Capturing the 'market' for recreation : estimating entry charges for the Margalla Hills National Park in Pakistan

Abstract

The study reveals that the benefits from the park to consumers or consumer surplus, amounts to a significant Rs. 23 million per year. Based on simulated demand for park services, the study recommends an entrance fee of Rs. 20 per visitor. Implementing such a fee would generate annual revenues to the extent of approximately Rs. 11 million to the Government of Pakistan. This is a sizable sum, since it equals 4 percent of Pakistan’s budget allocated to the environment sector. For natural systems and Government managers perpetually strapped for funds, this valuation exercise provides important lessons that go beyond the MHNP itself.