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Economic evaluation of willingness to pay for natural gas supply reliability in Korea

  • Jeongmin Shin
  • , Solji Nam
  • , Jaeho Jeong
  • , Jungwoo Shin

Research output: Contribution to journalArticlepeer-review

1 Citation (Scopus)

Abstract

This study evaluates the economic value and supports infrastructure development of constructing a circular network to improve natural gas supply stability. This study applies a double-bounded dichotomous choice model and shows that households and commercial users are willing to pay an additional 2.97% and 1.19% of their monthly gas bill, respectively. This study also shows the impact of gas supply understanding and population density on willingness to pay (WTP) for both sectors. Scenario analysis is conducted to analyze the cost-benefit ratio for a hypothetical region, which may be useful in setting up new business plans.

Original languageEnglish
Article number101833
JournalUtilities Policy
Volume91
DOIs
Publication statusPublished - Dec 2024

Bibliographical note

Publisher Copyright:
© 2024 Elsevier Ltd

Keywords

  • Circular network construction
  • Commercial use
  • Gas supply reliability
  • Household use

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