IDEAS home Printed from https://ideas.repec.org/a/ags/ijarit/324676.html
   My bibliography  Save this article

Households’ willingness to pay for improved water service in Bonga town, Kaffa zone, Southwestern Ethiopia

Author

Listed:
  • Aklilu Asado
  • Asmera Adicha
  • Yemiryu Tesfaye

Abstract

This study was initiated to estimate households' willingness to pay for improved water services and identify its determinants by using the contingent valuation method in Bonga town of Kaffa zone, Southwestern Ethiopia. A cross-sectional data from a total of 212 sampled households' from two randomly selected kebeles of Bonga town. Contingent valuation survey responses were analyzed through descriptive and econometric analysis using Probit and Bivariate probit model. Double bounded dichotomous choice with open-ended follow-up format was used to elicit the household's willingness to pay. The descriptive analysis showed that out of the total 205 valid responses indicated that most households' have perceived the problem of existing water services and were willing to pay for its improvement. Results from the study showed that about 80.98% of the sampled households were willing to pay the initial bid offered for an improvement in their water services scheme. The Probit model regression result shows that the age, daily water use, satisfaction level, fetching time, initial bid, ownership of the house, quality, family size, stay in town, and income were important factors that influenced WTP for improved water service. The study also shows that the maximum willingness to pay for improved water service was calculated to be 57.62 Birr and 30.11 Birr per month from double bounded and open-ended format respectively. The study also reveals that the aggregate welfare gains from the improvement of water supply in the study area were calculated to be 1,176,531 and 614,810 ETB per month from double bounded dichotomous choice and open-ended format respectively. Therefore, the policymakers, as well as project implementers who design solutions to address the problem of water service in the study area, should take account of these factors into their decision.

Suggested Citation

  • Aklilu Asado & Asmera Adicha & Yemiryu Tesfaye, 2022. "Households’ willingness to pay for improved water service in Bonga town, Kaffa zone, Southwestern Ethiopia," International Journal of Agricultural Research, Innovation and Technology (IJARIT), IJARIT Research Foundation, vol. 12(1), June.
    • Handle: RePEc:ags:ijarit:324676
    DOI: 10.22004/ag.econ.324676
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/324676/files/18%29%20IJARIT%200378.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.324676?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Okun, D.A., 1988. "The value of water supply and sanitation in development: An assessment," American Journal of Public Health, American Public Health Association, vol. 78(11), pages 1463-1467.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Abid Anwar & Mussawar Shah & Yasrab Abid & Zia Ul Qamar & Hina Qamar, 2018. "Consumer Importance on Sustainable Water Sanitation & Hygiene Facilities Provided in Rural District Peshawar, Pakistan," Journal of Social Science Studies, Macrothink Institute, vol. 5(1), pages 316-328, January.
    2. Hoddinott, John, 1997. "Water, health, and income," FCND discussion papers 25, International Food Policy Research Institute (IFPRI).
    3. Costa, Cinthia Cabral da & Guilhoto, Joaquim José Martins, 2012. "Importância de uma política de saneamento rural no Brasil [Impact of a rural sanitation policy in Brazil]," MPRA Paper 40399, University Library of Munich, Germany.
    4. Gamper-Rabindran, Shanti & Khan, Shakeeb & Timmins, Christopher, 2010. "The impact of piped water provision on infant mortality in Brazil: A quantile panel data approach," Journal of Development Economics, Elsevier, vol. 92(2), pages 188-200, July.
    5. Souha El Khanji, 2022. "Donors’ Interest in Water and Sanitation Subsectors," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(2), pages 611-654, April.
    6. Michael Kremer & Alix Peterson Zwane, 2007. "Cost-Effective Prevention of Diarrheal Diseases: A Critical Review," Working Papers 117, Center for Global Development.
    7. Mvangeli Dlamini, Nqobizwe, 2015. "Households' Water Use Demand and Willingness to Pay for Improved Water Services: A Case Study of Semi-Urban Areas in the Lubombo and Lowveld Regions of Swaziland," Research Theses 243464, Collaborative Masters Program in Agricultural and Applied Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ijarit:324676. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://ijarit.webs.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.