Journal
JOURNAL OF FOREST ECONOMICS
Volume 16, Issue 3, Pages 217-233Publisher
NOW PUBLISHERS INC
DOI: 10.1016/j.jfe.2009.11.006
Keywords
Biomass; Contingent valuation; Open-ended; Heckman sample selection; Protest responses
Funding
- Spanish Ministry of Science and Technology [AGL2002-04753]
- Caixa-Galicia Foundation [CO-104-2002 FEUGA 110/115]
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Recent issues of this journal have presented an interesting debate regarding forest fires in Galicia, Spain. This article proposes a forest-energy programme that will contribute to reducing the risk of forest fires in this Atlantic Region of Southern Europe. We apply the contingent valuation method to assess a programme whereby 10% of the electricity produced from coal, fuel oil and gas would be replaced by electricity generated in biomass power plants. The programme would begin implementation in 2005 and it would take 6 years (up to 2010) before we reach the 10% goal. The results show that Galician households are willing to pay a mean of 38 Euros per year. In addition, we have introduced an innovative procedure to detect protest responses related to the payment vehicle in a contingent valuation. Heckman's sample-selection procedure is used to analyse the WTP function. (c) 2009 Elsevier GmbH. All rights reserved.
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