Value of an Island
Attributes
Medium: Land
Country: Philippines
Analytical Framework(s): Benefit Valuation, Travel Cost
Study Date: 2009
Publication Date: 2014
Major Result(s)
| Resource/Environmental Good | PHP, million currency units (2009) |
PHP, million currency units (2014)1 |
USD, million currency units (2014)2 |
|---|---|---|---|
| net economic benefit from local tourist visitors | 16.05 | 19.32 | 0.43 |
| net economic benefit from foreign tourist visitors | 3,660.00 | 4,404.88 | 98.49 |
| total estimated annual recreational value of Apo Island | 3,940.00 | 4,741.87 | 106.02 |
About the Inflation Adjustment: Prices in Philippines (PHP) changed by 20.35% from 2009 to 2014 (aggregated from annual CPI data), so the study values were multiplied by 1.20 to express them in 2014 prices. The study values could be expressed in any desired year (for example, to 2025) by following the same inflation calculation and being sensitive to directional (forward/backward) aggregations using your own CPI/inflation data.
Study Note: The author stressed that in this study, only the non-market use value was estimated. This was done by determining the consumer surplus derived by both local and foreign visitors from visiting Apo Island for its recreational services.
Study Details
Summary: This study determined Apo Island's total value in order to guide the island's management in its decision-making and help the local community and its local executives better appreciate the importance of the MPA. The results suggest that foreign visitors receive greater economic benefit from visiting Apo Island than local visitors. This means that the willingness-to-pay (WTP) of a foreign visitor was higher than the WTP of a Filipino tourist. The results also show that the WTP of the visitors (both local and foreign) was higher than the actual amount they paid in going to Apo Island.
Site Characteristics: Apo Island is a 74-hectare small volcanic island located about 25 km off the southeastern coast of Negros Island, 7 km east of Barangay Malatapay, Zamboangita, and west of Siquijor Island. It is under the political jurisdiction of the municipality of Dauin, Negros Oriental. Endowed with a wide fringing coral reef, the island serves not only as the breeding ground, nursery, and home to a variety of marine life but also as protection from strong currents and storm surges.
Comments: This paper attempted to determine the recreational value of Apo Island by estimating the consumer surplus (or WTP) of its local and foreign visitors for its recreational services. The paper also evaluated the socioeconomic and demographic factors that affect tourists' decision to visit Apo Island; assessed the attitude of local and foreign visitors towards the conservation and management of a marine resource; determined specific recreational services mainly availed of by the visitors; and determined their assessment of the island's environmental and social attributes as a marine resource.