Abstract

Ecosystem services that are not traded on markets contribute to human wellbeing however their economic value is not well known and research is required to reveal it. This paper reports on a study of willingness to pay (WTP) for the maintenance of Mount Wilhelm by urban residents and socio-economic factors influencing it. The possibility of developing an ecotourism strategy that could generate benefits for local are discussed. The data were obtained from questionnaire and personal interviews of residents of Kundiawa, which is the capital of Simbu Province, Papua New Guinea. The data were analysed using descriptive statistics and binary logit regression model. The results showed that 92% of the respondents were willing to pay for maintenance of Mount Wilhelm and they would pay an average of 7.4 Papua New Guinea Kina (US$ 2.5) each year. The respondents who belonged to high income group had the highest WTP, followed by those who were willing to give out part of their land for conservation. Approximately 62% of the respondents would pay ≥10 Papua New Guinea Kina (PGK), which is equivalent to the amount charged as access fee to Mount Wilhelm by the locals living around it. The willingness to pay ≥10 PGK was influenced by income, education, importance of forests and willingness to give up land for conservation. The findings will contribute to land use planning and design of nature-based recreation that meets societal demands.

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