Abstract

This study used double-bounded dichotomous-choice to estimate and analyze the factors affecting households’ willingness to pay (WTP) for water quality improvement. This study notes that households with higher income, living near a polluted water source, using tap water instead of natural water, who are handicraft producers, and who have more members, are willing to pay more. However, households who rarely hear about environmental pollution issues and who are offered a higher bid are more likely to refuse to pay. Solutions to improve water quality are suggested such as to raise people’s awareness through communication channels and social organizations; to increase income associated with environmental protection policies; to construct wastewater treatment plants; to encourage the relocation of production establishments to industrial parks and industrial complexes; to put regulations on collection, payment and sanctions in case of not declaring and paying fees into village conventions; to promulgate circulars, and bylaws to concretize and simplify regulations and policies of the Government and the Ministry of Natural Resources and Environment.

Highlights

  • While the handicraft industry has contributed significantly to the local economy, the results of surface water analysis, reveal that the concentrations of pollutants exceeded the Vietnam Permissible Standards (VPS) several times

  • This study aimed to analyze people’s opinion on water pollution and water quality improvement, estimate people’s willingness to pay, and identify the factors of the affect willingness to pay for water quality improvement

  • Using the censorship econometric model (Tobit), the study results showed that the average willingness to pay (WTP) surcharge for better drinking water quality was $3.1, accounting for about 0.22% of the average income of family in Mexico City

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Summary

Introduction

While the handicraft industry has contributed significantly to the local economy, the results of surface water analysis, reveal that the concentrations of pollutants exceeded the Vietnam Permissible Standards (VPS) several times. It is of note that the coliform in the wastewater sample collected in 2018 was 300 times as high as that in 2016 [1]. This shows that water pollution in Bac Ninh’s handicraft villages is becoming more and more severe. There are many pollution control policies that were issued by Bac Ninh People Committee. These regulations have never been implemented in handicraft villages. While Bac Ninh province had some wastewater treatment plants, the wastewater treatment system in Khac Niem, for instance, was used for one year only because the system did not meet the required volume of wastewater from vermicelli making. The wastewater treatment system in Dai Bai operated only in 2 years due to a lack of funds

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