Files
Abstract
Growing population leads to increase in economic activities and life standard, levering demands for resources of clean water. Nature provides water by forming it through a hydrological cycle, which is a continuous water circulation system. During this process, trees and forests play important roles. The Local Drinking Water Company (PDAM) of Tirta Pakuan as the sole water provider in Bogor City plays a vital role in maintaining water resources upstream and downstream conditions to protect public from water scarcity. This research aims at identifying Bogor City needs for water and estimating consumers perception of water value using their ‘Willingness to Pay’ (WTP). Based on this research, it is known that roles of forest as water catchment are vital due to its capacity in regulating water balance. Furthermore, WTP identification result indicates to what extent water price is allowed to be set according to the PDAM customers ability to pay, in order to protect Bogor City from water scarcity. It is predicted that PDAM water processing unit’s capacity in 2020 will be insufficient to process raw water and produce it into clean water for public. In addition, new alternative locations, from which PDAM’s raw water is sourced, are needed to maintain public service delivery.