Solid refuse fuel (SRF), which is made of combustible waste, has to pass the government’s rigid standards. The Korean government plans to enhance the ratio of biomass energy to total energy use from 3.17% in 2013 to 4.16% in 2020. In particular, the Korean government aims to raise the ratio of combustible waste converted into SRF from 16% in 2014 to 100% in 2020 by increasing the number of facilities manufacturing and utilizing SRF. We attempt to analyze the external benefits of the expansion using the data obtained from a survey of 1,000 randomly selected households. A choice experiment, an economic technique, is employed here. The attributes considered in the study are ‘improvement of energy security’, ‘reduction of greenhouse gases emissions’, ‘extension of landfill life expectancy’, ‘job creation’, and ‘price’ measured as an additional amount of monthly electricity and heating bills per household. The multinomial logit model, which requires the assumption of the ‘independence of irrelevant alternatives’, is applied. However, the assumption could not be satisfied in our data. Thus, we finally utilized a nested logit model that does not require the assumption. All the parameter estimates, except for ‘improvement of energy security’, in the utility function are statistically significant at the 5% level. The estimation results show that the marginal willingness to pay (MWTP) for one year increase in landfill life expectancy is estimated to be 218.8 won per household per year. MWTP for 100,000 tCO2 decrease in greenhouse gases emission is calculated to be 171.9 won per household per year. MWTP for the creation of a new job is computed to be 10.7 won per household per year.