Willingness to pay for the production of biogas from poultry waste recycling: Evidence from farmers in Nigeria

Abstract

Poultry waste management and the energy demand have generated environmental and climate change concerns. Experts have suggested converting poultry waste to biogas energy through recycling to reduce these concerns. Biogas, a poultry waste-recycling product, has yet to gain popularity in Nigeria. However, there is only limited research that has examined awareness of biogas, along with farmers’ willingness to pay (WTP) for it and their payment capacity (PC). Data generated through focus group discussions with and questionnaires completed by 225 poultry farmers selected through multistage sampling were analysed using descriptive and contingency valuation methods. The study established differentials in the magnitude of determinants of households’ WTP and PC. Farmers’ willingness to pay was mostly responsive to variables tied to the type of farm product and household endowment, while the capacity to pay was tied to income and environmental conditions. The study proposes that policy on farmers’ willingness to pay for biogas from poultry production should take into account differences in the type of poultry product, household endowment, and environmental conditions.