Developing a water market readiness assessment framework

Water markets are increasingly proposed as a demand-management strategy to deal with water scarcity. Water trading arrangements, on their own, are not about setting bio-physical limits to water-use. Nevertheless, water trading that mitigates scarcity constraints can assist regulators of water resour...

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Hoofdauteurs: Wheeler, Sarah Ann, Loch, Adam, Crase, Lin, Young, Mike, Grafton, R. Quentin
Formaat: Online
Taal:Engels
Gepubliceerd in: Edward Elgar Publishing 2023
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Online toegang:https://directory.doabooks.org/handle/20.500.12854/98653
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author Wheeler, Sarah Ann
Loch, Adam
Crase, Lin
Young, Mike
Grafton, R. Quentin
author_browse Crase, Lin
Grafton, R. Quentin
Loch, Adam
Wheeler, Sarah Ann
Young, Mike
author_facet Wheeler, Sarah Ann
Loch, Adam
Crase, Lin
Young, Mike
Grafton, R. Quentin
author_sort Wheeler, Sarah Ann
collection Directory of Open Access Books
description Water markets are increasingly proposed as a demand-management strategy to deal with water scarcity. Water trading arrangements, on their own, are not about setting bio-physical limits to water-use. Nevertheless, water trading that mitigates scarcity constraints can assist regulators of water resources to keep water-use within limits at the lowest possible cost, and may reduce the cost of restoring water system health. While theoretically attractive, many practitioners have, at best, only a limited understanding of the practical usefulness of markets and how they might be most appropriately deployed. Using lessons learned from jurisdictions around the world where water markets have been implemented, this study attempts to fill the existing water market development gap and provide an initial framework (the water market readiness assessment (WMRA)) to describe the policy and administrative conditions/reforms necessary to enable governments/jurisdictions to develop water trading arrangements that are efficient, equitable and within sustainable limits. Our proposed framework consists of three key steps: 1) an assessment of hydrological and institutional needs; 2) a market evaluation, including assessment of development and implementation issues; and 3) the monitoring, continuous/review and assessment of future needs; with a variety of questions needing assessment at each stage. We apply the framework to three examples: regions in Australia, the United States and Spain. These applications indicate that WMRA can provide key information for water planners to consider on the usefulness of water trading processes to better manage water scarcity; but further practical applications and tests of the framework are required to fully evaluate its effectiveness.
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spelling doab-20.500.12854ir-986532023-03-22T12:08:50Z Developing a water market readiness assessment framework Wheeler, Sarah Ann Loch, Adam Crase, Lin Young, Mike Grafton, R. Quentin Water markets water trade water scarcity demand-side management economic instruments water accounting RNFD RNU KCN RND Water markets are increasingly proposed as a demand-management strategy to deal with water scarcity. Water trading arrangements, on their own, are not about setting bio-physical limits to water-use. Nevertheless, water trading that mitigates scarcity constraints can assist regulators of water resources to keep water-use within limits at the lowest possible cost, and may reduce the cost of restoring water system health. While theoretically attractive, many practitioners have, at best, only a limited understanding of the practical usefulness of markets and how they might be most appropriately deployed. Using lessons learned from jurisdictions around the world where water markets have been implemented, this study attempts to fill the existing water market development gap and provide an initial framework (the water market readiness assessment (WMRA)) to describe the policy and administrative conditions/reforms necessary to enable governments/jurisdictions to develop water trading arrangements that are efficient, equitable and within sustainable limits. Our proposed framework consists of three key steps: 1) an assessment of hydrological and institutional needs; 2) a market evaluation, including assessment of development and implementation issues; and 3) the monitoring, continuous/review and assessment of future needs; with a variety of questions needing assessment at each stage. We apply the framework to three examples: regions in Australia, the United States and Spain. These applications indicate that WMRA can provide key information for water planners to consider on the usefulness of water trading processes to better manage water scarcity; but further practical applications and tests of the framework are required to fully evaluate its effectiveness. Published 2023-03-22T12:08:48Z 2023-03-22T12:08:48Z 2021-08-06 chapter 9781788976923 https://directory.doabooks.org/handle/20.500.12854/98653 eng image/jpeg Attribution-NonCommercial-NoDerivatives 4.0 International https://www.e-elgar.com/shop/gbp/water-markets-9781788976923.html https://www.elgaronline.com/display/edcoll/9781788976923/9781788976923.00011.xml Edward Elgar Publishing Edward Elgar Publishing https://doi.org/10.4337/9781788976930.00011 https://doi.org/10.4337/9781788976930.00011 01ceac28-75b4-492a-8eec-f9b98bc6b28c 9781788976923 Edward Elgar Publishing 29 Cheltenham open access
spellingShingle Water markets
water trade
water scarcity
demand-side management
economic instruments
water accounting
RNFD
RNU
KCN
RND
Wheeler, Sarah Ann
Loch, Adam
Crase, Lin
Young, Mike
Grafton, R. Quentin
Developing a water market readiness assessment framework
title Developing a water market readiness assessment framework
title_full Developing a water market readiness assessment framework
title_fullStr Developing a water market readiness assessment framework
title_full_unstemmed Developing a water market readiness assessment framework
title_short Developing a water market readiness assessment framework
title_sort developing a water market readiness assessment framework
topic Water markets
water trade
water scarcity
demand-side management
economic instruments
water accounting
RNFD
RNU
KCN
RND
topic_facet Water markets
water trade
water scarcity
demand-side management
economic instruments
water accounting
RNFD
RNU
KCN
RND
url https://directory.doabooks.org/handle/20.500.12854/98653
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AT lochadam developingawatermarketreadinessassessmentframework
AT craselin developingawatermarketreadinessassessmentframework
AT youngmike developingawatermarketreadinessassessmentframework
AT graftonrquentin developingawatermarketreadinessassessmentframework