Western Water Markets: Effectiveness and Efficiency

Goemans, Christopher; Pritchett, James

doi:10.1007/978-94-017-9081-9_16

Cited by 13 publications

(13 citation statements)

References 7 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…The term “water market” defines a wide range of institutions that allow for the sale, transfer, or lease of water from one party to another (Anderson et al ; Brown ; Goemans and Pritchett ). Markets “effectively move goods from lower to higher valued uses, utilizing prices, contracts and self‐interest to do so” (Anderson et al :5).…”

Section: Water Access In Coloradomentioning

confidence: 99%

“…Markets “effectively move goods from lower to higher valued uses, utilizing prices, contracts and self‐interest to do so” (Anderson et al :5). Increased utilization of water markets has been advocated by policymakers and others as the best and most efficient mechanisms to transfer water from agriculture to other entities—and one that state institutions should facilitate (Anderson et al ; Bell and Taylor ; Culp, Glennon, and Libecap ; Goemans and Pritchett ; Western Governors Association [see Goemans and Pritchett :308]). In 1992, the Committee on Western Water Management for the National Research Council (1992:x) even framed water markets as inevitable tools: “It is time to move beyond discussions of whether water transfers in general are good or bad per se.…”

Section: Water Access In Coloradomentioning

confidence: 99%

“…This theoretically directs water toward its highest‐value use, remedying governance failures, and improving economic efficiency (Bakker ; Hermans, van Halsema, and Renault ). Advocates prefer water markets to other redistributive measures such as government regulation based on this argument of market efficiency (Goemans and Pritchett ). By allowing water to be shifted to the highest‐value use, economic theory asserts that this will produce the greatest benefits to society.…”

Section: Water Access In Coloradomentioning

confidence: 99%

“…Most of the sellers were irrigators (55 percent); municipalities were the largest group of buyers (37 percent) (Brown ). However, data on water transfers may be underreported (Brewer et al ) and vary widely across time, space, and type of water (Goemans and Pritchett ).…”

Section: Water Access In Coloradomentioning

confidence: 99%

“…Leases are used to access water on short or long‐term bases and do not involve transfers in ownership of the property right. Transfers are impacted by the location and timing of the transfer, the quantity of water both desired and available, and the priority, or how senior the water right is (Brewer et al ; Goemans and Pritchett ).…”

Section: Water Access In Coloradomentioning

confidence: 99%

See 4 more Smart Citations

Like Oil and Water in the American West: Water Market Access amid Unconventional Oil Production in Colorado

Malin

MacIlroy

2018

Rural Sociology

View full text Add to dashboard Cite

Characterized as a “wicked” problem, water shortage in the American West will soon become a reality—due to increasing population, climate change, and decreased flows. Concurrently, water‐centered technologies such as hydraulic fracturing and directional drilling have facilitated the rapid and widespread growth of unconventional oil and gas (UOG) production in the United States. Water markets are increasingly touted as the best, most efficient, and fairest mechanisms for allocating vital and scarce resources. Yet this contention is largely unexplored at the food‐energy‐water nexus, particularly from an environmental justice perspective—where equitable water access for all users is a central concern. We utilize a case study in Colorado's South Platte basin based on 41 in‐depth interviews to show: (1) distortions created in regional water markets as wealthy UOG operators participate in them and (2) ways in which access to water markets becomes blocked for smaller, newer, or water‐poor water users. We also highlight how UOG producers’ presence may inhibit the formation of alternative systems for water exchange. Thus, the participation of UOG operators in Colorado's water markets appears to drive environmental injustice and increased inequity at the food‐energy‐water nexus, rather than facilitating fair or efficient access to water for all users.

show abstract

Section: Water Access In Coloradomentioning

confidence: 99%

Section: Water Access In Coloradomentioning

confidence: 99%

Section: Water Access In Coloradomentioning

confidence: 99%

Section: Water Access In Coloradomentioning

confidence: 99%

Section: Water Access In Coloradomentioning

confidence: 99%

See 3 more Smart Citations

Like Oil and Water in the American West: Water Market Access amid Unconventional Oil Production in Colorado

Malin

MacIlroy

2018

Rural Sociology

View full text Add to dashboard Cite

show abstract

Water Markets

Meran¹,

Siehlow²,

Hirschhausen³

2020

The Economics of Water

View full text Add to dashboard Cite

Water Markets 5.1 Institutional, Hydrological and Infrastructural Preconditions 5.1.1 Design of Water Markets 5.1.1.1 Design Options Water markets are one possible institutional option to deal with water management. Currently, a few formal water markets are established in countries where water is scarce and governmental organization is fairly effective. The enforcement of basic laws and rules is essential for an effectively working formal water market, because they are needed for the registration of water rights and to specify conditions for the trading of water and water rights. Hirshleifer et al. (1969) illustrate in their reference, how water laws can promote or hinder the implementation of water markets. They focus their analysis on the riparian and appropriation rights regime in the United States. 1 There exist a number of legal preconditions for the promotion of water markets. Based on Endo et al. (2018), these are 1 Under the riparian water rights regime, the water is allocated among those who possess land along the water body. All landowners whose properties adjoin a water body have the right to make reasonable use of the water source as it flows through or over their properties. However, the appropriation water rights regime originated in California, during the time of Gold Rush (Grompe and Hansjürgens 2012). The idea of this right regime is that the first person who takes the water for beneficial use is allowed to continue the water usage of this quantity for that purpose. We can differ between the senior and junior water rights, with senior rights being emitted earlier than junior rights. The water is first allocated to the senior rights owner and afterward to the junior rights owner.

show abstract

Water Trading: An Introduction

Delacámara

Gómez

2015

Global Issues in Water Policy

View full text Add to dashboard Cite

Western Water Markets: Effectiveness and Efficiency

Cited by 13 publications

References 7 publications

Like Oil and Water in the American West: Water Market Access amid Unconventional Oil Production in Colorado

Like Oil and Water in the American West: Water Market Access amid Unconventional Oil Production in Colorado

Water Markets

Water Trading: An Introduction

Contact Info

Product

Resources

About