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The Economics of the Ruataniwha Dam – Is it the son of Clyde?


  • Fraser, P.J.
  • Ridler, B.J.
  • Anderson, W.J.


This paper examines the economics of proposed Ruataniwha Dam. The paper finds: 1. For private investors to get a commercial return implies a water price that is uneconomic to farmers. If this is the case, the dam requires a substantial subsidy. 2. If the intention is to facilitate high intensity dairy units, then simply subsidising maize silage or palm kernel exfoliator (PKE) is a simpler and more flexible option. 3. If the Dam was to proceed, it should do so as a farmer-owned and underwritten venture – as this would align commercial risk and reward underpinned by a tangible bottom-line.

Suggested Citation

  • Fraser, P.J. & Ridler, B.J. & Anderson, W.J., 2014. "The Economics of the Ruataniwha Dam – Is it the son of Clyde?," 2014 Conference, August 28-29, 2014, Nelson, New Zealand 187492, New Zealand Agricultural and Resource Economics Society.
  • Handle: RePEc:ags:nzar14:187492

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