UNIVERSITY OF IBADAN LIBRARY Jour, of Trap. /■'or. Krsnm ces V'ol. 1 9(2): 2003: 1 - 12 THE USE OFTOBIT MODEL IN EVALUATING PROSPECTIVE PARTICIPATORY FINANCING OF REHABILITATION OF IBADAN URBAN FOREST RESERVES AJEWOLE Opeyemi Isaac Department of Forestry, Wildlife and Fisheries, Faculty of Agricultural Sciences University of Ado-Ekiti, Ado-Ekiti, Nigeria E-mail: openjc>vole@iustice.com, oncaicwole@vahoo.co.iik ABSTRACT This study evaluated the factors that affect public willingness to participate financially in the rehabilitation o f Ibadan urban forest reserves. A one limit Tobit model was used to analyse data obtained ifrom a multi-stage randomly sampled 397 resfdents o f Ibadan metropolis. The results show that 90% of the respondents were willing to contribute funds to the project. Furthermore, the model reveals that a change in the independent variables would lead to a greater change (77%) in the probability of contributing money, relative to change (23%) in the amount of money to be contributed. Willingness to participate financially in rehabilitation of Ibadan urban forest reserves was found to be positively influenced by the variables: being employed,(p < 0.01). having trees in the residence (p < 0.01), and being a past beneficiary o f the forests (p<0.05). 'S he results confirm the need to make the urban forest more directly beneficial to the public in order to harness the funds which the public is willing to contribute to its rehabilitation. INTRODUCTION Ibadan metropolis, comprising five local government areas namely: Ibadan North, Ibadan North-West, Ibadan North-East, Ibadan South-West and Ibadan South-East, used to have four forest reserves viz;. Oke-Aremo, Ogunpa Dam, Eleyele and Alalubosa forest reserves. They were constituted over a forty-year period (1916 to 1956) to provide fuelvvood and building poles for the metropolitan population. They were also to provide watershed protection for Ogunpa dam, Alalubosa Lake and Eleyele dam (Popoola and Ajewole; 2001, 2002). Currently, Alalubosa and Oke-Aremo reserves have been dereserved given way for various infrastructural developments in the metropolis, while Eleyele is a patch of highly degraded forest. Ogunpa dam Forest Reserve suffered similar fate, leaving only a small preserved area; the Agodi gardens which serves as recreation forest cum zoological garden. ; UNIVERSITY OF IBADAN LIBRARY A.IEIVOI.I'.. ( )/>c\vnii Isom Jour. o f Trap. Tor. Resources I'nl. 19(2) 200} 1- 12 The government o f Oyo Slate recently made some efforts to rehabilitate the Agodi gardens in order to resuscitate the recreation functions o f the forest. However, sustained government funding of conservation programmes has often m et with set-backs. The reasons for this include competing demands for government funds and the little immediate direct moncy-benelils o f conservation projects. These obviously constrain the How o f funds to conservation projects, and therefore call for. the development of innovative funding mechanisms. Popoola (2004) observed that funding o f reforestation projects is last becoming a low priority issue of governments in most states o f Nigeria bringing about ridiculously low budgetary allocations which arc never released on time. Participatory funding o f conservation which is the focus o f this study can be a potent machinery for conservation projects, since it engenders a sense o f ownership in the minds o f the members o f (he public. The objective o f this study therefore is to determine the factors that affect public willingness to contribute financially and the prospective contributory amount for the rehabilitation o f II adan urban forest reserves. DATA COLLECTION AND ANALYSIS Data and Sampling Procedure The data for this study were obtained from a questionnaire survey o f 400 residents of Ibadan ’metropolis, using the payment card contingent valuation method. The questionnaire which was designed in line with lloelin (1902) and I lanemann (1994) elicited the respondents' willingness to contribute financially to rehabilitation o f the deg raded forests of the metropolis. Data on the respondents' socio-economic characteristics were also collected. In all, 397 were successfully retrieved and used for the analysis. Multi-stage random sampling procedure was adopted in collecting the data. The metropolis was stratified into two: (i) neighbourhood; comprising the residents who live in areas within I km radius o f each urban forest reserve, and (ii) non-neighbourhood; comprising residents living outside I-km radius of each forest reserve. The neighbourhood stratum was further stratified into four cells, where the non­ neighbourhood stratum was strati lied to live. Names ol major streets in each ol the resulting nine cells were collected from the Metropolitan Planning Authority. Using a table o f random numbers, two streets were picked front each ol the nine cells. Twenty live respondents were sampled in each ol the two selected streets ol lour cells in the neighbourhood stratum, while 20 respondents were drawn from each ot the tw'o selected streets of the live cells in the non-neighbourhood stratum. T his gave a sample size o f 400 respondents. Due to incomplete information in 3 of the questionnaire, they were discarded, flic effective sample si/.e used in the subsequent analysis was 397. The Analytical Mode! Participatory financing is conceptualised to involve a two step simultaneous decision by respondents. This entails: i. ' whether or not to participate in financing the scheme; and ii the amount of financial contribution the decision maker is willing to make alter the initial decision has been made. UNIVERSITY OF IBADAN LIBRARY AJEWOj.E. Opcyemi Isaac, low. of Trap. Ear. Resources IW. 19(2): 2003: t - 12 The Tobil model (a hybrid of probit and multiple regression models) is appropriate in capturing such a decision process (Tobin; 1958). Model Specification The one-limit Tobit model for this study is specified as follows: c = c * = X,p + Ci ifXiP + e ,> 0 = 0 if Xip + ej = < 0 .................... equation (1) Where; i 1,2... n observations. X, the vector of explanatory variables. C = limited dependent variable C* = continuous dependent variable which is observed only when it is positive. P = vector of unknown coefficients e, = error term ;~N 1(0,a 2) McDonald and Moflit (1980) argued that the Tobil coefficients do not correctly measure the regression coefficients for observations above the limit. Therefore the Tobit coefficients have to be decomposed in order to isolate the probability of participating financially and the amount which the prospective participant will like to contribute to rehabilitation of Ibadan urban forest reserves, 'flic procedure for the decomposition according to McDonald and MolTit (1980) is as follows; The expected value of C in the model is; EC-X\\\\z) +af(z).................................................... equation (2) Where z = Xp/o, f(z) = the unit norma! density, F(z) is the cumulative normal distribution function, a = standard error of estimate of the dependent variable C. X and p are as previously defined in equation (1). Furthermore, the expected valpe of C for those willing to participate in contributing funds to rehabilitation of the degraded Ibadan urban forest reserves (i.e. prospective contributory amount) is given as £C*= Xp+ of(z)/F(z)........................................................... equation (3) Consequently, the basic relationship between the expected value of all observations; EC, the expected value conditional on willingness to contribute funds to rehabilitation of the degraded Ibadan urban forest reserves; EC'' (i.e. the expected contributory fund), and the probability of contributing; F(z) is EC = F(z) EC* ......................................................... equation (4) If we consider the effect of a change in the ilh explanatory variable ‘X’ on C:; the disaggregation of C is given as: UNIVERSITY OF IBADAN LIBRARY A.JI'AVOI.E, Opeyemi'lxaac/Jour, o f Trap. For. Resources Vol. 19(2): 2003: 1- 12 . SEC / SX, = F{z)(5EC * / SX,) + EC * (SF(z) / SX, ) ............. . ...... equation (5) Equation (5) shows the total change in C being disaggregated into two parts: (1) the change in C of those that are willing to contribute money (expected value of amount to be contributed weighted by the probability of contributing money), and (2) the change in the probability of contributing money weighted by the expected value of the amount of money to be contributed. As the independent variable xiciwngc in the probability of contributing funds to rehabilitation of Ibadan urban forest reserves changes is; SF{z)/SXl = f{z)P, I cr................................................ equation (6) And the change in contributory amount with respect to a change in an explanatory variable among the participants is SE(C') / SX, = - z j \ z ) l F ( z ) - f ( z ) 1 / F(z)2} ............... equation (7) (3 and o were obtained from the maximum likelihood estimates (MLE) and used to compute each of the terms in equations (5) (6), and (7). LIMDEI’ (version 7) was employed in running the analysis for the maximum likelihood estimates (MLE) o f the Tobit coefficients, while SAS (version 8) was used to write the program for the decomposition of the MLE. The Empirical Tobit Model In evaluating the determinants of participatory financing o f rehabilitation of Ibadan urban forest reserves, an empirical censored Tobit model comprising 24 socio-economic regressors was specified. These include income (which is made up o f four dummy variables; no income, low income, medium income, and high income), age (which consists o f five dummy groups; 15-24, 25^34, 35-44, 45-54, 55 and above), education (also comprising four dummy variables; illiterate, primary education, secondary education and tertiary education), employment, gender, marriage, proximity of the residence to the urban forest reserves, ethnicity, duration of residence in the study area, awareness of the existence of the urban forest reserves, being a past beneficiary of the urban forest, having interest in planting trees, having trees in one’s residence and having interest in joining organisation that will mobilise for the rehabilitation project. Each of the variables; income, age and education was divided into different classes in order to capture the possible effect of each of the classes within each of the partitioned variables. For instance, different income groups have varying financial empowerment, so also do different age groups have varying interests and financial empowerment. Similarly people with different levels of education do often have different perspectives or dispositions to certain issues. With the exception of the variable - duration of residence in the study area- all other variables are dummy. UNIVERSITY OF IBADAN LIBRARY AJl'M'Ol. Opeyemi IsaacJour, o f Trap. For. Resources I'ol 19(2): 2003: / - 12 RESULTS AND DISCUSSION 'Hie results of the empirical models are presented in Tables I and 2. The Maximum Likelihood Estimate (M I.li) coefficients of the I obit regression are as shown in Table I Irom which can be observed that only 21 regressors, excluding the constant, were used to run the I obit analysis. I he remaining three variables were used as control. Thus illiteracy was used as control lor the education variables, no income for the income variable and age class 1 (age range 15-24) was used as control for the age variables furthermore, the results in Table i also show that 7 regressors were found to have significant influence on public willingness to linancc the rehabilitation of the degraded urban forest reserves. These are age class 2; comprising 25-34 years group, (p<0.l), employment (p<0.1), medium income (p*-0.05), marriage (p < 0.1), being a past beneficiary of the urban forest reserves (p < 0.05), having trees in the respondent's residence (p < 0.05) and having interest in joining the mobilising organisation (p < 0 .1). Using only the significant regressors to run the empirical model gave the result in Table 2. The results indicate that age class 2 which was initially significant (p < 0.1) in Table I was no loger significant in this new model. It is also observed that the level of significance of some of the variables has increased. For example, the significance of “employment” increased tremendously from p < 0.1 to p < 0.01, while “having trees in the residence” and “ interest in joining the mobilising organisation” had their levels of significance increased from p < 0.05 and p < 0 .1 to p < 0.01 and p < 0.05 respectively. UNIVERSITY OF IBADAN LIBRARY A J E l VOLE, O peyem i Isaac',lour, o f Trap. Tor. R esources [ '<)/. 19(2): 2003: l - 1 2 Tabic I: Maximum Likelihood Estimate (IMLIC) Coefficients of the Tobit Regression Variable Coefficient Standard lirrnr Normalised I’ll / - M Coefficient Constant 12.2376 37.4053 .327 .7435 g i:n d i ;r X , -.1195 .1095 -1.092 .2749 PROXIMITY -.0007 .0642 -.010 .9919 Atilt . -30.8837* 18.3253 -1.685 .0919 Cl.ASS-2 X., Atilt 20.0260 21.95 17 .912 .3616 Cl.ASS-3 x„ Atilt 39.8836 29.7034 1.343 .1794 Cl.ASS-4 x . Atilt -28.9399 36.2782 -.798 .4250 Cl.ASS-5 x 6 ItMI’l .OYMItNT X 7 40.3546* 23.3851 1.726 .0844 II it ill INCOMli X 8 40.2607 30.7903 1.308 .1910 MltDIUM INCOMli Xy -60.6047+* 26.3183 -2.303 .0213 LOW INCOMli X|o 19,9859 17.9421 1.114 .2653 MARRIAGli X , , -.3446* .1987 -1.734 .0830 PRIMARY liOUCA tion 20.3956 30.6962 .664 .5064 X|2 SliCONDARY -17.1378 18.6970 -.917 .3593 liOl/CATION X n TliRTlARY -3.2060 18.1986 -.176 .8602 lilHJCATION X,., li 11 INK’ X u -.1292 .1315 -.982 .3259 DURATION X !f) -.0396 .07693 -.5 15 .6069 AWARIiNliSS X|7 13.6434 28.4329 .480 .63 1 3 PAST BliNliFICIARY X|« 61.7564+* 30.9161 1.998 .0458 1NT liRIiS I IN TRIi ii -.0447 .1065 -.420 .6746 PLANTING X |9 I RItr.S IN RliSIDIiNCIi 41.7955* + • 18.9607 2.204 .0275 X20 INUiRliS I IN -.3300+ .1774 -1.860 .0629 ORGANISATION X 2| Siomn 175,4192+ + + 7.6130 23.042 .0000 * : significant at 10%, * * : significant at 5%, * * * : significant at 1% 6 UNIVER XSITY OF IBADAN LIBRARY AJliWOLH, Opeyemi Isaac Jour, o f Trap. T'or. Resources To/. 19(2): 2003: t - 12 Table 2: McDonald and Moffit Decomposition of the Empirical Tobit Model for Prospective Participatory Financing of Rehabilitation of the Ibadan Urban Forest Reserves. V ariab le C u e r t i c ie n t N o rm a l is e d P - M e a n o f X Total ■ C h a n g e in C h a n g e C o e f f ic ie n t V a lu e c h a n g e th e in th e SEC / c fV , c o n t r ib u to ry p ro b a b i l i ty a m o u n t o f SEC' ISX, c o n t r ib u t in g f in a n c e SFizj /SY, C o n s ta n t -3 .8 9 3 3 - .1 2 8 .8 9 8 1 - 0 .1 6 3 9 -0 .5 1 3 8 - 0 .0 0 1 9 K M P i.O Y M h N T 5 1 .0 0 9 9 * + * 2 .6 2 6 .0 0 8 6 -1 .8 4 9 3 2 .1 4 8 6 6 .7 3 7 7 0 .0 2 5 5 x ? M I-.D H IM X y - .3 8 9 0 * * -2 .1 5 8 .0 3 1 0 -4 .9 2 2 1 -0 .0 1 6 4 -0 .0 5 1 5 - 0 .0 0 0 2 IN C O M I-: M A R K IA d l '. X 11 - .3 3 1 1 + -1 .8 5 7 .0 6 3 3 -4 .5 6 U 3 . -0 .0 1 3 9 - 0 .0 4 3 6 - 0 .0 0 1 7 PA ST ' X f x 6 7 .2 5 1 3 * * 2 .2 0 9 .0 2 7 2 - 1 .5 9 8 0 2 .8 3 2 7 8 ,8 8 2 8 0 .0 3 3 7 1 H K N IT IC 1 A R Y m i d i s IN X 2() 5 2 .4 5 2 8 * * * 2 .8 5 3 .0 0 4 3 -2.0201 2 .2 0 9 3 6 .9 2 7 9 0 .0 2 6 3 KHSIDFNCF IN T K R K S T IN X 2f - .3 7 8 0 * * -2 .0 9 8 .0 3 5 9 -4 .2 6 3 8 0 .0 1 6 0 0 .0 5 0 2 0 .0 0 0 2 O R G A N I S A T I O N ■Sigma 1 7 9 .4 5 * * * 7 .7 8 6 1 2 3 .0 5 .0000 *: significant at 10%. **: significant at 5%, ***: significant at 1% z = -1.73, f(z) = 0.04, F(z) = 0.90 Table 2 also presents McDonald and Moffit decomposition of the significant regressors which was carried out to evaluate the change in the probability o f contributing money as well as the change in the amount o f money respondents are willing to contribute to the rehabilitation o f the degraded Ibadan urban forest reserves, that may be occasioned by the change in any of the significant regressors. Following McDonald and Moffit (1980), the value o f F(z) which equals 0.90, implies that 90% of the observations have non-zero willingness to contribute money to rehabilitation of the degraded Ibadan urban forest reserves, in other words, 90% of the respondents are willing to contribute money to rehabilitation of the degraded Ibadan urban forest reserves, in order lo'evaluale the prospective participatory financing of the degraded Ibadan urban forest reserves at this point requires finding the value of equation 8 below; u=.[ 1 -zf(z)/F(z)-f(z)2/F(z)2|.................................................................... equation 8 Putting in the required parameters; a = 0.23 UNIVERSITY OF IBADAN LIBRARY AJEWOI.K, Opeyemi Isaac/Jow. of Trop. For. Resources I'ol. 19(2): 2003: I - 12 The implication of Ihe above is that 23% of (he change in willingness to contribute money to the rehabilitation of the degraded Ibadan metropolitan forest reserves owing to change in the independent variables will be generated by change in the amount of money to be contributed while 77% will be generated by a change in the probability of contributing money, In essence, this implies that a change in independent variables will lead to greater change (77%) in the probability of contributing money, relative to a change (23%) in the amount of money to be contributed. From Table 1, it can be observed that only 2! independent variables were used to run the model. The remaining three variables were used as control, viz: the variable illiteracy was used as control for the educational variables, no income was used as control for “income’' and lastly the variable 15-24 years as control lor age, since all these are categorical variables. This procedure is consistent with Gujarati (1985). Table 2 shows an intercept value of -0.1639 which is the autonomous total change in willingness to contribute money to tire rehabilitation of Ibadan degraded urban forests; decomposed to -0.5138, the autonomous change in the amount of money respondents are willing to contribute to the project and 0.0019, the autonomous change in the probability of contributing money to the project. fhe results further show that the variable; “employment" significantly (p < 0.01) and positively affects both the probability of contributing as well as the amount of money respondents are willing to contribute to the rehabilitation project, 'fhe coefficient of the intercept dummy of the respondents who are employed and are willing to contribute finances to rehabilitation of the degraded urban forest reserves is 6.7377. This implies that relative to those who are not employed; the contributory amount to the rehabilitation of the degraded Ibadan urban forest reserves is expected to increase by N6.73 for the employed than those who are not employed. Similarly, the coefficient of the intercept dummy for those who'are employed but are not willing to contribute finances to the rehabilitation project is 0.0255. This also implies that relative to those who are not employed; the level of autonomous probability (0.0019) of contributing finances will increase by 0.0255, hence having an autonomous probability of contributing finances of 0.0274, as against those who are not employed. Therefore, the probability of an employed person to participate in contributing finances to rehabilitation of the degraded Ibadan urban forest reserves is 2.7%, while that of an unemployed person is 0.19%. Out of the three variables that represented income, it is only the variable- medium income that .has significant (p<0.05) though negative influence on the willingness to contribute finances for the rehabilitation of Ibadan urban forest reserves. The coefficient of the intercept dummy of the respondents who are in the medium income category and are willing to contribute finances to rehabilitation of the degraded urban forest reserves is -0.0515.1 his implies that relative to those who are not earning income; the contributory amount to the rehabilitation of the degraded Ibadan urban forest reserves is expected to decrease by NO.05 ’for those in medium income category than those who are not earning income. Similarly, the coefficient of the intercept dummy for those in the medium income category that are not willing to contribute finances to the rehabilitation project is -0.0002. This also implies that H UNIVERSITY OF IBADAN LIBRARY AJT'.WQIA:, O p eyem i Isaac, Jour, o f Trap. T'or. R e so u rces To/. 19(2): 2003: 1 - 12 relative to those who.are not earning income; the level of autonomous probability (0.0019) ol contributing finances will decrease by 0.0002, hence having an autonomous probability of contributing finances of 0.0017, as against those who are not earning income. The implication ol these is that the probability of a person in the medium income category to participate in contributing finances to rehabilitation of the degraded Ibadan urban forest reserves is 0.! 7%, while that of a person who is not earning income is 0.19%. The variable “marriage” also has significant (p<0.1) but negative influence on willingness to contribute finances to rehabilitation of the degraded Ibadan urban forest reserves. The coefficient of the intercept dummy of the respondents who are married and are willing to contribute finances to rehabilitation of the degraded urban forest reserves is -0.0436. This implies that relative to those who are not married the contributory amount to the rehabilitation of the degraded Ibadan urban forest reserves is expected to decrease by 0.04 Naira, as against those who are not married. Similarly, the coefficient of the intercept dummy for those who are married but not willing to contribute finances to the rehabilitation project is -0.0017. This also implies that relative to those who are not married; the level of autonomous probability (0.0019) of contributing finances will decrease by 0.0017, hence having an autonomous probability of contributing finances of 0.0002, as against those who are not married. The implication of these is that the probability of a married person to participate in contributing finances to rehabilitation of the degraded Ibadan urban forest reserves is 0.02% while that of an unmarried person is 0.19%. Furthermore, the variable; “past beneficiary" has significant (p < 0.05) and positive influence on willingness to contribute finances to rehabilitation of the degraded Ibadan urban forest reserves. The coefficient of the intercept dummy for those who have previously enjoyed some benefits from these reserves and are willing to contribute finances to their rehabilitation is 8.8823. This implies that relative to those that have not previously enjoyed any benefit from these reserves, the contributory amount to the rehabilitation of the degraded Ibadan urban forest reserves is expected to increase by N8.89. Similarly, the coefficient of the intercept dummy for those who have previously enjoyed some benefits from the urban forest reserves, but not willing to contribute finances to their rehabilitation is 0.0337. This also implies that relative to those who have not previously enjoyed any benefit from the forest reserves, the level of autonomous probability (0.0019) of contributing finances will increase by 0.0337, hence having an autonomous probability of contributing finances of 0.0356. Therefore the probability of a person who has enjoyed some benefits from Ibadan urban forest reserves is 3.56%, while that of a person who has not previously enjoyed any benefit from these reserves, to contribute finances to their rehabilitation is 0.19%. Having trees in residence as a variable also has highly significant (p <0.01) and positive influence on the willingness to contribute finances to the rehabilitation of the degraded Ibadan urban forest reserves. The coefficient of the intercept dummy for the respondents whd have trees in their residences and are willing to contribute finances to the rehabilitation of the degraded fores! reserves is 6.9279. This implies that the contributory amount to the rehabilitation project is expected to increase by N6.93 as against those who do hot have trees 9 UNIVERSITY OF IBADAN LIBRARY AJI'AVOLE, Opeyemi Isaac/Jow. of Trap. For. Resources i'nl. 19(2): 2003: I - 12 in their residences. Similarly, the coellicienl of the intercept dummy for those who have trees in their residences, but not willing to contribute to the rehabilitation of these degraded forest reserves is 0.0263. This implies that relative to those who have no trees in their residences, the level of autonomous probability (0.0019) of, contributing finances will increase by 0.0263, hence having an autonomous probability of contributing finances of 0.0282. Therefore the probability of a person who has trees in his residence to contribute to the rehabilitation of Ibadan urban forest reserves is 2.82%. The last variable in the empirical model- “interest in joining an organisation that will mobilise for the rehabilitation project-11 also has significant (p<0.05) but negative influence on willingness to contribute finances to the rehabilitation of the degraded Ibadan urban forest reserves. T he coellicienl of the intercept dummy for those who are interested in joining the organisation and are also willing to contribute to the rehabilitation project is - 0.0502. This implies that relative to those who are not interested in joining the organisation, the.contributory amount to the rehabilitation project is expected to decrease by NO,05, as against those who are not interested in joining tire organisation. Similarly, the coefficient of the intercept dummy for those who arc interested in joining the organisation but not willing to contribute to the rehabilitation project is -0.0002. This also implies that relative to those who are not interested in joining the organisation, the level of autonomous probability (0.0019) of contributing finances to the project will decrease by 0.0002, hence having an autonomous probability of contributing finances of 0.0017. Therefore the probability of a person who is interested in joining a charitable organisation that will mobilise for the rehabilitation of the degraded Ibadan urban forest reserves is 0.17%, while that or the person who is not interested in joining such an organisation to contribute money to the rehabilitation project is 0 .19%. CONCLUSION This study has revealed a great potential for non-governmental funding of rehabilitation of the degraded Ibadan urban forest reserves. Though the modal contributory amount of N100 per capita appears quite small, it is an amount that appears generally affordable across various socio-economic groups, and its aggregate value if properly harnessed can even be higher than the state's budgetary allocation for the development of the urban forest reserves. Be that as it may, harnessing these funds requires putting in place an effective fund collection mechanism. Some of these mechanisms include lotteries and sales of conservation souvenirs. Since being employed has significant positive influence on public willingness to participate financially in the rehabilitation of the degraded forests, the slate can organise lotteries and sales of souvenirs to target different categories of workers. Furthermore, participatory financing of the rehabilitation of Ibadan urban forest reserves should no doubt go side by side with appropriate participatory urban forestry development model which should ensure adequate power devolution and decentralisation that will guarantee optimum benefits for all the stakeholders. This model might be in form of a board or a jlleering/management committee for mobilisation, collection and management of funds for the implementation of the rehabilitation project. This-board that should comprise the 10 UNIVERSITY OF IBADAN LIBRARY AJEWoiE, Opeyemi lstiac/Jour. of Trap. For. Resources Vol. /9(2): 2003: J - 12 representatives of various segments of the public can have its members drawn from the academia, relevant professional groups, environmental and non-governmental organisations, community based development organisations, the civil service, etc. This board will be responsible for the day to day management of tile forest reserves and the funds. In a similar manner, since a high proportion (76%) of the respondents are interested in joining a charitable organisation that will mobilise for the funds, there is a need for a reputable 11011- governmental organisation to take lip the challenge of mobilising or starting a parallel organisation that will be responsible for mobilising of funds for participatory financing of this rehabilitation project from the public. One important factor that is germane to participatory financing is the need for appropriate and adequate public enlightenment/education on the importance of the urban forest reserves to the socio-economic well-being of the metropolitan residents. To this effect, government needs to embark on result oriented public enlightenment programme about the need to rehabilitate and conserve these urban forest reserves. More importantly, since previous use of the urban forest has signi Iicant influence on willingness to participate financially in the rehabilitation of the degraded urban forests, government should manage the urban forests in a way to serve the diverse needs of the public. In this regards, recreation can be one of the principal reasons Ior the rehabilitation of these forests, and the public should be encouraged to make use of these forests for recreation and other needs. This will no doubt increase the value and the importance of these forests in the minds of the public . . I REFERENCES Gujarati, D.N (1985): "Basic Econometrics" McGraw-Hili Book Company lnc, 2nd Edition. pp 431-504. Hanemann, W.M. (1994): "Valuing the Environment through ContingentValuation". The Journal of Econo IIIic Perspectives, 8(4), 19-43. Hoehn, J.P. (1992): "Contingent Valuation in Fisheries Management; the Design of Satisfactory Contingent Valuation Format". In Markandaya, A and Richardson, .J. (eds.). The Earthscan Reader in Environmental Economics. pp 10) -) 11 (London Earthscan Publications Ltd.) McDonald. J.F. and R. A. Mom! (1980): "The Uses or Tobit Analysis". The Review of Economics and Statistic. Vol. LXII, 2, pp 318-321 Popoola . L. (2004): "Participatory Forest Finance in Nigeria: Problems and Prospects" Paper Presented at the Workshop on Lessons Learnt on Sustainable Forest Management in Africa, 09-13 February 2004, Nairobi, Kenya. Popoola, Land O. Ajewolc (200 I): "Public Perceptions of Urban Forests ill lbadun, Nigeria; Implications for Environmental Conservation". Arboricultural Journal, Vol. 25: pp. 1-22. AS Academic Publishers Popoola, L. and O. Ajcwole (2002):"Willingness to Pay for Rehabilitation of Ibadan Urban Environment through Reforestation' Projects". Int. J Sustainable Dev. World Ecology 9; 256-268. II UNIVERSITY OF IBADAN LIBRARY A.1EWOLE, Opeyemi teaae/Jaur. o f Trap. For. Resources Vol. 19(2) : 2003: 1 - 12 Tobin, J. (1958): “ Lslim alion ol R elationships for Limited D ependent V ariab les’’. Econometrica; 26, 24-36.. UNIVERSITY OF IBADAN LIBRARY