Stranded houses? The price effect of a minimum energy efficiency standard

A-Tier
Journal: Energy Economics
Year: 2023
Volume: 120
Issue: C

Authors (3)

Ferentinos, Konstantinos (not in RePEc) Gibberd, Alex (not in RePEc) Guin, Benjamin (Bank of England)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Climate policies aimed at reducing greenhouse gas emissions can lead to decreases in the values of assets, risking them to become “stranded”. We study the price effects of the introduction of a specific climate policy, a minimum energy efficiency standard, in the housing market. Leveraging a unique data set of the population of all residential house transactions in England and Wales, we show that prices of energy-inefficient properties affected by this policy decreased on average by about £5k to £9k relative to efficient ones. We interpret this evidence as being consistent with semi-strong market efficiency in the housing market.

Technical Details

RePEc Handle
repec:eee:eneeco:v:120:y:2023:i:c:s0140988323000531
Journal Field
Energy
Author Count
3
Added to Database
2026-01-25