Assessing the Monetary Valuation of Ecosystem Services in Ulu Bendul Forest Park

Abstract

Ulu Bendul Forest Park, a vital biological asset in Malaysia, provides several ecological services that sustain biodiversity, enhance livelihoods, elevate human well-being, and foster eco-tourism. Consequently, their conservation and protection are considered fundamental goals of developmental activities. Forest parks offering diverse activities and services are significant, given the increasing demand for nature-based attractions. Nevertheless, these services are either devalued or devoid of monetary value due to the lack of an economic valuation framework. Multiple studies have emphasised its roles, including climate regulation, pollutant degradation, erosion management, and air purification. Nonetheless, due to inadequate emphasis on the forest park's inherent characteristics, it is occasionally recognised solely as a recreational area rather than as an ecosystem provided by the forest park. This study used the contingent valuation method (CVM) in conjunction with a willingness-to-pay survey administered to 300 visitors. The inquiry utilises economic modelling techniques, specifically the Binary Logit model and the Binomial Probit model, to assess the data and estimate the park's ecosystem services. The results demonstrate that the mean and median willingness to pay among respondents in the Langat catchment area is RM24.71 and RM23.30, respectively, for the binomial probit model, whereas the mean and median willingness to pay is RM22.25 and RM21.17, respectively, for the binary logit model. The Binomial Probit Model and Binary Logit Model analysed multiple variables to estimate visitors' willingness to pay (WTP) for the conservation of the ecosystem at Ulu Bendul Eco Forest Park, including ecosystem services, age, gender, occupation, income, and residential location. The study revealed that ecosystem services in Ulu Bendul, along with gender, occupation, and income, significantly affect willingness to pay (WTP), indicating a greater propensity to financially support eco forest park conservation. The comparable values across the two econometric models indicate strong consistency in the results, with the logit model marginally overestimating WTP relative to the probit model. The research findings aid policymakers in harmonising land use planning and resource allocation, thereby guaranteeing the park's biological services benefit both current and future generations. This research provides a foundation for future studies and initiatives aimed at valuing and protecting the ecosystem services of eco-forest parks.