An economic analysis of alternative water use strategies at catchment level taking into account an instream flow requirement

Grove, B. and Oosthuizen, L.K. (2002) An economic analysis of alternative water use strategies at catchment level taking into account an instream flow requirement. Journal of the American Water Resources Association, 38 (2). pp. 385-395.

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Abstract

A mathematical model of agricultural water use and a hydrological and economic simulation model were linked to quantify the economic and hydrological impact of deficit irrigation, increased water application efficiency, and farm storage dams when maintaining an IFR (instream flow requirement) under stochastic water supply conditions. The main finding was that a water conservation policy aimed at reducing the amount of water withdrawn from the river could bring more pressure to bear on stream flow. Water can only be saved if consumptive use is reduced. Increased water application efficiency is detrimental to other users as a result of reduced return flow. The economic cost of maintaining a specific IFR increases with the use of all three strategies as the probability of maintaining the IFR increases. Because of the control that can be exercised over the supply of water, a farm storage dam is the best strategy for minimizing the costs for irrigators. The interaction between water legislation, water policy administration, technology, hydrology, and human value systems necessitates an integrated approach to facilitate water management at catchment level and to formulate policies that will be in the interest of society.

Item Type: Article
Uncontrolled Keywords: instream flow requirement; hydrological simulation; optimization; stochastic water supply
Author Affiliation: Senior Researcher and Professor, Department of Agricultural Economics, University of the Free State, P.O. Box 339, Internal P.O. Box 58, Bloemfontein, 9301, South Africa
Subjects: Social Sciences > Agricultural Economics
Divisions: General
Depositing User: Mr B Krishnamurthy
Date Deposited: 15 Oct 2014 09:04
Last Modified: 15 Oct 2014 09:04
Official URL: http://dx.doi.org/10.1111/j.1752-1688.2002.tb04324...
URI: http://eprints.icrisat.ac.in/id/eprint/13491

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