FINANCING FEDERAL WATER DEVELOPEMNT PROJECTS AND SHARING THE COSTS1

ABSTRACT: The Federal Government's interest and involvement in water resource development in discussed in the context of project financing and cost sharing. After drawing a clear distinction between the two issues - who puts up the money, and who repays over time - the authors survey a number of Federal acts from which have evolved nearly 200 separate cost-sharing rules. Selected cost sharing and financing issues discussed include consistency in policies, rehabilitation of urban water supply systems, multipurpose water quality projects, and ground water management. Two proposals for cost/finance sharing reform introduced in the 96th Congress are discussed in detail and their impacts compared with current policy. The joint venture approach (Administration proposal) results in an effective composite cost share which changes significantly but not drastically (from 19 to 35 percent non-Federal share for a hypothetical project). The block grant approach (Domenici-Moynihan proposal) would alter the regional distribution of Federal water developement funding from the South and West to the Northwest and North Central States.     

A CRITIQUE OF WATERSHED MANAGEMENT EFFORTS IN THE LOWER MISSISSIPPI ALLUVIAL PLAIN1

ABSTRACT: Integrated watershed management in the Lower Mississippi Alluvial Plain (Delta) requires blending federal, state, and local authority. The federal government has preeminent authority over interstate navigable waters. Conversely, state and local governments have authority vital for comprehensive watershed management. In the Delta, integrating three broad legal and administrative regimes: (1) flood control, (2) agricultural watershed management, and (3) natural resources and environmental management, is vital for comprehensive intrastate watershed, and interstate river basin management. Federal Mississippi River flood control projects incorporated previous state and local efforts. Similarly, federal agricultural programs in the River's tributary headwaters adopted watershed management and were integrated into flood control efforts. These legal and administrative regimes implement national policy largely in cooperation with and through technical and financial assistance to local agencies such as levee commissions and soil and water conservation districts. This administrative infrastructure could address new national concerns such as nonpoint source pollution which require a watershed scale management approach. However, the natural resources and environmental management regime lacks a local administrative infrastructure. Many governmental and non governmental coordinating organizations have recently formed to address this shortcoming in the Delta. With federal and state leadership and support, these organizations could provide mechanisms to better integrate natural resources and environmental issues into the Delta's existing local administrative infrastructure.     

THE LEGALIZATION OF GROUNDWATER STORAGE1

ABSTRACT: California's courts have recently recognized the existence of underground aquifer storage rights that permit public agencies to (1) store imported waters in aquifers; (2) prevent others from expropriating that water; and (3) recapture the stored water when it is needed. The article describes the two appellate decisions that represent the common-law development of aquifer storage rights. Each decision related to separate aquifers that were subject to separate types of groundwater management programs. One decision involved an aquifer under the southeastern San Francisco Bay area that was managed under statutory authority and is entitled, Niles Sand and Gravel Co. v. Alameda County Water District 37 C.A.3d 924 (1974); cert. denied 419 US 869. The other decision involved an aquifer under Southern California's San Fernando Valley that was managed under judicial authority and is entitled, City of Los Angeles v. City of San Fernando 14 Cal.3d 199 (1975). The two decisions provide separate, but complimentary, public interest rationales for aquifer storage rights: (1) to protect water supplies necessary for the overlying community; and (2) to increase water supply efficiencies by using natural underground reservoirs wherever practicable. The Article reviews the relationship of aquifer storage rights to conventional groundwater rights and indicates aspects of the storage right that may need additional development.     

AN ECONOMIC OVERVIEW OF HAWAII'S WATER INSTITUTIONS1

ABSTRACT: The problem of allocating scarce water resources among competing uses and users over time in Hawaii is addressed within the context of analytical institutional economics. The nature of this problem has been, in recent years, highly complicated by important institutional changes that control operating decisions for water supply and water pollution. Whereas the imbalance in governmental initiatives regarding changes in the system of water rights (predominantly state) and environmental laws (predominantly federal) are based on U.S. constitutional provisions, the more fundamental roots of the crucial legal doctrines involved have been traced back to the common property concept. This suggests that the more promising opportunities for meeting the water policy challenges of the state are to be found in the historical common property system (ahupua'a) of Hawaii.     

WATER MARKETING: THE CASE OF INDIAN RESERVED RIGHTS1

ABSTRACT: Water marketing is an increasing important topic for policy makers and water managers, especially in the Western United States. Indian reserved rights (or Winters rights) differ in significant ways from water rights under most state prior appropriation systems. As Winters rights are quantified, a number of issues are emerging concerning the extent to which these water rights may be marketed, particularly to off-reservation users. This paper will review the evolution of Indian reserved water rights and discuss key issues surrounding the marketing of these rights.     

WATER MARKETS AND DECENTRALIZED WATER RESOURCES MANAGEMENT: INTERNATIONAL PROBLEMS AND OPPORTUNITIES1

ABSTRACT: Because of its importance and the perceived inability of private sector sources to meet water demands, many countries have depended on the public sector to provide water services for their populations. Yet this has resulted in many inefficient public water projects and in inadequate supplies of good quality and reliable water. Decentralization of water management, including the use of water markets, cannot solve all of these water problems, but it can improve the efficiency of water allocation. When given adequate responsibility and authority, water user associations have effectively taken over water management activities at a savings to tax payers. Moreover, water markets add the potential benefit of improving water efficiency within a sector as well as providing a mechanism for reallocating water among sectors. The key question involves developing innovative mechanisms for reducing the transaction costs of organizing water users and of making water trades. Water rights need to be established which are recorded, tradable, enforceable, and separate from land if markets are to operate effectively. Also, institutions are needed that effectively resolve conflicts over water rights, including third party impacts and water quality concerns.     

Valuing Improvements in The Water Rights System in South Africa: A Contingent Ranking Approach1

Speelman, Stijn, Stefano Farolfi, Aymen Frija, and Guido Van Huylenbroeck, 2010. Valuing Improvements in the Water Rights System in South Africa: A Contingent Ranking Approach. Journal of the American Water Resources Association (JAWRA) 46(6):1133–1144. DOI: 10.1111/j.1752-1688.2010.00480.x Abstract: In the context of increasing water scarcity, understanding is growing that irrigation water rights are important and that a lack of an effective water rights system constitutes a major reason for inefficient water management. This study carried out a contingent ranking experiment to study how smallholder irrigators in South Africa would value potential changes in water rights. Three specific dimensions of water rights, relevant for the South African case, are considered: duration, quality of title, and transferability. Results indicate that smallholder irrigators are prepared to pay considerably higher water prices if improvements are made in the water rights system. This implies that the proposed interventions in the water rights system would improve the efficiency and productivity of the small-scale irrigation sector. The increased willingness to pay could furthermore also assist the South African government to reach the objective of increased cost recovery.     

A PARTICIPATORY APPROACH TO WATERSHED MANAGEMENT: THE BRAZILIAN SYSTEM1

ABSTRACT: Brazil is currently facing the challenge of implementing a new water resources management system to promote the rational and sustainable use of the country's waters. This system is based on the following principles of water management: (2) stakeholders' participation; (2) the watershed as the planning and management unit; and (3) the economic value of water. Stakeholders' participation and the involvement of civil society in the decision making process is guaranteed by permanent seats in the watersheds' management committees. These committees are the highest decision level for the establishment of water policy and for planning its use. The executive branch of the committees is the watershed agency or the water agency. This paper presents the recently approved Brazilian water resources management system and discusses the participatory approach followed to validate and to ensure prompt response to decisions regarding water use by all stakeholders. The formulation of the National Water Law (January/1998) was also supported by extensive consultation with civil society, professional associations, state and municipal governments as well as with federal governmental agencies and private sector organizations. It also presents an overview of the formulation of the National Water Law. Finally, as watershed committees have been created and are already operating in a limited number of watersheds, some of the major obstacles to the success of the new system are discussed along with alternatives for overcoming such obstacles.     

国家“十四五”环境经济政策改革路线图

"十三五"时期环境经济政策对建立我国生态文明建设长效机制发挥了重要作用,"十四五"时期需要通过进一步深化环境经济政策改革与创新以适应新时代生态文明建设需要。本文研究提出了我国"十四五"时期环境经济政策改革思路、框架与重点,认为我国"十四五"时期环境经济政策改革要深入贯彻习近平生态文明思想,系统考虑政策改革创新面临的新形势和新要求,推进建立"两山"转化和环境质量达标的长效激励机制,突出环境质量持续改善激励、突出经济过程全链条调控,突出政策手段的系统优化与协同增效,突出政策执行能力保障。继续推进生态环境财政制度改革,深化绿色价格税费机制创新,推进建立多元化、市场化生态补偿制度,健全生态环境权益交易机制,完善绿色金融体系,并同步推进完善生态环境价值核算、环境信息公开和信用体系、资源环境名录、政策绩效评估等政策实施配套能力建设,构建全面支撑生态文明建设的环境经济政策体系,推进环境治理体系和治理能力现代化。     

我国水资源管理的经济政策耦合效果仿真研究

水资源管理的经济政策效果模拟是从政策理论到政策实践的关键步骤，让决策者感知政策效果的方向和影响程度，才能更好地促进政策实践转化。本研究引入系统动力学方法，构建水资源经济政策耦合机制下水资源系统动力学（SD）模型，将我国划分为三种类型区域（干旱地区、丰水地区和过渡地区），进行三类四种水资源管理经济政策（水资源有偿使用，水价政策和水权政策；水污染收费，排污收费政策；水生态保护，水生态保护补偿政策）的耦合仿真实证研究。以我国水资源管理政策设计为目标，进行不同水管理政策耦合的生态经济效果仿真和效果定量评价，结果发现：干旱地区有偿使用的经济政策是目前经济水平下效果最好的；过渡地区有偿使用结合污水排放收费政策效果是最好的；而丰水地区必须同时实施水资源有偿使用和水污染收费两类经济政策。     

The Water Market for the Middle and Lower Portions of the Texas Rio Grande Basin1

Leidner, Andrew J., M. Edward Rister, Ronald D. Lacewell, and Allen W. Sturdivant, 2011. The Water Market for the Middle and Lower Portions of the Texas Rio Grande Basin. Journal of the American Water Resources Association (JAWRA) 47(3):597‐610. DOI: 10.1111/j.1752‐1688.2011.00527.x Abstract: Regional water management on the United States’ side of the middle and lower portions of the Rio Grande basin of Texas has been aided by a functioning water market since the early 1970s. The water market operates over a region that stretches from the Amistad Reservoir to the Rio Grande’s terminus into the Gulf of Mexico. This article provides an overview of the organizations, institutions, policies, and geographic particulars of the region’s water‐management system and its water market. In recent years, this region has experienced high population growth, periodic droughts, and a reallocation of water resources from the area’s agricultural sector to the municipal sector. Demand growth for potable water and a relatively fixed supply of raw water are reflected in increasing prices for domestic, municipal, and industrial water rights. Rising prices in the presence of scarcity and the transfer of water from lower‐value to higher‐value uses indicate that the market is operating as suggested by economic theory. Reasons for the market’s functionality are presented and discussed. Finally, suggestions are presented which might mitigate potential complications to market operations from aquifer depletion and aid the management of instream river flows.     

Washing away poverty: Water, democracy and gendered poverty eradication in South Africa

This article discusses ways in which the South African Government and grassroots organizations envisage and implement democracy achieved since 1994 in the field of water resources management. The focus is on the democratic, political and economic freedom and equality in resource rights for poor black women, who are central to poverty eradication. While the new water policy and law provide an enabling framework for achieving these goals, implementation on the ground encounters both new opportunities and constraints. This is illustrated by several cases of establishing South Africa's new water management institutions: catchment management agencies and water user associations. The important nexus between state‐led democratization of water resources management and bottom‐up grassroots movements is also discussed. The article concludes that the Government's affirmative and targeted intervention is indispensable for redressing gender inequalities and eradicating poverty.     

Rhetoric and Reality of Water Quality Trading and the Potential for Market‐like Reform1

Stephenson, Kurt and Leonard Shabman, 2011. Rhetoric and Reality of Water Quality Trading and the Potential for Market‐Like Reform. Journal of the American Water Resources Association (JAWRA) 47(1):15‐28. DOI: 10.1111/j.1752‐1688.2010.00492.x Abstract: Many public interest groups, government agencies, and professional economists argue that current approaches to water quality trading are a cost‐effective, politically practical innovation for achieving water quality standards, in part by addressing one of the most difficult water quality improvement challenges – limiting the discharge from nonpoint sources. A critical analysis shows that these claims for current water quality trading programs are often unrealized. This rhetoric, without adherence to principles of market‐like reform, can undermine the support of regulated parties for meaningful water quality policy reform, contribute to missed opportunities to implement cost‐effective programs, and postpone successfully meeting the challenge of limiting nonpoint source discharges. A better understanding and application of market‐like principles can result in an improved design of trading as well as general water quality management programs.     

Institutional reform in the Andean irrigation sector: Enabling policies for strengthening local rights and water management

For centuries, local and indigenous water rights and rules in the Andean region have been largely neglected and discriminated against. The process of undermining local communities’ water access and control rights continues up to today and not only is it headed by powerful local, national and international water‐use actors encroaching local rights — it is also a direct consequence of vertical State law and intervention practices, and the latest privatization policies. Recognition of and security for the diverse and dynamic local rights and management frameworks is crucial for improving rural livelihoods and even national food security in Andean countries. At the request of the Government of Ecuador — in which at that time the indigenous movement had its political participation — a research mission was organized to formulate a proposal for institutional reform, aiming at the strengthening of the national irrigation sector. In this article, some basic mission results are outlined and analyzed within the scope of four concepts (institutional viability, political democracy, equity, and water rights security), and practical elements for institutional reform are suggested, not only for the Ecuadorian irrigation sector but also other settings. The complementary roles of central Government, local governments and water user organizations in water resources management are emphasized as is the need to strengthen enabling legal and policy frameworks. The importance of translating constitutional recognition of local and indigenous rights and common property systems into practical procedures and institutional structures is also stressed.     

Reconceptualizing water management in Khorezm,Uzbekistan

The Khorezm region is located in the northwest of Uzbekistan, approximately 350 km from the current shore of the Aral Sea. It comprises a large‐scale irrigation system that conveys water from the river Amu Darya to agricultural land cropped mainly with cotton, wheat, and rice. Khorezm's water resources are vulnerable as they depend on upstream developments and are indispensable to rural livelihoods and state budgets. Since water scarcity is expected to increase in the future, sustainable water management is a necessity. Hence, the objectives of the paper are to: (1) conceptualize the distinctive features of water management in Khorezm; (2) provide an integrated analysis of water management by establishing linkages between society, technical infrastructure, and the bio‐physical environment; and (3) make policy and technology recommendations for improved water management. To conceptualize water management in Khorezm, the paper distinguishes three types of practices: formal practices, strategic practices, and discursive practices. Based on these, it presents an analysis of water management on the state water management level, the water user association level, and the farmer and field level. For each level, recommendations are given. The paper concludes that elements of integrated water resources management (IWRM) such as transparency, accountability, participation, and technical efficiency are relevant to improve water management in Khorezm, as elsewhere. In addition, it underlines the need to create legal space for agency and innovation. Technical tools such as models are increasingly important for facilitating transparency and enabling agents to access and make use of information across the management hierarchy.     

CONJUNCTIVE SURFACE AND GROUND WATER MANAGEMENT IN THE JAKARTA REGION,INDONESIA1

ABSTRACT: This study investigates the degree of economic inefficiency of the current institutional arrangements for surface and ground water management in meeting urban water demand in the Jakarta region. A numerical model of integrated surface and ground water management is developed using GAMS (General Algebraic Modelling System) software. The model maximizes the net present value of social benefits from piped water and ground water consumption across all users over time from 1999 to 2025. Four policy scenarios are examined: the status quo, the social planner's solution, and two ground water pumping quota scenarios: an aggregate ground water pumping quota and a partial quota applied to commercial and industrial users. Three variations in each policy scenario are considered: investment in water infrastructure of the Jakarta water enterprise (PAM Jaya), water demand growth, and discount rates. The status quo, depending on the investment option, the growth of water demand, and the discount rate, results in a 7.4 to 47.8 percent loss in economic efficiency relative to the social planner's solution. The partial quota is the most feasible, applicable, and manageable scenario. The optimal investment option could increase the volume of piped water supply and reduce the cost of water production. The volume of water delivery could increase by up to 156 percent, but it implies only a 35 percent increase in the surface raw water demands above the current level. However, it does not significantly reduce cumulative ground water extraction over the time period considered.     

Water Transactions for Streamflow Restoration,Water Supply Reliability,and Rural Economic Vitality in the Western United States

Across the western United States, environmental water transaction programs (EWTPs) restore environmental flows by acquiring water rights and incentivizing changes in water management. These programs have evolved over several decades, expanding from relatively simple two‐party transactions to multiobjective deals that simultaneously benefit the environment and multiple water‐using sectors. Such programs now represent an important water management tool and provide an impetus for collaboration among stakeholders; yet, most evaluations of their effectiveness focus exclusively on environmental outcomes, without adequate attention to impacts on other water users or local economies. To understand how these programs affect stakeholders, a systematic, multiobjective evaluation framework is needed. To meet this need, we developed a suite of environmental and socioeconomic indicators that can guide the design and track the implementation of water transaction portfolios, and we applied them to existing EWTPs in Oregon and Nevada. Application of the indicators quantifies impacts and helps practitioners design water transaction portfolios that avoid unintended consequences and generate mutually beneficial outcomes among environmental, agricultural, and municipal interests.     

THE EVOLUTION OF TEXAS WATER LAW AND THE IMPACT OF ADJUDICATION1

Texas' surface water law began its evolution during the Hispanic period of occupance. Later, the English riparian doctrine was adopted, and finally, in the late 1800's, the prior appropriation doctrine was superimposed, resulting in an exceedingly complex dual system. Though the judiciary, legislature, and state water agencies have wrestled with the problem of coordinating these diverse water rights and more accurately delineating and measuring riparian rights and water use since early in this century, until recently all attempts were unsuccessful. The unknown riparian element, in particular, made coordinated and efficient management and administration of the state's surface water resources impossible. Finally, measurable progress toward solution of these problems began in 1967 with passage of the Water Rights Adjudication Act, aimed at identifying all unrecorded surface water rights claims and eventually merging all claims into the permit system. This paper examines the gradual evolution of Texas' curious blend of Hispanic-English riparian rights and later appropriate rights; discusses the resultant problems of water resource administration; and traces the progress of the ongoing water rights adjudication, a lengthy, expensive, and complex procedure, which should eventually make possible more efficient administration of all surface water rights.     

WHO SHOULD MANAGE THE HIGH PLAINS AQUIFER? THE IRRIGATORS' PERSPECTIVE1

ABSTRACT: A state-local partnership exists in Colorado and Kansas with respect to management of the High Plains aquifer. This paper examines 330 irrigators' attitudes about the locus-of-control for different management activities in the High Plains-Ogallala region. Local control was preferred by most irrigators. The local district was most supported for 19 active management activities, whereas the state was favored for eight specific activities, primarily research efforts and water rights administration. Eight activities that had the potential for restricting water use were rejected in that irrigators indicated that no agency should be involved. Kansas and Colorado exhibited statistically significant preference differences for only five management options. A significantly higher percentage of those irrigators who preferred local control believed in sustainable management of the aquifer and aggressive groundwater management, and that their district served their interests.     

ECONOMIC INCENTIVES FOR WATER CONSERVATION ON THE MONTEREY PENINSULA: THE MARKET PROPOSAL1

ABSTRACT: Literatures on price‐based urban water conservation and on market‐based mechanisms to manage natural resources suggest that market‐based management of urban/suburban water use may be feasible. A market‐based proposal that emerged from a water shortage on California's Monterey Peninsula is presented. In the proposal, conservation incentives arise both from an ability among end‐users of water to reduce consumption and sell use‐rights to water, and from a penalty price for consumption in excess of one's use rights. The amount of water associated with use rights is capped and varies according to hydrological, meteorological, ecological, and other criteria. Requirements for further study of the proposal are listed, and the role that similar market‐based mechanisms could play in urban water management is discussed.