Biogas plants and real estate values: potential negative externalities

Abstract

The contribution analyses "Biogas and real estate values: potential negative externalities", with attention to the context, the reading tools and the implications for policies. To bring back some updated data, the annual report of the Energy Services Manager on the incentive of renewable sources (Bollettino 30 June 2016, GSE, 2016) has 1,224 biogas plants and 947 MW of installed power, with an electricity generation capacity of 6.057 GWh (equal to 15% of total energy produced by renewables in Italy). Fruit, vegetables and food residues); from industrial and municipal waste water treatment plants (e.g. sewage sludge), the food industry (e.g. This study, therefore, tries to verify whether the potential negative perception of citizens in relation to the opening of biogas plants is effectively reflected in real estate values. The treated group consists of the real estate values of the sub-communal areas that have a biogas plant at a maximum distance of 2 km from their centrist. Therefore, it would seem that there is no empirical evidence of a significant reduction of real estate values due to the opening in the vicinity of biogas plants.

Keywords

real estate market; bioenergy; real estate values; energy; environment; waste disposal

JEL codes

R31; R52; Q42