• Journal of Korea Water Resources Association
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• v.46 no.10
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• pp.989-995
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• 2013

This study attempts to estimate the benefits of environmentally-enhancing water ensuing from Sangkwan multi-purpose reservoir. To this end, we apply a survey technique, the contingent valuation (CV) method to elicit the public willingness to pay (WTP). Two CV surveys of randomly selected households were administrated to on-site and off-site areas. As it happens, a number of respondents reported zero WTPs for the environmentally- enhancing water. To deal with the zero WTPs, this study employs a spike model. The results show that average household's WTP for the environmentally-enhancing water ensuing from Sangkwan multi-purpose reservoir is estimated to be 1,393.7 won for on-site area and 2,237.7 won for off-site area per year. The benefits of environmentally-enhancing water ensuing from Sangkwan multi-purpose reservoir amount to about 38.3 billion won per year. Our findings are expected to contribute to determining an appropriate level of investment and making management policies with regard to the benefits of environmentally-enhancing water.

• Journal of Korea Water Resources Association
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• v.46 no.10
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• pp.997-1004
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• 2013

There is imminent need to find a way to measure the recreational benefits of water so that appropriate actions can be taken to make a multi-purpose reservoir. Therefore, this study attempts to apply a choice experiment to quantifying the recreational benefits of a multi-purpose reservoir, using a specific case study of Sangkwan multi-purpose reservoir. We consider the trade-offs between price and attributes of recreational attributes for selecting a preferred alternative and derive the marginal willingness to pay (MWTP) estimate for each attribute. The results show that the MWTP for providing additional 10,000 ton of water is estimated to be 3 won per household per year. The MWTP for improving 1 level of water quality is computed to be 645.5 won per household per year. Moreover, the MWTP for providing recreation facilities is calculated to be 1,518.6 won per household per year. This study allows us to provide policy-makers with useful quantitative information that can reduce uncertainty in the decision-making process related to a multi-purpose reservoir construction projects.