Willingness to pay and accept compesation for conservation of the Usangu plain in Mbarali district Tanzania

Masters ThesisPayments for ecosystem services (PES) compensate individuals or communities for undertaking actions that increase the provision of ecosystem services such as water flows. These payments rely on incentives to encourage behavioral change and can consequently be considered part of the broader class to stimulate market-based mechanisms for environmental policy. This study was carried out to estimate willingness of both downstream and upstream user of Usangu plain to Pay and accept compensation for conservation to aid flow of water downstream throughout the year. The specific objectives were to estimate downstream willingness to pay (WTP), upstream willingness to accept (WTA) compensation for conservation and adoption of environmentally friendly practices and to determine factors influencing WTA compensation for conservation. Primary data were collected through questionnaire which was administered to a random sample of 200 respondent’s upstream Usangu plain in four villages, while data for WTP were gathered through checklists. Data were analyzed using descriptive statistics whereas data from choice experiment was analyzed by Conditional Logistic Model (CL) to elicit WTA compensation for conservation, Multinomial logistic model (MNL) was used to assess the factors influencing WTA compensation. Results show that downstream users were not willing to add any addition payment apart from what they pay as water user fees. Further results from CL show that upstream users are willing to accept several proposed conservations and environmentally friendly practices if they are compensated based on the performed practice and this is highly influenced by socio economic factors including age, education level and marital status. It is concluded from this study that both users of the plain are aware of the degradation status of the plain and their willingness to participate in conservation varies. The study therefore recommends involvement of all stakeholders in the development of conservation goals.Development Corridor Partnership (DCP