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Willingness to Pay for WASH Contingent Valuation Method Study in Jacobabad
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Page 1: Willingness to Pay for WASH - Home | UNICEF · PDF fileList of Tables and Figures Table 1:Tarriff rate of sewerage services in major cities of Pakistan ..... 9 Table 2: List of key

Willingness to Pay for WASH Contingent Valuation Method Study in Jacobabad

Page 2: Willingness to Pay for WASH - Home | UNICEF · PDF fileList of Tables and Figures Table 1:Tarriff rate of sewerage services in major cities of Pakistan ..... 9 Table 2: List of key

Disclaimer:

This publication was produced by UN Habitat with technical support from UNICEF for review by the United States Agency for International Development. The contents do not necessarily reflect the views of USAID or the United States Government.

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Page 3: Willingness to Pay for WASH - Home | UNICEF · PDF fileList of Tables and Figures Table 1:Tarriff rate of sewerage services in major cities of Pakistan ..... 9 Table 2: List of key

Table of Contents List of Tables and Figures ................................................................................................................... V List of acronyms ................................................................................................................................. VII Executive Summary ......................................................................................................................... VIII Chapter 1 .................................................................................................................................................. 1

1.1 Introduction ................................................................................................................................ 1

1.2 Purpose of Study ............................................................................................................................ 2 Analyzing demand side ................................................................................................................... 3

Analyzing the supply chain ............................................................................................................ 3

Identifying potential strategies ................................................................................................... 4

Chapter 2 .................................................................................................................................................. 5 2.1 Literature review: .......................................................................................................................... 5

Contingent Valuation Method and willingness to pay ........................................................ 5

Examples of Tariff Models implemented in other Districts ............................................... 7

Existing policies .............................................................................................................................. 11

Management of municipal services in Sindh ....................................................................... 12

Chapter 3 ............................................................................................................................................... 14 3.1 Methodological Approach ....................................................................................................... 14

Desk Review .................................................................................................................................... 14

Household Survey ......................................................................................................................... 14

Focus Group Discussions ............................................................................................................ 15

Key Informants Interviews ......................................................................................................... 15

Market Survey ................................................................................................................................ 15

Picture and Video Testimonials ................................................................................................ 15

Hiring and Training of Survey Teams ...................................................................................... 16

3.2 Sample ............................................................................................................................................ 16 3.3 Data Collection ............................................................................................................................ 17 3.4 Data Consolidation and Analysis ........................................................................................... 17 Chapter 4 ............................................................................................................................................... 18 4.1 Findings & Discussions of the Study: .................................................................................... 18

Theme 01. Demographic Profile of Communities .............................................................. 18

1.1.1. Types of Houses .................................................................................................. 18

1.1.2. Availability of electricity ................................................................................... 19

1.1.1. HH members in the family ............................................................................... 19

1.1.2. Average monthly income of HH ..................................................................... 19

1.1.3. Overall Expenses of HH ..................................................................................... 20

1.1.4. Health...................................................................................................................... 21

III

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Theme 02. Willingness to pay for Drinking Water ............................................................. 22

1.1.5. Existing Source of Water for drinking purposes ....................................... 22

1.1.6. Preferred water source for drinking purpose ........................................... 23

1.1.6.1. Willingness to pay (Preferred Tariff) ........................................................... 24

1.1.7. Existing Water source for domestic purpose: ........................................... 26

1.1.7.1. How much Communities pay for existing Water Sources ................... 26

1.1.8. Willingness to Pay Water for domestic purpose: .................................... 27

1.1.8.1. Willingness to pay for domestic purpose (Preferred Tariff) ............... 27

Theme 03. Willingness to pay for Sanitation: ...................................................................... 28

1.1.9. Defecation Practices .......................................................................................... 28

1.1.10. Willingness to pay for construction of latrine ........................................... 29

1.1.11. Liquid Waste Management ............................................................................. 29

1.1.12. Willingness to Pay ............................................................................................... 31

Theme 04. Willingness to pay for Solid Waste Management: ....................................... 31

1.1.13. Willingness to pay: ............................................................................................. 33

Theme 05. Communication: ...................................................................................................... 34

Theme 06. Sanitation & Hygiene Products: ......................................................................... 34

Theme 07: Findings of Market Survey: .................................................................................. 35

1.1.14. Water related Products (Availability & Cost) ............................................ 36

1.1.15. Sanitation Related products (Availability & Cost) .................................... 37

1.1.16. Hygiene Related products (Availability & Cost) ........................................ 37

Theme 08. Supply Chain Management: ................................................................................ 37

Chapter 5 ............................................................................................................................................... 39 5.1 Conclusion ..................................................................................................................................... 39 5.2 Recommendations: .................................................................................................................... 42

Proposed Tariff Models ............................................................................................................... 42

References: ........................................................................................................................................... 47

IV

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List of Tables and Figures Table 1:Tarriff rate of sewerage services in major cities of Pakistan .............................. 9 Table 2: List of key informant interviews’ respondents ................................................ 15 Table 3: Number of personnel hired .............................................................................. 16 Table 4: Sample size calculation .................................................................................... 16 Table 5: Sampled households per Union Council .......................................................... 16 Table 6: Types of Houses and their size (N=414) ........................................................... 18 Table 7: Percent of household members according to age and gender (N=414) ......... 19 Table 8: Percentage distribution of income interval ..................................................... 19 Table 9: Average monthly expenses of households N=414 ........................................... 20 Table 10: Spending on diseases in last month ............................................................... 21 Table 11: Comparison of self-reporting disease incidence between baseline and current study .................................................................................................................. 21 Table 12: Main source of water for drinking purpose and level of satisfaction (N=414)........................................................................................................................................ 22 Table 13: Reasons of dissatisfaction of donkey cart water users .................................. 22 Table 14: Average cost of water services use for drinking purposes and its affordability......................................................................................................................................... 23 Table 15: Preference of Water source and its reason N=414........................................ 23 Table 16: Willingness to pay for improved piped water services .................................. 24 Table 17: Willingness to pay for safe, reliable, piped drinking water connection ........ 24 Table 18: Willingness to pay for installation and maintenance of metered piped water........................................................................................................................................ 25 Table 19: Willingness to pay for installation and maintenance of water filter plant .... 25 Table 20: Willingness to pay for electricity used for water source consumption ......... 25 Table 21: Main source of water for domestic use and level of dissatisfaction ............. 26 Table 22: Reason for dissatisfaction (N=334) ................................................................ 26 Table 23: Amount paid for existing water sources for drinking .................................... 26 Table 24: Percentage of preferred water source for domestic purpose and their reasons ........................................................................................................................... 27 Table 25: Willingness to pay for improving piped water connection ............................ 27 Table 26: Willingness to pay for improved, reliable, piped connection ........................ 28 Table 27: Willingness to pay for improving metered pipe ............................................ 28 Table 28: Defecation place at home .............................................................................. 28 Table 29: Defecation place at market ............................................................................ 29 Table 30: Willingness to pay for improving existing latrine .......................................... 29 Table 31: Willingness to pay for communal toilet and HWF ......................................... 29 Table 32: Waste water system and Reasons of dissatisfaction ..................................... 30 Table 33: Amount currently paying to manage sewerage water .................................. 30 Table 34: Willingness to pay for rehabilitation of existing drainage line network ........ 31 Table 35: Willingness to pay for improved drainage line and maintenance ................. 31 Table 36: Solid waste practice and level of dissatisfaction along with reasons for dissatisfaction ................................................................................................................ 32 Table 37: Amount currently paying for cleaning neighborhood ................................... 32

V

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Table 38: Scrap to garbage collectors ............................................................................ 32 Table 39: Amount of earning through sale of scrap garbage ........................................ 33 Table 40: Willingness to pay for improving cleaning of neighborhood ......................... 33 Table 41: Willingness to pay to have garbage bins near home ..................................... 33 Table 42: Effectiveness of various mediums of communication for disseminating information .................................................................................................................... 34 Table 43: Location and factors influencing purchase of sanitation & hygiene products........................................................................................................................................ 34 Table 44: Satisfaction with available WASH products ................................................... 35 Table 45: Types of shops in the market ......................................................................... 35 Table 46: Market summary of donkey cart water supplier ........................................... 36 Table 47: Indicative budget of construction of Latrine ................................................. 37 Table 48: Average amount willing to pay by communities ........................................... 44 Figure 1: Domestic Unmetered Tariff in different cities of Pakistan ............................... 7 Figure 2: Domestic Metered Tariff in different cities of Pakistan ................................... 8 Figure 3: Commercial Unmetered Tariff in different cities of Pakistan ........................... 8 Figure 4: Commercial Metered Tariff in different cities of Pakistan ................................ 9 Figure 5: Per capita income interval of sampled population......................................... 19 Figure 6: Source of income (N=414) .............................................................................. 20 Figure 7: Percentage distribution of household members suffer from disease in past (N=414) .......................................................................................................................... 21

VI

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List of acronyms

BCC Behavior Change Communication

CLTS Community Led Total Sanitation

FGD Focus Group Discussion

GoP Government of Pakistan

GoS Government of Sindh

GPS Global Positioning System

HANDS Health And Nutrition Development Society

HH Household

HWF Hand Washing Facility

KII Key Informant Interviews

MSDP Municipal Services Development Project

SMS Short Messaging Service

TMA

UC

Taluka Municipal Administration

Union Council

UNICEF United Nations Children’s Fund

USAID United States Agency for International Development

WASH Water Sanitation and Hygiene

WTP Willingness to Pay

VII

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Executive Summary The city of Jacobabad has a population of more than quarter of a million (275,000 est.) which

has more than doubled since last population census done in 1998. This increasing trend in

population has over stressed the city’s municipal structure which is already facing problems like

acute water shortage, bad road infrastructure, dreadful solid waste management system, and

crumpled sanitation structure. The overall municipal structure needs massive restructuring and

rehabilitation to improve poor service delivery and remove operational deficiencies. The

Municipal Services Development Project (MSDP) Jacobabad funded by USAID aims to improve

and upgrade water supply, sanitation and solid waste management of the city. UN-Habitat, in

partnership with UNICEF, has initiated a USAID funded WASH intervention in Sindh and will

provide soft components (e.g. Behavior Change Communication (BCC), social mobilization,

capacity development) to complement MSDP's infrastructure interventions. As part of its soft

components, UNHABITAT has initiated a research study to provide information on current

practices, the factors that influence people decisions regarding WASH products and services,

and analysis of local market for products and services related to WASH.

The study aimed at estimating appropriate tariff levels to ensure the sustainability of the

services of water, sanitation and solid waste management in the city of Jacobabad. Contingent

Valuation Method was used to estimate willingness of Jacobabad’s residents to pay for

upgrading municipal services. A household survey was used as a primary tool to assess

Willingness To Pay (WTP), complemented with key informant interviews and focus group

discussions.

The findings of the study suggest that people in Jacobabad are generally willing to pay for water

services, provided that their trust on such services is established. Because they are already

paying a high cost to obtain comparatively low quality of water (which is not treated for

biological or chemical contamination), they would be happy to pay decent amount for the

better water services. Through Contingent valuation method (CVM), three slabs of water tariff

identified based on the amount communities already paying, and their income level. Rs. 538,

Rs. 852 and Rs. 1274 are estimated for first, second and third quartiles respectively.

In case of sanitation services including sewerage maintenance and solid waste management,

the people are divided. Half of the population is not willing to pay for sanitation services, their

unwillingness to pay is rooted in their indifferent attitude towards clean and healthy

environment. A comprehensive behavioral change strategy is require to make the community

realize the long term benefits of safer sanitation practices.

VIII

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Jacobabad serve as junction to many surrounding cities and villages, therefore, it has a robust

and thriving market place. The WASH products are in abundance in the market, whether it is for

the hardware side i.e. availability of tools, machinery and raw material for infrastructure or

software side i.e. hygiene products like soap, detergent, chemical, etc. The municipal service

market is monotonous in nature.

Base tariff for the water services should not be more than rupees 500, which is a mean value of

first quartile of amount people are already paying to private vendors and also reflects the mean

value of people willing to pay. For sanitation purpose component sharing model, as suggested

in Pakistan Approach to Total Sanitation (PATS), should be encouraged, and the tariff shall only

focus on the external component of sanitation i.e. maintaining main drainage line and

treatment of sewerage water. Sanitation tariff should be embedded in water bill. For solid waste

management, base value for the tariff is rupees 100. Instead of providing the Solid waste

management through public sector, may be with more ownership of the community, a public

private partnership should be sought.

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Chapter 1 1.1 Introduction The city of Jacobabad, located at 28°16′37.32″N, 68°27′05.04″E, has a population of

more than quarter of a million (275,000 est.). In past four decades more than half a

billion rupees have been spent on the water and sanitation system of the city1. Over the

past forty years, several infrastructure installations for example, a lagoon of 110 million

gallon capacity, 9 katcha (unlined) storage ponds, 10 filtration beds, 2 water clarification

tanks to transport water from two canals (Jamali Wah and Kirthar) to city works and 22

tube wells were built. Much of the infrastructure built between 1964 and 1984 was

tampered with or broken at several points. The filtration beds were without sand, the

distribution network was rusted, and the negative pressure in the distribution lines

caused ingress of wastewater from drains into the pipelines, resulting in tap water that

is smelly and unfit for human consumption.

The specified tenure of elected governments and the exceeded time of project

completion beyond the planned timeline has led to a peculiar outcome in Sindh where

the incentive structure of the elected leaders are in favor of introducing new schemes

but not necessarily in completing them. This has led to proliferation of new schemes,

without completing the old ones. The water supply project in Jacobabad also suffered

from the shifts in the executive agencies which has been changed several times, and

implementation responsibility moved between public health engineering department

(PHED), the Town Municipal Administration (TMA), the Local Government Department,

and the District Government, and sometimes the changes were carried out after

interventions at the highest level.

Jacobabad had showed an increasing trend in population and has been doubled since

19982.This increase in population over stressed the city municipal structure which is

1 ADB, Sindh Urban Sector Assessment, 2007 2 As per 1998 census, Jacobabad city population was ~139,000 which on recent estimated is around 275,000

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already facing problems like acute water shortage, bad road infrastructure, dreadful

solid waste management system, and crumpled sanitation structure. The overall

municipal structure needs massive restructuring and rehabilitation to improve poor

service delivery and remove operational deficiencies. The Municipal Services

Development Project (MSDP) Jacobabad funded by USAID aims to improve and upgrade

water supply, sanitation and solid waste management of the city. Through this project,

a holistic package for Jacobabad has been developed with an aim to provide

uninterrupted water supply with better quality, rehabilitation and up-gradation of the

existing sewerage system and introduction of solid waste management system3.

UN-Habitat, in partnership with UNICEF, initiated a USAID funded WASH intervention in

Jacobabad called the “Community Mobilization for Improved WASH Services and

Hygiene Behaviors in District Jacobabad”. The project is being implemented in

coordination with Municipal Services Development Project (MSDP), and provides soft

components (e.g. Behaviour Change (BC), social mobilization, capacity development) to

complement MSDP's hardware interventions.

As part of the component 1 of the project related to carryout baseline and research for

the MSDP’s hardware interventions, UNHABITAT was mandated to conduct research on

people’s willingness and ability to pay for improved water and sanitation services. The

research provides information on current practices, the factors that influence people’s

decisions regarding WASH products and services, and analysis of local market for

products and services related to WASH.

1.2 Purpose of Study Purpose of the study was to analyze demand and supply of WASH related products and

services focusing on willingness and the ability of the people of Jacobabad to pay for

such services. More specifically, the study focused on the following demand and supply

side indicators.

3 MSDP Monthly Bulletin October 2015

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Analyzing demand side The demand side of the study focused upon various inter-related notions.

Explore and synthesize key motivational factors for purchasing WASH household

(high and low income) related products and services and key barriers to

accessing desired products and services

Measure elasticity of demand of water consumption based on previous trends

of price change and quantity demand

Device varying cost packages of water supply keeping in mind the target

population

Measure the ability to pay based on the level of income

Assess the households’ willingness to pay for improved water/other services

using the Contingent Valuation Methodology

Provide qualitative information on existing demand on current services, as well

as the willingness and ability of households to purchase WASH related products

and services

Document the types of WASH products currently available, the material

necessary for their construction and their purchase price at the market and

prioritize them a/c to household preferences in terms of willingness and ability

to pay

Determine key characteristics of desirable water and sanitation products and

services based on different consumers' requirements, preferences and

aspirations.

Analyzing the supply chain

Map current suppliers and providers of water and sanitation and solid waste

management related material, products and services

Identify gaps in current water and sanitation material, products and services

supply

Identify potential suppliers/service providers who can reinforce or fill in gaps in

the provision of WASH services

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Identifying potential strategies

Develop tariff models with appropriate pro-poor tariffs

Propose potential supply chain for the identified water and sanitation products

and services

Draft implementation plan with proposed actions to be taken by the project to

support service providers/businesses in developing identified supply chains and

building capacities

Propose key communication channels for the promotion of water and sanitation

products and services to stimulate demand, building on UNICEF behaviour

change campaign activities

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Chapter 2 2.1 Literature review: Water supply is one of the most important services for households, it is not only used

for drinking purpose but also in other important household activities including cooking

a meal, washing dishes, bathing, laundry, cleaning, and watering the home gardens.

Access to safe water is a basic need for human survival and health. Households need

safe water and its availability on regular basis. Irregular and uncertain access to safe

water affects not only these activities directly but also households’ health and

workforce productivity indirectly. Thus, households give great importance to water, its

quality and regular supply. However, this commodity doesn’t come in abundance and

has direct and indirect cost. Whenever a water supply services is planned, a willingness

of the household to pay also comes in question. In order to discern WTP of the

household, different valuation techniques are utilized amongst which contingent

valuation method is the most widely used method.

Contingent Valuation Method and willingness to pay The literature on contingent valuation is vast (Gunatilake & Tachiiri, 2012) and a

complete review is beyond the scope of this write-up. CVM became popular for

valuation of infrastructure projects in developing countries since the early 1970s, the

CVM has proved to be a powerful and versatile tool for measuring the economic

benefits of the provision of wide range of non-marketed goods (Mitchell and Carson

1989), including recreation, amenity value, scenery, wetlands, air and water quality,

forest and wildlife conservation, etc. According to Birol et al. (2006), more than 5000

CVM studies have been conducted in over 100 countries to examine water related

issues and other resource. The CVM measures project benefits in monetary terms by

directly asking people's willingness to pay for such projects through a questionnaire by

giving them certain scenarios of the upcoming services and asking how much they are

willing to pay to avail the particular service.

In south Asia, a number of studies have been carried out by using CVM. Some of these

include Dhaka (Chowdhry, 1999), Calcutta (Guha, 2007), Srilanka (Gunatilake, H., et al.,

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2007), Khulna (Gunatilake & Tachiiri, 2012). In Pakistan such studies have also been

conducted for urban and rural part of the countries. Some of the studies carried out in

urban setting includes Abbottabad (Haq et al., 2007), Hyderabad (Sattar & Ahmad,

2007), Peshawar (Khan, 2010), Karachi (Sidrat & Lohano, 2008) and one for rural Punjab

(Altaf et al., 1992). Raheel (2013) also analyzes willingness to pay for solid waste

management in Islamabad.

Majority of the studies examined the factors that explained citizens’ willingness to pay

for WASH services, like Chowdhry (1999) in Bangladesh demonstrates that slum

dwellers are willing to pay enough for water to cover the costs of providing it, suggesting

that higher water charges would be a financially viable way to generate funds for water

system investments. Same findings were endorsed by Guha (2007) in India and it

suggests that water tariff is economically justifiable since the willingness to pay exceeds

the production and maintenance cost for the potable water supply scheme in his area

of study. In Srilanka, Gunatilage (2012) demonstrates that the willingness to pay

monthly charges and connection cost are higher in economically richer households, he

further asserts that the flat rate would not be feasible for the poor household provided

that the volumetric tariff could increase the connections in poor household. In Pakistan,

Haq et al. (2007) valued the reliability and quality of water services as an important

determinant for households’ willingness to pay. He further elucidates the importance

of awareness and knowledge in curbing averting behavior of households towards

quality improvement. Similarly, the strong relationship of the awareness of households

and willingness to pay was demonstrated by Sattar and Ahmed (2007). They also see

the strong effect of communication channels like print and electronic media on the

water purification behavior of the households. Khan et al. (2010) also confirms in

Peshawar that demand for environmental goods including safe drinking water could be

higher if income levels are high and if people have access to information and awareness

regarding the health risks associated with inferior environmental quality. Sidrat and

Lohano (2008) declare that in a metropolis like Karachi, the willingness to pay increases

as the income level increases. They also suggest that households would be willing to

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pay much more than what they currently pay for safe and reliable water. They also

advocate the imposition of cross subsidization.

Examples of Tariff Models implemented in other Districts There are different tariff categories; all residential houses and flats, where water is used

for the household requirements fall in domestic category. All establishments registered

as commercial units with local authorities or dealing in consumer items for direct

commercial sale like cafes, bakeries, milk shops, tea stalls, canteens, barber shops,

laundries, places of entertainment like cinemas, clubs, theaters and private offices,

clinics, maternity homes, etc., fall under commercial category. All consumers engaged

in the processing of industrial raw material into value added finished products

irrespective of the volume of water consumed, including hotel fall under industrial

category. Mosques, churches, temples, madrassas, and other religious places and

schools/hostels either government or semi government. In addition to these, all

government and semi-government offices and hospitals, government guest houses,

armed forces messes, universities, colleges, schools and private educational

institutions, orphanages and other charitable institutions along with hostels and

residential colonies are fall in charitable category.

1. Water:

The following graph shows the tariff structures of water applied in different categories

in the big cities of Pakistan.

Figure 1: Domestic Unmetered Tariff in different cities of Pakistan

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The graph only shows the tariff rates for small house sizes for comparison purpose. The

original tariff list even goes to more than 5000 sq.yds (karachi) and more than 8000

rupees per month. Graph indicates that the tariff rates in other parts of the country are

relatively on the same scale with little variation, however, the rates in karachi are

slightly higher than other parts of the country. The rise in tariff in karachi is a recent

phenomenon and almost 27% increase in tariff has been observed in last three years.

Most of the unmetered tariff connection are based on the plot size, wherer as in relative

small cities like Quetta and Sukkur size of pipe is the basis of tariff setting.

Figure 2: Domestic Metered Tariff in different cities of Pakistan

Metered connectin are comparatively a new phenomenon in Paksitan. Only few cities

have metered connection, and even there the proportion of metered connectin is less.

Only Lahore is a city where more than 60% connections are metered connection, and

those which are not metered are converting into metered connection. Graph suggests

a varied pattern of tarrif rates in different cities of the country. Lahore has the least

tariff rates as compared to other cities. Cost of meter is embeded in connection charges

and borne by consumer.

Figure 3: Commercial Unmetered Tariff in different cities of Pakistan

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Commercial unmetered connection are also based on plot size or pipe size. Faisalabad,

as a big industrial city, has comparatively more rates than other small cities.

Figure 4: Commercial Metered Tariff in different cities of Pakistan

In big cities, tariff for commercial is metered connection and follow more or less same

pattern, except karachi where price of water is relatively higher than other cities.

Sewerage:

The following tariff structures are applicable for the different categories in the big cities

in provinces of Pakistan for sewerage.

Table 1:Tarriff rate of sewerage services in major cities of Pakistan City Domestic Commercial Industrial Karachi The current sewerage

tariff rate for Karachi is Rs. 14.00 for un-metered (sq.yd) up to 61-->120, Rs. 23.00 for un-metered (sq.yd) up to 121-->200 and Rs. 13.0 for flats up to-501-->-800. The tariff rate for Metered (Per 1000 Gallons) is also 25% of water charges.

The current sewerage tariff rate in Karachi for Commercial (Un-Metered Connection) is 25% of Water Charges and tariff rate for Metered (Per 1000 Gallons) is also 25% of Water Charges.

The current sewerage tariff rate in Karachi for industrial (Un-Metered) is 25% of Water Charges and tariff rate for Metered (Per 1000 Gallons) is also 25% of Water Charges.

Lahore In Lahore, sewerage tariff rate for domestic metered connection is Rs.6.44 per 1000 GPM (Up to 5000) and Rs.10.43 for 5001 to 20000.

In Lahore, sewerage tariff rate for commercial metered connection is Rs. 13.67 for (up to 5000 Gallons) and Rs. 24.42 for 5001 to 20000 Gallons.

In Lahore, sewerage tariff rate for Industrial metered connection is Rs. 13.67 for (up to 5000 Gallons) and Rs. 24.42 for 5001 to 20000 Gallons.

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City Domestic Commercial Industrial Rawalpindi In Rawalpindi, sewerage

tariff rate for domestic is 50% of water rate.

In Rawalpindi, sewerage tariff rate for Commercial is 50% of water rate but for commercial categories of “petrol pump with service station” and, “only service station” the monthly sewerage rate is Rs. 1500 & 1000 respectively.

In Rawalpindi, sewerage tariff rate for industrial category is 50% of water rate.

Multan In Multan, sewerage tariff rate for domestic, commercial and industrial category is Rs.21 up to 75 sq.yd , Rs. 34 for 75 to 125 sq.yd and Rs. 56 for 125 to 250 sq.yd

Faisalabad In Faisalabad, sewerage tariff rate for domestic category is Rs. 55.00 (Up to 60 sq.yd, Rs. 83.00 for 60 to 90 sq.yd and Rs. 97.00 for 90 to 125 sq.yd.

In Faisalabad, sewerage tariff rate for different commercial categories (per point having one Toilet/Wash Basin/Sink/Tap etc.) are; shops/stores is Rs. 121, for hotel/ restaurants Rs. 81.00, for Private Hospitals /Clinics/Laboratories Rs. 58.00 and for Private Education Deptts/Schools/ Colleges/Institutions Universities Rs. 290.

Peshawar In Peshawar, sewerage tariff rate for domestic, commercial and industrial category is Rs. 10 (Up to 75 sq.yd), Rs. 16 for 125 sq.yd & 175 sq.yd, Rs.25 for 250 sq.yd and Rs. 50 for 350 to 500 sq.yd.

Quetta In Quetta, sewerage tariff rate for domestic, commercial and industrial category is Rs. 8 (10% of water bill ) per Connection

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Existing policies

Since 2003, after the first South Asian Conference on Sanitation (SACOSAN) and Dhaka

declaration, water sanitation and hygiene has gained its importance in the development canvas

of Pakistan. Consequently, in 2006 Pakistan had developed its national sanitation policy.

National sanitation policy on one side recognizes the issues pertaining to sanitation and solid

waste, but also provides guidance to achieve the set targets towards improved sanitation

condition in the country. For instance, policy was cognizant to engage the community for

sanitation purpose and set community lead total sanitation approach as one of the objectives

of the policy. Similarly, aiming to develop waste management system in urban areas was also

mentioned as a strategy. The policy emphasizes the component sharing model to be adopted

in all the government schemes and also provides the framework of applying such model4. As a

follow up of the national sanitation policy, a Community Led Total Sanitation (CLTS) core group

representing donors, civil society and government departments working in the area was formed.

The mandate of the group was to formulate the Pakistan specific “total sanitation’ strategy. The

working of core group resulted in the form of PATS (Pakistan Approach to Total Sanitation). The

PATS emphasizes the approach of enhancing demand side approach through behavior change

and social mobilization. PATS also suggests five models to achieve total sanitation. i.e.

Community Led Total Sanitation (CLTS), School Led Total Sanitation (SLTS), Sanitation Marketing,

Component Sharing and Disaster Response Approach. Through Component sharing model, the

PATS approach specifically emphasizes the inclusion of community in sanitation development

and suggests that the internal components of the sanitation which includes constructing

sanitary latrine, household connection and lane sewer should be owned and maintained by the

community where as external components which include construction of main sewer and

treatment work shall be the responsibility of external agencies including government and

NGOs5. In 2014, government of Sindh introduced the draft of Sindh sanitation policy, which

reiterates the guidelines of national policy and recommends the Gradual community cost-

sharing and introduction of economic pricing for Services. The draft also emphasizes the

component sharing model for all the development projects6.

4 Government of Pakistan, National Sanitation policy, 2006 5 Government of Pakistan, Pakistan Approach to Total Sanitation, 2009 6 Government of Sindh, Draft Sindh Sanitation policy, 2014

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In the same year, National drinking water policy was also introduced. The policy aims to improve

the life of the people and provides specific guidelines for increasing access to safe drinking

water, protection and conservation of surface and groundwater resources, water treatment and

safety, appropriate technologies and standardization, community participation, public

awareness, capacity development, public-private partnership, research and development,

emergency preparedness and response and coordinated planning and implementation 7. In

December 2015, government of Pakistan indicated to introduce national water policy to

rationalize water tariff and mechanism8.

Management of municipal services in Sindh The management of municipal services in Sindh had a roller coaster ride with periodic transfer

of management power from provincial to local government. Although the constitution of

Pakistan provides exclusive jurisdiction to local government with respect to water supply,

drainage and sanitation, the 1979 provincial ordinances of local government paved the path to

structure and implement local government. Till 1990s, apart from Karachi where municipal

services come under the purview of Karachi Metropolitan Corporation, municipal services in

secondary cities had no formal mechanism to coordinate efforts of several government

departments and agencies active in these secondary cities. The fragmentation of development

responsibilities between the municipal Committees and Provincial Government Departments,

coupling with the separation of the maintenance function at municipal level was a major

concern on development progress of such town9.

Not until 2001 when provincial governments promulgated local government ordinance, an

integrated local government system was established. The broad framework of devolution, as

outlined in the 2001 ordinance gives Taluka Municipal Administration (TMA) responsibility to

provide a range of municipal services and the provincial government to monitor the TMAs in

the provision of services. Implicitly, there is an expectation that better performing TMAs will

receive greater incentives. It was a drastic transformation, both for the TMAs which had to

immediately acquire the technical and management expertise needed to deliver services, and

for the provincial government to change its outlook from provision to monitoring and oversight.

However, due to failure of TMAs to upgrade themselves from day to day matters to more

strategic and spatial planning, embedded in lack of capacities and over reliance on provincial

7 Government of Pakistan, National Drinking policy, 2009 8 Daily Dawn, http://www.dawn.com/news/1224730 accessed on 15-Jan-2016 9 World Bank, Sindh Urban sector memorandum 1984.

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funds, local government ordinance of 2001 was abolished in 2014 and again the 1979 act was

enacted with commissionerate system through 2013 Sindh local government act. Through new

local government, the responsibility of municipality services came again under provincial

purview. Presently, wastewater in Cities of Karachi and Hyderabad, and some secondary cities

in North Sindh, is collected by KMC, HMC & NSUSC, respectively. In other secondary cities, the

responsibility of wastewater management rests with local governments / administration.

Whereas, for the solid waste management recently a province wide solid waste management

board has been established with the authority to look after every aspect of solid waste

management.

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Chapter 3 3.1 Methodological Approach This study implemented a questionnaire survey using the “Contingent Valuation Method”

(CVM)10. It aimed at estimating appropriate tariff levels to ensure the sustainability of the

services of water, sanitation and solid waste management in the city of Jacobabad. This study

used the CVM for estimating Willingness to Pay (WTP) of Jacobabad residents for upgrading

municipal services. The results of the study would enable appropriate service pricing options to

be suggested regarding the estimated WTP for water and sanitation services.

In this study, a primary tool to assess WTP was a household survey, however overall a mixed

method approach was used by combining both quantitative and qualitative mode of enquiry. A

brief description of the methods applied during the detailed investigation is given below:

Desk Review Desk review involved a detailed study of documents relevant to the project. In the literature

review project MoU, program brief, presentation, local, national, regional studies and survey

reports related to Willingness to pay for WASH services were referred.

Household Survey

A survey questionnaire was developed and administered at community level. Through the

household survey, WASH practices and capacity and willingness to pay for WASH services were

assessed at community level. The tool had standardized questions with proper coding and data

entry friendly format. The respondent of the survey were the head of the household. However,

in case of non-availability or inability of the head to answer the questions, the second eldest

members were asked to answer the questions. All the relevant data sources were used to gain

the required data.

10 See literature review section for description on CVM

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Focus Group Discussions The Focus Group Discussion (FGD) enables the evaluators to have a closer look at the knowledge,

attitudes, practices and motivations of people. Combined with other tools, FGD can give a

wealth of information about the issue under investigation. It was used to explore the meanings

of survey findings that could not be explained statistically and to gain in-depth understanding

of the findings of the survey. For the study, FGDs having 6-8 participants were conducted for

male and female separately from community members in each of the 8 targeted UCs.

Key Informants Interviews Key informant interviews were taken from different

stakeholders. These interviews were conducted in one

to one setting from program partners, community

representatives, traders, vendors and suppliers, and

government officials at both district and provincial

level. Table 2 presents the respondents of the

interviews carried out during the study.

Market Survey A market survey was conducted at both wholesale and

retail market level in order to identify available WASH materials, products, their purchase price

in the target district and the services for WASH, such as scrap dealer, septic tank cleaner.

Acquired information of the WASH products was compared with standardized WASH product

to discern the current state of product availability. Altogether data from 50 market vendors

including sanitary shops, chemical dealers, and general stores was collected. The detail is

mentioned in market survey section.

Picture and Video Testimonials During the fieldwork, a good quality digital camera was used to take pictures and, wherever

necessary, small video clips were recorded to highlight the different aspects of the situation.

Most relevant pictures are included in the research report, and others would be submitted to

UN-Habitat for any future use.

Table 2: List of key informant interviews’ respondents

Respondents Deputy Commissioner Jacobabad UN-Habitat Jacobabad office Representative of HANDS Jacobabad Chief Municipal Officer Jacobabad city Representative of MSDP Representative of Techno consultant Representative of WaterAid Secretary, Jacobabad Citizen Alliance Managing Director NSUSC Chief economist, GoS Chief PP&H, Gos Secretary Local government, GoS

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Hiring and Training of Survey Teams The team of consultants was primarily responsible for managing and monitoring the household

survey. But in order to collect the data, local experienced field investigators were hired. Total

fourteen (14) personnel with past experience of conducting surveys specifically for WASH were

hired.

It was deliberately planned to hire

local data collectors so that they not

only know the city in general but also

had conducted household survey in

the vicinity. This makes them more

pervious to city environment and culture. Table 3 depicts the number of people employed for

each task.

Two day training was conducted with the field staff to ensure that they carry out their duties in

accordance with the survey plan. The first day of training was focused upon the tools orientation,

data collection protocols and mock exercise by using digital devices in the training hall. While,

on second day teams were divided in group and sent to nearby locality for piloting of the tools.

After the piloting, a detailed session was done with the data collectors to seek their

understanding of questions and its manifestation in data collected.

3.2 Sample The survey was conducted in eight urban

UCs of Jacobabad city. The sampling size

was generated by using standard sampling

formula with 95% confidence level and 5%

margin of error, and 50% response rate11

was considered.

Table 4 presents that with an estimated

population of 274,000 in approximately

39,000 households (estimating 6 persons

per household) survey of 414 households

were conducted.

11 Since there is a scarcity of willingness to pay surveys in Pakistan it is difficult to determine response rate. Hence for maximum sample size general rule of 50% or 0.5 probability was used.

Table 3: Number of personnel hired Task Number of Personnel Household survey 10 Marketing survey 3 Focus Group Discussions 1+core members Key informant interviews core members

Table 4: Sample size calculation District Jacobabad Estimated population 274,000 Number of household (6 person /HH) 39,214 Sample Households 414.

Table 5: Sampled households per Union Council

Union Council Frequency Dastgeer 52 Family Line 52 Jaffarabad 51 Lashari Muhalla 51 Mochi Basti 52 Phool Bagh 52 Shah Gazi Muhalla 52 Soomra Muhalla 52 Total 414

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A systematic random sampling method to approach the households was used, in which every

100th household was interviewed in the designated locality. Table 5 presents the UC wise

distribution of household surveyed.

3.3 Data Collection Data was collected through mobile data collection devices 12. An open source mobile data

collection application “kobo collect” was used to develop digital version of tool and to collect

the data. The survey form was translated in Sindhi language and transferred into digital devices.

Household survey data collection

Total five teams were formed for household survey with each team comprising one male and

one female member. However, every member of the team collected the data with the average

rate of six (6) forms per day. Reason for moving in teams was to ensure that in households

where respondents were female, the female team member collects the data.

Market survey

For the market survey, exact number of shops/outlets with WASH products was unknown.

However, since the products are not general household items and usually available in some

specialized hardware and sanitary shops, it has been assumed that the shops would not be in

large number. The marketing team worked exclusively for the market survey and spent a whole

day to recce the market for potential number of shop and based on their assessment, number

of market survey form were determined. Details are mentioned in marketing survey section.

3.4 Data Consolidation and Analysis Since the household data was collected through digital devices, the data entry phase was not

required. However the data consolidation, data consistency and data cleansing was carried out

to eradicate any discrepancies and missing information / observations. Later, the data was

transformed into SPSS datasets for tabulation and analysis purposes. For qualitative data,

theme matrix were developed to consolidate the data.

12 Data collection devices are standard android based tablets (Dany T220) with the features of standalone GPS, 5MP camera, Dual core, 1 GB Ram, WiFi and GPRS.

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Chapter 4 4.1 Findings & Discussions of the Study:

Findings of the study are organized in eight distinct themes. The first theme presents the

demographic outlook of communities in the targeted areas. The next three themes present the

willingness of communities to pay with respect to water, sanitation and solid waste

management. The fifth theme will focus upon the communication pattern of communities vis-

à-vis WASH messages. The last three themes will focus upon the analysis of market of wash

related products.

Theme 01. Demographic Profile of Communities Before discussing communities’ WASH practices and willingness to pay, a demographic profile

reflecting socio-economic insights about the communities is discussed. Later, when examining

each of the willingness to pay themes these demographics were disaggregated for particular

WASH indicator to discern relationship of willingness to pay with the socio-economic level of

the communities.

1.1.1. Types of Houses

Data suggests that 71% population of the

communities is living in pakka or cemented

houses followed by 28% in semi-pakka houses.

Only 1% lives in thatched or mud based

houses. This shows the semi-urban outlook of

the city with the tendency of people to live in

small sizes bricked houses. The quality of

housing structure in terms of material are

important determinants of poverty and

reflects household consumption expenditure.

Moreover, housing congestion, represented

by households with more than 3 persons per

room (average 3.8 person per room), reflects

the stress of living in small houses. Such trend

is not different from other small cities, since

Table 6: Types of Houses and their size (N=414)

Type of house Count (%age) Kacha/thatched 4 (1.0)

Pakka/cement 294 (71.0)

Semi-pakka 116 (28.0)

Type of House No of rooms Count (%age) Kacha thatched 02 rooms 2 (0.5)

04 rooms 2 (0.5) Pakka cement 01 room 23 (5.6)

02 rooms 108 (26.1) 03 rooms 83 (20) 04 rooms 46 (11.1) more than 4 34 (8.2)

Semi pakka 01 room 14 (3.4) 02 rooms 63 (15.2) 03 rooms 25 (6) 04 rooms 10 (2.4) more than 4 4 (1)

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the data from other urban centers in the same region for e.g. PSLM data for urban centers of

Kashmore and (73%) and Shikarpur (71%)13 shows the same roof structure14.

1.1.2. Availability of electricity Almost 100% of the household had electricity at their home, with 412 (99.5%) mentioned

electricity is available at their household. Those two who mentioned that they don’t have

electricity were due to the fact that their houses was located at the end of the town and had no

electricity provision.

1.1.1. HH members in the family Average household members in Jacobabad

city is 9.4 (S.D =±5.0), with most of the

members being female. The average

household members in Jacobabad city is

relatively higher which is also verified from

the baseline study conducted for the

project. The baseline study depicts 9.8

person per household which is deviated

from current findings with only (.04)

variance.

1.1.2. Average monthly income of HH Average monthly household income of targeted population is ~24,500 rupees only. However,

the standard deviation depicts a wide

13 Pakistan Social Living Measurement Survey 2012-13. 14 Although the PSLM data for urban parts of district shows little less percent but it’s not surprising since the PSLM data covers other small towns within the district instead of main city.

Table 7: Percent of household members according to age and gender

(N=414) Members Count (%)

Boys under 5 35 (0.8) Boys 5 to 17 years 1116 (28.5) Girls Under 5 620 (15.8) Girls 5 to 17 years 1206 (30.8) Male 18 and above 368 (9.4) Female 18 and above 567(14.5) Person with disability 380 (9.7) Total 3912

Table 8: Percentage distribution of income interval

Income interval %age Cumulative 1 to 5000 1.6 1.6 5001 to 10000 15.4 17.0 10001 to 15000 22.3 39.3 15001 to 20000 20.4 59.7 20001 to 25000 12.7 72.4 25001 to 30000 10.9 83.3 30001 to 35000 3.7 87.0 35001 to 40000 4.0 91.0 40001 to 45000 2.1 93.1 45001 to 50000 4.2 97.3 50000 or Above 2.7 100.0 Average income 24500 (SD 34889) Average per capita income 2869

Less than 6001 93%6001-9000 4%

9001-12000 1%

More than 12000 2%

Figure 5: Per capita income interval of sampled population

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variation in data. The cumulative percent depicts that more than 70% of sampled population

have income under Rs. 25001. However since the average size of household is almost 10,

therefore, the per capita income of almost 93% of population is less than 6000 rupees, which is

less than 2$ standard of poverty line. Hence, majority of them are living below poverty line.

Source of income varies in the household as some (37%) have either government or private job, 41% have their own work like small business, petty trade or handicraft sale and 16% are involved in agriculture based labor. Comparing it with baseline data depicts that there are some variations in categories which are comparable. For e.g. pension allowance is mentioned by 1.7% in current study whereas 1.94% was depicted in baseline. The variance between the two is only 0.014.

1.1.3. Overall Expenses of HH Data was collected for the expenses household incurred last month. Though, the data may not

depict the actual expenditure, it may be indicative to

average expenses. The average amount of household

expenses in the last month was PKR.21,250 which

apparently shows that the respondents are generally

saving 17% of their income since average income as

mentioned earlier was PKR.24,500 however, on closer

scrutiny it is revealed that the expenses of around 33%

of the respondents spent more than their earning and

goes in to negative. The large part of respondents’

Table 9: Average monthly expenses of households N=414

Expenditure on Average monthly

Expense (PKR) Food 11,598

Health 2,920

Education 2,146

Utilities 1,725

Conveyance 1,195

Tobacco 1,001

Mobile Phone 722

0

5

10

15

20

25 22.4 21.4

14.612 11.8

7.84.1 2.4 1.7 1.5 0.2 0.2

Source of income (Percent)

Figure 6: Source of income (N=414)

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income is spent for the food purpose, followed by health, education and utilities. On average,

households spend around 1700 rupees on utilities including electricity and gas, which is around

6-7 percent of their income. Some considerable amount around 10-12 percent of their income

is spent on health related expenditures.

1.1.4. Health Most of the households mentioned cough and fever (61%) as a most recurring disease in a past

year followed by malaria (37.4%) and diarrhea (14.5%). Some 8% of the respondents also

mentioned miscellaneous disease

like diabetics, blood pressure, heart

disease etc. It’s important to note

that the responses may be

influenced by respondents’ recent

experiences.

Therefore, high rate of cough/fever may have been the result of the fact that the data was collected in winter; if the same exercise had been done in summer, diarrhea would have been mentioned by more respondents. Comparing with baseline, the comparable figures of different diseases vary. For instance, malaria is mentioned as 37.4% where as in baseline it was 24%. Hence self-reporting incidence of malaria from two studies can be averaged to 30.7. Spending of household on these diseases shows varying pattern. For example, people spent minimum Rs. 100 and maximum Rs. 18000 for the treatment of diarrhea. On Average, spending on diarrhea is around Rs. 1939. More or less similar pattern is visible for other diseases where average spending is between Rs. 2000 to Rs. 3500 with the range of minimum=Rs. 100 and maximum =Rs. 20000.

Table 10: Spending on diseases in last month Disease

Avg. spending last month in Rs.

Min Max

Diarrhea 1939 100 18000 Typhoid 1505 100 21000 Skin disease 3118 100 20000 Malaria 2009 100 18000 Dysentery 3438 50 20000 Eye infection 3106 100 20000 Other 7665 100 100000

Table 11: Comparison of self-reporting disease incidence between baseline and current study

Disease Study Baseline Average Malaria 37.4% 24% 30.7

Diarrhea 14.5 21.7 18.1

Figure 7: Percentage distribution of household members suffer from disease in

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Theme 02. Willingness to pay for Drinking Water Use of water usually characterized for drinking purposes and domestic usage. Considering this,

separate information were sought from the respondents for both drinking and domestic

purposes.

1.1.5. Existing Source of Water for drinking purposes Majority (82%) of respondents mentioned donkey cart vendors as primary source of drinking

water, followed by borehole with hand pump (12%). The use of piped water is negligible in

communities since less than 1%

mentioned it as a primary

source. Comparing with the

baseline, data depicts a little

variation. The baseline data

suggests 71% uses Donkey cart

vendors which is 10% different

from this data. Variation of data

may be attributed to sample size or the timings when data was collected. These findings were

also substantiated with the qualitative data, for e.g. one of the respondents during FGD

mentioned,

“Almost all of the people in our neighborhood purchase water from donkey carts, and

those who do not buy it from these carts, due to one reason or the other, also fetch their

water from same place where these carts fill their jerry cans for sale” (U7-FGD-Male).

Donkey cart vendors are the largest service

provider but 52% of the users who use water

through donkey cart were not satisfied with the

services. Out of the 52% unsatisfied respondents

79% mentioned bad water quality, 18%

expensiveness and 25% mentioned inadequate

quantity as reasons of their dissatisfaction. The cause of using water from donkey cart is out

of necessity as evident from the following quote;

“…We have seen the water tanks from where these donkey carts fill their water cans for

door delivery, we also know that the cans being used to deliver water are actually chemical

containers and not good for our health, but we have no other option” (FGD-Male-UC 1)

Table 12: Main source of water for drinking purpose and level of satisfaction (N=414)

Main source of water for drinking %age

Level of Dissatisfaction in %

Donkey cart vendors 342 (82%) 171 (52.2%) Borehole with hand pump 50 (12%) 10 (20.0%) bottled water from market 5 (1.2%) 0.0% Piped water 0.7% 66.3% Tube well 0.5% 50.0% Filter plant 0.2% 0.0%

Table 13: Reasons of dissatisfaction of donkey cart water users

Reason Percent Water quality not good 79.1 Quantity is not sufficient 25.4 Expensive 18.1 Reliability Timing distance 6.8

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The communities pay 1000 rupees on average per month for drinking water services. For

donkey cart services, minimum amount mentioned was rupees 200 and maximum was

up to rupees 3000 per month. The spending of household on water primarily depends

upon the number of household members and their income level.

Table 14: Average cost of water services use for drinking purposes and its affordability.

Source Mean Minimum Maximum % Affordable

Borehole with hand pump 95 0 900 92 Bottled water from market 1560 800 3000 20 Donkey cart vendors 996 200 3000 24.6 Piped water 150 0 300 -

Only one-fourth of the respondents who uses donkey cart services mentioned it as affordable.

Those who are using borehole in general have found it affordable.

1.1.6. Preferred water source for drinking purpose Respondents were asked about the preferred water source for drinking purpose and what

would be the reason for their preference.

Table 15: Preference of Water source and its reason N=414 Source of water prefer Percent Reason to prefer this water source Percent Piped water at home 297 (71.7%) Quality would be good 55.1% Communal Water filter 72 (17.4%) Price would be less 53.6% Communal piped 37 (8.9%) Available all time 53.1% Water through donkey cart 7 (1.7%) Access would be easier 27.1%

Bottled water .2%

Some (72%) of the respondents mentioned piped water as a preferred water source provided

that the price would be less and quality is good. One female commented on her preference as:

“If piped water supply provided for 24 hours and quality is good then our major issue

will be resolved. (UC-Dastagir-Female)”

However, at the same time they also showed their distrust towards the system since they had

witnessed various water schemes failed in the city in last few decades. One of the respondent

mentioned it in these words:

“I have doubt that these water schemes will be a success, we have 5-6 previous pipelines

already laid in the town, but they are of no use, since water had never come through those

pipes” (FGD-UC Phoolbagh-Male)

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1.1.6.1. Willingness to pay (Preferred Tariff) In order to seek opinion of households towards their willingness to pay for water services,

data was collected by providing them four scenarios.

Scenario One

Where the household have piped connection and they would have given opportunity for

improved pipe water services at household level then how much they would be willing to pay.

It’s important to distinguish here that the households do have water connection (10% have

piped water connection) but it’s not used as primary source for drinking purposes due to bad

quality, e.g. one of the respondent during FGD mentioned:

The quality of line water which was installed during Mian Muhammad Soomro’s

tenure has deteriorated over the period [and now drain water is mixed in pipelines].

We have to pump [out] gutter water from supply line for more than an hour and half

to get rid of contaminated water, and that too is not regular and is supplied after 3 to

4 days. (FGD-M-UC5)

Hence, among those who have piped water connection, 10% were with the opinion that they

are not willing to pay any money for improved water services. 13% were willing to pay

between 25-300 rupees and 21% willing to pay between 400-600 rupees. 36% of respondents

were willing to pay more than 1000 rupees for improved services.

Scenario Two Where the household does not have piped connection and they were given opportunity for

safe and reliable piped drinking water connection then majority of the respondents were

willing to pay for such services. 30% or respondents were willing to pay between 25-300

rupees, 27% willing to pay 400-600 and some 19% were willing to more than 1000 rupees for

such services. 19% of respondents were those who were not willing to pay any amount for

such services.

Table 17: Willingness to pay for safe, reliable, piped drinking water connection N=375 0 25-300 400-600 700-900 1000-1400 1600-2000 2200-3000 For safe reliable piped drinking water connection 21% 26% 28% 5% 12% 3% 4% Cumulative percent 21% 47% 75% 81% 93% 96% 100%

Table 16: Willingness to pay for improved piped water services N=39 0 25-300 400-600 700-900 1000-1400 1600-2000 2200-3000 For improved piped water services 10 % 13% 21% 10% 36% 7% 2% Cumulative percent 10% 23% 44% 54% 90% 98% 100%

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Scenario Three

Where the household does not have piped connection and they would have been given

opportunity for and installation and maintenance of metered piped connection then majority

of them are not willing to pay since 56% of respondents are not willing to pay any money for

such services. 21% are willing to pay between 25-300 rupees followed by 12% (400-600) and

9% for more than 1000 rupees.

Table 18: Willingness to pay for installation and maintenance of metered piped water 0 25-300 400-600 700-900 1000-1400 1600-2000 2200-3000 For Installation and maintenance of Metered piped water 56% 21% 12% 2% 5% 1% 3% Cumulative percent 56% 77% 89% 91% 96% 97% 100%

Scenario 4

Where household would have been given opportunity for communal water filter plant then

majority of them are not willing to pay since 67% are not willing to pay any money for such

services. Most to most, 16% of respondents mentioned to pay between 25-300 rupees only.

Table 19: Willingness to pay for installation and maintenance of water filter plant 0 25-300 400-600 700-900 1000-1400 1600-2000 2200-3000 For deployment and maintenance of Communal Water Filter Plant 67% 16% 7% 2% 4% 0% 3%

Cumulative percent 67% 83% 90% 92% 96% 97% 100%

When the respondents were asked if they would pay charges for electricity, in case water

source consumes power, then again 60% are not willing to pay any money. 20% are willing to

pay 100 rupees followed by 12% up to 300 and 8% up to 600 rupees.

Table 20: Willingness to pay for electricity used for water source consumption 0 25-300 400-600 700-900 1000-1400 1600-2000 2200-3000 If water source consumes electricity willingness to pay bill on monthly-basis 60% 32% 8% 0% 0% 0% 0% Cumulative percent 60% 92% 100%

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1.1.7. Existing Water source for domestic purpose: Around 81% of the respondents mentioned that their water source is different for drinking

purposes and domestic purposes. Nevertheless, 85.6% mentioned that for domestic purpose

they use hand pump followed by 11.1% piped water, 3% also mentioned donkey cart as their

primary source for domestic purposes.

Most of the respondents are not satisfied with the water supply services for domestic

purposes as more than 65% expressed their dissatisfaction, mostly reasoned to bad water

quality (87%), and followed by cost (7%).

Table 22: Reason for dissatisfaction (N=334)

Reason Percent Water quality not good 87.60% Expensive 6.80% Quantity is not sufficient 5.20% Reliability time distance 0.40%

1.1.7.1. How much Communities pay for existing Water Sources For domestic purposes most of the respondents do not pay any amount, since in most of the

cases the hand pump is used and once installed there is no recurring cost. For the same reason,

the mean cost for borehole is rupees 76 only, which is used for maintenance purposes.

Table 23: Amount paid for existing water sources for drinking Source Mean Minimum Maximum Affordable %

Borehole with hand pump 76 0 1200 89.5%

Donkey cart vendors 750 0 3000 Data is negligible due to small number of responses.

Other 124 0 1000

Piped water 129 0 400

Table 21: Main source of water for domestic use and level of dissatisfaction

Water source Percent Level of dissatisfaction in % Borehole with hand pump 85.6% 64.7% Donkey cart vendors 3.0% 30.0%

Piped water 10.3% 90.5%

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1.1.8. Willingness to Pay Water for domestic purpose: 75% of the respondents mentioned piped water as a preferred source of water, follows by

filter plant (16%).

The respondents conditioned the preferred sources with the assumption that It will provide

better quality of water (31%), it will be available all the time (28%) and it will be economical.

1.1.8.1. Willingness to pay for domestic purpose (Preferred Tariff) Like drinking water services, responses were sought from households’ willingness to pay for

domestic water use services.

For scenario one, which is, if the household has piped water connection and not satisfied with

water connection then what amount they would be willing to pay for improved reliable, safe,

24 hours supply of water. Majority of them 55% are not willing to pay any money. Only 11%

are willing to pay between 50-300 rupees followed by 14% between 400-600 rupees. 15% are

those who are willing to pay for more than 1000 rupees.

Table 25: Willingness to pay for improving piped water connection 0 50-300 400-600 700-900 1000-1400 1600-2000 2200-3000

If not satisfied with piped water connection WTP to

improve it 55% 11% 14% 5% 12% 1% 2% Cumulative percent 55% 66% 80% 85% 97% 98% 100%

In the second scenario where households do not have piped water connection then what they

would be willing to pay for reliable piped connection, varied responses were observed. 26%

respondents are willing to 50-300 rupees, 28% b/w 400-600 and 16% are willing to pay for

Table 24: Percentage of preferred water source for domestic purpose and their reasons

Preference for sources of water Percent Bottled water 0.3% Communal piped 5.4% Piped water at home 77.5% Water filter plant 15.9% Water through donkey cart 0.9% Reason for preferred water source Percent Because the access would be easier 13.7% Because the price would be less 25.9% Because the quality of water would be better 30.6% Because the water would be available 28.1% Other 1.7%

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more than 1000 rupees. 25% respondents are not willing to pay any money for the piped

water connection.

Table 26: Willingness to pay for improved, reliable, piped connection 0 50-300 400-600 700-900 1000-1400 1600-2000 2200-3000

If do not have piped water WTP for reliable piped connection 24.60% 25.70% 28.30% 5.30% 11.40% 1.90% 2.80% Cumulative percent 25% 50% 79% 84% 95% 97% 100%

In third scenario questions, where if household is not satisfied with existing water source then

what they are willing to pay for metered pipe connection, majority (57%) of them are not

ready to pay any money for such connection. 18% are willing to pay between 50-300 rupees,

13% b/w 400-600 rupees, and only 6% are willing to pay more 1000 or more rupees.

Table 27: Willingness to pay for improving metered pipe 0 50-300 400-600 700-900 1000-1400 1600-2000 2200-3000

If not satisfied with existing water source WTP for Metered pipe 57.00% 18.90% 13.20% 2.40% 4.80% 1.20% 0.024 Cumulative percent 57% 76% 89% 92% 96% 98% 100%

Theme 03. Willingness to pay for Sanitation: This section discusses the sanitation practices of household and their willingness to pay for

sanitation purposes.

1.1.9. Defecation Practices In most of the households, proper latrine in the form of Pit and Flush latrine are available.

Open defecation practices are virtually non-existent. “We construct toilets for cleaning and

everyone has toilet here.” (FGD-UC Mochi Basti. male).

The defecation practices are not different for male and female and both uses same facility

within the household.

Table 28: Defecation place at home Available place for

defecation Combine Male Female

Open defecation 0.5% 1.2 0.8 Latrine at home 99.5% 98.8 99.2

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For defecation practices in the market, male have more choices than females.

Although Communal toilets are mentioned by both male (30%) and female (27%), in most

(49%) of the cases female use toilet after coming back from the market. For male, toilet in

mosques is the most (42%) used choice in the market place.

1.1.10. Willingness to pay for construction of latrine For the sanitation purpose, three scenarios provided to the households was to seek their

willingness to pay for construction of latrine at home and market place.

In Scenario one, where respondents were asked for their willingness to pay for the

improvement of already constructed latrine, again majority (83%) is willing to pay 1000-3000

rupees only.

Table 30: Willingness to pay for improving existing latrine <1000 1000-3000 4000-6000 8000-12000

How much your WTP to improve your existing latrine

0% 82% 11% 7%

Cumulative percent 0% 82% 93% 100%

In second scenario willingness of respondents were asked to contribute for communal toilet

and Hand Washing Facility (HWF). Majority (87%) of respondent are not willing to pay more

than rupees 500 for the communal cause.

Table 31: Willingness to pay for communal toilet and HWF 100-500 600-1000 1500-3000 4000-8000 10000 and above

If you have been asked to contribute for communal toilet and HWF

87% 10% 3% 0% 0%

Cumulative percent 87% 97% 100% 1.1.11. Liquid Waste Management Another component of sanitation is the liquid waste management, that is how the liquid

waste is managed from household to secondary sewerage line and then to primary sewerage

line. The conditions and design of sewerage line is not good, faults like uneven drainage and

Table 29: Defecation place at market Place for defecation Male defecation in markets Female defecation in markets

Communal toilets 30.0% 27.1% Coming back to home 8.0% 48.6% Open defecation 14.7% 6.8% Toilets in mosque 41.5% 3.4% Do not respond 5.7% 14.2%

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construction of drainage line without considering the slope level causes issues of line

blockage, back pressure and overflowing.

The Chief Municipal Officer of the city shared the same issue in these words

“The slope level of the Sewerage system is not proper according to findings of the

survey which we have carried out……it is causing problems of overflowing and

blockage.” (CMO-JCB)

Most (61%) of the households link with open drainage line network for waste water

management, where as in 29% cases covered drainage line connected to municipal sewerage is

used. Only in few (6%) cases septic tank or pit hole is used. Almost 50% of the household

respondents, with open drainage line, are not satisfied with the services, since open drainage is

susceptible to cause disease and difficulty in maintenance. Usually respondents with covered

drainage line are more satisfied 58% than the open drainage line, those who are dissatisfied

with the drainage line is due to difficulty in keeping it clean and maintained. Reflecting on this

one community member also share the responsibility in these words, “Drainage system

is damages but it’s also our fault everyone do not clean its drainage. We pay sweepers

by ourselves to clean lines.” (FGD UC Mochi Basti male)

Table 32: Waste water system and Reasons of dissatisfaction Waste water system % Satisfaction

level Reasons of Dissatisfaction %

open drainage line network 61.8% 52.0% Cause disease 45.8 covered drainage line 29.2% 57.9% Septic tank or Pits filled after some time 16.0 septic tank 4.3% 22.2% Open drainage network block easily 12.6 pit hole 2.4% 0% Difficult to clean 10.3 open in field or street 1.9% 12.5% Difficult to maintain 7.7 Need repair 7.4 Currently most (79%) of the respondents are not paying any money to manage the sewerage

water. Around 14% pay rupees 50-100 for the management of sewerage water. Similarly 70%

of the respondents do not think that they can pay for the connection of latrine to the

sewerage line. Some 21% of the household could pay from 50 to 500 for the connection and

only 10% can pay more than 500 rupees.

Table 33: Amount currently paying to manage sewerage water 0 50-100 200-300 400-500 More than 500 Already paying to manage sewerage water 78.70% 13.70% 5.10% 1.70% 0.70% How much can pay for the connection of latrine with sewerage 69.10% 6.50% 8.90% 5.80% 9.60%

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1.1.12. Willingness to Pay For willingness to pay two scenarios were provided, in scenario 1 if the household already

have drainage line then how much they are willing to pay for the rehabilitation, cleaning and

maintenance. Majority 61% of the respondents are not willing to pay any money for the

rehabilitation and maintenance. Some 15% are willing to pay from 50-100 and 21% are willing

to pay from 200-500 rupees on monthly basis.

Table 34: Willingness to pay for rehabilitation of existing drainage line network 0 50-100 200-300 400-500 More than 500

If have existing drainage line network WTP to rehabilitate 61.8% 14.5% 14.0% 6.8% 2.9% Cumulative percent 61.8% 76.3% 90.3% 97.1% 100%

In scenario two, if the households don’t have drainage line network how much they are willing

to pay for improved drainage line and maintenance, again majority 65% are not willing to pay

any money. 16% are willing to pay between 50-100 and 16% between 200-500 rupees only.

Table 35: Willingness to pay for improved drainage line and maintenance 0 50-100 200-300 400-500 More than 500

If do not have existing drainage line network WTP for improved drainage line and maintenance 64.7% 15.7% 10.6% 5.3% 3.4% Cumulative percent 65% 80% 91% 96% 100%

Theme 04. Willingness to pay for Solid Waste Management: Solid waste management practices of households are mostly on self-help basis, since majority

(95%) of the households dispose their solid waste by themselves either near to the house or

far from the house. Only in very few cases, municipal collection bin are available to dispose

the solid waste.

Those who dispose their solid waste far from house seem content with current situation, since

65% of them show their satisfaction towards the current arrangement. This indicates the

indifference towards communal cleanliness. It is also visible through the comments of one of

government respondent,

“We have installed buckets at different places, but still you will notice that the trash is

thrown outside the buckets, the citizens have to respond to the installations. NGOs can

make people aware of this matter”. (JCB- CMO)

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Those who throw their waste close to house show

more discontent with the arrangement as 66% of

them are not satisfied. Satisfaction towards the

municipal services is negligible. Main reasons of

dissatisfaction are improper service (54%), lack of

cleanliness (21%) and improper disposal of waste

(20%). Some comments from community are;

“We have no proper places or Garbage Bins to dump solid waste”. (FGD-UC-Phoolbagh-Male)

“There is lot of smell because of Solid Waste everywhere and animals’ dead bodies and

people become sick. (FGD-UC-Shah ghazi mahallah-Female)

Most (72%) of the respondents do not pay anything to clean their neighborhood. Only few

(10%) pay 50 rupees and 7% pay 100 rupees, usually when the streets are cluttered then

people use to call sweeper and pay them for

cleaning. None of the respondents mentioned

monthly payment for such services. This

practice is well aligned with their dump practices as most of them do it by themselves.

Another source of garbage collection is the scrap dealer15. 96% of the household mentioned

that they do utilize the services of scrap dealer.

15 The local term use for scrap dealer is ‘Kabari wala’

Table 36: Solid waste practice and level of dissatisfaction along with reasons for dissatisfaction

Solid waste

practice Level of

Dissatisfaction Reasons for

dissatisfaction Percent Far from house 48.7% 35.1% Improper service 53.9% Close to house 46.7% 66.2% No cleanliness in streets 21.2% Municipal collection bin 2.3% 94.8% Improper disposal 20.2% Burn solid waste 1.2% 100.0% Distance to dumping point 2.1% Municipal collectors from home 1.2% 89.9% No frequency of collection 1.8% Private collectors from home 0.0% Expensiveness .5%

Table 37: Amount currently paying for cleaning neighborhood

Already paying per month to clean neighbor Percent

0 71.5% 50 9.4%

100 7.0% 200 7.7%

More than 200 4.3%

Table 38: Scrap to garbage collectors No Yes

Scrap to Garbage collector 4.3% 95.7%

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Most often the households earn rupees 50 (34%) to

rupees 100 (30%) from the garbage disposal to scrap

dealer. Some 17% also mentioned that they don’t earn

from scrap dealer only dispose their garbage to the scrap

dealer. Garbage and Waste from Market, Hospitals or

Hotels are also treated in a same manner, the secretary

of Jacobabad citizen Alliance commented on this issue in these words;

“In market people throw their waste in open plot or open area, sometimes municipal

committee collect waste from there. Scrap dealers also purchase waste from

markets…similarly Hospital waste is treated like normal waste, they put waste in the

garbage bins and municipal committee collects and throws along with normal waste.

There is no proper disposal mechanism for hospital waste. Scrap dealers also purchase

waste directly from hospitals. (Sec-JCA)

1.1.13. Willingness to pay: Two scenarios were given to households to show their willingness to pay towards solid waste

disposal. In the first scenario willingness to pay per month to improve cleaning of

neighborhood was asked. 61% of the households were not willing to pay any money for the

cleanliness of their neighborhood. Few (23%) mentioned up to 100 rupees and some (11%) up

to 200 rupees.

Table 40: Willingness to pay for improving cleaning of neighborhood 0 50 100 200 More than 200

Willingness to pay per month to improve cleaning of your neighborhood 61% 9% 14% 11% 5% Cumulative percent 61% 70% 84% 95% 100%

In scenario two, where willingness to pay per month was sought to have garbage bin near to

home and removed garbage once a week, 50% of respondent are not willing to pay any

money. Some 24% are willing to pay up to 100 rupees and few (11%) up to 200 rupees.

Table 41: Willingness to pay to have garbage bins near home 0 50 100 200 More than 200

Willingness to pay per month to have garbage bin near to home and removed garbage once a week 51% 15% 14% 11% 11% Cumulative percent 51% 66% 80% 91% 100%

Table 39: Amount of earning through sale of scrap garbage

Earn every month for sale of scrap garbage Percent

0 17.2% 50 34.3% 100.00 29.3% 200 12.9% More than 200 6.4%

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Theme 05. Communication:

Preferences were sought from the respondents about the effective means for disseminating

information and communicating messages for safe and appropriate WASH practices. The use

of television ads, cable TV were rated highly effective means for the dissemination of

information. Pamphlets, banners, personal selling and radio ads all were rated low or poor

medium of communication by the respondents. SMS messaging had been rated equally for

highly effective (44%) medium and poor medium (47%) of communication. Those who can

read may have rated it more effective than those who can’t read the messages.

Table 42: Effectiveness of various mediums of communication for disseminating information

Effective for disseminating info Exceptional High Low Moderate Poor

Television ads 7.00% 51.70%16 7.20% 14.30% 19.80%

Radio ads 4.10% 8.50% 34.30% 14.00% 39.10%

Pamphlets 1.00% 10.60% 25.60% 14.00% 48.80%

Bannering 1.00% 12.80% 27.80% 12.10% 46.40%

Personal selling 4.10% 7.50% 30.40% 8.00% 50.00%

Cable 8.00% 59.90% 7.00% 7.70% 17.40%

SMS messages 8.00% 35.50% 14.00% 9.70% 32.90%

Theme 06. Sanitation & Hygiene Products:

Almost all of the households purchase sanitation and hygiene products from the shops in the

city, and usually they buy the products out of necessity (84%). Price and quality factors are

relatively low influence in buying products.

16 Figures in Red shows comparative higher percentages in the table.

Table 43: Location and factors influencing purchase of sanitation & hygiene products

Location Percent Factors influencing

purchasing Percent

From shop in the city 99.0% Price 9.2% From shop out of city 1.0% Quality 16.4%

Need 84.1%

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42% of the respondents feel that the WASH products are costly, few (14%) opined that they

are not available and very few (5%) have reservations on the quality. Usually respondents are

satisfied (47%) with the WASH products.

Theme 07: Findings of Market Survey: Jacobabad city finds a very important place in the surrounding locality which for all sort of

their supplies, depends entirely upon the Markets of the city. The markets are in direct

communication with all the important markets of the country. The consumer goods are

supplied from here on demand, ordered to and from any other market of the country. Smiths,

workshops, hard-ware commodities and every other house-

hold items are available on stores of the city. Thousands of

people come to buy or sale at the markets or the

commercial centers every day.

During the initial recce of the market structure of the city, it

was found that the commercial area of the city which

includes sonarki bazaar, shahi bazaar, bano bazaar, tower

road and sabzi mandi hosts a variety of products ranging

from clothes, electronics, hardware, grocery, etc. The

Quaid-e-Azam road a central road links several markets in the city.

An extensive market survey was carried out to document the available services and products

related to WASH in Jacobabad city. Overall, the market outlook of Jacobabad seem promising,

with almost every related product available in the market. Although local manufacturers are

not available, which is understandable due to non-industrial outlook of Jacobabad city,

however, products from other nearby cities, especially Sukkur are easily transportable to the

city. Overall, 60 different shops and vendors were surveyed ranging from water supplier,

hardware stores, general stores, chemical store, hotel, plastic store etc. Table depicts the type

of shops and vendors visited.

Table 44: Satisfaction with available WASH products Feeling on WASH product Percent Satisfaction level Percent

Costly 40% Yes 46.6% Not available 14% No 38.6% Quality is not good 5% To some extent 14.7%

Table 45: Types of shops in the market

Type Number General stores 18 Hardware stores 14 Donkey carts 6 Jerry can sellers 3 Chemical 2 Plastic 2 Hotel 2 Water cooler 1 Surgical 1 Rickshaw 1 Distributor 1

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Below is the brief description of WASH related products separate for water, sanitation and

hygiene.

1.1.14. Water related Products (Availability & Cost)

Water service, as discussed earlier, is primarily done through donkey carts. There are around

10 donkey cart points across the city from

where water is filled in jerry cans and then

distributed to households. At each point

water is filled by means of pipes attached to

the water tank and the tank is filled by

means of bore pump. The water points are

usually near canal or water stream and bore

pump usually draw water at shallow depth. On visiting some points, it was observed that the

water quality is more likely contaminated both biologically and chemically. However, there is a

need to run a laboratory test for each water point. Estimated number of donkey carts in the

city are 200 couple with few motorized cart by transforming rickshaw or ching chee. For each

trip, donkey carts pay 30 to 40 rupees to fill all the jerry cans which they, in turn, sell for 15-20

rupees per jerry can. Each donkey cart usually has 10-12 jerry cans. Hence, in one trip donkey

cart vendors earn around 100 to 120 rupees. Each day 3-4 trips are done by one donkey cart.

Apart from donkey cart, water is also transported through water tank, however, there are only

2-3 water tanks and they usually supply water to ice factory. Another source of water is

bottled water, sold through general stores and cold drink shops. Bottled water is widely used

in hotel and restaurants. Different brands of bottles are available in market like well-known

Aquafina, Nestle, and some local brands are also available.

For donkey carts, jerry can are also available in the local market. Usually shopkeepers buy

used jerry cans from Karachi, Sukkur market for the price of 250 rupees per piece and sell it to

rupees 275 to 300 rupees. For household use, water coolers of different sizes are also

available in the market.

The city market also provides range of tools that could be used for piping of water supply,

hand pumps, and large storage tanks.

Table 46: Market summary of donkey cart water supplier

Donkey cart points 10 Estimated number of donkey carts 200 Cost bear by donkey cart per trip Rs.30-40 Average number of Cans per cart 10-12 Cost of selling water per jerry can Rs.13-20 Volume of water per jerry can 30 Ltrs

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1.1.15. Sanitation Related products (Availability & Cost) Jacobabad city hosts some good number of hardware stores and sanitary stores. Some 14

hardware stores were visited and data was collected for the time of material available in

market and their prices.

The hardware stores have all necessary equipment and

products used for water and sanitation purposes. List

of the products is extensive (See annexure for list and

prices) but some notable products available in market

are Valves, Handle, Fiber, Water Closet, P-Trap, PVC

pipe, Pre-cast pipe, Grave, Sand, Cement, Machine tap,

Handle, Solution, Teflon tape, plumbing tape, Water

motors etc. Hence availability of equipment and tools

is not an issue in the city. During the survey, a couple

of Masons were also contacted and asked about the cost of the latrine in the city. An

indicative budget of latrine in the city is as shown in Table 48.

1.1.16. Hygiene Related products (Availability & Cost) The hygiene related products are also available in various qualities and brands. For example,

in soap category, a variety of soap is available ranging from Safeguard, Lifebuoy, Lux, Dove,

Medicam, Diva, Faiza, etc. etc. Similarly, other stuff like nail cutter, Dettol, laundry soap,

detergent, are all available in general stores of the city. For the women sanitation products

like Trust, Butterfly, Veet cream etc. are also available easily. Prices of the products are not

different than other parts of the province/country since the standard prices mentioned in the

product tags were demanded by the shopkeepers. The most selling items are soap and

toothpaste.

Theme 08. Supply Chain Management: Shopkeepers and Vendors were also asked about the supply chain of the products they sell.

For water supply, different brands of bottled water are available in the market. The availability

of Nestle, Aquafina, Kinley and some local brands are available in general stores. These major

brands have their own distributors assigned in the city, and distribute bottles to the general

stores, hotels and restaurants. Some local brands available in the market are of Sukkur origin

and mostly come through truck bilty or small Suzuki.

17 The market survey reveals that the cost of latrine construction varies from Rs. 36000 to Rs. 47000.

Table 47: Indicative budget of construction of Latrine

Sand 3500 Iron bar 15000 Gravel 2500 Cement 6000 W/C 1000 P-Trap 300 Pipe 1200 Roof 500 Door 3000 Teeter 2500 Misc. fitting 1500 Labor charges 10000 Total: 4700017

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The prices of the bottles are retail prices and are as same as any other city.

The Hardware products are in abundance and usually found in hardware and sanitary shops

located in central shahi bazar. Most of the shops outlook is like a wholesale shop and many of

them have direct link with the producers in Gujranwala, Hyderabad and Karachi. Mostly

electric motors are from Punjab origin where as other hardware and sanitary items are

brought from Hyderabad and Karachi. Usually the bilty system is used for the transportation of

these goods. Since the goods are generally available and shops are also available quite in

number, therefore the prices are pretty stable and competitive as any other city.

Like water, distributors for general hygiene items of good brands are available in the city.

Brands like Lux, Colgate, Tibet, Reckitt and Coleman have their distributors, and prices are set

as retail price by the companies. Some imported soaps smuggled through Iran are also

available and brought in the city from Sukkur city. Since Sukkur is in proximity to Quetta via

Kashmore, Loralai route, therefore, such products are usually come via Sukkur. However,

some items are also sent through whole sellers in Sukkur and Hyderabad.

The service of kabariwala is organized by means of three tiers. In the first tier the kabariwalas

wander street to street and buy garbage from households. These kabariwalas then sell their

garbage to garbage vendors (second tier), these vendors have a dumping place where they

put the garbage they bought from kabariwalas, these garbage vendors then sort out the

garbage and sell it in bulk to even larger vendors (third tier) in larger cities like Sukkur and

Hyderabad who, in turn, sell out the garbage to factories and other processing unit for

recycling or reuse purpose.

The services of cleaning septic tank is usually done by local sweepers or janitors. These

janitors who usually work for the local municipality also clean septic tank or open sewerage of

households. They are usually on call and whoever wants to hire their services calls them and

pays them one time amount (ranges from 200 rupees to 500 rupees) for cleaning septic tank.

Usually the garbage or waste they clear from the septic tank is dumped into secondary

sewerage line.

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Chapter 5 5.1 Conclusion The Jacobabad city has witnessed series of failed municipal service projects, resulting in

communities moving towards the alternate sources. The water is one commodity which is

necessary for the survival of human life, and people would be ready to pay anything if it is

scarce. The case of Jacobabad shows that the people are obtaining low quality water in a

much higher cost just out of necessity and compulsion. Would they have a better choice, they

would not hesitate to avail it. This attitude is evident from their willingness to pay for the

water services. If the clean and safe water is reliably provided to the communities, then they

would definitely avail the service. Price would have a lesser issue in case of water supply, since

they are already paying high cost.

People living in Jacobabad belong to lower and lower middle class and they do not have luxury

to buy products or services which are not essential. They drink contaminated water, live in a

filthy environment but have less consideration to get safe water or clean their surrounding

and home. In fact most of their earning consumed in basic necessities of life for e.g. food,

health, utilities and education. The people are so occupied in fulfilling basic necessities, like

food and shelter, that they do not prioritize the issue of cleanliness or safe and secure water

facility in their life. A vegetable monger during FGD shared,

“I sell vegetable all day, and then get enough money to fulfill the basic necessities of

life, then how can I think about other things like the construction of our own latrines or

cleaning the street”. (FGD-10-M)

The issue of solid waste is another area, where practice of dumping the waste out in open

space is a common sighting; even if a proper dumping sight is available, people tend to dump

their waste in a careless fashion. This attitude depicts that they would always look towards

some external agent like the government or the development organizations to carry out such

services. Sense of community led or community owned sanitation services is still lacking in

these communities, which indicates the need of comprehensive behavior change strategies for

them. Literature suggests that both internal and external barriers shapes up the attitude and

behaviors of the community. Socio-economic conditions, lack of economic activity, scarcity of

water sources, indifferent attitude of government, are some of the external factors. Similarly,

lack of responsibility, the inter-generational practices, lack of education, indifferent behavior

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towards the communal betterment and attitude of being suffered than to remove suffering

are also impeding factors towards the good WASH practices.

Anything for which the communities have to bear some cost will not be desirable to them.

This attitude can only be changed if the messages would focus more on the affordable

practices and demonstrates the effects of good practices. The concept of short term loss and

long term gain is essential to make them realize that in a long run the economic benefits are

greater, like reduction in expenditure on disease and healthier life.

Data suggests that the use of television would be more effective and suitable channel to

disseminate the knowledge and creating positive attitude towards WASH services. But it

requires some significant planning and variety of ways to utilize the electronic media. For

example, locally developed documentaries showing the state of WASH services and their

effect on city life, dramas on WASH themes, talk shows with local leaders and notables, and

news by journalist air through local cable channel could be an effective way to change

people’s attitude towards the WASH practices. Secondly, the use of mobile SMS services could

be useful in disseminating information, provided that they are in Sindhi language and provide

variety of services like information for WASH products, Health and sanitation messages,

problem solving services, complain filing and follow-up of complain etc. With the increasing

usage of smart phone the mobile application for WASH services and complaining mechanism

could be develop to increase the ownership and participation of local population. Table below

provides the conclusion in Tabular form.

Description Conclusion

Socio- Economic status of communities

Most of the population belongs to lower income group with less than 2$ per capita income.

The average household size is 9.4 Source of income varies from government job to business to petty trade etc. Communities suffer from various disease like Cough/fever, Diarrhea,

Malaria, Hepatitis etc. On average people spend 2,500 to 3,000 for health purpose

Water for Drinking purpose

82% of people uses donkey cart water for drinking purpose 52% of people are dissatisfied with water from donkey cart purpose Communities pays 1000 rupees on average per month for drinking water

services. Three-fourth of the respondents cannot afford, but paying out of necessity. 72% of respondents would prefer piped water as a primary source for

drinking water provided that price is less and quality is good Average amount that people are willing to pay for safe, reliable piped

drinking water connection is rupees 500.

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Description Conclusion

Water for Domestic purpose

81% of people have different source of water for domestic purpose than the drinking water.

86% uses borehole with hand pump for domestic purpose. 10% uses piped water connection for domestic purpose 65% of people are dissatisfied with water from borehole, whereas 91% are

dissatisfied with existing piped water Communities pays 250 rupees on average per month for domestic purposes 90% of the respondents mentioned that water for domestic use is

affordable. 75% of respondents would prefer piped water as a primary source for

domestic use provided that quality is good and access is easier Average amount that people are willing to pay for reliable piped water

connection is rupees 500. Sanitation 99.5% of household have latrine at home

Use of communal toilet during outdoor activities are very low Communities are willing to spend an average amount of rupees 1000-3000

for the improvement of constructed latrine 87% of respondent are willing to pay 100-500 rupees for the communal

cause Liquid Water Management

Drainage lines in Jacobabad have design issues like uneven slope causes , blockage, backpressure and overflowing

61% of household link with open drainage line network 50% of respondents are not satisfied with existing drainage line 79% or respondents are not paying any money to manage the sewerage

water 14% pay rupees 50-100 for the management of sewer water 61% are not willing to pay any money On average 150-250 rupees can be paid, mentioned by 36% or respondent

Solid Waste Management

95% of respondents dispose of their solid waste by themselves 49% disposes off the waste far from house and 47% disposes off close to

house 66% of those who disposes off waste near the house are not satisfied with

current arrangement 72% are not paying any money for solid waste management 95% of household utilize the services Scrap dealer and on average earn

between 50-100 rupees per month Waste from Market and Hospital has no special arrangement and have same

practices like the household 61% are not willing to pay any money. Those who are willing would pay on

average of 100 rupees Communication Electronic media was mentioned as highly effective means for the

dissemination of information. Pamphlets, banner, personal selling were not rated high by the community

for communication purpose Market The local market is well equipped with sanitation and hygiene products

99% of respondent buy such products from local market

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Description Conclusion

For water purposes around 200 donkey carts supply water to the city from 10 different water points

Cost of per 30 ltrs jerry can water varies from rupees 13-20 The city market act as a hub for adjoining cities and hence, have stock of

hardware and sanitary products Average cost for building latrine is between 35,000 to 40,000 rupees Hygiene related products like soap, sanitation, and other personal care

items different brands of are easily available Supply Chain Water related products are available for different brand in local market

Some recognized brands for water bottle e.g. Nestle, Aquafina are available either through local distributors or through whole sale vendors. Local brands from Sukkur origin are also available

The hardware and sanitation products are in abundance and many wholesale shops exist in local market. These shops have direct link with the manufacturers in Gujranwala, Hyderabad and Karachi

Usually the bilty system is used for the transportation of these goods Service of Scrap dealer have three tiers namely collector from home, local

garbage vendor and bulk garbage vendor.

5.2 Recommendations:

Based on the conclusion following recommendations can be made.

Proposed Tariff Models

The government of Sindh is committed to provide better municipal services to the secondary

cities of the province. Apart from the infrastructure development cost which is one time cost,

the recurring cost of operation and maintenance through tariff setting is always a challenge. If

the operational and maintenance cost is high enough that the people would not able to pay

the bill, the sustainability of the system becomes questionable and the assurance of sustained

services is not guaranteed. Therefore, it is important to set the tariff which would at least

cover the operational and maintenance cost. But since the interest of the vulnerable and poor

section of society cannot be ignored, therefore, a pro-poor model of tariff needs to be the

ultimate aim. Such sentiments are wide spread in the public offices of the Sindh government

where they are not only cognizant of the need of the poor but also concerned about the

sustained delivery of services. Following are some of the considerations that need to be taken

into account for setting the tariff.

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A: Build the trust of community

Firstly there is a need to build the trust of the communities towards the provision of

facilities, and for this purpose demonstration of ability and capacity to deliver regular and

clean water is required. May be at the initial phase, pilot of water services in some areas

is carried out to demonstrate the working of water services in the city. Once the people

observe the continuation of water supply and its quality. Services would be open on scale

B: Phase wise Tariff increment approach

Phase wise tariff imposition approach shall be used, which is also practiced by NSUSC in

Sukkur. In Sukkur, NSUSC is used to get fund from ADB for operational support due to

which NSUSC is able to subsidize tariff and maintain operational and maintenance cost.

However, after 2018 when subsidy ends, NSUSC will need to impose higher tariff. For this

reason they are planning to implement phase wise tariff imposition. In the same line

initial support may be required to meet the Operation and Maintenance (O&M) cost

which will be phased out eventually when the public starts using the utility and bill

recovery mechanism is matured.

C: Water Tariff model

The attitude of the communities is positive and they are willing to pay for the water

connection, data suggests that variable price packages on the basis of usage would not be

desired by them (Scenario 3), since 56% were not willing to pay for metered connection.

However, this non-willingness needs to be taken with the perspective that these

communities are not used to get water through piped connection and the notion of

policing associated with the metered connection may apprehend them without realizing

that the metered connection needs to be seen as a controlling water by the communities

instead of policing by the authorities. The control would give them the choice of water

usage and control on water bill. Nevertheless, since the volumetric tariff required to get a

metered connection which in itself is an expensive solution with the implications of both

one time connection cost and system wide maintenance cost, the tariff based on flat rates

could be the starting point.

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D: Water Tariff Rates

For a piped water connection the tariff rates have been computed by creating a model

that includes the living cost18 of water combined for drinking and domestic and income

level of the household.

Table 48: Average amount willing to pay by communities Income groups Willing to pay Already paying

Mean SD N Mean SD N 1-13000 326.70 293.61 103 407.28 283.14 103 13001-22000 408.57 394.93 140 446.96 382.81 140 22001-30000 476.88 456.25 80 505.63 364.92 80 30001 and above 936.67 861.37 90 663.89 598.69 90 Total 516.46 570.95 413 495.70 425.69 413

Average amount people are willing to pay is approximately ~515 rupees. However for

different income groups (based on quartiles) average willing to pay amount ranges varies

from as low as 326 rupees and as high as rupees 936.

General quadratic equation (See Annexure A for details) shows positive relation between

monthly income and willingness to pay suggesting that a percentage increase in the

monthly income will increase the willingness to pay by .1.5% and a percentage change in

already paying household will increase the willing to pay by 57.1%.

WTP=-43.81+0.0151m_inc+0.571ALPAY-7.19m_inc2-0.000055ALPAY2

Moreover, the analysis of elasticity suggests that monthly income has .35 and already

paying has .32 elasticity. The elasticity is low as the income of most of the household is

below 25000 which confirms our analysis of low elasticity.

Further, the model of piped water connection on the basis of pipe size, as practiced in

Sukkur would be the starting point in Jacobabad city. Having said this, NSUSC also adopts

the strategy of phase wise adoption of metering system, started with the metering at

pumping site and at distribution node level. Later, on the basis of studying area wise

volumetric pattern, consumer level metering would be initiated. The provision of

connection on the basis of plot size would not work in the city, since majority of the city

belongs to low or middle income strata with more or less same house size and structure.

18 The cost already paying for the service

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For the commercial areas like hotels, restaurants, and markets again the tariff rate could

be made simple and can be based on fixed rate volumetric tariff. Since number of the

commercial entities would be far less than the domestic consumers and can be

maintained in limited resources, the volumetric tariff would ensure to control the

exploitation of consumers to use excessive water. The tariff rates should be made fixed

for first three years. Once the usage of piped water increases and people gain more trust

then the rate shall increase gradually. May be at starting the service, company would

need to provide subsidy on the water tariff, since the management cost of the services

may not be achievable from the beginning.

Tariff for Sanitation

Tariff for sanitation should follow the policy directions, as given by PATS and Sindh

sanitation policy. Although data suggests that majority of people are not willing to pay for

the maintenance of sewerage lines. Nevertheless, with successful BCC campaign and

more sensitization, communities are supposed to get the ownership and lead the

sanitation initiative. Therefore, strategy needs to follow the PATS component sharing

model where internal component of sanitation should be the responsibility of the

community, whereas, external component should be agency’s responsibility. Conversely,

the tariff of sanitation shall focus the external component. As far as the tariff model for

drainage and sewerage collection and treatment is concerned, it is more feasible to

embed it with the water tariff because majority of the community members would not be

willing to pay for the services on the outset. However, if it is embedded in water tariff

then they would be involuntary paying it along the water. The cumulative rate of

Willingness to Pay suggests that the amount should not be more than Rs. 100.

Tariff for Solid Waste Management

Tariff for solid waste management shall be demand-driven and community centered.

Although, half of the community is not willing to pay any money, paying 100 rupees should

not be an issue provided that impact of safe and clean environment is realized by them.

Creating public private partnership for solid waste management services shall also be

considered to ensure the consistency in services. Establishment of Solid Waste

Management Board at provincial level is an important initiative of the government, which

would enable to streamline the solid waste management cycle from collection to proper

disposal. However, since the board is initially focusing on big cities, as mentioned by the

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representative of Planning and Development department, “Initially the board is focusing on

three cities Karachi, Larkan and Nawabshah only” (Int-P&D), therefore small cities like

Jacobabad need to devise interim mechanism for SWM.

While the communication tools like TV, Cable and SMS can be used to disseminate

information, the attitude and behaviours can only change when the change agents are from

within the community by means of strengthening, supporting and following up the

community based organisations working for the behaviour change. Further, the practices

can only change when the viable and sustainable option is available to public. Once the

option is available, the communities’ practices would also start to change with the passage

of time.

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References: BIROL, E., KAROUSAKIS, K. & KOUNDOURI, P. 2006. Using economic valuation techniques to inform water resources

management: A survey and critical appraisal of available techniques and an application. Science of the total environment, 365, 105-122.

CHOWDHURY, N. T. 1999. Willingness to pay for water in Dhaka slums: A Contingent Valuation Study. Ahmad et al., IUCN-The World Conservation Union, Association of Green Accounting, Environmental Economics in Bangladesh, 105-116.

GoP, National Sanitation policy, 2006 GoP, Pakistan Approach to Total Sanitation, 2009 GoP, National Drinking policy, 2009 GoS, Draft Sindh Sanitation policy, 2014 GUHA, S. 2007. Valuation of clean water supply by willingness to pay method in a developing nation: a case study in

Calcutta, India. Journal of Young Investigators, 17. GUNATILAKE, H. & TACHIIRI, M. 2012. Willingness to pay and inclusive tariff designs for improved water supply

services in Khulna, Bangladesh. GUNATILAKE, H., YANG, J.-C., PATTANAYAK, S. & CHOE, K. A. 2007. Good practices for estimating reliable

willingness-to-pay values in the water supply and sanitation sector. HAQ, M., MUSTAFA, U. & AHMAD, I. 2007. Household's willingness to pay for safe drinking water: A case study of

Abbottabad district. The Pakistan Development Review, 1137-1153. JONES, K. 2006. Unpackaging demand for water service quality: Evidence from conjoint surveys in Sri Lanka, World

Bank Publications. KHAN, H., IQBAL, F., SAEED, I. & KHAN, I. 2010. Estimating Willingness to pay for improvements in drinking water

quality: Evidence from Peshawar, Northern Pakistan. J. Environ. Econ, 2, 38-43. MITCHELL, R. C. & CARSON, R. T. 1989. Using surveys to value public goods : the contingent valuation method,

Washington, D.C. Baltimore, Resources for the Future ; Distributed worldwide by the Johns Hopkins University Press. MSDP 2015. MSDP Monthly Bulletin, October 2015. MUSTAFA, U., HAQ, M. & AHMAD, I. 2009. Consumer Perceptions, Practices, Willingness to Pay and Analysis of

Existing Laws for Safe Drinking Water of Abbottabad District, Pakistan. Critical Issues in Environmental Taxation, 7, 395-412.

SOCIAL, P. 2013. Living Standards Measurement Survey (PSLM) 2012-13. Government of Pakistan, Federal Bureau of Statistics, Islamabad.

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Annexure A: Computation for Willingness to Pay for water supply The willingness to pay for water supply has been computed by putting two independent variables i.e average household income and amount of money already paying for the water services. For the analysis generalized quadratic regression was computed.

Equation for WTP WTP=-43.81+0.0151m_inc+0.571ALPAY-7.19m_inc2-0.000055ALPAY2 Above table shows general quadratic equation which shows the general trend of willingness to pay in the Jacobabad. The results shows positive relation between m_inc (monthly income) and willingness to pay suggesting that a percentage increase in the m_inc will increase the willingness to pay by .1.5% and if a percentage change in already paying household will increase the willing to pay by 57.1%. While the negative sign of squared variables confirms that the relationship is quadratic as both are also significant at 5% level. Elasticity of Willingness to Pay

In the above table the coefficient of elasticity are calculated for the purpose of analysis which suggest that that lm_inc (monthly income) has .35 while lPAY (already paying) has .32 elasticity. The elasticity is low as the income of most of the household is below 25000 which confirms our analysis of low elasticity.

LWTP=0.610+0.352lm_inc+0.328lALPAY LWTP = log of willingness to pay Lm_inc=Log of monthly income lALAPY=log of already paying

_cons -43.81144 77.13838 -0.57 0.570 -195.4486 107.8257

sq_m_inc -7.19e-08 3.79e-08 -1.90 0.059 -1.46e-07 2.63e-09

sq_Pay_DRI_DOM -.0001064 .0000559 -1.91 0.057 -.0002162 3.36e-06

avg_PAY_DRI_DOM .5717295 .1232217 4.64 0.000 .3295027 .8139563

m_inc .0151519 .004133 3.67 0.000 .0070273 .0232764

avg_WTP_DRI_DOM Coef. Std. Err. t P>|t| [95% Conf. Interval]

Total 134540030 413 325762.785 Root MSE = 505.23

Adj R-squared = 0.2164

Residual 104400974 409 255259.106 R-squared = 0.2240

Model 30139055.7 4 7534763.94 Prob > F = 0.0000

F( 4, 409) = 29.52

Source SS df MS Number of obs = 414

. reg avg_WTP_DRI_DOM m_inc avg_PAY_DRI_DOM sq_Pay_DRI_DOM sq_m_inc

_cons .6106367 .6409901 0.95 0.342 -.6507023 1.871976

lPAY .3287415 .0663097 4.96 0.000 .1982574 .4592256

lm_inc .352926 .0555007 6.36 0.000 .2437118 .4621401

lWTP Coef. Std. Err. t P>|t| [95% Conf. Interval]

Total 175.659406 306 .574050346 Root MSE = .6798

Adj R-squared = 0.1950

Residual 140.486156 304 .462125512 R-squared = 0.2002

Model 35.17325 2 17.586625 Prob > F = 0.0000

F( 2, 304) = 38.06

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