Factors influencing economic benefit of rainwater harvesting: an empirical analysis

Abstract

This study examines key factors influencing the economic benefit of rainwater harvesting on the household at the Mongla Upazila in the Bagerhat district of coastal Bangladesh. The household survey questionnaire was used to collect primary data from 1040 households. The Ordinary Least Square (OLS) regression analysis was applied to understand the relationship between economic benefit and factors that can affect economic benefit in the household. The empirical result shows that income (1.103**), storage capacity (0.574***), water price (32708.9***), age of rainwater harvesting (100.083***), and total cost (1.627***) positively impact economic benefit while the number of children (35.531**) has a negative relationship. The finding confirms the validity of statistical hypotheses. In addition, heterogeneity analysis was employed to test the model's strength and robustness check to validate the structural function and efficiency of the regression model. The finding concludes with policy recommendations, especially for rain-intensive countries that focus on (i) formulating and implementing rainwater harvesting policy; (ii) integrating rainwater harvesting as a tool for poverty reduction and achieving sustainable development goals; (iii) minimizing mismanagement of (rain) water that causes floods; (iv) initiate programme and take necessary steps for providing financial and non-financial incentive for rainwater harvesting in commercial, and non-commercial building.