54 consumption from the forest area. Choices were given to reduce consumption from 0-
25, 50, 75 and 100 of what they were taking currently. The value of their willingness to reduce consumption was then calculated by using household data of how
much is currently taken from the Bengkar forest multiplied by the percentage that they are willing to give up. The data were then converted to the village averages and then to
an overall average for the three villages.
2.7.3.9 Existence Value
Existence value was estimated by questioning respondents about their preference of how their forest would be managed and used as either a plantation area, a forest
concession, or for coal mining. Benefit-transfer data was used for these three choices as the values per hectare unit close to the research locations had already been established.
The value of each land use includes investments costs, operation costs, and first-year profit. Benefit-transfer estimates and functions from these nearby locations were used for
the research sites. The choice that the respondent selected was used to calculate the average village existence value. These averages were used to arrive at an average for the
three villages.
2.7.3.10 Benefit-Transfer Data for Non-Use Value
Benefit-transfer data used for existence value estimation were taken from two different sources. First, data of total economic value for concession companies were
taken from Bogor Agriculture University 1999 data collected in the Central Kalimantan Province. The reported total economic value for forest concession area is 119,716,504
rupiahs per hectare per year U.S. 13,301 per hectare per year.
55 The second set of data is total economic value for a plantation company from
Mangunsong 2000. Mangunsong 2000 data came from a palm oil plantation and included financial, environmental, and social costs. Using a 28-year period and a 15
percent interest rate, the total economic value for financial costs is U.S. 5,191.7 per hectare per year. Environmental cost and social cost gave a negative total economic
value of U.S. 5,795 per hectare per year.
2.7.3.11 Total Economic Value
Total economic value for the Benuaq Dayak was calculated by adding the use value and non-use values discussed previously. The total economic value of the Benuaq Dayak
was tested using cost and benefit analysis methods to explain sensitivity of the total value over 20 years. Comparisons of different land uses identified weaknesses and strengths of
Benuaq Dayak resource management compared to private companies.
2.7.4 Study Variables
