Households willingness to pay for solid waste collection services in secondary cities of Rwanda

Abstract

Solid waste management is one of the most challenging developmental issues faced by authorities around the world but mostly in developing counties. Rapid urbanisation, population growth and improved living conditions have led to increased volume of solid waste that requires proper management in order to preserve public health and environment. Though the services of solid waste management draw significant portion of municipal budget, municipalities are not yet able to fully cover the required costs of these services due to financial constraints. In most cases, government funding in solid waste management is meant for capital cost of treatment and disposal facilities while costs for collection and operation are generally the responsibilities of local authorities. This study aimed at determining the households’ willingness to pay for solid waste collection services in secondary cities of Rwanda. Using Contingent Valuation Method, a total of 422 households were interviewed to gather information on their willingness to pay. Logistic regression model was used to determine the influence of different factors on households’ willingness to pay. Socioeconomic information showed that 53% of the respondents were male, 69.7% married and 79.9% attained a certain level of education. The majority of respondents (51.95%) fall under the age group of 26-45 years, 279 are employed and the average monthly expenditure was found to be 136,287 FRw. Residents of secondary cities of Rwanda have basic knowledge about solid waste management, they understand the problems associated with uncollected waste and 34% inform that they separate biodegradable from non-biodegradable waste. Two hundred eighty-three respondents showed interest of having professional service provider for solid waste collection and 64.5% of the total respondents suggested a weekly waste collection frequency. As of the willingness to pay for solid waste collection services, 327 respondents corresponding to 77.49% answered yes and 95 respondents said “no”. The average amount that the household would pay per month was found to be one thousand five hundred ninety-six Rwandan Francs (1,596 FRw, almost $1.5). The regression analysis revealed that at 5% significant level, age, education level, employment status of household’s head, and monthly expenditure of the household have positive and significant influence on the households’ willingness to pay for solid waste collection services. iv Household’s size variable exhibited a negative relationship and significant influence on the households’ willingness to pay. On the other hand, gender, marital status and ownership of the house did not have any significant impact. The study showed that the main reason for not willing to pay for waste collection services is the lack of financial capacity, implying that households need to be financially empowered. Further studies are recommended to determine whether the expressed amount of willingness to pay if scaled to the entire urban population can cover the costs associated with solid waste collection services. Furthermore, cross subsidisation among the rich and poor households should be explored to ensure full coverage of the service.