A Framework for Ecological Compensation Assessment: A Case Study in the Upper Hun River Basin, Northeast China

With the rapid socio-economic development, human disturbances are believed to have resulted in the degradation of the watershed ecosystem. The ecological damage to and environmental pollution of river basins have caused great losses. It is widely agreed upon that the protection and restoration of river ecosystems should be on the agenda. Ecological compensation, an important tool to prevent the deterioration of water environments and achieve sustainable watershed development, has attracted increasing interest as a research subject. In this study, the upper reach of Hun River basin was selected as a typical study area. The primary purpose was to determine the allocation costs of ecological compensation in different regions for the river basin. The amount of willingness-to-pay (WTP) for the eco-compensation was estimated at 3.2 million dollars by the Contingent Valuation Method (CVM). Based on linear programming techniques, a Data Envelopment Analysis (DEA) created a primary value of the allocation costs. Considering the different weights of each region, a modified coefficient was introduced to correct the primary result on the basis of a questionnaire survey of river ecological protection and construction.