Combining remote sensing and economic analysis to support decisions that affect water productivity |
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| Authors: | P J G J Hellegers R Soppe C J Perry W G M Bastiaanssen |
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| Institution: | (1) LEI-Wageningen UR, P.O. Box 29703, 2502 LS The Hague, The Netherlands;(2) WaterWatch, Generaal Foulkesweg 28, 6703 BS Wageningen, The Netherlands;(3) Delft University of Technology, Stevinweg 1, 2600 GA Delft, The Netherlands |
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| Abstract: | In this paper, an innovative method—that combines a technical and socio-economic analysis—is presented to assess the implications
of policy decisions on water productivity. In the technical part, the variability in crop water productivity (CWP) is analyzed
on the basis of actual water consumption and associated biomass production using the Surface Energy Balance Algorithm for
Land (SEBAL). This generates input for the socio-economic analysis, which aims to quantify the foregone economic water productivity
(EWP) of policy decisions to allocate water in a social optimal way. The basis for arguments to transfer water between categories
of users will be strengthened and be more objective when the productivity in existing and alternative uses is known. The usefulness
of such an approach is shown in the South African part of the Inkomati Basin, where according to the Water Act, water has
to be reserved for basic human needs and to protect aquatic ecosystems. The opportunity costs, in terms of foregone EWP, of
decisions to divert water away from agriculture are assessed. The results show that diverting water away from crops with a
low CWP is not always the most cost-effective way in terms of foregone EWP.
This paper is written in the framework of ‘A demonstration project in the Inkomati Basin’ (Soppe et al. 2006) funded by the ‘Partners for Water II’ program of the Dutch government.
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