Incorporation of Willingness-to-Pay in the Design of a Piped Water System for El Milagro, Guatemala

This study begins with a discussion of the theory of willingness-to-pay and the use of the contingent valuation method in determining an individual's willingness-to-pay for an improved system for water supply. Next, four approaches are taken, using the data gathered in the willingness-to-pay questionnaires, to predict the number of households that would connect to a piped water system and the annual revenues that would be generated at various prices in El Milagro, Guatemala. The approach determined to be most reliable is then employed in the design of a tariff in terms of a price. In general, present average costs paid for water form a reasonable basis for the design of a tariff in terms of a price.Master of Science in Environmental Engineerin