Cost Recovery and Water Pricing for Irrigation and Drainage Projects

The objective of this paper is to develop guidelines for improving cost recovery and reducing water use per unit of output. The guidelines were developed from a review of studies of irrigation reforms and interviews of 20 World Bank staff members w...

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Main Authors: Easter, K. William, Liu, Yang
Format: Working Paper
Language:English
en_US
Published: Washington, DC : World Bank 2022
Subjects:
Online Access:http://documents.worldbank.org/curated/en/493201468135598958/Cost-recovery-and-water-pricing-for-irrigation-and-drainage-projects
http://hdl.handle.net/10986/37385
id okr-10986-37385
recordtype oai_dc
spelling okr-10986-373852022-05-05T05:10:38Z Cost Recovery and Water Pricing for Irrigation and Drainage Projects Easter, K. William Liu, Yang WATER PRICING COST RECOVERY IRRIGATION AND DRAINAGE AREA-BASED PRICING VOLUMETRIC PRICING WATER MARKETS GUIDELINES WATER USE REDUCTION FARMERS RESPONSIBILITY AUTONOMOUS ENTITY FEE STRUCTURE CONSERVATION AND REALLOCATION SELF-FINANCING ALTERNATIVE COST ALLOCATION The objective of this paper is to develop guidelines for improving cost recovery and reducing water use per unit of output. The guidelines were developed from a review of studies of irrigation reforms and interviews of 20 World Bank staff members with responsibility for irrigation sector reforms in countries from Asia to Latin America (names listed in Appendix 1). From these studies and interviews, we distilled specific reforms that are important in improving cost recovery or reducing water use, or both. Reforms needed by individual countries or projects will depend on their institutional arrangements as well as the type of irrigation and its physical condition. The second section of the paper begins by listing some reasons for low collections and provides an overview of some of the reforms that have raised collection rates. In the next section, the authors review cost-recovery principles and provide some examples of what different countries have done to recover project costs and collect water charges from users. The focus in the fourth section is on designing water charges or water markets that will give farmers an incentive to make better use of their water by reducing the amount of water used per unit of output. In the fifth section, case studies are used to determine what reforms can help improve cost recovery and increase collection rates. In addition, water pricing reforms are identified that will encourage farmers to reduce their water use per unit of output. The final section provides a summary of the reforms that are important for increasing cost recovery and encouraging farmers to improve their use of water. 2022-05-04T16:02:32Z 2022-05-04T16:02:32Z 2005 Working Paper http://documents.worldbank.org/curated/en/493201468135598958/Cost-recovery-and-water-pricing-for-irrigation-and-drainage-projects http://hdl.handle.net/10986/37385 English en_US Agriculture and Rural Development Discussion Paper;No.26 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC : World Bank Project Documents Publications & Research :: Working Paper
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic WATER PRICING
COST RECOVERY
IRRIGATION AND DRAINAGE
AREA-BASED PRICING
VOLUMETRIC PRICING
WATER MARKETS
GUIDELINES
WATER USE REDUCTION
FARMERS RESPONSIBILITY
AUTONOMOUS ENTITY
FEE STRUCTURE
CONSERVATION AND REALLOCATION
SELF-FINANCING
ALTERNATIVE COST ALLOCATION
spellingShingle WATER PRICING
COST RECOVERY
IRRIGATION AND DRAINAGE
AREA-BASED PRICING
VOLUMETRIC PRICING
WATER MARKETS
GUIDELINES
WATER USE REDUCTION
FARMERS RESPONSIBILITY
AUTONOMOUS ENTITY
FEE STRUCTURE
CONSERVATION AND REALLOCATION
SELF-FINANCING
ALTERNATIVE COST ALLOCATION
Easter, K. William
Liu, Yang
Cost Recovery and Water Pricing for Irrigation and Drainage Projects
relation Agriculture and Rural Development Discussion Paper;No.26
description The objective of this paper is to develop guidelines for improving cost recovery and reducing water use per unit of output. The guidelines were developed from a review of studies of irrigation reforms and interviews of 20 World Bank staff members with responsibility for irrigation sector reforms in countries from Asia to Latin America (names listed in Appendix 1). From these studies and interviews, we distilled specific reforms that are important in improving cost recovery or reducing water use, or both. Reforms needed by individual countries or projects will depend on their institutional arrangements as well as the type of irrigation and its physical condition. The second section of the paper begins by listing some reasons for low collections and provides an overview of some of the reforms that have raised collection rates. In the next section, the authors review cost-recovery principles and provide some examples of what different countries have done to recover project costs and collect water charges from users. The focus in the fourth section is on designing water charges or water markets that will give farmers an incentive to make better use of their water by reducing the amount of water used per unit of output. In the fifth section, case studies are used to determine what reforms can help improve cost recovery and increase collection rates. In addition, water pricing reforms are identified that will encourage farmers to reduce their water use per unit of output. The final section provides a summary of the reforms that are important for increasing cost recovery and encouraging farmers to improve their use of water.
format Working Paper
author Easter, K. William
Liu, Yang
author_facet Easter, K. William
Liu, Yang
author_sort Easter, K. William
title Cost Recovery and Water Pricing for Irrigation and Drainage Projects
title_short Cost Recovery and Water Pricing for Irrigation and Drainage Projects
title_full Cost Recovery and Water Pricing for Irrigation and Drainage Projects
title_fullStr Cost Recovery and Water Pricing for Irrigation and Drainage Projects
title_full_unstemmed Cost Recovery and Water Pricing for Irrigation and Drainage Projects
title_sort cost recovery and water pricing for irrigation and drainage projects
publisher Washington, DC : World Bank
publishDate 2022
url http://documents.worldbank.org/curated/en/493201468135598958/Cost-recovery-and-water-pricing-for-irrigation-and-drainage-projects
http://hdl.handle.net/10986/37385
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