Assessment of government support for the household adoption of micro-generation systems in Korea

Gicheol Jeong

Energy Policy, 2013, vol. 62, issue C, 573-581

Abstract: This paper investigates how Korean government support affects household adoption of renewable energy-based micro-generation systems by analyzing household preferences in relation to the costs and benefits of system installation and different kinds of government support. The research adopts a discrete choice experiment approach and focuses on two micro-generation technologies: solar voltaic and solar thermal. Our empirical analysis revealed firstly that households prefer micro-generation systems that have low installation costs but high energy saving benefits and long warranty periods; and secondly that households prefer direct subsidies to low-interest loans. However, we also found that households are reluctant to install photovoltaic or solar thermal systems in reality because they see the cost of system installation as being higher than the benefits they would receive from such installation. In short, while existing government supports are somewhat effective in promoting household adoption of micro-generation systems, there also exists the obstacle that the majority of households are unwilling to install such systems despite government support. Thus several policy improvements, which focus on increasing the benefits and decreasing the installation costs of micro-generation systems, are suggested in this paper.

Keywords: Micro-generation; Renewable energy; Discrete choice experiment (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0301421513006587
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:62:y:2013:i:c:p:573-581

DOI: 10.1016/j.enpol.2013.07.015

Access Statistics for this article

Energy Policy is currently edited by N. France

More articles in Energy Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().