Key stakeholders' optimal strategy for upgrading water supply facilities in China

Jia, Weijia; Ge, Jiaoju; Lu, Qiang; Ning, Hongyu

doi:10.2166/wp.2014.137

Cited by 4 publications

(9 citation statements)

References 26 publications

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“…While using the status quo combination as the baseline, two other combinations were randomly chosen from the other 12 combinations. Thus, 66 profiles (C 2 12 ) were obtained at last. Each of the profiles includes three alternatives.…”

Section: Wss Attributes and Levelsmentioning

confidence: 99%

“…While drinking water supply may be gradually popularizing worldwide, for many developing and less developed countries, water supply safety is still the fundamental concern [1]. Water supply safety (WSS) can be defined as the ability to supply a constant flow of drinking water with specific quality and pressure in specific operating conditions at any or a particular time and at an acceptable price [2]. Under the safety condition, tap water should meet the Standards for Drinking Water Quality to ensure public health and to avoid water related illnesses.…”

Section: Introductionmentioning

confidence: 99%

“…The new one makes stricter demand on organics, microorganisms and disinfection. This is the first time a developing country has implemented strict regulations on drinking-water quality and the first time the same standards have been applied in rural and urban areas in China) However, several Chinese water companies are having difficulties in meeting the new standards due to the outdated treatment facilities and distribution networks [2]. Furthermore, the growth of economic activities has degraded the water resources generated [4].…”

Section: Introductionmentioning

confidence: 99%

“…The stakeholder analysis by Wang et al [6] indicates that water companies, governments and consumers are the most important and definitive stakeholders in water supply systems in China. Wang et al [2] developed a game theoretical model between government and a water company to analyze the strategy for improving water supply safety. Theoretical and numerical analysis concluded that water price is the effective policy to optimize critical stakeholders' strategies.…”

Section: Introductionmentioning

confidence: 99%

“…The research questions in this paper include: (1) What is the mean WTP to improve WSS? (2) What are the main factors influencing consumers' WTP? (3) What are the implications for stakeholders and decision-makers of this estimate?…”

Section: Introductionmentioning

confidence: 99%

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Consumers’ Preferences and Derived Willingness-to-Pay for Water Supply Safety Improvement: The Analysis of Pricing and Incentive Strategies

Wang

Gao

2018

Sustainability

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With increasing water supply accidents and higher water demand, urban water supply safety (WSS) remains a crucial public policy issue in developing countries. The purpose of this paper is to investigate consumers' willingness-to-pay (WTP) and their preferences to improve WSS in China, to support governments in water regulation policy design and water providers in investment-decisions. A discrete choice experiment method with the consideration of not only attributes of WSS but also attitudinal and demographic variables have been adopted to assess consumers' WTP and preferences for WSS improvement. The results show that Chinese urban residents are willing to pay a significantly higher price for improved WSS. Demonstrated marginal mean WTP for the change of the attributes range from 0.18 RMB/m 3 (0.03 USD/m 3) (1 RMB was around 0.154 USD in 2016) for decreased water supply interruption to 2.33 Yuan RMB/m 3 (0.35 USD/m 3) for improved drinking water quality. Investments in water processing facilities and water distribution networks should come first. Cross-subsidy concerning different developing districts is the most efficient policy instrument. The study contributes to the recent literature not only by introducing attitudinal variables in choice experiment survey in water supply field, but also by revealing the correlation of choice modeling applications in WSS improvement programs.

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Section: Wss Attributes and Levelsmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Consumers’ Preferences and Derived Willingness-to-Pay for Water Supply Safety Improvement: The Analysis of Pricing and Incentive Strategies

Wang

Gao

2018

Sustainability

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Dealing with attributes in a discrete choice experiment on valuation of water services in East Peninsular Malaysia

2020

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Alternative approaches to treat respondent uncertainty in contingent willingness to pay estimation

Wang

2016

CAER

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Purpose The purpose of this paper is to theoretically using two new models to analyze the effect of respondents’ uncertainty about their stated willingness to pay (WTP) on welfare estimates in the contingent valuation method (CVM) theoretically using two new models, and empirically to reveal consumers’ WTP to improve drinking water supply safety (WSS) in China. Design/methodology/approach In this paper, two alternative preference uncertainty treatment approaches are proposed to estimate consumers’ WTP theoretically and they are applied to China’s WSS improvement program from a payment card method, which depends on how consumers’ certainty level about their valuation is. Furthermore, four regression models are presented to investigate the determinants of consumers’ WTP. Findings Theoretically, the alternative approaches that proposed in this research can remove overestimation bias from traditional CVM method but with lower estimation efficiency. In addition, the empirical results of the uncertainty adjusted models show that the expected WTP to improve drinking WSS is from 0.55 to 0.56 Renminbi yuan/ton, which are lower than the estimates from the conventional standard CVM models. Consumers’ preferences for their concerns about WSS, attitudes toward WSS improvement programs, trusts in implement authorities and their knowledge of WSS have significant effects on the WTP for improving drinking WSS and on respondents’ uncertainty too. Originality/value Theoretically to the authors’ knowledge, it is the first attempt to compare alternative approaches to treat respondent uncertainty using numerical certainty scale combined with payment card format valuation questions in CVM. Empirically it is the first study at this large scale that investigates consumers’ WTP for improving drinking WSS incorporating with respondent uncertainty in China. In addition, to assess consumer preferences for improved drinking water safety and the sources of uncertainty, information on consumers’ attitudes toward WSS are considered at the first time.

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Key stakeholders' optimal strategy for upgrading water supply facilities in China

Cited by 4 publications

References 26 publications

Consumers’ Preferences and Derived Willingness-to-Pay for Water Supply Safety Improvement: The Analysis of Pricing and Incentive Strategies

Consumers’ Preferences and Derived Willingness-to-Pay for Water Supply Safety Improvement: The Analysis of Pricing and Incentive Strategies

Dealing with attributes in a discrete choice experiment on valuation of water services in East Peninsular Malaysia

Alternative approaches to treat respondent uncertainty in contingent willingness to pay estimation

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