The South Korean public’s evaluation of the mix of power generation sources: A choice experiment study

Abstract

The South Korean government is pursuing an energy transition, which means a reduction in nuclear power and coal-fired power generation, and an expansion into renewable energy. This study seeks to evaluate the South Korean public’s preference for a mix of power generation sources. For this purpose, 1000 households throughout the country were randomly selected and a choice experiment survey of them was undertaken in March 2018. We considered four attributes: the ratio of nuclear power, the ratio of coal-fired generation, the ratio of natural gas-fired generation, and the ratio of renewable energy. An increase in the monthly electric bill was also considered as an attribute. The results of applying the choice experiment approach show that households were willing to accept an increase in their monthly electric bill by KRW 192 (USD 0.17) and KRW 165 (USD 0.15) for reducing the proportion of nuclear power and coal, respectively, by 1%p. They were willing to pay KRW 159 (USD 0.14) and KRW 409 (USD 0.38) for raising the ratio of natural gas and renewable energy, respectively, through an increase in the monthly electricity bill. The findings reveal that the government’s energy transition has overall support from the public.