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Article

Residential Consumers’ Willingness to Pay for Sustainable Grid Resilience Against Climate-Induced Large-Scale Outages of Long-Duration: Evidence from South Korea

1
Department of Future Energy Convergence, Seoul National University of Science and Technology, Seoul 01811, Republic of Korea
2
Department of Energy Policy, Seoul National University of Science and Technology, Seoul 01811, Republic of Korea
*
Author to whom correspondence should be addressed.
Sustainability 2026, 18(8), 3845; https://doi.org/10.3390/su18083845
Submission received: 7 March 2026 / Revised: 30 March 2026 / Accepted: 9 April 2026 / Published: 13 April 2026
(This article belongs to the Special Issue Climate Change, Energy Policy and Sustainability)

Abstract

South Korea faces escalating climate change threats that increase the risk of large-scale outages of long duration. However, efforts to expand the grid are often limited by low consumer acceptance of higher tariffs. This study employs a nationally representative contingent valuation survey of 1000 households to quantify residential consumers’ willingness to pay (WTP) for grid expansion to avoid a hypothetical 24 h nationwide blackout caused by extreme weather. The findings reveal an average monthly WTP of KRW 2226 (USD 1.54), equivalent to about KRW 0.60 trillion (USD 0.4 billion) annually—approximately 12% of planned grid investment needs. Among the socioeconomic variables, the negative coefficient on generation suggests younger cohorts exhibit higher WTP, consistent with—though not conclusive evidence of—their expectation of greater exposure to future climate risks. Similarly, the presence of children is positively associated with WTP, indicating family protection motives that encompass both immediate household needs and intergenerational considerations related to the distribution of climate-related burdens. These findings provide policy-relevant insights for designing equitable and acceptable tariff schemes that support critical investments to strengthen sustainable grid resilience amidst escalating climate risks.
Keywords: climate change; willingness to pay; sustainable grid resilience; contingent valuation; power outages climate change; willingness to pay; sustainable grid resilience; contingent valuation; power outages

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MDPI and ACS Style

Kim, D.; Hyun, M.-K.; Yoo, S.-H. Residential Consumers’ Willingness to Pay for Sustainable Grid Resilience Against Climate-Induced Large-Scale Outages of Long-Duration: Evidence from South Korea. Sustainability 2026, 18, 3845. https://doi.org/10.3390/su18083845

AMA Style

Kim D, Hyun M-K, Yoo S-H. Residential Consumers’ Willingness to Pay for Sustainable Grid Resilience Against Climate-Induced Large-Scale Outages of Long-Duration: Evidence from South Korea. Sustainability. 2026; 18(8):3845. https://doi.org/10.3390/su18083845

Chicago/Turabian Style

Kim, Doyob, Min-Ki Hyun, and Seung-Hoon Yoo. 2026. "Residential Consumers’ Willingness to Pay for Sustainable Grid Resilience Against Climate-Induced Large-Scale Outages of Long-Duration: Evidence from South Korea" Sustainability 18, no. 8: 3845. https://doi.org/10.3390/su18083845

APA Style

Kim, D., Hyun, M.-K., & Yoo, S.-H. (2026). Residential Consumers’ Willingness to Pay for Sustainable Grid Resilience Against Climate-Induced Large-Scale Outages of Long-Duration: Evidence from South Korea. Sustainability, 18(8), 3845. https://doi.org/10.3390/su18083845

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