Supply-based water pricing in a conjunctive use system: implications for resource and energy use

Schuck, Eric C.; Green, Gareth P.

doi:10.1016/s0928-7655(01)00057-4

Cited by 35 publications

(25 citation statements)

References 12 publications

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“…The questions addressed are varied and numerous. Hirshleifer et al, 1960Ryordan, 1971Dandy et al, 1984Zarnikau, 1994Chambouleyron, 2003 Seasonal or temporal variations Gisy and Loucks, 1971Riley and Scherer, 1979Manning and Gallagher, 1982Dandy et al, 1984Zarnikau, 1994Elnaboulsi, 2001Schuck and Green, 2002 Capacity constraints or expansion decisions (Peak-load pricing) Hirshleifer et al, 1960Ryordan, 1971Gysi and Loucks, 1971Riley and Scherer, 1979Manning and Gallagher, 1982Zarnikau, 1994Elnaboulsi, 2001 Griffin, 2001 Scarcity Moncur and Pollock, 1988Zarnikau, 1994Elnaboulsi, 2001Griffin, 2001Schuck and Green, 2002 Revenue requirements Hirshleifer et al, 1960Freedman, 1986Collinge, 1992Zarnikau, 1994Kim, 1995Griffin, 2001Schuck and Green, 2002 Optimal number of metered connections Barrett and Sinclair, 1999Griffin, 2001Chambouleyron, 2003 Efficiency of block tariffs Gisy andLoucks, 1971 Elnaboulsi, 2001 Second-best pricing Kim, 1995Elnaboulsi, 2001Schuck and Green, 2002 Optimal derivation of nonlinear pricing schemes Elnaboulsi, 2001 Customer heterogeneity ...…”

Section: Water Pricing Modelsmentioning

confidence: 99%

Water Pricing Models: a survey

Monteiro¹

2005

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This paper surveys water pricing models, highlighting some important results. Efficiency requires marginal cost pricing. Intra-annual price changes or customer differentiation to reflect differences in marginal costs can enhance efficiency. A marginal cost pricing mechanism may signal the value that consumers attribute to further capacity expansions as the water supply system approaches its capacity limit and marginal cost rises. However, pure marginal cost pricing may not be feasible while respecting a revenue requirement because marginal costs may be higher or lower than average costs. The most common ways of combining efficiency and revenue requirements are through the use of two-part tariffs, adjusting the fixed charge to meet the revenue requirement, or through second-best pricing like Ramsey pricing. It is not evident whether the best scheme is a two-part tariff or some other pricing mechanism. The role of block rate pricing, increasingly more frequent in actual pricing practices, is yet to be fully investigated.Keywords: water pricing models; capacity constraints; scarcity; revenue requirements; secondbest pricing; block rate pricing JEL Classification: L95, Q25.

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Section: Water Pricing Modelsmentioning

confidence: 99%

Water Pricing Models: a survey

Monteiro¹

2005

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“…Some studies show that it is possible to increase welfare by using pricing to implement a conjunctive management strategy in which price signals encourage surface water use during wet years and groundwater use during dry years (e.g. Schuck and Green 2002;Riegels et al 2013). In other cases, changes in surface water prices and costs affect the relative value of groundwater, reflecting on pumping patterns, operating costs and groundwater storage.…”

Section: Economic and Hydrologic Tradeoffs Of Conjunctive Usementioning

confidence: 99%

Hydroeconomic Models as Decision Support Tools for Conjunctive Management of Surface and Groundwater

Pulido-Velázquez

Marques

Harou

et al. 2016

Integrated Groundwater Management

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Conjunctive use (CU) of surface and groundwater storage and supplies is essential for integrated water management. It is also a key strategy for supporting groundwater-dependent ecosystems, and for adapting water systems to future climate and land use changes. CU has become increasingly sophisticated and integrated with other innovative and traditional water management techniques, such as water transfers, water reuse, demand management, and aquifer remediation. CU adds value for society (increasing average yield and reliability) but can also induce costs to some parties, such as damaging senior water rights of surface water users when pumping from the aquifer reduces streamflow. Groundwater overexploitation also can produce a host of undesirable economic and environmental impacts. Successful CU implementation typically requires changes in infrastructure and operations, but also changes in institutions and institutional arrangements to offset potential third party costs and protect ecosystems. This chapter analyses first the management and economic implications of CU,

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“…Environmental water price ( E P ) refers to the impact of water intaking on water ecology, and the used water discharged pollute others or public water environment, that is the cost of controlling pollution and protecting environment [33]. This study considers that the environmental water price is composed of three parts: 1) sewage treatment fee ( S P ); 2) the compensation for the impact of water intaking on ecological water, which is reflected as ecological water price; 3) Waste water discharged exceeds the water environment capacity, that is the compensation for the damage to the water quality, which is reflected as maintenance fees of water quality.…”

Section: The Calculation Of Environmental Water Pricementioning

confidence: 99%

Environmental Water Price Based on Water Environment Capacity and Ecological Water Consumption: A Case Study of Hefei

Duan¹,

Liu²,

Ren³

et al. 2016

GEP

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With the development and reform of water price policy, the most common view is that the total cost of water price can reflect the tradable traits of water resources, which can enhance the water use efficiency and achieve water resources sustainable utilization. Besides in actual pricing operation, from the angle of protection cost, water price characterizes the cost of controlling pollution and protecting water environment. Based on the two factors of water environment capacity and ecological water consumption embodied by the environment water price, this paper puts forward an effective environmental water price calculation model based on three elements of sewage treatment fee, ecological water price and water quality maintenance fee. And this paper takes the data of Hefei as an example, calculates reasonable environmental price, comparing which with the existing price, and finds the main existing problem which needs to be solved urgently in management.

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Supply-based water pricing in a conjunctive use system: implications for resource and energy use

Cited by 35 publications

References 12 publications

Water Pricing Models: a survey

Water Pricing Models: a survey

Hydroeconomic Models as Decision Support Tools for Conjunctive Management of Surface and Groundwater

Environmental Water Price Based on Water Environment Capacity and Ecological Water Consumption: A Case Study of Hefei

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