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Modelling the Cost of Irrigator Response to Lower River Murray Salinity

Author

Listed:
  • Chambers, Adam
  • Connor, Jeff
  • King, Darran

Abstract

This paper reports on an analysis of irrigator water demand and profit changes across varying annual water availability, crop water requirements, and river salinity conditions for irrigation along the South Australian portion of the Lower Murray. The paper also investigates the validity of the current relationship between salinity of irrigation water and irrigated crop yield underlying MDBC salinity offset investments. The assumption implicit in the current MDBC net benefits formula may be mis-specified in that the possibility to avoid yield loss with additional leaching is not accounted for. This paper reports how that mis-specification, that irrigators would simply accept yield losses, leads to overstatement of the benefits of actions to decrease salinity.

Suggested Citation

  • Chambers, Adam & Connor, Jeff & King, Darran, 2006. "Modelling the Cost of Irrigator Response to Lower River Murray Salinity," 2006 Conference (50th), February 8-10, 2006, Sydney, Australia 174468, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare06:174468
    DOI: 10.22004/ag.econ.174468
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    File URL: https://ageconsearch.umn.edu/record/174468/files/2006_connorchambers.pdf
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    References listed on IDEAS

    as
    1. Jeffery Connor, 2003. "Reducing the cost of South Australia of achieving agreed salinity targets in the River Murray," Natural Resource Management Economics 03_005, Policy and Economic Research Unit, CSIRO Land and Water, Adelaide, Australia.
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    4. Connor, Jeffery D., 2004. "Market based policy for River Murray salinity," 2004 Conference (48th), February 11-13, 2004, Melbourne, Australia 58396, Australian Agricultural and Resource Economics Society.

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