IDEAS home Printed from https://ideas.repec.org/p/fpr/eptddp/141.html
   My bibliography  Save this paper

Water pricing and valuation in Indonesia: case study of the Brantas River Basin

Author

Listed:
  • Rodgers, Charles
  • Hellegers, Petra J.G.J.

Abstract

"The increasing demand for water and limited degree of cost recovery for irrigation water delivery are important challenges for policymakers in Indonesia. To meet the increasing demand for water, it is important to reduce water use in irrigated paddy cultivation, long the dominant consumptive user, and to divert water away from agriculture to domestic and industrial sectors. Reducing water use in irrigated agriculture can be achieved through various means, including rationing, improved user management, and water markets. The appropriate method depends on the situation specific to each basin. In the Brantas Basin in East Java, rationing is already practiced, but often leaves the non-licensed, (non-paying) irrigators with insufficient supplies. Moreover, very low irrigation service fee recovery rates hamper ongoing water sector reforms, which seek to strengthen the capacity of local institutions to co-manage water resources. In the Brantas Basin the average value of water in the production of important irrigated crops substantially exceeds estimated water supply costs and current ISF. However, increased water use fees would impose a substantial burden on farm economic welfare, while water savings would be relatively modest. Therefore, to conserve water and enhance the financial autonomy of irrigators alternative management systems are proposed, including ‘Integrated Crop and Resource Management' and a water brokerage mechanism." Authors' Abstract

Suggested Citation

  • Rodgers, Charles & Hellegers, Petra J.G.J., 2005. "Water pricing and valuation in Indonesia: case study of the Brantas River Basin," EPTD discussion papers 141, International Food Policy Research Institute (IFPRI).
  • Handle: RePEc:fpr:eptddp:141
    as

    Download full text from publisher

    File URL: http://www.ifpri.org/sites/default/files/publications/eptdp141.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Rosegrant, Mark W. & Kasryno, Faisal & Perez, Nicostrato D., 1998. "Output response to prices and public investment in agriculture: Indonesian food crops," Journal of Development Economics, Elsevier, vol. 55(2), pages 333-352, April.
    2. Bouman, B. A. M. & Tuong, T. P., 2001. "Field water management to save water and increase its productivity in irrigated lowland rice," Agricultural Water Management, Elsevier, vol. 49(1), pages 11-30, July.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Institutions; Irrigation Economic aspects; Prices; Cost recovery; Water Prices;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fpr:eptddp:141. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://edirc.repec.org/data/ifprius.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.