Journal of Development and Agricultural Economics
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Article Number - 66FB45349343


Vol.7(1), pp. 12-19 , January 2015
DOI: 10.5897/JDAE2014.0604
ISSN: 2006-9774



Full Length Research Paper

Households willingness to pay for improved water services in urban areas: A case study from Nebelet town, Ethiopia



Gidey Kidu Mezgebo*
  • Gidey Kidu Mezgebo*
  • Department of Natural Resource Economics and Management, Mekelle University, Ethiopia
  • Google Scholar
Zeleke Ewnetu
  • Zeleke Ewnetu
  • Department of Natural Resource Economics and Management, Mekelle University, Ethiopia
  • Google Scholar







 Received: 08 September 2014  Accepted: 03 November 2014  Published: 02 January 2015

Copyright © 2015 Author(s) retain the copyright of this article.
This article is published under the terms of the Creative Commons Attribution License 4.0


Cross-sectional data was used that was collected from 181 households in 2011/2012, to estimate households’ willingness to pay for improved water service in Nebelet. The probit model was used to identify socio-economic factors that affect the willingness to pay (WTP) of households. Interruption, delay in maintenance, irregular/erratic availability of the public water supply, the price charged per unit, the unequal treatment households face while collecting water at the public supply were found to be the pressing water problem existing in the study area. The descriptive analysis result showed that 96% of the sample households were willing to pay for the provision of improved water service. The Probit model showed that income, distance, water expense, bid, education, level of existing water satisfaction, marital status and sex were associated with households’ willingness to pay for the provision of improved water services. Indicating, in designing water project/policy socio-economic factors (such as age, monthly income, educational level) should be considered for successful water project/policy at household level.
 
Key words: Existing water problem, contingent valuation method, improved water provision.

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APA Mezgebo, G. K., & Ewnetu, Z. (2015). Households willingness to pay for improved water services in urban areas: A case study from Nebelet town, Ethiopia. Journal of Development and Agricultural Economics, 7(1), 12-19.
Chicago Gidey Kidu Mezgebo and  Zeleke Ewnetu. "Households willingness to pay for improved water services in urban areas: A case study from Nebelet town, Ethiopia." Journal of Development and Agricultural Economics 7, no. 1 (2015): 12-19.
MLA Gidey Kidu Mezgebo and  Zeleke Ewnetu. "Households willingness to pay for improved water services in urban areas: A case study from Nebelet town, Ethiopia." Journal of Development and Agricultural Economics 7.1 (2015): 12-19.
   
DOI 10.5897/JDAE2014.0604
URL http://www.academicjournals.org/journal/JDAE/article-abstract/66FB45349343

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