Water Pricing: Issues and options in Turkey, with Rajiv K. Gupta (original) (raw)
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Irrigation water pricing policies and water resources management
As water is a state subject in India, an enormous variation of irrigation water pricing across the states is noticed. Revenue collection under irrigation water charges of the states is not encouraging. The present paper reviews the structures of water pricing mechanism in different states of India and suggests a way to achieve sustainable water resources management in India. Various reports, water policy documents, and major recommendations of the irrigation commission were reviewed and analyzed. It was observed that low revenue collection is mainly due to the low rate of water taxes, no periodic revision, and flaws in the current revenue collection mechanism across the states. The water regulatory authority should be made a statutory body to manage various water uses and their fair pricing. A volumetric pricing system can be implemented in wells and tube-well-irrigated areas and for surface irrigation, and this requires considerable investment in irrigation water supply infrastructure and development of operational plans. Until a well-developed volumetric system comes into practice, the current system of revenue assessment and collection must be rationalized and simplified. An appropriate power tariff policy for rural areas and inclusion of the irrigation sector in a ground water conservation fee is required.
The Lifetime of an Idea 5 3. Financial autonomy. 'The way in which fees are assessed, collected and expended is more important than the actual level of fees in improving system efficiency and effectiveness. The most critical factor is the level of fiscal autonomy of the irrigation agency, i.e. the extent to which the level of its operating budget is tied to the amount of revenue generated by irrigation systems operations. This provides an incentive for cost-effective goaloriented performance that is otherwise often weak or lacking' . 4. Contextualized cost recovery. The principle of charging for water should be contextualized to consider ability to pay and the overall taxation of agriculture, indirect charges often providing an indirect (but straightforward) means to recover investment costs. Cost of collection needs to be evaluated carefully, price structures tailored to the particular situation and prices indexed. The evaluation of what should be the ideal level of O&M activities should receive more attention.
Valuation and pricing of irrigation water: an analysis in Greek agricultural areas
Greece is a typical Southern European country in which the agricultural sector is the major consumer of water, a fact that has potential impacts on the water resources efficient allocation and management. The record-high percentage of the agricultural water use at the national level, together with a fairly loose system of water management, point out that there is a certain need for reform in related policies, including the pricing system for the provision of water services to agriculture uses. The paper presents current information and figures regarding the overall situation of irrigated agriculture in Greece and its relation to water management issues. It also illustrates a number of case studies pertinent to this sectoral water economy. A common element in all these studies is the application of appropriate methodologies that aim at valuating water for irrigation and assessing current and potential future systems of agricultural water pricing. In face of the prospect of Greece con...
Irrigation water pricing: the gap between theory and practice
2007
The Lifetime of an Idea 5 3. Financial autonomy. 'The way in which fees are assessed, collected and expended is more important than the actual level of fees in improving system efficiency and effectiveness. The most critical factor is the level of fiscal autonomy of the irrigation agency, i.e. the extent to which the level of its operating budget is tied to the amount of revenue generated by irrigation systems operations. This provides an incentive for cost-effective goaloriented performance that is otherwise often weak or lacking' . 4. Contextualized cost recovery. The principle of charging for water should be contextualized to consider ability to pay and the overall taxation of agriculture, indirect charges often providing an indirect (but straightforward) means to recover investment costs. Cost of collection needs to be evaluated carefully, price structures tailored to the particular situation and prices indexed. The evaluation of what should be the ideal level of O&M activities should receive more attention.
Pricing irrigation water: a review of theory and practice
Water Policy, 2002
Increasing economic pressures on water resources are causing countries to (re)consider various mechanisms to improve water use efficiency. This is especially true for irrigation agriculture, a major consumer of water. “Getting prices right” is seen as one way to allocate water, but how to accomplish this remains a debatable issue. Methods of allocating water are sensitive to physical, social, institutional
Pricing Irrigation Water in Developing Countries
Journal of the American Water Resources Association, 1983
Alternative combinations of water pricing and regulations are possible in allocating irrigation water. The best combination will depend on the value of water, ability to control deliveries, desire t o subsidize agriculture, ownership traditions, crops grown, return flows, drainage problems, staff training, ability to collect fees, the number of farmers involved, etc. Marginal cost pricing is just one possible alternative and it is more a way of thinking about prices rather than a set system. The possibilities for achieving an equitable and efficient distribution of water are improved if some form of marginal cost pricing is included in the system of water charges.
Water pricing issues in countries with water deicit
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In the Mediterranean countries water management is not only a matter of setting the price of water, but also of securing the availability of water. In Cyprus, water supply is based on rainfall that is becoming less and less with time. Water pricing should take into account covering the primary costs for the acquisition of water such as the cost of the distribution networks, running costs for pumps, and the intended use of the water (agriculture, industry, tourism, households and so on). Households have the right to be supplied with water of good quality at reasonably low prices. Water used for industry and other economic activities should be priced at its real cost, increased by an "availability factor" that takes into account the available water reserves of the country. A good water policy should promote issues such as: saving water in all sectors of economy and preventing irrational water use (through proper water pricing schemes, etc.); minimizing distribution network l...
Effective Drinking Water Pricing, A Case Study of Arak City
آب و فاضلاب, 2017
Drinking water pricing is a major challenge facing the water and wastewater industry in Iran where decisions of water pricing are essentially based on social, legal, administrative, and financial criteria with only a slight heed, if any, paid to economic considerations. Generally speaking, the price of water in Iran reflects a percentage fraction of the costs of water production and distribution while an economterically efficient model of water pricing is absent. This failure to account for economic considerations in water pricing has turned water into a commodity supplied either at a very low price or free of charge in cases. The current situation of water scarcity which is complicated by a multitude of environmental problems can only be ascribed to the present water pricing policies. It is, therefore, essential for the water sector to employ economic tools, adopt relevant approaches, and execute optimized strategic policies in an attempt to reduce the negative impacts of the immin...