Regulating Water Use in Commercial Forestry in South Africa: Concerns, Issues and Visions

D.D. Tewari
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D.D. Tewari: Professor, School of Economics, University of KwaZulu-Natal, Durban, South Africa. E-mail: Tewari@ukzn.ac.za. An earlier version of this paper was presented at the conference on Decision Support Systems for Water Resources Management at Snowbird, Utah, USA, 27–30 June 2001.

Journal of Interdisciplinary Economics, 2004, vol. 15, issue 3-4, 323-339

Abstract: Commercial forestry in South Africa generates a considerable amount of foreign exchange and employment. It is hence considered as one engine of growth of the economy and has enjoyed a special status in the past. However, the success of the industry is based on its use of water. The industry uses some 8% of utilizable available water in the country but does not pay for it. The National Water Act of 1998 treats water as a strategic resource and demands that it should be priced. This has sparked a debate on the issue of water use and pricing in the commercial forestry sector. Should the industry pay for water or rainfall as it reduces run-off to the disadvantage of downstream users? This article explores the historical debate on water use regulation and its effectiveness and discusses the current attempts to address the issue of efficient water use in the commercial forestry industry.

Date: 2004
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Persistent link: https://EconPapers.repec.org/RePEc:sae:jinter:v:15:y:2004:i:3-4:p:323-339

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