Water Markets in Chile: Are They Meeting Needs?

2014 ◽  
pp. 103-126 ◽  
Author(s):  
Robert Hearne ◽  
Guillermo Donoso
Keyword(s):  
Water Markets

Use competition and water exchange in Marina Baja district, Alicante, Spain

2005 ◽  
Vol 5 (3-4) ◽  
pp. 265-272 ◽  
Author(s):  
T.T. Martí
Keyword(s):  
Water Exchange ◽  
Citrus Fruit ◽  
Water Markets ◽  
Tourist Industry ◽  
Related Services ◽  
Integrated Water Management ◽  
The North ◽  
Increasing Demand ◽  
Water Problems ◽  
Water Uses

The water problems in Marina Baja district, located in the north of Alicante Province, southeast Spain, gives rise to very interesting practices in the management of this scarce resource. The key issue in water use both in the Júcar Catchment and in Marina Baja district is the growing demand for water in inland areas for intensive crop irrigation (principally fruit, medlars and citrus fruit) and the growth in demand for water for urban use, as well as for use in the tourist industry and its related services mainly in the towns in the coastal areas, due to strong growth in tourism. This trend of increasing demand has created a tense situation as well as conflict between existing water uses and the need for integrated water management in the area. This step implies that procedures for water exchange contracts have to be developed, that are significantly different from emerging water markets.

Is the water permit system a panacea or a bed of inefficiency? The case of South Africa

Water Policy ◽  
2013 ◽  
Vol 15 (4) ◽  
pp. 570-584 ◽  
Author(s):  
Devi Datt Tewari ◽  
Saidou Baba Oumar
Keyword(s):  
South Africa ◽  
Water Distribution ◽  
Water Markets ◽  
Water Management System ◽  
Administrative Costs ◽  
System A ◽  
Access To Water ◽  
License System ◽  
Institutional Efficiency

Although South Africa has adopted a very modern permit/license system to control access to water as a resource, the attainment of the lofty objectives (efficiency, equity and sustainability) of the National Water Act of 1998 depends on two critical factors: (1) the institutional efficiency of the water management system; and (2) the development of water markets and their efficient functioning. This study lists a number of concerns that the Act is not geared to resolve efficiently or in a timely manner. These concerns include the high administrative costs of implementation, poor incentives for long-term investments, bureaucratic inefficiency, practical problems in water pricing and adaptability to climate change threat. There is a need to re-think the ways and means with which to make water distribution more efficient in the country. One possible solution would be to develop water markets in the country.

Determinants of water purchases by pistachio producers in an informal groundwater market: a case study from Iran

Water Policy ◽  
2015 ◽  
Vol 18 (3) ◽  
pp. 599-618 ◽  
Author(s):  
Tinoush Jamali Jaghdani ◽  
Bernhard Brümmer
Keyword(s):  
Water Allocation ◽  
Field Survey ◽  
Water Markets ◽  
Factors Affecting ◽  
Marginal Value ◽  
Socioeconomic Characteristics ◽  
Participation Decision ◽  
Eastern Iran ◽  
Scarce Water

Market-based water allocation systems have the potential to ensure that scarce water will flow to the user who earns the highest marginal value from that water. However, the number of recorded instances where water supply problems are solved by market-based systems remains limited. This study attempts to identify the decisive factors that motivate farmers’ participation in informal spot water markets in the Rafsanjan aquifer in south-eastern Iran. A two-stage random sampling was carried out in a field survey from November 2008 to February 2009. A logit model is used to test the factors affecting farmers’ decisions to buy groundwater from neighbours who share the same pump. The results show that the technological variables contribute substantially to the participation decision. For example, a decrease in water quality, an increase in the age of the garden, and an increase in the size of the water quota reduce the probability of participation. In contrast, more scattered plots, a higher water flow level from pumping, and a deeper well increase the probability of participation in water markets. Finally, the results suggest that in this area, the participation in water markets is motivated more by profit increasing factors than by farmer socioeconomic characteristics.

Improving water markets in Spain: Lesson-drawing from the Murray-Darling Basin in Australia

2022 ◽  
Vol 259 ◽  
pp. 107224
Author(s):  
Sara Palomo-Hierro ◽  
Adam Loch ◽  
C. Dionisio Pérez-Blanco
Keyword(s):  
Water Markets ◽  
Murray Darling Basin ◽  
Lesson Drawing

Modelli economici di allocazione delle risorse idriche: l'analisi del mercato cileno dei water rights

2009 ◽  
pp. 37-68
Author(s):  
Chiara Redaelli
Keyword(s):  
Water Policy ◽  
Water Rights ◽  
Water Markets ◽  
Efficient Allocation ◽  
Tradeable Permits ◽  
Market Mechanisms ◽  
Potential Benefits ◽  
Wide Scale ◽  
The Many ◽  
Jel Classifications

Market instruments have been often proposed with the aim of improving the efficient allocation of use rights over natural resources. This article analyzes the potential of market mechanisms in the field of water resources and focuses attention on the experience of Chile, one of the few cases in which water markets have been implemented on a wide scale. Evidence from the Chilean case is discussed in order to verify theoretical hypotheses and to outline the potential benefits but also the many drawbacks of these instruments.Key words: Water policy, water markets, tradeable permits.JEL classifications: Q25, Q58.Parole chiave: Risorse idriche, mercati ambientali, permessi trasferibili.

scholarly journals Production choices with water markets and risk aversion: the role of initial allocations and forward trading

2018 ◽  
Vol 46 (4) ◽  
pp. 579-608 ◽  
Author(s):  
Philippe Bontems ◽  
Céline Nauges
Keyword(s):  
Irrigation Water ◽  
Weather Conditions ◽  
Water Markets ◽  
Initial Water ◽  
Production Risk ◽  
Net Returns ◽  
Murray Darling Basin ◽  
Forward Trading ◽  
Allocation Decisions

Abstract We develop a theoretical model that describes risk-averse farmers’ decisions when facing production risk due to uncertain weather conditions and when irrigation water can be traded on a market. We focus on the role of initial water allocations granted to irrigated farms at the start of the season. The presence of water markets makes the future water price uncertain and hence the value of initial water allocations uncertain. We analyse the properties of this background risk and study how initial water allocations impact farmers’ land allocation decisions between an irrigated crop and a non-irrigated crop, both characterised by random expected net returns. We then extend the model by permitting irrigation water to be traded ex-ante at a known price (forward market). Finally, we illustrate our main theoretical findings using simulations. We calibrate distributions of the random variables based on observed data from the Murray–Darling Basin in Australia where a water market has been in place for several decades.

Sign in / Sign up

Export Citation Format

Share Document