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Consumer preferences and water charging options in a large urban municipality: a case study

Higgs, Helen and Worthington, Andrew C. (2001) Consumer preferences and water charging options in a large urban municipality: a case study . Public Works Management and Policy 5(3):pp. 209-217.

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Abstract

This paper uses limited dependent variable techniques to model the decision-making process in a dual-pricing household water system as employed in Brisbane, Australia. In this system, households could initially choose to remain on a standard rateable value principle of payment for water or move to a volumetric/user-pays system. Because of uncertainty associated with future household water demand, the option to remain on the existing system has value and is thereby incorporated into the appropriate decision-making model. A number of property/household characteristics are found to influence the choice of water charging system along with the value of the option. These include property size and rateable value, the number of household members, the type of garden vegetation, and the presence of various household appliances.

Item Type:Journal Article
Status:Published
Keywords:Two-part tariffs; user pays; volumetric water pricing
Subjects:360000 Policy and Political Science > 360200 Policy and Administration > 360201 Public Policy
340000 Economics > 340200 Applied Economics > 340202 Environment and Resource Economics
ID Code:2574
Deposited By:Worthington, Andrew
Deposited On:18 November 2005
Alternative Locations:http://dx.doi.org/10.1177/1087724X0153003
Copyright Owner:Copyright 2001 Sage Publications
Copyright Statement:Reproduced in accordance with the copyright policy of the publisher.