This paper evaluated the factors determining the households WTP for improved solid waste management services in Logia town. In this study 201 respondents are included to analyses the household’s willingness to pay for improved solid waste management services in the logia town using the Contingent Valuation Method (CVM) techniques. The Sampling technique respondents were selected by lottery method (simple random methods) because of the population homogeneity. Both primary and secondary sources of information were collected and the study was applied a binary logit model. Out of 201 respondents, about 65.17% are willing to pay for improved SWM services with an average maximum willingness to pay is 13 Birr per month this shows households have an interest to contribute to environmental protection. The result shows that respondents age, distance between resident area and waste disposal facility, unpaid options (all with negative), sanitary supervisor visit, dwelling type and attitude (awareness) (all with positive) have significant effects on the willingness to pay for improved solid waste management services. In conclusion, the majority of the households are willing to pay for improved solid waste management services, which implies that any policy effective for improved solid waste management services in the study area is needed.
Keywords: Contingent Valuation Method, Solid Waste, Willingness to pay, afar region, binary logit model
