1. Preferences for Coral Reef and Fishery Management in Okinawa, Japan
Presenting Author: Nils Carlson, Colby College
Introduction
Coral Reef Valuation
Study at Hanauma Bay in Hawaii showed that visitors there are willing to pay much more for their experience ($10) than they are currently doing.
Consumer surplus is even larger if they know this payment is going towards conservation ($12.50)
Using a 50 year time period and a 3% discount rate, that the average annual value of the coral reef ecosystem in Hawaii is $364 million. This leads to a net present value of nearly $10 billion.
Using the travel cost method, discounting at a 4% interest rate, the recreational value of the Great Barrier Reef is worth from US $18 to $40 billion.
Coral Reefs
Coral reefs are among the most productive and biologically diverse ecosystems on Earth.
They supply vast numbers of people with goods and services such as seafood, recreational possibilities, costal protection and aesthetic and cultural benefits.
Coral reef cover ranges from % of the ocean floor but hold almost 1/3 of the world’s marine fish species
Many coral reefs are in serious decline: This is particularly true for reefs near embayments or near shallow shelves in densely populated areas.
To secure the capacity of coral reefs to supply humanity with ecological goods and services the resilience of reefs must be conserved.
Loss of resilience is caused by unsustainable uses of the reef itself as well as unwise and inefficient fisheries management
Human impacts on coral reefs can also have far reaching consequences on adjacent ecosystems
Conclusions
Methods
A choice experiment survey.
The attributes of the choice experiment were the following: Leisure fish Catch, Coral coverage and Marine Biodiversity and Shoreline and Costal Conditions.
The respondents were either residents of Okinawa or Tourists.
There were two versions of the survey: “Top-down” or “Bottom- up.”
Main effects specification:
Vqi=β1Xfish_catch+β2Xcoral_coverage+β3Xcostal_condition+β4Xpa yment+εi
Results
Individual heterogeneity is significant in the MMNL setting for each attribute.
For each model, the conservation attributes fish-catch and coral_coverage have positive and significant coefficients; both of these attributes increase individual utility and should be considered in conservation planning and research.
The attributes costal_condition and payment are both significant and negative; individuals prefer the coast to be less developed and more intact and they also prefer inexpensive restoration projects.
The level of the ASC tells us that respondents generally liked the program presented in the survey.
Respondents are, on average, willing to pay between ¥137.0 and ¥148.4 per month for a 10% increase in the amount of fish available for catch in ten years.
Respondents are willing to pay between ¥274.8 and ¥301.0 per month for a 10% increase in the extent and health of marine biodiversity in the Okinawan waters.
Tourists of Okinawa are willing to pay, on average close to ¥30 higher per month for a 10% increase in the extent and health of marine biodiversity in the Okinawan waters than are residents.
Main Effects Estimation Results
CL W/Out ASC
MMNL W/Out ASC
CL W/ ASC
MMNL W/ ASC
fish_catch
0.0192***
0.0381*** ** **
( )
( )
( )
( )
coral_coverage
0.0395***
0.0668***
0.0233***
0.0479***
( )
( )
( )
( )
costal_conditions
***
***
***
***
( )
( )
payment
***
***
***
***
( )
( )
( )
( )
ASC
1.290***
8.301***
(0.0518)
(0.477)
Observations
25473
Attribute Descriptions & Levels:
Description
Future Possible Levels in 10 Years
The average amount of fish catch available during a recreational fishing trip after 10 years.
With protected areas:
20-30% more fish catch
10-20% more fish catch
Current conditions remain
\Without protected areas:
20-30% less fish catch
The extent and health of the coral reefs and the number of marine biodiversity found in the Okinawan waters after 10 years.
20-30% more coral coverage and biodiversity
10-20% more coral coverage and biodiversity
Without protected areas:
20-30% less coral coverage and biodiversity
The extent of coastal development that includes beachfront construction of homes, hotels, restaurants and roads near or on coastal areas and the condition of the beach and shoreline after 10 years.
20-30% less development with more intact coastal shorelines
10-20% less development and moderately intact coastal shoreline
20-30% more development with degraded shoreline
A monthly contribution will be collected from all Okinawan residents to support the management of these protected areas.
100 yen per month
200 yen per month
400 yen per month
600 yen per month
800 yen per month
1000 yen per month
Zero
Standard Errors in Parentheses: * p < 0.05, ** p < 0.01, *** p < 0.001
WTP Values for Model, Controlling for Treatment
WTP – Resident
WTP – Tourist
fish_catch
13.70***
14.84***
(1.418)
(2.360)
coral_coverage
27.48***
30.10***
(1.353)
(2.239)
costal_conditions
-18.70***
-24.86***
(1.449)
(2.916)
Observations
17,304
8,169
Acknowledgements
The authors would like to acknowledge the support and efforts of
Sahan Dissanayake, Colby College