@article{Weligamage:211312,
      recid = {211312},
      author = {Weligamage, Parakrama and Butcher, W. R. and Blatner, K.  A. and Shumway, C. R. and Giordano, Mark},
      title = {Non-user benefits emanating from enhanced water flow to  the Yala Protected Area Complex},
      address = {2010},
      number = {614-2016-40824},
      pages = {pp.37-47},
      year = {2010},
      note = {In Evans, Alexandra; Jinapala, K. (Eds). Proceedings of  the National Conference on Water, Food Security and Climate  Change in Sri Lanka, BMICH, Colombo, Sri Lanka, 9-11 June  2009. Vol. 2. Water quality, environment and climate  change. Colombo, Sri Lanka: International Water Management  Institute (IWMI).},
      abstract = {Water is a multiple use resource. Increasing scarcity and  competition from various sectors is an important dimension  to be considered in its management. Understanding the value  of water to different water uses is, therefore, necessary  to assist decision-making in water allocation among  sectors. Although water used in agriculture can be valued  using production function approaches, such direct valuation  methods are not available for the environmental uses of  water. This paper uses non-market valuation methods to  estimate the economic value of a committed flow through a  unique ecosystem, the Yala Protected Area Complex (YPC).  The Yala Protected Area Complex is an important wildlife  refuge situated in south-eastern Sri Lanka. Its large land  extent, undisturbed nature, and abundance and diversity of  fauna contribute to its uniqueness. The fact that the YPC  is also the most visited national park in Sri Lanka is  partially a result of this uniqueness. However, maintenance  of the park’s ecosystem depends on the flow of the Menik  Ganga. This flow is regulated by the Veheragala Reservoir  Project, and there is now discussion of reducing flow into  the park by about half of the current level. The proposed  plan ensures dry season flow into the YPC and, therefore,  has been deemed acceptable. However, there is a possibility  that farmers will demand further water releases during the  dry season which could in turn endanger the planned  downstream water releases. So there is a potential  trade-off between environmental and irrigation uses of  water. A willingness to pay (WTP) survey was conducted in  ten districts in Sri Lanka during the fourth quarter of  2008 to estimate the WTP of the general population of the  country towards maintaining this important environmental  resource. In the hypothetical market presented,  participants were told of the need for financial  contributions from the general public to ensure the release  of a minimum downstream flow commitment of 50 MCM.  Participants were also informed of how this flow would  enhance the ecosystem of the YPC. A single bound  dichotomous choice contingent valuation approach was used  as the elicitation format. Nonobligatory voluntary  contributions were solicited towards a trust fund that  could be used to ensure release of the required quantity of  water downstream during dry months. According to the  results of a binary logistic regression, income, age, and  religious attachments are important factors affecting the  decision to contribute to environmental flow maintenance to  the YPC. Sixty-five percent of respondents were willing to  pay something to ensure the maintenance of an adequate  environmental flow in the YPC. The estimated mean WTP for  water releases to enhance the YPC is Sri Lankan Rupees  (SLR) 435 per year. Over the requested payment horizon of  10 years, the present value of aggregate WTP from the Sri  Lankan population to enhance the ecosystem of the YPC is  SLR 12 billion. This quantity greatly surpasses the present  value of net benefits from rice farming estimated at SLR  0.64 billion, which would be generated if the same quantity  of water was used for irrigation for 10 years (assuming  current prices and input intensities). Thus, there is a  clear opportunity for national welfare gain by ensuring  adequate flow in YPC.},
      url = {http://ageconsearch.umn.edu/record/211312},
      doi = {https://doi.org/10.22004/ag.econ.211312},
}