Determinants of Household’s Willingness to Pay for Improved Mirt Stove in Cases of Semi Urban Areas of Gurage Zone: An Application of Contingent Valuation Method

  • Aneteneh Ashebir Haile lecturer
Keywords: Contingent Valuation Method, Improved Mirt Stove, Willingness to Pay.

Abstract

The households of Ethiopia mainly depend on biomass energy for their day to day activity. This dependency on biomass resource with traditional cook stove contribute to the depletion of environmental resource and health problem specially for women’s and children’s from indoor air pollution. From this the government has been encouraging the uses of improved cook stove technology at the household level. However, the uses of improved cook stove were very low. Hence, this study aims to estimate households WTP for improved Mirt stove and to identify factors that determine their WTP in semi urban areas of Gurage zone using Contingent valuation method and seemingly unrelated Bivariate Probit model. A sample of 251 households was randomly selected. The result of this study shows that households mean WTP is significantly influenced by bid price, monthly household income, family size, age, sex, marital status, environmental awareness, house ownership and availability of children under five year. The mean WTP for improved Mirt stove from the double bounded dichotomous choice format computed using the Krinsky Robb method was estimated to be 234.11 Birr and the total willingness to pay for improved Mirt stove is 3,561,281 birr. From the total surveyed households, 94.6% have shown their willingness to pay if there is an improvement in Mirt stove. Thus, the result can inspire the stakeholders those work in this area to invest for improving the current Mirt stove.

Downloads

Download data is not yet available.

References

Abate, W. (2016). Determinants of Adoption of Improved Stove Technology in Endirta District, Tigiray Regional State, Ethiopia. International Journal of Community Development, 33-49.
Accenture Development Partnerships (2012). Enhancing Markets for Delivery of Improved Cook stove Development and Promotion Support in Ethiopia. Available online: www.cleancookstoves. org/resources files/Ethiopia-market-assessment-report.pdf.
Alamir, T. (2014). Factors Affecting Adoption of Improved Cook stoves in Rural Areas: Evidence from Mirt Injera Baking Stove (The Survey of Dembecha Woreda, Amhara Regional State, Ethiopia. MSc. Thesis, Addis Ababa University.
Amare, D., Endeblhatu, A., and Muhabaw, A. (2015). Enhancing Biomass Energy Efficiency in Rural Households of Ethiopia. Journal of Energy and Natural Resources, 27-33.
Ayalneh, B. and Birhanu, U. (2012). Households’ willingness to pay for improved rural water service provision: application of contingent valuation method in Eastern Ethiopia. Journal of Human and Ecology, 38(2): 145-154.
Barnes, D., Openshaw, K., Smith, R., vanderPlas, R. (1994). What Makes People Cook with Improved Biomass Stoves? A Comparative International Review of Stove Programs; World Bank: Washington, DC, USA, 1994.
Beyene, A., & Koch, S. (2011). Clean Fuel-Saving Technology Adoption In Urban Ethiopia. Southern Africa: Economic Research Southern Africa.
Cameron, A., and Quiggin, J. (1994). Estimation using contingent valuation data from a ‘Dichotomous choice with follow-up’ questionnaire. Journal of Environmental Economics and Management 27(3):218-34.
Damte, A. and Koch, S. (2011). Clean fuel-saving technology adoption in urban Ethiopia. Working paper 229.
Gurage Zone Finance and Economy Office (2016). Report of the office. Wolkite: Gurage Zone finance and economy office.
Gurage Zone Urban Development Office (2016). Quarterly report of the office. Wolkite: Gurage zone urban development office.
Gurage Zone Water, Energy and Mineral Office (2016). Report of the office. Wolkite: Gurage Zone water, energy and mineral office.
Haab, T., and McConnell, K. (2002). Valuing Environmental and Natural Resources the Econometrics of Non-Market Valuation. USA: Edward Elgar.
International Energy Agency (2014).World Energy Outlook 2014 International Energy Agency. Paris: IEA.
Krinsky, I. and Robb, A., (1986). On approximating to the estimation of welfare measures in discrete response valuation studies. Review of economics and statistics, 86, 715-719.
Legesse, W., Derese, A., and Samuel, T. (2015). Determinants of Adoption of Improved Stove Technology in Dendi district, West Shoa, Oromia Regional State, Ethiopia. Ambo University: World Scholars http://www.worldscholars.org
Ministry of Water and Energy (MoWE, 2013). National Programme for Improved Household Biomass Cook Stoves Development & Promotion in Ethiopia, version 8, Addis Abeba, Ethiopia.
National Clean Cook Stoves Program Ethiopia (NCCSPE, 2011). Road map
Putz, K. and Muller, J. (2011). Development of a multi fuel Mitad as stove extension for Injera Baking inEthiopia. In Development on the Margin; University of Hohenheim: Bonn, Germany.
Shankar, A., Johnson, M., Kay, E., Pannu, R., Beltramo, T., Derby, E. (2014). Maximizing the benefits of improved cookstoves: moving from acquisition to correct and consistent use. Global Health: Science and Practice, USA.
Shanko, M., Abebe, T. and Lakew, H.(2009). A report on Mirt biomass Injera Stoves Market Penetration and Sustainability Study in Amhara, Oromiya and Tigray National Regional States: GTZ Sun Energy: Addis Ababa, Ethiopia.
Shanko, M.; Lakew, H., (2011). Final Report: Household Energy Baseline Survey in SNNPR; Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ): Addis Ababa, Ethiopia.
Tadesse, T. (2017). Farmers’ willingness to pay for improved irrigation water use: the case of woliso district, south west shoa zone, Oromia national regional state, Ethiopia. MSc. Thesis, Haramaya University.
Published
2021-03-11
How to Cite
Haile, A. (2021). Determinants of Household’s Willingness to Pay for Improved Mirt Stove in Cases of Semi Urban Areas of Gurage Zone: An Application of Contingent Valuation Method. GPH-International Journal of Agriculture and Research, 4(02), 39-51. Retrieved from https://gphjournal.org/index.php/ar/article/view/370