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Microeconomic analysis of irrigation efficiency improvement in water use and water consumption

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  • Berbel, Julio
  • Gutierrez-Marín, Carlos
  • Expósito, Alfonso

Abstract

Increasing irrigation efficiency has been suggested as a solution in water scarce areas but its potential rebound effect (increased ex-post water consumption) is receiving growing attention; paradoxically, although improved irrigation efficiency may reduce water use, it may also increase water consumption. This paper undertakes an analytical review of the microeconomic foundations of the effects of water-saving investments and the resulting irrigation efficiency on water use and consumption. Moreover, it analyses the relationship between irrigation efficiency, water demand and water pricing. Findings show that improving efficiency would significantly reduce water use, though the impact on water consumption would be negligible even if there is a radical increase in water cost. Thus, the potential rebound effect would not be related to irrigation efficiency, but rather to other factors such as irrigated area expansion, crop-mix changes, and market forces.

Suggested Citation

  • Berbel, Julio & Gutierrez-Marín, Carlos & Expósito, Alfonso, 2018. "Microeconomic analysis of irrigation efficiency improvement in water use and water consumption," Agricultural Water Management, Elsevier, vol. 203(C), pages 423-429.
    • Handle: RePEc:eee:agiwat:v:203:y:2018:i:c:p:423-429
    DOI: 10.1016/j.agwat.2018.02.026
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    References listed on IDEAS

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    1. Julio Berbel & Carlos Gutiérrez-Martín & Juan Rodríguez-Díaz & Emilio Camacho & Pilar Montesinos, 2015. "Literature Review on Rebound Effect of Water Saving Measures and Analysis of a Spanish Case Study," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 29(3), pages 663-678, February.
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    2. Cai, Wenjuan & Jiang, Xiaohui & Sun, Haotian & Lei, Yuxin & Nie, Tong & Li, Lichan, 2023. "Spatial scale effect of irrigation efficiency paradox based on water accounting framework in Heihe River Basin, Northwest China," Agricultural Water Management, Elsevier, vol. 277(C).
    3. Hristov, Jordan & Barreiro-Hurle, Jesus & Salputra, Guna & Blanco, Maria & Witzke, Peter, 2021. "Reuse of treated water in European agriculture: Potential to address water scarcity under climate change," Agricultural Water Management, Elsevier, vol. 251(C).
    4. Borrego-Marín, María M. & Berbel, J., 2019. "Cost-benefit analysis of irrigation modernization in Guadalquivir River Basin," Agricultural Water Management, Elsevier, vol. 212(C), pages 416-423.
    5. Ahmad Hamidov & Ulan Kasymov & Kakhramon Djumaboev & Carsten Paul, 2022. "Rebound Effects in Irrigated Agriculture in Uzbekistan: A Stakeholder-Based Assessment," Sustainability, MDPI, vol. 14(14), pages 1-15, July.

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