Willingness to Pay Estimation for the Restoration of Water Quality of a Eutrophic Lake

Lakes are recognized as highly susceptible to the impacts of various anthropogenic activities, making them one of the most vulnerable aquatic ecosystems. These ecosystems frequently experience degradation due to the lack of policies recognizing the importance of their often overlooked regulating ecosystem services. A contingent valuation approach was employed to assess the stakeholders’ willingness to pay (WTP) for the restoration of the water quality of a eutrophic lake using the case of Tadlac Lake, situated within the municipality of Los Baños, Laguna Province, Philippines. The findings of the study revealed that households in the area expressed a WTP of Php 95.88/household/month or Php 1,150.56/household/year (1 USD=55.89 Php), with 72.30% of respondents indicating their readiness to support efforts to improve the water quality of Tadlac Lake. The likelihood of a positive response significantly varied depending on factors such as the offered price, gender, educational attainment, duration of residency, household size, income, and the method of questionnaire administration (cheap talk vs. non-cheap talk). These results underscore the community’s favorable disposition towards investing in improving Tadlac Lake’s water quality. This valuation study contributes a fresh perspective on lake management strategies. Moreover, it emphasizes the importance of environmental education regarding social-ecological dynamics as a crucial requirement for crafting comprehensive policies that will steer sustainable management of natural lake resources.