IDEAS home Printed from https://ideas.repec.org/a/eee/ecoser/v7y2014icp22-33.html
   My bibliography  Save this article

Farm households' preferences for collective and individual actions to improve water-related ecosystem services: The Lake Naivasha basin, Kenya

Author

Listed:
  • Mulatu, Dawit W.
  • van der Veen, Anne
  • van Oel, Pieter R.

Abstract

Interventions in payment for ecosystem services (PES) programs can involve both collective and individual actions. This study explores the potential for the development of payment for water related ecosystem services (PWES) program in the Lake Naivasha basin, Kenya. Using a choice experiment approach, the willingness to accept compensation is estimated for three water-related ecosystem services (WES) attributes: one collective attribute (reforestation) and two individual attributes (environment-friendly agricultural practices and restoration of riparian land). Moreover, the preferences of upstream farm households are analysed with regard to sub-basins where a PWES program has already been implemented and sub-basins where it has not been implemented so far. For sub-basins where PWES has already been implemented, environment-friendly agricultural practices is the only significant attribute for local farmers' choice to improve WES. Reforestation and environment friendly agricultural practices are significant attributes for sub-basins where PWES has not been implemented so far. Farm households are willing to accept compensation but there appears to be heterogeneity in preferences for WES attributes. We find differences in farm households' preferences and values for collective and individual actions. Therefore, contrary to the current norm in PES interventions with a uniform compensation scheme, we recommend conservation payments to vary among ecosystem service providers.

Suggested Citation

  • Mulatu, Dawit W. & van der Veen, Anne & van Oel, Pieter R., 2014. "Farm households' preferences for collective and individual actions to improve water-related ecosystem services: The Lake Naivasha basin, Kenya," Ecosystem Services, Elsevier, vol. 7(C), pages 22-33.
    • Handle: RePEc:eee:ecoser:v:7:y:2014:i:c:p:22-33
    DOI: 10.1016/j.ecoser.2013.12.001
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2212041613000983
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ecoser.2013.12.001?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Muradian, Roldan & Corbera, Esteve & Pascual, Unai & Kosoy, Nicolás & May, Peter H., 2010. "Reconciling theory and practice: An alternative conceptual framework for understanding payments for environmental services," Ecological Economics, Elsevier, vol. 69(6), pages 1202-1208, April.
    2. Hanemann, W Michael, 1984. "Discrete-Continuous Models of Consumer Demand," Econometrica, Econometric Society, vol. 52(3), pages 541-561, May.
    3. Wunder, Sven & Albán, Montserrat, 2008. "Decentralized payments for environmental services: The cases of Pimampiro and PROFAFOR in Ecuador," Ecological Economics, Elsevier, vol. 65(4), pages 685-698, May.
    4. Nick Hanley & Robert Wright & Vic Adamowicz, 1998. "Using Choice Experiments to Value the Environment," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 413-428, April.
    5. Muñoz-Piña, Carlos & Guevara, Alejandro & Torres, Juan Manuel & Braña, Josefina, 2008. "Paying for the hydrological services of Mexico's forests: Analysis, negotiations and results," Ecological Economics, Elsevier, vol. 65(4), pages 725-736, May.
    6. de Groot, Rudolf S. & Wilson, Matthew A. & Boumans, Roelof M. J., 2002. "A typology for the classification, description and valuation of ecosystem functions, goods and services," Ecological Economics, Elsevier, vol. 41(3), pages 393-408, June.
    7. Gómez-Baggethun, Erik & de Groot, Rudolf & Lomas, Pedro L. & Montes, Carlos, 2010. "The history of ecosystem services in economic theory and practice: From early notions to markets and payment schemes," Ecological Economics, Elsevier, vol. 69(6), pages 1209-1218, April.
    8. Hausman, Jerry & McFadden, Daniel, 1984. "Specification Tests for the Multinomial Logit Model," Econometrica, Econometric Society, vol. 52(5), pages 1219-1240, September.
    9. repec:bla:jecsur:v:15:y:2001:i:3:p:435-62 is not listed on IDEAS
    10. Bulte, Erwin H. & Lipper, Leslie & Stringer, Randy & Zilberman, David, 2008. "Payments for ecosystem services and poverty reduction: concepts, issues, and empirical perspectives," Environment and Development Economics, Cambridge University Press, vol. 13(3), pages 245-254, June.
    11. Farber, Stephen C. & Costanza, Robert & Wilson, Matthew A., 2002. "Economic and ecological concepts for valuing ecosystem services," Ecological Economics, Elsevier, vol. 41(3), pages 375-392, June.
    12. David Hensher & Nina Shore & Kenneth Train, 2005. "Households’ Willingness to Pay for Water Service Attributes," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 32(4), pages 509-531, December.
    13. Rolfe, John & Bennett, Jeff & Louviere, Jordan, 2000. "Choice modelling and its potential application to tropical rainforest preservation," Ecological Economics, Elsevier, vol. 35(2), pages 289-302, November.
    14. Pagiola, Stefano, 2008. "Payments for environmental services in Costa Rica," Ecological Economics, Elsevier, vol. 65(4), pages 712-724, May.
    15. Mark Morrison & Jeff Bennett & Russell Blamey & Jordan Louviere, 2002. "Choice Modeling and Tests of Benefit Transfer," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(1), pages 161-170.
    16. Boyd, James & Banzhaf, Spencer, 2007. "What are ecosystem services? The need for standardized environmental accounting units," Ecological Economics, Elsevier, vol. 63(2-3), pages 616-626, August.
    17. Asrat, Sinafikeh & Yesuf, Mahmud & Carlsson, Fredrik & Wale, Edilegnaw, 2010. "Farmers' preferences for crop variety traits: Lessons for on-farm conservation and technology adoption," Ecological Economics, Elsevier, vol. 69(12), pages 2394-2401, October.
    18. Southgate, Douglas & Haab, Timothy & Lundine, John & Rodríguez, Fabián, 2010. "Payments for environmental services and rural livelihood strategies in Ecuador and Guatemala," Environment and Development Economics, Cambridge University Press, vol. 15(1), pages 21-37, February.
    19. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, September.
    20. David Hensher & William Greene, 2003. "The Mixed Logit model: The state of practice," Transportation, Springer, vol. 30(2), pages 133-176, May.
    21. Bliemer, Michiel C.J. & Rose, John M., 2011. "Experimental design influences on stated choice outputs: An empirical study in air travel choice," Transportation Research Part A: Policy and Practice, Elsevier, vol. 45(1), pages 63-79, January.
    22. Birol, Ekin & Karousakis, Katia & Koundouri, Phoebe, 2006. "Using a choice experiment to account for preference heterogeneity in wetland attributes: The case of Cheimaditida wetland in Greece," Ecological Economics, Elsevier, vol. 60(1), pages 145-156, November.
    23. Fisher, Brendan & Kulindwa, Kassim & Mwanyoka, Iddi & Turner, R. Kerry & Burgess, Neil D., 2010. "Common pool resource management and PES: Lessons and constraints for water PES in Tanzania," Ecological Economics, Elsevier, vol. 69(6), pages 1253-1261, April.
    24. Meinzen-Dick, Ruth & Raju, K. V. & Gulati, Ashok, 2002. "What Affects Organization and Collective Action for Managing Resources? Evidence from Canal Irrigation Systems in India," World Development, Elsevier, vol. 30(4), pages 649-666, April.
    25. Wang, Xuehong & Bennett, Jeff & Xie, Chen & Zhang, Zhitao & Liang, Dan, 2007. "Estimating non-market environmental benefits of the Conversion of Cropland to Forest and Grassland Program: A choice modeling approach," Ecological Economics, Elsevier, vol. 63(1), pages 114-125, June.
    26. Costanza, Robert & Farber, Steve, 2002. "Introduction to the special issue on the dynamics and value of ecosystem services: integrating economic and ecological perspectives," Ecological Economics, Elsevier, vol. 41(3), pages 367-373, June.
    27. Hoyos, David, 2010. "The state of the art of environmental valuation with discrete choice experiments," Ecological Economics, Elsevier, vol. 69(8), pages 1595-1603, June.
    28. David Revelt & Kenneth Train, 1998. "Mixed Logit With Repeated Choices: Households' Choices Of Appliance Efficiency Level," The Review of Economics and Statistics, MIT Press, vol. 80(4), pages 647-657, November.
    29. Arne Risa Hole, 2007. "Fitting mixed logit models by using maximum simulated likelihood," Stata Journal, StataCorp LP, vol. 7(3), pages 388-401, September.
    30. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    31. Kenneth E. Train, 1998. "Recreation Demand Models with Taste Differences over People," Land Economics, University of Wisconsin Press, vol. 74(2), pages 230-239.
    32. Schomers, Sarah & Matzdorf, Bettina, 2013. "Payments for ecosystem services: A review and comparison of developing and industrialized countries," Ecosystem Services, Elsevier, vol. 6(C), pages 16-30.
    33. Jack, B. Kelsey, 2009. "Upstream-downstream transactions and watershed externalities: Experimental evidence from Kenya," Ecological Economics, Elsevier, vol. 68(6), pages 1813-1824, April.
    34. Frost, Peter G.H. & Bond, Ivan, 2008. "The CAMPFIRE programme in Zimbabwe: Payments for wildlife services," Ecological Economics, Elsevier, vol. 65(4), pages 776-787, May.
    35. Jordan J. Louviere & Towhidul Islam & Nada Wasi & Deborah Street & Leonie Burgess, 2008. "Designing Discrete Choice Experiments: Do Optimal Designs Come at a Price?," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 35(2), pages 360-375, March.
    36. Pascual, Unai & Muradian, Roldan & Rodríguez, Luis C. & Duraiappah, Anantha, 2010. "Exploring the links between equity and efficiency in payments for environmental services: A conceptual approach," Ecological Economics, Elsevier, vol. 69(6), pages 1237-1244, April.
    37. Turpie, J.K. & Marais, C. & Blignaut, J.N., 2008. "The working for water programme: Evolution of a payments for ecosystem services mechanism that addresses both poverty and ecosystem service delivery in South Africa," Ecological Economics, Elsevier, vol. 65(4), pages 788-798, May.
    38. Carlsson, Fredrik & Frykblom, Peter & Liljenstolpe, Carolina, 2003. "Valuing wetland attributes: an application of choice experiments," Ecological Economics, Elsevier, vol. 47(1), pages 95-103, November.
    39. Fredrik Carlsson & Peter Martinsson, 2003. "Design techniques for stated preference methods in health economics," Health Economics, John Wiley & Sons, Ltd., vol. 12(4), pages 281-294, April.
    40. Ian J. Bateman & Richard T. Carson & Brett Day & Michael Hanemann & Nick Hanley & Tannis Hett & Michael Jones-Lee & Graham Loomes, 2002. "Economic Valuation with Stated Preference Techniques," Books, Edward Elgar Publishing, number 2639.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ke Xu & Xianli Xia, 2023. "The Influence of Farmers’ Clan Networks on Their Participation in Living Environment Improvement during the Time of Transition in Traditional Rural China," Agriculture, MDPI, vol. 13(5), pages 1-22, May.
    2. Tadesse, Tewodros & Berhane, Tsegay & Mulatu, Dawit W. & Rannestad, Meley Mekonen, 2021. "Willingness to accept compensation for afromontane forest ecosystems conservation," Land Use Policy, Elsevier, vol. 105(C).
    3. Tucker, Catherine M. & Hribar, Mateja Šmid & Urbanc, Mimi & Bogataj, Nevenka & Gunya, Alexey & Rodela, Romina & Sigura, Maurizia & Piani, Lucia, 2023. "Governance of interdependent ecosystem services and common-pool resources," Land Use Policy, Elsevier, vol. 127(C).
    4. Šmid Hribar, Mateja & Hori, Keiko & Urbanc, Mimi & Saito, Osamu & Zorn, Matija, 2023. "Evolution and new potentials of landscape commons: Insights from Japan and Slovenia," Ecosystem Services, Elsevier, vol. 59(C).
    5. Anastasio J. Villanueva & Klaus Glenk & Macario Rodríguez-Entrena, 2017. "Protest Responses and Willingness to Accept: Ecosystem Services Providers’ Preferences towards Incentive-Based Schemes," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(3), pages 801-821, September.
    6. Geussens, Katrien & Van Den Broeck, Goedele & Vanderhaegen, Koen & Verbist, Bruno & Maertens, Miet, 2018. "Farmers' perspectives on payments for watershed services in Uganda," Working Papers 276470, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    7. Sylvaine Lemeilleur & Julie Subervie & Anderson Edilson Presoto & Roberta de Castro Souza & Maria Sylvia Macchione Saes, 2016. "Eco-certified contract choice among coffee farmersin Brazil," Working Papers 16-09, LAMETA, Universtiy of Montpellier.
    8. Wakita, Kazumi & Kurokura, Hisashi & Oishi, Taro & Shen, Zhonghua & Furuya, Ken, 2019. "Exploring the effect of psychometric variables on willingness to pay for marine ecosystem services: A survey in Japan," Ecosystem Services, Elsevier, vol. 35(C), pages 130-138.
    9. Villanueva, Anastasio J. & Glenk, Klaus & Rodriguez-Entrena, M., 2016. "Serial non-participation and ecosystem services providers’ preferences towards incentive-based schemes," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236348, Agricultural Economics Society.
    10. Lin, Yi-Hsing & Hong, Chun-Fu & Lee, Chun-Hung & Chen, Chih-Cheng, 2020. "Integrating Aspects of Ecosystem Dimensions into Sorghum and Wheat Production Areas in Kinmen, Taiwan," Land Use Policy, Elsevier, vol. 99(C).
    11. Chun-Hung Lee & Chiung-Hsin Wang, 2017. "Estimating Residents’ Preferences of the Land Use Program Surrounding Forest Park, Taiwan," Sustainability, MDPI, vol. 9(4), pages 1-19, April.
    12. Geussens, K. & Van den Broeck, G. & Vanderhaegen, K. & Verbist, B. & Maertens, M., 2019. "Farmers’ perspectives on payments for ecosystem services in Uganda," Land Use Policy, Elsevier, vol. 84(C), pages 316-327.
    13. Xilinayi Duolaiti & Alimujiang Kasimu & Rukeya Reheman & Yimuranzi Aizizi & Bohao Wei, 2023. "Assessment of Water Yield and Water Purification Services in the Arid Zone of Northwest China: The Case of the Ebinur Lake Basin," Land, MDPI, vol. 12(3), pages 1-20, February.
    14. Admasu, Wubante Fetene & Van Passel, Steven & Nyssen, Jan & Minale, Amare Sewnet & Tsegaye, Enyew Adgo, 2021. "Eliciting farmers’ preferences and willingness to pay for land use attributes in Northwest Ethiopia: A discrete choice experiment study," Land Use Policy, Elsevier, vol. 109(C).
    15. Bhatta, Manoj & Garnett, Stephen T. & Zander, Kerstin K., 2022. "Exploring options for a PES-like scheme to conserve red panda habitat and livelihood improvement in western Nepal," Ecosystem Services, Elsevier, vol. 53(C).
    16. Sylvaine Lemeilleur & Julie Subervie & Anderson Edilson Presoto & Roberta de Castro Souza & Maria Sylvia Macchione Saes, 2020. "Coffee farmers’ motivations to comply with sustainability standards," Post-Print halshs-02278751, HAL.

    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. Tadesse, Tewodros & Berhane, Tsegay & Mulatu, Dawit W. & Rannestad, Meley Mekonen, 2021. "Willingness to accept compensation for afromontane forest ecosystems conservation," Land Use Policy, Elsevier, vol. 105(C).
    2. Mulatu, Dawit Woubishet & Alvsilver, Jessica & Siikamäki, Juha, 2019. "Valuing Residents’ Preferences for Improved Urban Green Space Ecosystem Services in Addis Ababa, Ethiopia," EfD Discussion Paper 19-2, Environment for Development, University of Gothenburg.
    3. Cranford, Matthew & Mourato, Susana, 2014. "Credit-Based Payments for Ecosystem Services: Evidence from a Choice Experiment in Ecuador," World Development, Elsevier, vol. 64(C), pages 503-520.
    4. Hao Wang & Sander Meijerink & Erwin van der Krabben, 2020. "Institutional Design and Performance of Markets for Watershed Ecosystem Services: A Systematic Literature Review," Sustainability, MDPI, vol. 12(16), pages 1-26, August.
    5. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    6. Julia Martin-Ortega & Giacomo Giannoccaro & Julio Berbel, 2011. "Environmental and Resource Costs Under Water Scarcity Conditions: An Estimation in the Context of the European Water Framework Directive," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 25(6), pages 1615-1633, April.
    7. Imran Khan & Hongdou Lei & Gaffar Ali & Shahid Ali & Minjuan Zhao, 2019. "Public Attitudes, Preferences and Willingness to Pay for River Ecosystem Services," IJERPH, MDPI, vol. 16(19), pages 1-17, October.
    8. Schomers, Sarah & Matzdorf, Bettina, 2013. "Payments for ecosystem services: A review and comparison of developing and industrialized countries," Ecosystem Services, Elsevier, vol. 6(C), pages 16-30.
    9. Iván Pérez-Rubio & Daniel Flores & Christian Vargas & Francisco Jiménez & Iker Etxano, 2021. "To What Extent Are Cattle Ranching Landholders Willing to Restore Ecosystem Services? Constructing a Micro-Scale PES Scheme in Southern Costa Rica," Land, MDPI, vol. 10(7), pages 1-24, July.
    10. Tadesse, Tewodros & Teklay, Gebreegziabher & Mulatu, Dawit W. & Rannestad, Meley Mekonen & Meresa, Tigabu Molla & Woldelibanos, Dawit, 2022. "Forest benefits and willingness to pay for sustainable forest management," Forest Policy and Economics, Elsevier, vol. 138(C).
    11. Alamanos, Angelos & Koundouri, Phoebe, 2022. "Economics of Incorporating Ecosystem Services into Water Resource Planning and Management," MPRA Paper 122046, University Library of Munich, Germany.
    12. Hoyos, David, 2010. "The state of the art of environmental valuation with discrete choice experiments," Ecological Economics, Elsevier, vol. 69(8), pages 1595-1603, June.
    13. Sharma, Sadikshya & Kreye, Melissa M., 2022. "Social value of bird conservation on private forest lands in Pennsylvania, USA," Ecological Economics, Elsevier, vol. 196(C).
    14. Hoyos Ramos, David, 2010. "Using discrete choice experiments for environmental valuation," BILTOKI 1134-8984, Universidad del País Vasco - Departamento de Economía Aplicada III (Econometría y Estadística).
    15. Alcon, Francisco & Marín-Miñano, Cristina & Zabala, José A. & de-Miguel, María-Dolores & Martínez-Paz, José M., 2020. "Valuing diversification benefits through intercropping in Mediterranean agroecosystems: A choice experiment approach," Ecological Economics, Elsevier, vol. 171(C).
    16. Driss Ezzine-de-Blas & Sven Wunder & Manuel Ruiz-Pérez & Rocio del Pilar Moreno-Sanchez, 2016. "Global Patterns in the Implementation of Payments for Environmental Services," PLOS ONE, Public Library of Science, vol. 11(3), pages 1-16, March.
    17. Namhee Kim & Miju Kim & Sangkwon Lee & Chi-Ok Oh, 2023. "Comparing Stakeholders’ Economic Values for the Institution of Payments for Ecosystem Services in Protected Areas," Land, MDPI, vol. 12(7), pages 1-17, July.
    18. Mariel, Petr & Ayala, Amaya de & Hoyos, David & Abdullah, Sabah, 2013. "Selecting random parameters in discrete choice experiment for environmental valuation: A simulation experiment," Journal of choice modelling, Elsevier, vol. 7(C), pages 44-57.
    19. Tavárez, Héctor & Elbakidze, Levan, 2019. "Valuing recreational enhancements in the San Patricio Urban Forest of Puerto Rico: A choice experiment approach," Forest Policy and Economics, Elsevier, vol. 109(C).

    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:eee:ecoser:v:7:y:2014:i:c:p:22-33. 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: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/ecosystem-services .

    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.