ESTIMATING THE LOCAL COST OF PROTECTING KOSHI TAPPU WILDLIFE RESERVE, NEPAL: A CONTINGENT VALUATION APPROACH

  • RAM K. SHRESTHA
  • JANAKI R.R. ALAVALAPATI
  • ANDREW F. SEIDL
  • KARL E. WEBER
  • TRI B. SUSELO
Article

Abstract

We estimate the compensation required by the local communities to forego access to the natural resources within the Koshi Tappu Wildlife Reserve (KTWR), Nepal using the contingent valuation method (CVM). In addition to contributing a CVM application from a seldom studied location to the literature, this case illustrates the sensitivity of WTA estimates to the analytical technique adopted. We analyze households’ willingness to accept (WTA) compensation using Tobit and double-hurdle regression models that account for the censored distribution of WTA and nested yes/no decision implicit in the WTA responses. The average WTA of a household residing in the vicinity of KTWR is estimated to be US $238, which amounts to nearly $ 1.64 million for the neighboring region. The results provide a basis to address local people’s concerns in the process of sustainable management of natural resources and wetland ecosystems in KTWR, Nepal.

Keywords

economic valuation Nepal park-people conflict protected area 

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Copyright information

© Springer Science+Business Media, Inc. 2006

Authors and Affiliations

  • RAM K. SHRESTHA
    • 1
  • JANAKI R.R. ALAVALAPATI
    • 1
  • ANDREW F. SEIDL
    • 2
  • KARL E. WEBER
    • 3
  • TRI B. SUSELO
    • 2
  1. 1.School of Forest Resources and ConservationUniversity of FloridaGainesvilleUSA
  2. 2.Department of Agricultural and Resource EconomicsColorado State UniversityFort CollinsUSA
  3. 3.School of Environment, Resources and DevelopmentAsian Institute of TechnologyKlong LuangThailand

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