Contingent Valuation Method Study For A Sanitary Landfill

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Nik Nor Rahimah Nik Ab Rahim, Jamal Othman, Norlida Hanim Mohd Salleh, Norshamliza Chamhuri

Abstract

The current waste disposal policy in Malaysia is no longer reasonably sound with resultant amplification of environmental problems arising from landfilling activities. The upshot of this requires a policy change towards a more sustainable disposal method, with demand for a sanitary landfill. Therefore, this study identifies the demand for sanitary landfills by using a survey-based method, the Contingent Valuation Method. Questionnaire surveys were undertaken in Kota Bharu and Bachok to determine the willingness of households to pay for the non-market values of a sanitary landfill, described by its environmental benefits. Along with the willingness to pay responses, the collected information concerning socio-cultural factors was analysed and processed into a logistic model.  The households were willing to pay RM7.23 per month (USD1.74 per month) for the environmental benefits offered by a sanitary landfill. The willingness to pay was higher among those who pay for solid waste management, instead of among those who would directly benefit from the implementation of the sanitary landfill. This study examined the influence of socio-cultural factors with regard to willingness to pay to understand how the local setting affects the decisions of households. On a larger scale, the influence of the socio-cultural factors could display differences in the willingness to pay between places, regions or countries. The results show a positive prelude with respect to additional payment for the sanitary landfill and incorporation of non-market values into the project appraisal for project feasibility. The results also suggest the need for concerted efforts to raise awareness of sustainable waste disposal equally among households.

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