Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/232711 
Year of Publication: 
2020
Series/Report no.: 
IZA Discussion Papers No. 13959
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
Although there is strong support for renewable energy plants, they are often met with local resistance. We quantify the externalities of renewable energy plants using wellbeing data. We focus on the example of biogas, one of the most frequently deployed technologies besides wind and solar. To this end, we combine longitudinal household data with novel panel data on more than 13,000 installations in Germany. Identification rests on a spatial difference-in-differences design exploiting exact geographical coordinates of households, biogas installations and wind direction and intensity. We find limited evidence for negative externalities: impacts are moderate in size and spatially confined to a radius of 2,000 metres around plants. We discuss implications for research and regional planning, in particular minimum setback distances and potential monetary compensations.
Subjects: 
renewables
biogas
externalities
social acceptance
wellbeing
spatial analysis
JEL: 
C23
Q42
Q51
R20
Document Type: 
Working Paper

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