Willingness to pay for E85 from corn, switchgrass, and wood residues

Kimberly L. Jensen, Christopher Clark, Burton English, Robert Menard, Denise K. Skahan and Adrienne C. Marra

Energy Economics, 2010, vol. 32, issue 6, 1253-1262

Abstract: Willingness to pay (WTP) for E85 (automotive fuel blend of 85% ethanol and 15% gasoline) was estimated from a contingent choice exercise contained in a national survey of consumers. The choice exercise included E85 blends from three different feedstock sources (corn grain, switchgrass, and wood wastes) and an E10 blend (10% ethanol and 90% gasoline) with corn grain as the ethanol feedstock. Results from the study indicate willingness to pay a premium for E85 from switchgrass compared with E10 from corn. Concerns about land use for "food versus fuel" had a negative impact on WTP for E85 from corn grain, while greater concerns about fuel security relative to the environment had a positive impact.

Keywords: Ethanol; Corn; grain; Switchgrass; Wood; wastes; Contingent; choice; exercise; Willingness; to; pay; Random; parameters; logit (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (19)

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