Abstract

Accessible water is a basic human right but due to its fugitiveness and paucity, water is an economic good, rather than a public one. A reduced supply of water causes high financial and social costs. This study examined using the cost-based approach, the value of Mindu Dam by providing public water to Morogoro Municipality in Tanzania. It focused on the cost of water treatment and of constructing boreholes to ensure an efficient water supply. Data were collected from Morogoro Water Supply and Sanitation Authority (MORUWASA), the Wami/Ruvu Basin Water Board (WRBWB) Office, and three wards of the municipality. Household data were analyzed by descriptive techniques that involved computation of proportions, and valuation data by cost-based approaches. Due to pollution and degradation of the Mindu Dam, the municipality loses about 1,168,756,011 TZS (24,145.22 USD) per year for water treatment while the dam capacity decreases progressively. By using the boreholes alternative, the value of Mindu Dam by providing water is 64,074,304,515.07 TZS (27,626,570 USD) in the investment year and 39,828,547,584 TZS (17,172,659 USD) per year then after. This value was unrevealed and not considered in decision-making, leading to prolonged degradation. It is advised from this study for regulatory authorities to conduct valuation studies and use them to refine appropriate decisions to promote conservation and avoid unnecessary financial losses. The final value should also take into consideration the intrinsic value that water has, not only the direct one that is easily traceable.

Full Text
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