One aspect of sustainable development is the need to retain an "acceptable" level ofrnenvironmental quality and to conserve nature's assets. Environmental economicsrnliterature has therefore developed to encompass a range of monetary valuation methodsrnand techniques designed to value the 5 pectrum of environmental goods and services.rnThe task of monetary valuation of the environment is made more complex by a number ofrnproblems. These include the fact that often environmental effects will have no naturalrnunits of measurement, and even where physical indices are available these must bernrelated to individual perceptions. Besides, due to their externality and public goodrncharacteristics environmental effects do not often directly show up in markets.rnrnExtensive use of monetary valuation methods combined with technical improvements inrntechniques have resulted a large literature that consists a wide range of valuation casernstudies. There is now a wide range of application of the contingent valuation methodrn(CVM) in developing countries. Most of the studies are concerned with fresh waterrninvestments and sanitation However, there are fewer studies that look at forest values,rnoutdoor recreation, sanctuaries and parks. Of course, few limited studies have appliedrndifferent techniques in valuing different environmental resources. This indicates thatrnboth in developed and developing countries more emphasis has been given to thernreliability of contingent valuation method (CVM) . This study has attempted to estimaternrecreation value of Tis Abay Water Falls which is considered nature based touristrnattraction area by applying contingent valuation method (CVM) and the travel costrnapproach(TCM) and evaluated the extent whether different techniques for valuing arngiven environmental charge will produce similar results.rnrnThe conflicting interest around Tis A bay Water Falls resource is the background for thisrnstudy Tis Abay JJ Hydro Power Project is being implemented with the objective ofrnincreasing the supply of energy, where as the Tourism Master Plan proposedrnestablishment of Tis A bay national park to enhance tourism industry. However, there is arntrade-off between these two proposals, because the implementation of Hydro - electricrnpower project will necessarily involve a significant reduction in the flow of water fallsrnand that may not sustain their aquatic diversity and value of tourism.rnrnThough, there is significant difference, both methods have come with substantialrnconsumers' swplus of Tis Abay Wate Falls Park which shows high potential tourismrnvalue of the resource. This might help to consider environmental policy issues and thernneed for the simultaneous pursuit of multifarious development objectives which are oftenrnin conflict with each other.