Added Title
DLSU-AKI Working Paper Series 2026-07-105
Document Type
Working Paper
Publication Date
7-2026
Abstract
The study examines household water demand in Metro Manila and evaluates how demand behavior and infrastructure access shape the transition from a linear to a circular water and wastewater economy. Estimated prices, ranging from -0.441 to 0.468, and income elasticities, which are between 0.550 and 0.572, for those with and without access to both water and sewerage systems reveal consistently inelastic demand. Thus, water is treated as a necessity with limited behavioral responsiveness to tariff changes. The similarity of elasticities across service groups suggests that behavioral factors are not the primary constraint to circularity. Instead, the findings highlight that infrastructure access, particularly the absence of sewerage connections for the majority of consumers, is a structural barrier. Without wastewater collection and treatment, these households remain excluded from reuse pathways, resource-recovery systems, and reclaimed-water distribution. Findings align with the literature, which indicates that circular water transitions depend on the presence of integrated collection, treatment, and reuse infrastructure rather than on household willingness alone. Further, the low sewerage coverage in developing cities, such as Metro Manila, entrenches linear “use-and-dispose” patterns and prevents utilities from generating water at scale. Overall, the results underscore the need to achieve a circular water economy prioritizing infrastructure expansion and inclusivity to enable all households to participate in and benefit from circular resource flows.
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Recommended Citation
Lamberte, A. E., Alaswad, A., & Batista, L. C. (2026). Household Water Use for Circular Transitions: Elasticity estimates and Circular Economy Signals from Metro Manila. Retrieved from https://animorepository.dlsu.edu.ph/res_aki/245
Keywords
Water demand, wastewater infrastructure, Circular Economy, Linear Economy, elasticities, Family Income and Expenditure Survey, Labor Force Survey, Philippines
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