The 92sq km area of the Lammermoor Range where Meridian Energy wants to build its proposed $2 billion Project Hayes wind farm was not recreationally unique, an Environment Court appeal hearing was told yesterday.
Former New Zealand Institute of Economic Research chief executive officer Dr Brent Layton, of Wellington, appearing for Meridian, said Central Otago had a lot of open landscapes used for recreational purposes, which lessened the overall value of the proposed Project Hayes site.
"I look at what the replacement cost would be. How much would people pay not to have Project Hayes on the site?"
Because the area is not absolutely unique in terms of recreational purposes, I would suggest the site is relatively low in value in that regard.
"It is how an economist would look at the situation.
"If I had to give a judgement, I would say the amount people would pay not to have [Project Hayes developed] would be relatively small," he said.
Dr Layton was asked by commissioner Heather McConachy whether a recreational value of the site could be estimated.
When questioned by deputy commissioner Ken Fletcher, Dr Layton admitted his estimate was not based on complex analysis, as recreational landscape was not his area of expertise.
Dr Layton said putting such an estimated cost on the recreational or landscape values of a project could be "complex and contentious".
" It can be harsh. People will say: 'Is that really the value?"' he said.
Appellant parties in the hearing against Project Hayes include the Central Otago Recreational Users Forum, which is a section 274 party, being represented by forum secretary Jan Kelly, of Wanaka.
In previous submissions, Mrs Kelly has highlighted the importance of the proposed site for recreational users from throughout Central Otago, as well as the rest of New Zealand.
