Adapting to Less Water: Household Willingness to Pay for Decentralised Water Systems in Urban Australia

Sorada Tapsuwan, Michael Burton, A. Mankad, D.I. Tucker, M. Greenhill

    Research output: Contribution to journalArticle

    19 Citations (Scopus)

    Abstract

    In South East Queensland (SEQ), extended periods of drought and unprecedented population growth have resulted in a water strategy reliant on permanent water conservation measures. As a result, there has been increasing emphasis on the installation of decentralised water systems at the household level, in particular, rainwater tanks and greywater systems to ease the water shortage stress. Results from a survey of 590 households in SEQ reveal that willingness to pay (WTP) for rainwater tanks and greywater systems range from $800 to $7,400 and from $1,700 to $14,100, respectively. When compared to the actual market price, WTP is substantially lower and subsidies will be required to encourage adoption. Nonetheless, a subsidy of $500 can lead to 100 % uptake of greywater diversion devices. Hence, the policy implication is that not all devices are preferred and subsidising greywater diversion devices would lead to the highest level of uptake with the least amount of subsidy spending. © 2014 Springer Science+Business Media Dordrecht.
    Original languageEnglish
    Pages (from-to)1111-1125
    JournalWater Resources Management
    Volume28
    Issue number4
    DOIs
    Publication statusPublished - 2014

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    willingness to pay
    rainwater
    Water
    Water conservation
    Drought
    water stress
    water
    population growth
    drought
    subsidy
    household
    Industry

    Cite this

    Tapsuwan, Sorada ; Burton, Michael ; Mankad, A. ; Tucker, D.I. ; Greenhill, M. / Adapting to Less Water: Household Willingness to Pay for Decentralised Water Systems in Urban Australia. In: Water Resources Management. 2014 ; Vol. 28, No. 4. pp. 1111-1125.
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    abstract = "In South East Queensland (SEQ), extended periods of drought and unprecedented population growth have resulted in a water strategy reliant on permanent water conservation measures. As a result, there has been increasing emphasis on the installation of decentralised water systems at the household level, in particular, rainwater tanks and greywater systems to ease the water shortage stress. Results from a survey of 590 households in SEQ reveal that willingness to pay (WTP) for rainwater tanks and greywater systems range from $800 to $7,400 and from $1,700 to $14,100, respectively. When compared to the actual market price, WTP is substantially lower and subsidies will be required to encourage adoption. Nonetheless, a subsidy of $500 can lead to 100 {\%} uptake of greywater diversion devices. Hence, the policy implication is that not all devices are preferred and subsidising greywater diversion devices would lead to the highest level of uptake with the least amount of subsidy spending. {\circledC} 2014 Springer Science+Business Media Dordrecht.",
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    Adapting to Less Water: Household Willingness to Pay for Decentralised Water Systems in Urban Australia. / Tapsuwan, Sorada; Burton, Michael; Mankad, A.; Tucker, D.I.; Greenhill, M.

    In: Water Resources Management, Vol. 28, No. 4, 2014, p. 1111-1125.

    Research output: Contribution to journalArticle

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    AU - Greenhill, M.

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