Abstract ▼ AI-Helper

In this study, a consumer willingness to pays for residential heating systems are estimated by economic valuation method. The major Korean residential heating systems in apartments are central heating system (CH), district heating system (DH), and individual heating system (IH). However, DH and IH s...

In this study, a consumer willingness to pays for residential heating systems are estimated by economic valuation method. The major Korean residential heating systems in apartments are central heating system (CH), district heating system (DH), and individual heating system (IH). However, DH and IH systems are adopted in newly constructed apartments. Each heating system has own characteristics which residents can identify and value. 700 households in apartment were surveyed to analyze the preference of the residential heating systems and to estimate willingness to pay. We find that the households in DH system are more satisfied with their heating system than the households in other systems overall and that consumers prefer an apartment with DH system than with IH system and the willingness to pay for IH system is less than DH system. The results indicate that DH system has the relative premium which may be caused by the safety and the convenience to manage the system.