in Panel Data," Papers 2207.14481, arXiv.org, revised Oct 2022.
    2. Stefano, Roberta di & Mellace, Giovanni, 2020. "The inclusive synthetic control method," Discussion Papers on Economics 14/2020, University of Southern Denmark, Department of Economics.
    3. David Gilchrist & Thomas Emery & Nuno Garoupa & Rok Spruk, 2023. "Synthetic Control Method: A tool for comparative case studies in economic history," Journal of Economic Surveys, Wiley Blackwell, vol. 37(2), pages 409-445, April.
    4. Roy Cerqueti & Raffaella Coppier & Alessandro Girardi & Marco Ventura, 2022. "The sooner the better: lives saved by the lockdown during the COVID-19 outbreak. The case of Italy," The Econometrics Journal, Royal Economic Society, vol. 25(1), pages 46-70.
    5. Pekka Malo & Juha Eskelinen & Xun Zhou & Timo Kuosmanen, 2024. "Computing Synthetic Controls Using Bilevel Optimization," Computational Economics, Springer;Society for Computational Economics, vol. 64(2), pages 1113-1136, August.
    6. Michael Funke & Kadri Männasoo & Helery Tasane, 2023. "Regional Economic Impacts of the Øresund Cross-Border Fixed Link: Cui Bono?," CESifo Working Paper Series 10557, CESifo.
    7. Jiafeng Chen, 2023. "Synthetic Control as Online Linear Regression," Econometrica, Econometric Society, vol. 91(2), pages 465-491, March.
    8. Florence Bouvet & Roy Bower & Jason C. Jones, 2022. "Currency Devaluation as a Source of Growth in Africa: A Synthetic Control Approach," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 48(3), pages 367-389, June.
    9. Bruno Ferman & Cristine Pinto & Vitor Possebom, 2020. "Cherry Picking with Synthetic Controls," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 39(2), pages 510-532, March.
    10. Manuel Funke & Moritz Schularick & Christoph Trebesch, 2023. "Populist Leaders and the Economy," American Economic Review, American Economic Association, vol. 113(12), pages 3249-3288, December.
    11. Robert Messerle & Jonas Schreyögg, 2024. "Country-level effects of diagnosis-related groups: evidence from Germany’s comprehensive reform of hospital payments," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 25(6), pages 1013-1030, August.
    12. Robert Kraemer & Jonne Lehtimäki, 2024. "Government debt, European Institutions and fiscal rules: a synthetic control approach," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 31(4), pages 1112-1157, August.
    13. Andrii Melnychuk, 2024. "Synthetic Controls with spillover effects: A comparative study," Papers 2405.01645, arXiv.org.
    14. Kuosmanen, Timo & Zhou, Xun & Eskelinen, Juha & Malo, Pekka, 2021. "Design Flaw of the Synthetic Control Method," MPRA Paper 106328, University Library of Munich, Germany.
    15. Tomasz Serwach, 2022. "The European Union and within-country income inequalities. The case of the New Member States," Working Papers hal-03548416, HAL.
    16. Gabriel, Ricardo Duque & Pessoa, Ana Sofia, 2024. "Adopting the euro: A synthetic control approach," European Journal of Political Economy, Elsevier, vol. 83(C).
    17. John Dorrell & Keunjae Lee, 2020. "The Cost of Wind: Negative Economic Effects of Global Wind Energy Development," Energies, MDPI, vol. 13(14), pages 1-25, July.
    18. Diego D'iaz & Pablo Paniagua & Cristi'an Larroulet, 2024. "Earthquakes and the wealth of nations: The cases of Chile and New Zealand," Papers 2405.12041, arXiv.org.
    19. Nadine McCloud, 2022. "Does domestic investment respond to inflation targeting? A synthetic control investigation," International Economics, CEPII research center, issue 169, pages 98-134.
    20. Dmitry Arkhangelsky & Guido Imbens, 2023. "Causal Models for Longitudinal and Panel Data: A Survey," Papers 2311.15458, arXiv.org, revised Jun 2024.

    More about this item

    Keywords

    Causal impacts; Observational data; Quantitative analysis; Renewable energy; Synthetic control method;
    All these keywords.

    JEL classification:

    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • Q22 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Fishery
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

    Statistics

    Access and download statistics

    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:kap:enreec:v:83:y:2022:i:3:d:10.1007_s10640-022-00710-0. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.