Assessing Households Willingness to Pay for Improved Water Supply Services in Holeta Town Using Contingent Valuation Method
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Date
2011-06
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Addis Ababa University
Abstract
This paper tried to examine and analyze the households' willingness to pay for improved water
supply services in urban areas of Ethiopia, Holeta town as a case study. Contingent valuation
method was used to examine the determinants of willingness to pay. A total of 141 sample
households were interviewed during the survey, together with focus group discussion and key
informant interview. The survey result showed that, if the towns water supp ly office provide
improved water supply, more than 80% of households' were willing and able to pay for the
service at a price more than a cost recovery tariff rate. Correlation result showed that income of
households' and household size were significantly affecting households' willingness to pay.
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Water Supply Services