Household water insecurities and willingness to pay in Karachi

Abstract

Abstract This study explores challenges faced by households in obtaining safe water in Karachi, Pakistan. Analyzing data from a stratified random sample of 990 households across Karachi's six districts in 2021 -2022, we uncover disparities in pipeline coverage, sewage mixing, and water supply. Pipeline coverage is the highest in high-income neighborhoods (99%) and the lowest in low-income areas (71%). Low-income households experience more sewage mixing (76%) than high-income households (55.38%). Overall, 60% of households report frequent sewage mixing, and 30% have had someone in their household contract a water-borne illness in the last 6 months. Approximately half of the households are dissatisfied with water service, with a median daily water supply of just 8 min (equivalent to 56 minutes per week). We find that households that received some water supply in the past month are 11% more likely to pay their bills. Overall, households demonstrate a substantial willingness to pay (WTP) for improvements in the piped water system. The median monthly WTP is PKR 500 for low-income households, PKR 1,000 for middle-income households, and PKR 1,700 for high-income households. Our analysis emphasizes the importance of income-sensitive interventions in urban water supply management in the Global South.