Marine trade-offs: comparing the benefits of off-shore wind farms and marine protected areas

Aljona Karlõševa (), Sulev Nõmmann, Tea Nõmmann, Evelin Urbel-Piirsalu, Wiktor Budzinski, Mikolaj Czajkowski and Nick Hanley
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Aljona Karlõševa: Stockholm Environmental Institute, Tallinn, Estonia
Sulev Nõmmann: Stockholm Environmental Institute, Tallinn, Estonia
Tea Nõmmann: Stockholm Environmental Institute, Tallinn, Estonia
Evelin Urbel-Piirsalu: Stockholm Environmental Institute, Tallinn, Estonia

No 2015-14, Discussion Papers in Environment and Development Economics from University of St. Andrews, School of Geography and Sustainable Development

Abstract: The drive to increase renewable electricity production in many parts of Europe has led to an increasing concentration of location of new sites at sea. This results in a range of environmental impacts which should be taken into account in a benefit-cost analysis of such proposal. In this paper, we use choice modelling to investigate the relative gains and losses from siting new windfarms off the coast of Estonia, relative to the option of creating a new marine protected area. Methodologically, the paper makes a contribution by showing the ability of the latent class mixed logit model to represent both within-and between-class preference heterogeneity, and thus its power to provide a more sophisticated representation of preference heterogeneity than latent class or mixed logit approaches. The paper is also the first to use the latent class mixed logit in willingness-to-pay space for environmental goods.

Keywords: discrete choice experiment; off-shore wind energy; marine protected areas; willingness to pay; renewable energy (search for similar items in EconPapers)
JEL-codes: O13 Q25 Q28 Q42 Q48 Q51 Q56 Q58 (search for similar items in EconPapers)
Pages: 18 pages
Date: 2015-05
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Related works:
Journal Article: Marine trade-offs: Comparing the benefits of off-shore wind farms and marine protected areas (2016)
Working Paper: Marine Trade-Offs: Comparing the Benefits of Off-Shore Wind Farms and Marine Protected Areas (2015)
Working Paper: Marine trade-offs: comparing the benefits of off-shore wind farms and marine protected areas (2015)
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