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Gone with the Wind: Valuing the Visual Impacts of Wind Turbines through House Prices

Author

Listed:
  • Stephen Gibbons
Abstract
This study provides quantitative evidence on the local benefits and costs of wind farm developments in England and Wales, focussing on their visual environmental impacts. In the tradition of studies in environmental, public and urban economics, housing costs are used to reveal local preferences for views of wind farm developments. Estimation is based on quasi-experimental research designs that compare price changes occurring in places where wind farms become visible, with price changes in appropriate comparator groups. These comparator groups include places close to wind farms that became visible in the past, or where they will become operational in the future and places close to wind farms sites but where the turbines are hidden by the terrain. All these comparisons suggest that wind farm visibility reduces local house prices, and the implied visual environmental costs are substantial.

Suggested Citation

  • Stephen Gibbons, 2014. "Gone with the Wind: Valuing the Visual Impacts of Wind Turbines through House Prices," SERC Discussion Papers 0159, Centre for Economic Performance, LSE.
    • Handle: RePEc:cep:sercdp:0159
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Housing prices; environment; wind farms; infrastructure;
    All these keywords.

    JEL classification:

    • R - Urban, Rural, Regional, Real Estate, and Transportation Economics
    • Q - Agricultural and Natural Resource Economics; Environmental and Ecological Economics

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    This paper has been announced in the following NEP Reports:

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