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Estimation of non-tap water demand in Central American cities

Author

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  • Celine Nauges

    (LERNA - Economie des Ressources Naturelles - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - INRA - Institut National de la Recherche Agronomique - CEA - Commissariat à l'énergie atomique et aux énergies alternatives)

  • Jon Strand

    (International Monetary Fund)

Abstract

We study water demand among non-tap households in three cities in El Salvador and in marginal barrios in Tegucigalpa, Honduras, using data from identical household studies in the four cities. We estimate water demand functions separately for El Salvador and Tegucigalpa, using a two-step procedure. We find non-tap water demand elasticities with respect to total water cost (defined as the sum of water price and hauling cost) of between −0.4 and −0.7. We discuss implications of the results, for welfare and distributional analysis, for documentation of the value of adding new connections, and for general water sector planning.

Suggested Citation

  • Celine Nauges & Jon Strand, 2007. "Estimation of non-tap water demand in Central American cities," Post-Print hal-02660496, HAL.
    • Handle: RePEc:hal:journl:hal-02660496
    DOI: 10.1016/j.reseneeco.2006.05.002
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    Cited by:

    1. Strand, Jon, 2012. "Low-level versus high-level equilibrium in public utility services," Journal of Public Economics, Elsevier, vol. 96(1), pages 163-172.
    2. Wa’el A. Hussien & Fayyaz A. Memon & Dragan A. Savic, 2016. "Assessing and Modelling the Influence of Household Characteristics on Per Capita Water Consumption," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 30(9), pages 2931-2955, July.
    3. Choumert, Johanna & Stage, Jesper & Uwera, Claudine, 2014. "Access to water as determinant of rental values: A housing hedonic analysis in Rwanda," Journal of Housing Economics, Elsevier, vol. 26(C), pages 48-54.
    4. Havranek, Tomas & Irsova, Zuzana & Vlach, Tomas, 2016. "Publication Bias in Measuring the Income Elasticity of Water Demand," MPRA Paper 75247, University Library of Munich, Germany.
    5. Henrique Monteiro, 2010. "Residential Water Demand in Portugal: checking for efficiency-based justifications for increasing block tariffs," Working Papers Series 1 ercwp0110, ISCTE-IUL, Business Research Unit (BRU-IUL).
    6. NAUGES Céline & VAN DEN BERG Caroline, 2006. "Water Markets, Demand and Cost Recovery for Piped Water Supply Services: Evidence from Southwest Sri Lanka," LERNA Working Papers 06.08.201, LERNA, University of Toulouse.
    7. Djiby Racine Thiam & Ariel Dinar & Hebert Ntuli, 2021. "Promotion of residential water conservation measures in South Africa: the role of water-saving equipment," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(1), pages 173-210, January.
    8. Céline Nauges & Dale Whittington, 2010. "Estimation of Water Demand in Developing Countries: An Overview," The World Bank Research Observer, World Bank, vol. 25(2), pages 263-294, August.
    9. Eric Nazindigouba KERE & Johanna CHOUMERT & Amandine Loyal LARÉ-DONDARINI, 2014. "The impact of water and sanitation access on housing values: The case of Dapaong, Togo," Working Papers 201403, CERDI.
    10. Tomas Havranek & Zuzana Irsova & Tomas Vlach, 2018. "Measuring the Income Elasticity of Water Demand: The Importance of Publication and Endogeneity Biases," Land Economics, University of Wisconsin Press, vol. 94(2), pages 259-283.
    11. Hagos, Fitsum, 2008. "Water supply and sanitation (WSS) and poverty: micro-level linkages in Ethiopia," IWMI Working Papers H041794, International Water Management Institute.
    12. Cook, Joseph & Wagner, Jake & Newell, Gunnar, 2020. "A Decision Support Tool for Rural Water Supply Planning," EfD Discussion Paper 20-6, Environment for Development, University of Gothenburg.
    13. Johanna CHOUMERT & Jesper STAGE & Claudine UWERA, 2014. "Access to water as a determinant of rental values: A hedonic analysis in Rwanda," Working Papers 201401, CERDI.
    14. Jake Wagner & Joseph Cook & Peter Kimuyu, 2019. "Household Demand for Water in Rural Kenya," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(4), pages 1563-1584, December.
    15. Aina, Ifedotun Victor & Thiam, Djiby Racine & Dinar, Ariel, 2023. "Substitution of piped water and self-supplied groundwater: The case of residential water in South Africa," Utilities Policy, Elsevier, vol. 80(C).
    16. Nunoo, Jacob & Koomson, Isaac & Orkoh, Emmanuel, 2015. "Household Deficiency in Demand for Water: Do Water Source and Travel Time Matter?," MPRA Paper 66007, University Library of Munich, Germany.
    17. Fercovic, Juan & Foster, William & Melo, Oscar, 2015. "Residential Water Consumption in Chile: Economic Development and Climate Change," 2015 Conference, August 9-14, 2015, Milan, Italy 211631, International Association of Agricultural Economists.
    18. Diego Azqueta & Álvaro Montoya, 2017. "The social benefits of water and sanitation projects in Northern Colombia: Cost-Benefit Analysis, the Water Poverty Index and beyond," Development Policy Review, Overseas Development Institute, vol. 35, pages 118-139, October.

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