Assessing preference heterogeneity for nature-based flood control measures: An econometric analysis using a choice experiment

In recent years, green infrastructure has gained attention due to the increasing risk of disasters caused by extreme weather and growing concern for environmental conservation. A key feature of green infrastructure is its multifunctionality. To accurately assess its benefits, it is necessary to evaluate the full range of its functions. This study employed a choice experiment to estimate the value of various aspects of nature-based flood control measures in the Lake Inba basin in Japan. The results, derived using a random parameter logit model, revealed that (1) certain flood countermeasures were highly preferred, (2) respondents' willingness to pay (WTP) for a 1 % reduction in the annual probability of flood damage was 771 JPY, (3) marginal utility diminished as the reduction in flood damages within local communities increased, and (4) environmental benefits of green infrastructure were significant. Additionally, results from the latent class model identified two respondent groups with distinct preferences. The group that was more concerned about flooding was more proactive in supporting countermeasures and had higher WTP for each function that nature-based countermeasures provide than the other group. These indicate that green infrastructure not only provides critical flood control benefits but also offers significant environmental and recreational advantages. • Assessed economic value of nature-based flood control in Lake Inba Basin. • Utilized choice experiments to assess citizen preferences and trade-offs. • Found significant support for wildlife protection and water quality improvement. • Employed advanced econometric methods to analyze preference heterogeneity. • Results inform cost-benefit analysis for effective flood management strategies.