Contingent Valuation and Actual Behavior: Predicting Connections to New Water Systems in the State of Kerala, India

Griffin, Charles C.; Briscoe, John; Singh, Bhanwar; Ramasubban, Radhika; Bhatia, Ramesh

doi:10.1093/wber/9.3.373

Cited by 86 publications

(44 citation statements)

References 16 publications

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“…This implies that household decisions in the ex-post situation were influenced by factors different from those in the ex-ante situation. Moreover, of those households who said they would connect but had not connected, more than 75 percent reported inability to pay the connection cost as the major reason for their decision, while those who said they would not connect, but actually connected, cited "changed economic circumstances" as the major reasons for their decision (Griffin et al, 1995). These results suggest that the factors influencing an individual's willingness to pay are likely to be different from those influencing their actual behaviour.…”

Section: Factors Of Affecting Wtp For Water Servicesmentioning

confidence: 93%

“…In the extant literature reviewed, only one study by Griffin et al (1995) has examined this question. Their "test-retest" type of contingent valuation (CV) study conducted ex-ante in 1988 and ex-post in 1991 in the Indian state of Kerala attempted to assess the extent to which willingness to pay for a house connection -which was assessed in 1988 -translated into actual behaviour (connection) following installation of the new piped water system three years later.…”

Section: Factors Of Affecting Wtp For Water Servicesmentioning

confidence: 99%

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Attitudinal and socio-demographic effects on willingness to pay for water services and actual payment behaviour

Mugabi

Kayaga

2010

Urban Water Journal

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Citation: MUGABI, J. and KAYAGA, S., 2010. Attitudinal and socio-demographic effects on willingness to pay for water services and actual payment behaviour. Urban Water Journal, 7 (5), pp. 287 -300. ABSTRACTImproving revenue collection rates and minimising the levels of 'bad debts' is currently a top priority for managers of water utilities in low-income countries. This study used empirical data from a cross-sectional survey of 505 utility customers in eight urban centres in Uganda toshow that customer attitude towards prompt payment, perceived ease or difficulty of paying on time (perceived control), as well as social pressure, strongly influence intentions to pay, which in turn directly affects actual prompt bill payment behaviour. The findings also show that gender, income, occupation of the household head and tenure status have statistically significant direct relationships with intentions, but their effects are much smaller compared to the joint influence of attitudes, perceived control and perceived social pressure. Moreover, the effects of gender and occupation are completely mediated by perceived control and social pressure respectively. These results have implications for improving revenue collection through customer-focused initiatives.

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Section: Factors Of Affecting Wtp For Water Servicesmentioning

confidence: 93%

Section: Factors Of Affecting Wtp For Water Servicesmentioning

confidence: 99%

Attitudinal and socio-demographic effects on willingness to pay for water services and actual payment behaviour

Mugabi

Kayaga

2010

Urban Water Journal

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“…CV studies have become more and more acceptable as a useful tool to estimate WTP for desirable quality water and are often used (Jordan and Elnagheeb 1993, Kwak and Russell 1994, Griffin et al 1995, Whittington et al 2002, Dasgupta and Dasgupta 2004 as an instrument where markets are absent, imperfect or incomplete. Studies by Kwak and Russel (1994), Whittington et al (2002), Dasgupta and Dasgupta (2004) have proved that a CV study, though unfamiliar in developing countries, is applicable for assessing WTP for water.…”

Section: Methodsmentioning

confidence: 99%

Willingness to pay and municipal water pricing in transition: a case study

Majumdar

Gupta

2009

Journal of Integrative Environmental Sciences

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Water utilities in Calcutta, India are historically subsidized. This has kept residents quite unfamiliar with the concept of volumetric pricing of water. But pricing strategies have recently been receiving attention and the charges regime appears to be in transition. However, pricing with the objective of full cost recovery may not be feasible or even desirable in the transitional phase. The purpose of the article is to formulate a water pricing principle by using consumers' willingness to pay (WTP). A contingent valuation study revealed that people were willing to pay a charge of Rs. 3.18 per kiloliter for a monthly average household water use of 12.59 kiloliters. Such a principle, which considers consumers' WTP, may neutralize the political and public resentment in the phase of transition and can be a base for full cost recovery in the future. Respondents also expressed an opinion that the poor should receive some support from the government and contribute a part for smooth functioning of the water supply system.

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“…The consumers' WTP is becoming increasingly popular and is one of the standard approaches that is used by market researchers and economists to place a value on goods or services for which no market-based pricing mechanism exists [14,15]. Experiences show that very high level of WTP for water is observed in developing countries [16][17][18][19][20].…”

Section: Introductionmentioning

confidence: 99%

“…The CVM still have serious methodological and theoretical shortcomings when used to assess WTP for non-market based goods and services, such as format bias, embedding effect, ordering problem, starting bid effects, strategic bias, information bias, non-response bias, payment vehicle, free rider problem, warm glow effect [22][23][24][25]. However, CVM is still useful tool for water resource management in developing countries [19,20,24]. The indirect approach involves observing consumers' behavior and modeling of behavior based on the approximate expenditure in terms of time and money to obtain the goods or services and infer about WTP through measurement of revealed preference [26,18,27].…”

Section: Introductionmentioning

confidence: 99%

Farmers’ Willingness to Pay for Irrigation Water: A Case of Tank Irrigation Systems in South India

Chandrasekaran

Sureshkumar

Palanisami³

2009

Water

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Abstract:The economic value of tank irrigation water was determined through Contingency Valuation Method by analyzing farmers' willingness to pay for irrigation water under improved water supply conditions during wet and dry seasons of paddy cultivation. Quadratic production function was also used to determine the value of irrigation water. The comparison of the economic value of water estimated using different methods strongly suggests that the present water use pattern will not lead to sustainable use of the resource in the tank command areas. Policy options for sustainable use of irrigation water and management of tanks in India were suggested.

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Contingent Valuation and Actual Behavior: Predicting Connections to New Water Systems in the State of Kerala, India

Cited by 86 publications

References 16 publications

Attitudinal and socio-demographic effects on willingness to pay for water services and actual payment behaviour

Attitudinal and socio-demographic effects on willingness to pay for water services and actual payment behaviour

Willingness to pay and municipal water pricing in transition: a case study

Farmers’ Willingness to Pay for Irrigation Water: A Case of Tank Irrigation Systems in South India

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