Paying for green energy: The case of the Chilean Patagonia

We survey and assess the willingness to pay (WTP) for environmentally-friendly sources of energy, in the context of the proposed construction of five hydroelectric dams in the Chilean Patagonia. We then compare the estimated WTP to the real costs of generating electricity with different currently available technologies for renewable sources of energy. Overall, we find that the WTP of Chilean citizens would be more than enough to pay for greener sources of energy. We also find that the WTP is affected by age and gender of the respondents, but surprisingly not by income.