Economic Value of Urban Green Space: A Travel Cost Approach for Viharamahadevi Urban Park, Sri Lanka

Abstract

Urban green spaces could bring cities and their inhabitants with vitality in terms of ecological, social, and economic benefits. Recognising and estimation of economic values of parks is important for their sound management and for justification of the current use over various alternative uses. Non recognition of values of the services of such green spaces may lead to unsound management and degradation resulting in depriving urban communities of those benefits. Viharamahadevi Urban Park is the oldest and largest park in Colombo which offers recreation and green space to the inhabitants and visitors of the city. The purpose of this study is to estimate the recreational value of the Park using Individual Travel Cost Method (ITCM). Visitors of Viharamahadevi Urban Park selected using purposive sampling method were interviewed with a structured questionnaire. Data on visitation frequencies, preferences for park characteristics and socio economic parameters were collected using face-to-face interviews. In order to cater for the data issues of the ITCM, a zero truncated negative binomial regression analysis was performed in estimating the demand function. Results indicate that household income and the enjoyment of the visitors significantly and positively determine the number of visits made by the people. The annual social welfare generated from the recreational value of the Viharamahadevi Park is LKR 55.7 billion. The estimated value will be able to provide significant guidance towards future park management decisions.