HOUSEHOLDS’ WILLINGNESS TO PAY FOR IMPROVED DRINKING WATER- A CASE STUDY ON KHULNA CITY CORPORATION USING DISCRETE CHOICE MODEL
DOI:
https://doi.org/10.20319/pijss.2019.51.228241Keywords:
Choice Experiment, Willingness to Pay (WTP), Drinking Water, Multinomial Logit Model (MLM)Abstract
The purpose of the study is to find out the willingness to pay for improved drinking water services using Discrete Choice Model (DCM). To carry out the study, concept profiling has been done and data have been collected randomly from 120 households from two areas, Basupara and Najirghat of Ward-26 of KCC. Multinomial Logit Model (MLM) has been taken to into consideration to see relative willingness to pay (WTP) for accessing improved drinking water services being in status quo position. The study explores that, people who have the willingness to pay BDT 450 are 9.67 times higher than the willingness to pay BDT 250. On the other hand, people who have the willingness to pay BDT 600 are about 2.38 times more likely to choose Alternative-2 option than those who have the willingness to pay BDT 250.
References
ADB (2011). ‘Bangladesh: Khulna Water Supply Project, Technical Assistance Consultant’s Report’, Asian Development Bank (ADB).
Alam, M. A., Tuhin, M. A. R., Hossain, M. Z., & Salauddin, M., (2009). Designing an Effective Water Supply Network for Khulna City: A GIS Based Approach, Urban and Rural Planning Discipline, Khulna University, pp. 88-101.
Bennet, J., & Russell, B. (2001). The Choice Modeling Approach to Environmental Valuation, The Australian National University, Australia
Fahmida, K., Lemon, H.R., Islam. S., & Abdul, K. (2013). Assessment of Supplied Water Quality of Khulna WASA of Bangladesh, Unpublished Thesis Paper, Department of Civil Engineering, Khulna University of Engineering & Technology, Khulna.
KDA (2012). ‘Socio-economic and Environmental Survey, Preparation of Detailed Area Development Plan for Khulna Master Plan Area Project’, Khulna Development Authority (KDA).
Khan, H., Iqbal, F., Saeed, I., & Khan, I. (2010). Estimating Willingness to Pay for Improvements in Drinking Water Quality: Evidence from Peshawar, Northern Pakistan. Environmental Economics, Volume 1, Issue 2, 2010.
Louviere, J.J. (1993). Conjoint Analysis Modeling of Stated Preferences, Journal of Transport Economics and Policy, 22(1), pp. 93-119.
Sajjad (2007) Political Economy of Water Supply in Khulna City Understanding the Regime of Rampant Groundwater Extraction,
WHO (2000). ‘Global Water Supply and Sanitation Assessment 2000 Report.
Yokishida, K. (2005). Estimating Willingness to Pay for Drinking Water Quality Using Averting Expenditures and Choice Experiments, Research Institute (NERI), Ministry of the Environment.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2019 Authors
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
