Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff

Water is treated as a public or social good in Malaysia. Malaysians believe that providing good quality water for households’ use is the government’s responsibility. The government has been subsidizing the cost of water for its population since pre-Independence Day. However, the increased cost of pr...

Full description

Bibliographic Details
Main Authors: Abdul Wahid, Nabsiah, Kamalul Ariffin, Shaizatulaqma, Haron, Amran
Format: Article
Language:English
Published: Innovare Academics Sciences PVT. LTD 2020
Subjects:
Online Access:http://eprints.uthm.edu.my/6559/
http://eprints.uthm.edu.my/6559/1/AJ%202020%20%28356%29.pdf
_version_ 1848888844261261312
author Abdul Wahid, Nabsiah
Kamalul Ariffin, Shaizatulaqma
Haron, Amran
author_facet Abdul Wahid, Nabsiah
Kamalul Ariffin, Shaizatulaqma
Haron, Amran
author_sort Abdul Wahid, Nabsiah
building UTHM Institutional Repository
collection Online Access
description Water is treated as a public or social good in Malaysia. Malaysians believe that providing good quality water for households’ use is the government’s responsibility. The government has been subsidizing the cost of water for its population since pre-Independence Day. However, the increased cost of providing good quality water to the public meant that the current water tariff charged needs to be re-evaluated. This study investigates the role played by various factors, namely, perceived conditional value, perceived environmental value, social norm, perceived risk and perceived cost on Malaysian consumers’ willingness to pay for water provided to households. The target of the study was paid water consumers in Malaysia. The results of online survey participated by 867 willing paid water consumers analysed by Partial Least Square-Structural Equation Modelling (PLS-SEM) show that only perceived conditional value, perceived environmental values, and perceived risk were significantly related to Malaysian consumers’ willingness to pay (WTP) for proposed higher water tariff while social norm and perceived cost show insignificant influences on consumers’ WTP. Overall, conditional value shows the strongest effect towards consumers’ WTP. The study’s findings have provided insights for the government and water providers on how Malaysian household water consumers behave on the issue of implementing higher water tariff. It is now known that Malaysian consumers’ perceived values, in particular, conditional value as well as risks they perceived to be existent are significant in influencing their WTP behaviour on proposed higher water tariff. These findings suggest that any future plan to increase current water tariff may not be accepted by the public unless their perceived values and risk on the issue are considered and inserted in any of the water education campaigns by the government and water providers.
first_indexed 2025-11-15T20:16:44Z
format Article
id uthm-6559
institution Universiti Tun Hussein Onn Malaysia
institution_category Local University
language English
last_indexed 2025-11-15T20:16:44Z
publishDate 2020
publisher Innovare Academics Sciences PVT. LTD
recordtype eprints
repository_type Digital Repository
spelling uthm-65592022-03-01T03:58:56Z http://eprints.uthm.edu.my/6559/ Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff Abdul Wahid, Nabsiah Kamalul Ariffin, Shaizatulaqma Haron, Amran HC79 Special topics. Including air pollution, automation, consumer demand, famines, flow of funds, etc. Water is treated as a public or social good in Malaysia. Malaysians believe that providing good quality water for households’ use is the government’s responsibility. The government has been subsidizing the cost of water for its population since pre-Independence Day. However, the increased cost of providing good quality water to the public meant that the current water tariff charged needs to be re-evaluated. This study investigates the role played by various factors, namely, perceived conditional value, perceived environmental value, social norm, perceived risk and perceived cost on Malaysian consumers’ willingness to pay for water provided to households. The target of the study was paid water consumers in Malaysia. The results of online survey participated by 867 willing paid water consumers analysed by Partial Least Square-Structural Equation Modelling (PLS-SEM) show that only perceived conditional value, perceived environmental values, and perceived risk were significantly related to Malaysian consumers’ willingness to pay (WTP) for proposed higher water tariff while social norm and perceived cost show insignificant influences on consumers’ WTP. Overall, conditional value shows the strongest effect towards consumers’ WTP. The study’s findings have provided insights for the government and water providers on how Malaysian household water consumers behave on the issue of implementing higher water tariff. It is now known that Malaysian consumers’ perceived values, in particular, conditional value as well as risks they perceived to be existent are significant in influencing their WTP behaviour on proposed higher water tariff. These findings suggest that any future plan to increase current water tariff may not be accepted by the public unless their perceived values and risk on the issue are considered and inserted in any of the water education campaigns by the government and water providers. Innovare Academics Sciences PVT. LTD 2020 Article PeerReviewed text en http://eprints.uthm.edu.my/6559/1/AJ%202020%20%28356%29.pdf Abdul Wahid, Nabsiah and Kamalul Ariffin, Shaizatulaqma and Haron, Amran (2020) Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff. Journal of Critical Reviews, 7 (8). pp. 1148-1153. ISSN 2394-5125 http://dx.doi.org/10.31838/jcr.07.08.240
spellingShingle HC79 Special topics. Including air pollution, automation, consumer demand, famines, flow of funds, etc.
Abdul Wahid, Nabsiah
Kamalul Ariffin, Shaizatulaqma
Haron, Amran
Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title_full Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title_fullStr Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title_full_unstemmed Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title_short Influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
title_sort influences of conditional, environmental and social values, risk and cost on consumers’ willingness to pay for water tariff
topic HC79 Special topics. Including air pollution, automation, consumer demand, famines, flow of funds, etc.
url http://eprints.uthm.edu.my/6559/
http://eprints.uthm.edu.my/6559/
http://eprints.uthm.edu.my/6559/1/AJ%202020%20%28356%29.pdf