Abstract:
‘Sea bathing’ is the main recreational activity at the Paraviwella Beach Park in Sri
Lanka. However, there is a proposal by the Government of Sri Lanka to convert the
Beach Park into an area that could be used for the expansion of the fisheries harbour.
Our study examines the possibility of the proposal against maintaining the Park by
using the Zonal Travel Cost Method to estimate the welfare benefits (in terms of
Consumer Surplus). The study shows that the welfare benefits of Paraviwella Beach
Park to be LKR 6.39 million per year for local visitors. Our results suggest that for
maximum revenue from the park to be derived, the fresh water bathing fee should
be raised to LKR 100.45 from the present fee of LKR 20 since those who sea-bathe
requires a fresh water bath thereafter. Though it would reduce the visitor numbers to
the Park by 34%, it would increase the total revenue of the Park by 231.18%. These
values demonstrate that the Park can be preserved for sea-bathing while making the
site more financially viable.
