The Effects of Wind Turbines on Property Values in Ontario: Does Public Perception Match Empirical Evidence? |
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| Authors: | Richard J Vyn Ryan M McCullough |
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| Institution: | 1. 519‐674‐1500 ext. 63552519‐674‐1530;2. Assistant Professor, Department of Food, Agricultural & Resource Economics, University of Guelph, Ridgetown Campus, , Ridgetown, ON, N0P 2C0 Canada;3. 613‐948‐6396;4. Policy Analyst, Health Canada, , Tunney's Pasture Ottawa, ON 5. K1A 0K9 Canada |
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| Abstract: | The increasing development of wind energy in North America has generated concerns from nearby residents regarding potential impacts of wind turbines on property values. Such concerns arose in Melancthon Township (in southern Ontario) following the construction of a large wind farm. Existing literature has not reached a consensus regarding the nature of these impacts. This paper applies a hedonic approach to detailed data on 5,414 rural residential sales and 1,590 farmland sales to estimate the impacts of Melancthon's wind turbines on surrounding property values. These impacts are accounted for through both proximity to turbines and turbine visibility—two factors that may contribute to a disamenity effect. The results of the hedonic models, which are robust to a number of alternate model specifications including a repeat sales analysis, suggest that these wind turbines have not significantly impacted nearby property values. Thus, these results do not corroborate the concerns raised by residents regarding potential negative impacts of turbines on property values. |
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