John C. Bergstrom

Comparison of recreation use values among alternative reservoir water level management scenarios.

Throughout the United States, reservoirs are managed for multiple uses, including hydropower, stream flow regulation, flood control, and recreation. Water level drawdowns for hydropower, stream flow regulation, and flood control often reduce the suitability of reservoirs for water-based recreation. The gain in aggregate economic use value of outdoor recreation under three alternative water level management scenarios was measured for four reservoirs in western North Carolina as part of an interagency policy analysis. Use values were estimated using a contingent valuation survey and expert panel data. The basic question addressed by this study was whether the value recreational users place on higher water levels held longer into the summer and fall is significantly greater than the value of using these reservoirs as they were managed at the time of this study. Maintaining high water levels for longer periods during the summer and fall was found to result in considerable gains in estimated recreational benefits. While not a primary objective of this study, having these estimates provided us an opportunity to compare increased recreational benefits with the value the Tennessee Valley Authority estimated for the reduced production of electricity that would result if the lakes were managed to hold reservoir levels higher, longer into the year.