Document Type

Article

Date of Original Version

2024

Department

Environmental and Natural Resource Economics

Abstract

Onshore wind turbine capacity continues to grow and will only accelerate, though siting can be challenging given community opposition. We apply the hedonic valuation method with residential property sales data to assess nearby residents’ willingness to pay to avoid having views of turbines from their property. In doing so, we aim to improve methods of assessing viewshed impacts for turbines and other amenities and disamenities that have a visual component. Our recommended viewshed approach uses a Digital Surface Model (DSM), which accounts for trees and buildings that obstruct views. For comparison, we also create viewsheds based on bare-earth Digital Elevation Model (DEM), which has been more typically used other studies. Using data from New England, USA, we use a difference-in-differences identification strategy with treatment defined by the visibility of a wind turbine, while also controlling for proximity-based treatment effects. The results suggest that property values decline by 2.2%–2.5% when a wind turbine is visible, with larger impacts in urban and coastal areas. DEM methods misclassify viewshed for about 75% of properties, when compared to the DSM-based viewshed, and the resulting DEM-based valuation estimates are attenuated.

Publication Title, e.g., Journal

Journal of Environmental Economics and Management

Volume

128

Share

COinS