Valuing Blue Flag status and estuarine water quality in Margate, South Africa

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Periodical article

Title:	Valuing Blue Flag status and estuarine water quality in Margate, South Africa
Authors:	Nahman, Anton Rigby, Dan
Year:	2008
Periodical:	South African Journal of Economics
Volume:	76
Issue:	4
Pages:	721-737
Language:	English
Geographic term:	South Africa
Subjects:	water management cost-benefit analysis economic behaviour leisure
External link:	https://onlinelibrary.wiley.com/doi/10.1111/j.1813-6982.2008.00208.x/pdf
Abstract:	This study estimates the costs associated with reduced water quality and a hypothetical withdrawal of Blue Flag status in Margate, Kwazulu-Natal, South Africa, based on the travel cost method to estimate the current recreational value of the estuary - in terms of consumer surplus - and the contingent behaviour method. The significance of this research increased dramatically when, soon after the survey was conducted, Margate actually did lose its Blue Flag status, after tests revealed contaminated samples from nearby stormwater and sewage systems. This prompted the local authority to promise 'drastic measures' to restore Blue Flag status. The analysis presented here contributes to an assessment of the costs of losing Blue Flag status, and hence of the benefits of measures to restore Blue Flag status, which gives an indication as to how much should be spent on such measures. Costs associated with hypothetical loss of Blue Flag status (based on reduced visits) range between R17 and R25 million per annum. Bibliogr., notes, ref., sum. [Journal abstract, edited]