ANNOUNCEMENTS
Water pollution in NOIDA is increasing at an alarming rate each year, providing a significant burden for citizens and local governments a like. This research focusses on NOIDA, where households are currently receiving 0% safe water. It aims to assess the annual Willingness to Pay (WTP) for a proposed government initiative aimed at reducing water pollution by 62% over the following 6 years. The evaluation is carried out using a stated preference method, specifically the Contingent Valuation Method (CVM). Furthermore, the study used a revealed preference approach to assess the Cost of Self-Protection (CSP) associated with water contamination. The mean willingness to pay (WTP) by people is likely to be Rs. 5,067, whereas the average real cost of protection (CSP) will be Rs. 29,019.52. This results in a hypothetical bias amounting to be Rs. 23,952.52 representing the gap between individuals stated willingness to pay and their actual expenditure.
In order to measure the divergence between actual and stated preferences, that is, hypothetical bias, this study employed both a probit model and a multiple linear regression model. These models examine how a range of demographic, socioeconomic, risk perception, and attitude factors affect cost of self-protection (CSP) and willingness to pay (WTP). The factors that have been emphasized by the analysis are average monthly household income, marital status, trust in government institutions, perceived risk, perceived benefits, belief in personal safety measures, awareness, knowledge, perceived benefits of reducing risk, health condition, size of family, and level of education. The findings will be highly useful for policymakers and will help frame successful taxing policies while making it easy to implement successful water pollution management initiatives.
