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A multivariate econometric approach for domestic water demand modeling: An application to Kathmandu, Nepal

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  • M. Babel
  • A. Gupta
  • P. Pradhan

Abstract

Domestic water use/demand is a complex function of socio-economic characteristics, climatic factors and public water policies and strategies. This study therefore develops a model based on the multivariate econometric approach which considers these parameters to forecast and manage the domestic water use/demand. The model applies statistical tools to select suitable demand function and most relevant explanatory variables that have strong relationship with water use/demand. The model applicability is demonstrated with an example of domestic water use in Kathmandu Valley, Nepal. The results indicate that the number of connections, water pricing, public education level, and average annual rainfall are significant variables of domestic water use/demand. The paper further analyzes the effect of length of data series on accuracy of model results. The developed model is used to forecast the water use/demand in the future in the study area. Copyright Springer Science + Business Media, Inc. 2007

Suggested Citation

  • M. Babel & A. Gupta & P. Pradhan, 2007. "A multivariate econometric approach for domestic water demand modeling: An application to Kathmandu, Nepal," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 21(3), pages 573-589, March.
  • Handle: RePEc:spr:waterr:v:21:y:2007:i:3:p:573-589
    DOI: 10.1007/s11269-006-9030-6
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    References listed on IDEAS

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    1. Graeme Dandy & Tin Nguyen & Carolyn Davies, 1997. "Estimating Residential Water Demand in the Presence of Free Allowances," Land Economics, University of Wisconsin Press, vol. 73(1), pages 125-139.
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    2. Henrique Monteiro, 2010. "Residential Water Demand in Portugal: checking for efficiency-based justifications for increasing block tariffs," Working Papers Series 1 ercwp0110, ISCTE-IUL, Business Research Unit (BRU-IUL).
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    10. Mukand Babel & Victor Shinde, 2011. "Identifying Prominent Explanatory Variables for Water Demand Prediction Using Artificial Neural Networks: A Case Study of Bangkok," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 25(6), pages 1653-1676, April.
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