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Measuring the total value of a river cleanup
1Institute for Sustainability and Technology Policy, Murdoch University, Murdoch, WA 6150, Australia. khorshed@central.murdoch.edu.au
Summary
Residents are willing to pay and volunteer time for the Buriganga River cleanup, highlighting significant non-market and market benefits. Valuing these contributions is crucial for justifying public funding for river restoration projects.
Area of Science:
- Environmental Economics
- River Ecosystem Restoration
- Water Quality Management
Background:
- The Buriganga River, vital to Dhaka's history, is severely polluted due to human activities.
- Degradation of the river impacts the local environment and community.
- A hypothetical cleanup program is proposed to address water quality issues.
Purpose of the Study:
- To estimate the total economic value of a hypothetical Buriganga River cleanup program.
- To assess both non-marketed and marketed benefits of river restoration.
- To inform public funding decisions for dying river cleanup initiatives.
Main Methods:
- Utilized the total economic value framework for benefit estimation.
- Employed a contingent valuation survey to measure non-marketed benefits.
- Estimated marketed benefits using market and shadow prices.
Main Results:
- A significant portion of residents expressed willingness to pay for the cleanup.
- Non-monetary contributions (time) were substantial, monetizing to 60% of non-marketed benefits.
- Marketed benefits were estimated at 58% of the total program value, equating to $18.6 million USD annually.
Conclusions:
- Community willingness to contribute, both financially and through time, underscores the perceived value of river cleanup.
- Accurate valuation of all benefits, including non-marketed ones, is essential for effective environmental policy and funding allocation.
- Underestimating the benefits of river cleanup could jeopardize crucial public investments in ecological restoration.