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Support for Renewable Energy, The Case of Windpower

Author

Listed:
  • Robert Germeshausen

  • Sven Heim

  • Ulrich Wagner

Abstract

The rise of societal goals like climate change mitigation and energy security calls for rapid capacity growth in renewable electricity sources, yet citizens’ support is put to a test when such technologies emit negative local externalities. We estimate the impact of wind turbine deployment on granular measures of revealed preferences for renewable electricity in product and political markets. We address potentially endogenous siting of turbines with an IV design that exploits quasi experimental variation in profitability induced by subsidies. We find that wind turbines significantly reduce citizens’ support locally, but this effect quickly fades with distance from the site. We assess policy instruments for enhancing citizens’ support for renewable energy in light of our results

Suggested Citation

  • Robert Germeshausen & Sven Heim & Ulrich Wagner, 2023. "Support for Renewable Energy, The Case of Windpower," CRC TR 224 Discussion Paper Series crctr224_2023_390, University of Bonn and University of Mannheim, Germany.
    • Handle: RePEc:bon:boncrc:crctr224_2023_390
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    File URL: https://www.crctr224.de/research/discussion-papers/archive/dp390
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    Cited by:

    1. David Cuberes & Aitor Lacuesta & Carlos Moreno-Pérez & Daniel Oto-Peralías, 2025. "Land concentration and large renewable energy projects," Working Papers 25.03, Universidad Pablo de Olavide, Department of Economics.
    2. Fabra, Natalia & Reguant, Mar, 2024. "The energy transition: A balancing act," Resource and Energy Economics, Elsevier, vol. 76(C).
    3. Lundin, Erik, 2024. "Wind power and the cost of local compensation schemes: A Swedish revenue sharing policy simulation," Energy Economics, Elsevier, vol. 135(C).
    4. Lundin, Erik & von Platten, Jenny, 2024. "The Socioeconomics of Wind Power Expansion: Evidence from Sweden," Working Paper Series 1511, Research Institute of Industrial Economics.
    5. Lundin, Erik, 2023. "Wind Power Approval, Decentralization, and NIMBYism: Evidence from the Swedish Greens," Working Paper Series 1464, Research Institute of Industrial Economics.
    6. repec:osf:osfxxx:hakt5_v2 is not listed on IDEAS
    7. Fabra, Natalia & Gutiérrez, Eduardo & Lacuesta, Aitor & Ramos, Roberto, 2024. "Do renewable energy investments create local jobs?," Journal of Public Economics, Elsevier, vol. 239(C).
    8. Oto-Peralías, Daniel & Cuberes, David, 2023. "Land Concentration and Mega Photovoltaic Plants," OSF Preprints hakt5, Center for Open Science.
    9. Valentina Bosetti & Italo Colantone & Catherine E. De Vries & Giorgio Musto, 2025. "Green Backlash and Right-Wing Populism," GREEN Working Papers 26, GREEN, Centre for Research on Geography, Resources, Environment, Energy & Networks, Universita' Bocconi, Milano, Italy.

    More about this item

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    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • 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
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

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