Managing Some Motorised Recreational Boating Challenges in South African Estuaries: A Case Study at the Kromme River Estuary

Abstract

Estuaries in South Africa face negative crowding effects with respect to motorised boat use because of competing demand. This paper proposes this be managed through user charges and that the setting of these charges be informed by applying a choice experiment to estimate user preferences for reduced motorised boat congestion on the Kromme River Estuary, Eastern Cape. The application of this method led the paper to deduce that users are willing to pay an additional supplementary charge of R548 per annum during peak periods (only) in order to experience a decrease in negative crowding effects. JEL Classification: Q26

A demand-based management option to address boat congestion at the Sundays River Estuary, Eastern Cape, South Africa

“…Not unlike many other South African estuaries, the Sundays River Estuary is subject to overcrowding as far as recreational boat use is concerned (Cowley et al, 2009;Lee et al, 2015). This type of overcrowding is a recreational demand-side issue, which requires a demand-side analysis in order to achieve optimal use of the resource.…”

“…This type of overcrowding is a recreational demand-side issue, which requires a demand-side analysis in order to achieve optimal use of the resource. Various stakeholders have called for intervention to address this issue through the regulation of access (Grossman et al, 2006;Lee et al, 2015). These regulations may take the form of zoning regulations, spacing standards, or direct and indirect rationing mechanisms (Sowman and Fuggle, 1987;Grossman et al, 2006).…”

“…These regulations may take the form of zoning regulations, spacing standards, or direct and indirect rationing mechanisms (Sowman and Fuggle, 1987;Grossman et al, 2006). Direct rationing entails the application of a quota system whereas indirect rationing entails the implementation of a user fee (Lee et al, 2015). Lee et al (2015) have shown, in the case of the Kromme River Estuary located in the Eastern Cape (EC), that the use of a price rationing mechanism, such as an indirect user fee, could have the potential to address congestion by reducing motorised boat use to an optimal level.…”

“…Direct rationing entails the application of a quota system whereas indirect rationing entails the implementation of a user fee (Lee et al, 2015). Lee et al (2015) have shown, in the case of the Kromme River Estuary located in the Eastern Cape (EC), that the use of a price rationing mechanism, such as an indirect user fee, could have the potential to address congestion by reducing motorised boat use to an optimal level. The user fee (levied over and above what users currently pay) was estimated through the use of a stated preference technique, namely the choice experiment (CE) method (Lee et al, 2015).…”

“…To this end, the paper will employ the same methodology to the one used by Lee et al (2015), namely, a discrete choice model. The latter estimates the economic value that estuary users, such as boaters, attach to selected estuarine attributes, including motorised boat congestion.…”