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Optimal Conjunctive Use of Surface and Groundwater with Recharge and Return Flows: Dynamic and Spatial Patterns

Author

Listed:
  • Sittidaj Pongkijvorasin

    (Department of Economics, University of Hawaii at Manoa)

  • James Roumasset

    (Department of Economics, University of Hawaii at Manoa)

Abstract

This paper derives the efficiency price patterns for a comprehensive spatial and dynamic model of conjunctive water use incorporating conveyance losses, canal return flows, and groundwater recharge. The first-best shadow price of surface water is composed of a charge for water that flows into the farm and differential credits for water that flows to other uses. The shadow prices can be used as the basis of water pricing schemes or for exchange rates to facilitate water trading. We show that farmers near the headworks use irrigation water in the optimal program, and only farmers more distant from the headworks extract groundwater. We also illustrate the possibility of reswitching in the sequence of resource use. It may be efficient for some farms to switch from one source to another and then switch back again, e.g. groundwater to surface water to groundwater.

Suggested Citation

  • Sittidaj Pongkijvorasin & James Roumasset, 2007. "Optimal Conjunctive Use of Surface and Groundwater with Recharge and Return Flows: Dynamic and Spatial Patterns," Working Papers 200704, University of Hawaii at Manoa, Department of Economics.
    • Handle: RePEc:hai:wpaper:200704
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    File URL: http://www.economics.hawaii.edu/research/workingpapers/WP_07-4.pdf
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    References listed on IDEAS

    as
    1. Easter, K William & Rosegrant, Mark W & Dinar, Ariel, 1999. "Formal and Informal Markets for Water: Institutions, Performance, and Constraints," The World Bank Research Observer, World Bank, vol. 14(1), pages 99-116, February.
    2. Darrell Krulce & James A. Roumasset & Tom Wilson, 1997. "Optimal Management of a Renewable and Replaceable Resource: The Case of Coastal Groundwater," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(4), pages 1218-1228.
    3. Chakravorty, Ujjayant & Umetsu, Chieko, 2003. "Basinwide water management: a spatial model," Journal of Environmental Economics and Management, Elsevier, vol. 45(1), pages 1-23, January.
    4. Johnson, Ronald N & Gisser, Micha, 1981. "The Definition of a Surface Water Right and Transferability," Journal of Law and Economics, University of Chicago Press, vol. 24(2), pages 273-288, October.
    5. Gerard Gaudet & Michel Moreaux & Stephen W. Salant, 2001. "Intertemporal Depletion of Resource Sites by Spatially Distributed Users," American Economic Review, American Economic Association, vol. 91(4), pages 1149-1159, September.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Alberto Garrido, 2007. "Discussion of "Optimal Conjunctive Use of Surface and Groundwater with Recharge and Return Flows: Dynamic and Spatial Patterns"," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(3), pages 552-554.
    2. Hubert Stahn & Agnes Tomini, 2014. "On the Environmental Efficiency of Water Storage: The Case of a Conjunctive Use of Ground and Rainwater," Working Papers halshs-01083461, HAL.
    3. Stahn, Hubert & Tomini, Agnes, 2021. "Externality and common-pool resources: The case of artesian aquifers," Journal of Environmental Economics and Management, Elsevier, vol. 109(C).
    4. repec:hae:wpaper:2012-5 is not listed on IDEAS
    5. Raphaël Soubeyran & Mabel Tidball & Agnes Tomini & Katrin Erdlenbruch, 2015. "Rainwater Harvesting and Groundwater Conservation: When Endogenous Heterogeneity Matters," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 62(1), pages 19-34, September.
    6. James Roumasset & Christopher Wada, 2012. "The Economics of Groundwater," Working Papers 201211, University of Hawaii at Manoa, Department of Economics.
    7. James Roumasset & Christopher Wada, 2014. "Groundwater Economics without Equations," Working Papers 2014-8, University of Hawaii Economic Research Organization, University of Hawaii at Manoa.
    8. Katrin Erdlenbruch & Raphael Soubeyran & Mabel Tidball & Agnes Tomini, 2012. "(Anti-)Coordination Problems with Scarce Water Resources," Working Papers 12-28, LAMETA, Universtiy of Montpellier, revised Sep 2012.

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    More about this item

    Keywords

    water management; conjunctive use; irrigation; return flows; conveyance loss; consumptive use; sequence of resource use;
    All these keywords.

    JEL classification:

    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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