FACTORS AFFECTING MUNICIPAL SOLID WASTE MANAGEMENT AND VALUATION OF ENVIRONMENTAL AND ECONOMIC COSTS THAT IMPOSED ON THE SOCIETY: THE CASE OF KOLFE KERANIYO SUB-CITY, ADDIS ABABA

Abstract

In most developing countries policies and frameworks that govern solid waste management strategies have often been directed at the waste management service providers and less attention is often given to the demand side of the problem. The objective of this study is to assess the current situation of solid waste management services, households’ willingness to pay and the amount of WTP for improved residential solid waste management services. The study also determine factors affecting household’s willingness to pay decision and the amount of fees paid for an improved solid waste management in Kolfe keraniyo Sub-city, Addis Ababa. The data for the study was from a contingent valuation survey that was conducted among 400 households in Kolfe keraniyo Sub-city, Addis Ababa. Both descriptive statistics and econometric models were employed to analyze the qualitative and quantitative data. A binary logit model and tobit model was used to account for the factors influencing their willingness to pay and determined the amount of they were willing to pay. The economic model data were analyzed by using statistical package ‘Stata 13’. The results showed that 96.5% of the household received standard service from the municipality for the collection of waste service more than two times per week. According to this result the majority of surveyed households (84.75%) were willing to pay for the improved solid waste management. The mean WTP amount that households were willing to pay was ETB.53.16 (1.56 US$) per month. The factors that significantly influence the households’ WTP for improved solid waste management were monthly household income, household family size and the amount of waste generated. The significant factors that influenced the maximum amount of money households willing to pay for improved solid waste management were monthly household income, household family size and the amount of waste generated. The findings from this study could contribute to the knowledge regarding the implementation of a more sustainable residential waste management strategy in Addis Ababa city administration and other cities and sub cities that have similar conditions.