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Household willingness to pay for green electricity in Poland

Author

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  • Anna Kowalska-Pyzalska
  • David Ramsey

Abstract

This paper analyses the willingness to pay (WTP) for green electricity among residential consumers in Poland. The current share of renewable energy sources (RES) in energy consumption is around 13.5% and is expected to increase. Data were collected through a telephone survey of a representative sample of Poles. The results obtained indicate that - above all - age, income, environmental attitudes, peer support, but also, education and knowledge about RES play the most important role in explaining consumers' WTP for green electricity. Statistical analyses indicate that the mean WTP of Polish consumers is currently very low (around 0.5 USD), which is due to the relatively low GDP per capita, the lack of knowledge about green energy and no past experience with green electricity tariffs.

Suggested Citation

  • Anna Kowalska-Pyzalska & David Ramsey, 2018. "Household willingness to pay for green electricity in Poland," HSC Research Reports HSC/18/04, Hugo Steinhaus Center, Wroclaw University of Science and Technology.
  • Handle: RePEc:wuu:wpaper:hsc1804
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    File URL: http://www.im.pwr.wroc.pl/~hugo/RePEc/wuu/wpaper/HSC_18_04.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Green energy; Green electricity tariffs; Willingness to pay; Telephone survey; Contingent valuation method (CVM); Logit regression;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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