Browsing by Author "Mekonnen, Alemu (Dr.)"

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    Analyzing Household Vulnerability to Climate Change and Adaptation Options: Evidence from Adama and Lume Woredas, Ethiopia.
    (A.A.U, 2010-06) Taye, Bedaso; Mekonnen, Alemu (Dr.)
    The study assesses the extent of household vulnerability to climate change by applying Vulnerability as Expected Poverty (fIEP) approach. The VEP approach is based on estimating the probability that a given shock or set of shocks moves household consumption below poverty line or force them to stay there if they are already below poverty line. The data is collected from rural farming households in Adama and Lume Woredas of East Shewa zone during 2009 production season. The result shows that about 68 percent of farmers are vulnerable to poverty, while 62 percent of them are observed to be poor. A bout 52 percent of the households are vulnerable to poverty due to low consumption prospect and 16 percent of them are vulnerable due to high consumption volatility. The study also indicates that change of rainfall and temperature from long run averages, frequency of drought and soil characteristics are major reasons for farmers' vulnerability to poverty. On the other hand, education of head, livestock and land size, irrigation size, quantity of fertilizer used and number of extension contacts are found to reduce household vulnerability to climate change. Proximity to facilities such as road and market also reduces farmers' vulnerability. But, higher family size and exposure to non climatic shocks such as death of household head and input price rise increase vulnerability. On top of that, the estimated incidence of poverty is less than the fraction of population that is vulnerable to poverty. This calls for differential intervention for poverty reduction and poverty prevention, in addition to consumption stabilization and increasing measures. On the other hand expansion of extension services, irrigation practices, non farm income opportunities, improving farmers' access to fertilizer use and increasing household capacity to cope or mitigate shocks and risks are important intervention areas to reduce vulnerability.
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    Determinants of Voluntary Environmentally Sound Technology Adoption and an Assessment of Dynamic Inconsistency in Adoption Decision in Industry in Ethiopia
    (A.A.U, 2010-05) Tafesse, Bernabas; Mekonnen, Alemu (Dr.)
    The assessment of the determinants of the adoption of ESTs and the reasons for not adopting and continuity are explored in this paper. Towards the first question, four dimensions of possible determinants were identified. The variables that came out as most significant in the adoption decision are the ones pertaining to the plant characteristics of the firm. Specifically, the variables in this category are: the environmental commitment of the firm, the form of ownership of the firm as either foreigner owned or not and its arrangement as being either public or private, the technological capability of the firm, the number of years it has been in operation, and the number of employees. This underlines that the diversity of the firms plays a role in determining the EST option they adopt and thus imply the need for environmental policy to account for the heterogeneity of the firms in its design and implementation. This was done using the ordered probit model following the hierarchical nature of the response variables. Towards the second question, the heckman pro bit selection model is used and the results explained in the principal agent framework suggest that the form of management, among other things, does come into play in determining whether the firm continues with ESTs or not once they are adopted. This suggests that incentives or more generally the efficiency of mechanism design determines the effective implementation of a venture embarked upon despite the saving potential promised, and in cases savings earned, following the adoption of the ESTs. This implies the need for environmental policy to take into consideration internal management issues for effective realization of the enviroru11ental policy objectives drawn.
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    Household's Willingness to Pay for Improved Waste Management: The Case of Mekele City, Tigray Region.
    (A.A.U, 2009-01) Hagos, Dagnew; Mekonnen, Alemu (Dr.)
    The generation of solid waste has become an increasing environmental and public health problem everywhere in the world, particularly in developing countries. In Mekelle city, solid waste management is mainly provided by the municipality and it has been measured and evaluated always based on the role and performance of the service provider (supplier of the service) while demand side i.e. Willingness To Pay (WTP) of the residents is ignored. Therefore, the aim of this paper is to estimate the household's willingness to pay for one aspect of better environmental quality (improved solid waste management) in Mekelle city. [n this study, contingent valuation method (C VM) is used as a method of valuation. The empirical models adopted by this study to determine the factors that influence WTP of household heads for improved solid waste management are, To bit and Porbit models. The results of the Probit model revealed that probability of WTP of households for improved solid waste management are significantly related to three explanatory variables and all of the signs of these three variable coefficients (coefficients of income, awareness of environmental quality and age) make intuitive sense and significant at 1 %, 5% and 5% respectively. [n the To bit model, 8 out of 12 variables have statistically significant impact on the amount of WTP for improved solid waste management system. The current payment for sanitation is below the WTP of the residents and the mean WTP found in this study can be used for decision making in determining the service Fee for improved solid waste management.
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    Measuring Economic Value of TIS Abay Waterfalls: Comparison of Contingent Valuation and Travel Cost Methods
    (A.A.U, 2000-06) Fanta, Terefe; Mekonnen, Alemu (Dr.)
    One aspect of sustainable development is the need to retain an "acceptable" level of environmental quality and to conserve nature's assets. Environmental economics literature has therefore developed to encompass a range of monetary valuation methods and techniques de Signed to value the spectrum of environmental goods and services. The task of monetary valuation of the environment is made more complex by a number of problems. These include the fact that often environmental effects will have no natural units of measurement, and even where physical indices are available these must be related to individual perceptions. Be Sides, due to their externality and public good characteristics environmental effects do not often directly show up in markets. Extensive use of monetary valuation methods combined with technical improvements in techniques have resulted a large literature that consists a wide range of valuation case studies. There is now a wide range of application of the contingent valuation method (CVM) in developing Countries. Most of the studies are concerned with fresh water investments and sanitation. However, there are fewer studies that look at forest values, outdoor recreation, sanctuaries and parks. Of course, few limited studies have applied different techniques in valuing different environmental resources. This indicates that both in developed and developing countries more emphasis has been given to the reliability of contingent valuation method (CVM) . This study has attempted to estimate recreation value of Tis Abay Water Falls which is considered nature based tourist attraction area by applying contingent valuation method (CVM) and the travel cost approach(TCM) and evaluated the extent whether different techniques for valuing a given environmental charge will produce similar results. The conflicting interest around Tis Abay Water Falls resource is the background for this study. Tis Abay II Hydro Power Project is being implemented with the objective of increasing the supply of energy, where as the Tourism Master Plan proposed establishment of Tis Abay national park to enhance tourism industry. However, there is a trade-off between these two proposals, because the implementation of Hydro - electric power project will necessarily involve a significant reduction in the flow of water falls and that may not sustain their aquatic diversity and value of tourism. Though, there is significant difference, both methods have come with substantial consumers' surplus of Tis Abay Wate Falls Park which shows high potential tourism value of the resource. This might help to consider environmental policy issues and the need for the simultaneous pursuit of multifarious development objectives which are often in conflict with each other.
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    The Value of Improved Air Quality: A Contingent Valuation Study on Wonji Town (Ethiopia)
    (A.A.U, 2000-03) Takele, Essey; Mekonnen, Alemu (Dr.)
    The purpose of this study is twofold: (i) To estimate the benefits of reduction in air pollution in wonji town. (ii) To identify the variables which determine willingness to pay for air pollution reduction. The contingent valuation method was used for investigation. The survey is based on a sample of three hundred thirty two households. The study reveals that most people are aware of emission problems and willing to pay to reduce it. Censored data (300) was used to analyses the determinants of WTP, and to estimate benefits. Both Tobit and ordered probit models were applied to capture the effects of some variables such as distance from the polluter factory , wealth, income, education, pollution related diseases, etc. The signs of coefficients, except pollution related diseases, are as expected. Wealth, education , distance from polluter, interest in environmental problems and concern for future generations have significant impact on WTP. The estimated benefit, using frequency distribution, is nearly 29,000 birr per month. On the other hand , the benefit, using the mean WTP, is nearly 31,000 birr. These benefits may help to finance measures which could reduce the pollution level such as improved quality fuels, operational and maintenance improvement, and pollution control equipment improvement/installation.