Abstract:
Payments 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.
