Valuing the benefits of climate adaptation measures to reduce urban flooding: Community preferences for nature-based solutions

Abstract

Nature-based solutions have gained recognition as viable strategies for climate adaptation, particularly in urban areas to reduce flooding. One solution to improve flood management is opening up streams in residential areas, reversing the historical practice of channeling streams into underground pipes. In a contingent valuation survey, we examine local residents' preferences for reopening a stream. We assess residents' willingness to pay (WTP) for two distinct reopening plans: one embracing a green and natural solution, and the other adopting a grey and urban solution. The results reveal a strong preference for the nature-based stream, underscoring the significance of community engagement when developing flood management strategies. The elicited WTP estimates for the nature-based stream highlight significant nonmarket benefits to the community, amounting to a present value of approximately NOK 11.5 million. Prioritizing such nature-based solutions could enhance local welfare and align with local preferences. However, the costs associated with developing the nature-based stream are high, and the elicited nonmarket benefits do not exceed these costs. This conclusion should be interpreted with caution, given limitations of the study. Further research is needed to establish whether similar projects would pass the benefit-cost test.