Willingness to Pay for Water in Kuwait

摘要: Kuwait lies in an arid region with limited options for sustainable water supply. Annual share is less than 500 cubic meters and it depends exclusively on desalinization. The consumption rate among the world’s highest (550-600 liters per day), while tariff lowest ($0.50/m3) a 92% subsidy. In response to increasing demand of 3.5 million people, growing at 2.3% year, government adopted supply-side strategy expanding production rather ratcheting up low rates. could very well cut use meet its future existing capacity by improving efficiency, using, example, progressive structure, instead flat rate. A 17-question survey was designed assess willingness pay (WTP) Kuwaiti households under different pricing subsidy schemes, as or without specific information that potentially faces serious shortages. Using sample 446, analysis indicates Kuwaitis are somewhat sensitive pricing. They also presence basic household use, about vulnerability scarcity. effect sizes mostly too small show significance using standard statistical techniques. However, non-parametric binomial test shows set correct predictions regarding WTP combinations price, subsidy, cannot be random. These findings instrumental devising conservation policy foster Kuwait.