Willingness to Pay for Preserving National Park Biodiversity: A Case Study

Abstract

This paper employs a stated preference environmental valuation method i.e. Contingent Valuation Method to estimate the willingness to pay for the conservation of the Dachigam National Park as well as value estimates crucial to the development of the park acquisition and management policy. A contingent valuation study is conducted with 301 visitors and the data are analysed using the binary logit model. Results show that the majority of the tourists (benefitted from the use values of the park) were willing to pay (WTP) for its improvement. Respondents’ willingness to pay for the conservation of the park ranges from Rs. 110 to Rs. 140 per year with a mean of around Rs. 125 per year. With the use of the benefits transfer method, this case study is expected to provide policy-makers, corporate players, stakeholders with useful information for the conservation of biodiversity in the Indian sub-continent, as well as in other countries.