Journal Article

Using a Contingent Valuation Approach for Improved Solid Waste Management Facility: Evidence from Enugu State, Nigeria

William M. Fonta, H. Eme Ichoku, Kanayo K. Ogujiuba and Jude O. Chukwu

in Journal of African Economies

Volume 17, issue 2, pages 277-304
Published in print March 2008 | ISSN: 0963-8024
Published online October 2007 | e-ISSN: 1464-3723 | DOI: https://dx.doi.org/10.1093/jae/ejm020
Using a Contingent Valuation Approach for Improved Solid Waste Management Facility: Evidence from Enugu State, Nigeria

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  • Welfare Economics
  • Data Collection and Date Estimation Methodology; Computer Programs
  • Environmental Economics
  • Development Planning and Policy
  • Econometric Modelling

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For most public projects, especially environmental projects that are partly funded by multilateral donor agencies, cost–benefit analysis has become a routine procedure for the approval of project funds. These agencies are very keen to know whether the target community or country possesses the aggregate willingness to pay for the project. The two most commonly applied techniques for such analysis are stated preference and behavioural techniques. In this study, we employ the contingent valuation method (CVM), the most widely applicable of the stated preference methods, to establish empirical grounds for pricing the services of a new solid waste management (SWM) improvement facility in Enugu State, Nigeria, initiated by the UK Department for International Development, the State's Environmental Protection Agency, and State and Local Government Programme. We find that CVM can be fruitfully used to support the design and implementation of new SWM facilities and that analysis of the valuation function can give qualitative information that is difficult to identify using baseline surveys or most conventional economic valuation techniques.

Keywords: C52; C81; D62; O22; Q53

Journal Article.  7719 words.  Illustrated.

Subjects: Welfare Economics ; Data Collection and Date Estimation Methodology; Computer Programs ; Environmental Economics ; Development Planning and Policy ; Econometric Modelling

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