Estimation of Willingness to Pay for Improvements in Drinking Water Quality in Lahore: A Case Study of WASA, Lahore

Noor, Junaid and Siddiqi, Wasif and Muhammad, Taj (2010): Estimation of Willingness to Pay for Improvements in Drinking Water Quality in Lahore: A Case Study of WASA, Lahore.

Abstract

This study examines the existing water quality of Lahore and measures domestic household’s willingness to pay for improvement in water quality services. To this end, a Tobit model is estimated by conducting a contingent valuation survey about household perceptions in six towns of Lahore.The results show that the factors affecting household’s willingness to pay are coping costs that a household pay for ensuring quality of water also the education level of head of family is an important factor in determining the willingness to pay for improved water services. It is recommended that by ensuring the supply and quality to the household additional revenue of 4.22 million rupees could be earned by the authority.

• Item Type: MPRA Paper
• Language: English
• Keywords: Willingness to Pay, water quality, Lahore, Tobit
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q2 - Renewable Resources and Conservation > Q25 - Water; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q51 - Valuation of Environmental Effects

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