ABSTRACT

Using a contingent valuation assessment of Abu Dhabi’s beachfront hotels, we estimated the value that these hotels derived from coastal and marine ecosystems. The willingness to accept (WTA) compensation in the event of harmful algae blooms was estimated at $141 million per year, or 35% of beachfront hotels’ average turnover. This was 9% of the total revenue for all of Abu Dhabi’s hotels in 2013. This indicated the reliance on the delivery of ecosystem services, but also the risks as a result of such reliance since ecosystems were under increasing economic development-related pressures.