Weighing Up the Cost: Economic Impact of Water Scarcity and Environmental Targets

Lisa Lee, Tiho Ancev and Willem Vervoort

No 139878, 2006 Conference (50th), February 8-10, 2006, Sydney, Australia from Australian Agricultural and Resource Economics Society

Abstract: Over-allocation of irrigation water has led to widespread environmental degradation in the Murray-Darling Basin, prompting discussions of the water efficiency performance of irrigated industries, particularly cotton. There is increasing pressure for irrigators to adopt water efficient practices in line with ecologically sustainable principles, especially with current drought conditions. However, there is great uncertainty surrounding the available measures to improve irrigation efficiency from both ecological and economic standpoints. An integrated biophysical and economic modelling approach is used to determine the optimal allocation of water, irrigation system, source of water, and crop pattern, subject to various environmental and resource targets. Spatially referenced data are used to provide realistic results that are directly applicable to the case study basin in northern New South Wales (NSW). The results can assist in policy design and its implementation to achieve environmental objectives at least cost.

Keywords: Crop Production/Industries; Environmental Economics and Policy; Food Security and Poverty; Resource/Energy Economics and Policy (search for similar items in EconPapers)
Pages: 23
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/139878/files/2006_lee.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:aare06:139878

DOI: 10.22004/ag.econ.139878

Access Statistics for this paper

More papers in 2006 Conference (50th), February 8-10, 2006, Sydney, Australia from Australian Agricultural and Resource Economics Society Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().