Aspects of the economics of water management in urban settings in South Africa, with a focus on Cape Town
| dc.contributor.advisor | Van der Berg, Servaas | en_ZA |
| dc.contributor.author | Jansen, Ada Isobel | en_ZA |
| dc.contributor.other | Stellenbosch University. Faculty of Economic and Management Sciences. Dept. of Economics. | en_ZA |
| dc.date.accessioned | 2012-03-16T10:07:46Z | en_ZA |
| dc.date.accessioned | 2012-03-30T10:29:59Z | |
| dc.date.available | 2012-03-16T10:07:46Z | en_ZA |
| dc.date.available | 2012-03-30T10:29:59Z | |
| dc.date.issued | 2012-03 | en_ZA |
| dc.description | Thesis (PhD)--Stellenbosch University, 2012. | en_ZA |
| dc.description.abstract | ENGLISH ABSTRACT: Concerns about the sufficiency of freshwater supplies and the impact of water shortages have placed sustainable water management on the global agenda. This is particularly relevant in South Africa, a country with precipitation rates well below the global average and water resources that have become highly polluted. The scarcity of water for consumption use and of unpolluted water bodies as recreational and environmental good highlights the need for an economic analysis of these issues. This dissertation investigates some economic aspects of water management in the South African context in two distinctive parts. Part One (Chapters 2 to 5) aims to provide an understanding of urban water demand and analyses water pricing as demand management tool. Part Two (Chapters 6 and 7) analyses the values people attach to water resources for recreational and environmental purposes. Quantitative methodological approaches are predominantly used to inform an economic perspective on water demand management. The extent of water scarcity is discussed in Chapter Two. South Africa is approaching physical water scarcity, but many poor households do not yet have access to water and basic sanitation facilities, i.e. there is also economic water scarcity. Given this background, Chapter Three focuses on water demand management as part of an integrated water management approach. The role of water prices is discussed, in particular the Increasing Block Tariff (IBT) structure which is predominantly used in South Africa. Chapter Four estimates the price elasticity of demand for water using household water consumption records obtained from the City of Cape Town (CCT). A distinctive feature of this case study is a survey undertaken to collect household information on demographic and water-use characteristics, as water databases are severely lacking in South Africa. The results show water demand to be mostly price inelastic, which concurs with findings from international empirical literature. Furthermore, higher-income households are found to be more sensitive to price changes, thus some reduction in water consumption can be achieved by increasing marginal prices at the upper end of the IBT structure. Chapter Five analyses the IBT structure as a redistributive tool. Particular attention is given to the Free Basic Water policy of South Africa, which allows each household to receive six kilolitres of water free per month. Empirical modelling indicates that the IBT structure in its current form holds limited benefits for the poor, given the state of service delivery in South Africa: the lack of access to the water network prevents the poorest households from being the recipients of the cross-subsidisation occurring in an IBT structure. Part Two studies urban water resources as recreational and environmental goods. The literature review of environmental valuation techniques in Chapter Six places particular emphasis on the Contingent Valuation Method. This method is applied in Chapter Seven, where the value of improving the environmental quality of a freshwater urban lake is analysed in a middle- to low-income urban area. Another survey was undertaken specifically for this purpose of gauging the willingness to pay for improved recreational facilities and water quality of Zeekoevlei. The results show that low-income households do attach value to urban environmental goods, a result which adds to our knowledge of willingness to pay for environmental goods in developing countries. | en_ZA |
| dc.description.abstract | AFRIKAANSE OPSOMMING: Besorgdheid oor die toereikenheid van varswaterbronne en die impak van watertekorte het volhoubare waterbestuur op die wêreldagenda geplaas. Dit is veral relevant vir Suid- Afrika, 'n land met neerslagkoerse ver onder die wêreld gemiddelde en waterbronne wat hoogs besoedeld geword het. Die skaarsheid van water vir verbruik en van onbesoedelde waterbronne as ontspannings- en omgewingsproduk, beklemtoon die noodsaaklikheid vir 'n ekonomiese analise van hierdie kwessies. Hierdie proefskrif ondersoek sekere ekonomiese aspekte van waterbestuur in die Suid-Afrikaanse konteks, in twee dele. Deel Een (Hoofstukke Twee tot Vyf) beoog om insig te verskaf oor die stedelike vraag na water en analiseer die prys van water as 'n vraagbestuursmaatstaf. Deel Twee (Hoofstukke Ses en Sewe) ontleed die waarde wat mense heg aan waterbronne vir ontspannings- en omgewingsdoeleindes. Kwantitatiewe metodologiese benaderinge word hoofsaaklik gebruik om 'n ekonomiese perspektief op watervraag bestuur toe te lig. Die omvang van waterskaarsheid in Suid-Afrika word in Hoofstuk Twee bespreek. Hierdie hoofstuk dui aan dat Suid-Afrika besig is om fisiese waterskaarste te bereik, maar die land het ook baie arm huishoudings wat nog nie toegang tot water en basiese sanitasiefasiliteite het nie, dw.s. wat daar is ook ekonomiese waterskaarsheid. Gegewe hierdie agtergrond, fokus Hoofstuk Drie op watervraagbestuur, as deel van 'n geïntegreerde waterbestuursbenadering. Die rol van waterpryse word bespreek, veral die Stygende-Blok-Tarief (SBT) struktuur wat grotendeels in Suid-Afrika gebruik word. Hoofstuk Vier bepaal die pryselastisiteit van vraag vir water met behulp van huishoudelike waterverbruiksdata, verkry vanaf die Stad Kaapstad. 'n Kenmerkende eienskap van hierdie gevallestudie is die ingesamelde huishoudelike inligting oor demografiese en waterverbruik-eienskappe, aangesien daar ‘n groot tekort aan water-databasisse in Suid- Afrika is. Die uitslae toon dat watervraag meestal prysonelasties is, wat ooreenstem met bevindinge van ander empiriese literatuur. Verder word gevind dat hoё-inkomste huishoudings meer sensitief is vir prysveranderinge. Dus sal 'n afname in waterverbruik bewerkstellig kan word deur marginale pryse aan die hoёr kant van die SBT struktuur te verhoog. Hoofstuk Vyf ondersoek die SBT struktuur as 'n effektiewe herverdelingsmaatstaf. Spesifieke aandag word aan die Gratis Basiese Water-beleid van Suid-Afrika geskenk, wat voorsiening maak dat elke huishouding ses kiloliter water per maand verniet ontvang. Die bevindinge van empiriese modellering is dat die SBT struktuur, soos dit tans in Suid-Afrika toegepas word, beperkte voordele vir die armes inhou, gegewe die huidige stand van watervoorsiening in Suid-Afrika. As gevolg van die agterstand met betrekking tot toegang tot water, ontvang die heel armes nie die voordele van kruissubsidiёring wat plaasvind onder 'n SBT struktuur nie. Deel Twee bestudeer stedelike waterbronne as ontspannings- en omgewingsprodukte. Hoofstuk Ses verskaf 'n literatuur oorsig oor omgewingswaardasie tegnieke, met 'n spesieke fokus op die Kontingente Waardasie-metode. Hierdie metode word in Hoofstuk Sewe toegepas, waar die waarde van verbeteringe in die omgewingskwaliteit van 'n varswatermeer in 'n middel- tot lae-komste stedelike gebied ondersoek word. Nog 'n opname is gedoen met die doel om die bereidwilligheid om te betaal vir verbeterde ontspanningsfasiliteite en die waterkwaliteit van Zeekoevlei te meet. Die bevindinge toon dat lae-inkomste huishoudings wel waarde heg aan stedelike omgewingsprodukte. | af_ZA |
| dc.format.extent | 306 p. | |
| dc.identifier.uri | http://hdl.handle.net/10019.1/19974 | |
| dc.language.iso | en_ZA | en_ZA |
| dc.publisher | Stellenbosch : Stellenbosch University | en_ZA |
| dc.rights.holder | Stellenbosch University | |
| dc.subject | Water supply -- South Africa | en_ZA |
| dc.subject | Water supply -- Economic aspects -- South Africa | en_ZA |
| dc.subject | Water supply -- South Africa -- Cape Town | en_ZA |
| dc.subject | Water supply -- Economic aspects -- South Africa -- Cape Town | en_ZA |
| dc.subject | Residential water consumption -- Economic aspects -- South Africa | en_ZA |
| dc.subject | Residential water consumption -- Economic aspects -- South Africa -- Cape Town | en_ZA |
| dc.subject | Dissertations -- Economics | en_ZA |
| dc.subject | Theses -- Economics | en_ZA |
| dc.subject.other | Economics | en_ZA |
| dc.title | Aspects of the economics of water management in urban settings in South Africa, with a focus on Cape Town | en_ZA |
| dc.type | Thesis |