Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes

The pressure on an already stressed water situation in South Africa is predicted to increase significantly under climate change, plans for large industrial expansion, observed rapid urbanization, and government programs to provide access to water t...

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Bibliographic Details
Main Authors: Hassan, R., Thurlow, J., Roe, T., Diao, X., Chumi., S., Tsur, Y.
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2008/11/9993285/macro-micro-feedback-links-water-management-south-africa-cge-analyses-selected-policy-regimes
http://hdl.handle.net/10986/6903
id okr-10986-6903
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ACCESS TO WATER
AGRICULTURAL ACTIVITIES
AGRICULTURAL ECONOMY
AGRICULTURAL EMPLOYMENT
AGRICULTURAL POLICY
AGRICULTURAL PRODUCTION
AGRICULTURAL USES
AGRICULTURAL WATER
AGRICULTURAL WATER USE
ALLOCATION OF WATER
ANNUAL RUNOFF
ARID AREAS
AVAILABILITY OF WATER
AVAILABLE WATER
AVAILABLE WATER RESOURCES
AVAILABLE WATER SUPPLY
AVERAGE ANNUAL RAINFALL
BASIN TRANSFER
BULK WATER
BULK WATER SUPPLY
CATCHMENT
CATCHMENT MANAGEMENT
CATCHMENT MANAGEMENT AGENCIES
CLEAN WATER
CLIMATE CHANGE
COASTAL AREAS
COMMERCIAL AGRICULTURE
COMPETITION FOR WATER
CONSERVATION
CONSTRUCTION
CONSUMPTION CHARGES
CROP PRODUCTION
CROP YIELDS
DAMS
DEMAND ESTIMATES
DEMAND FOR WATER
DISTRIBUTION SYSTEMS
DOMESTIC USE
DOMESTIC USERS
DOMESTIC WATER
DOMESTIC WATER DEMAND
DOMESTIC WATER USE
ENVIRONMENTAL IMPACTS
EQUITY IN ACCESS
EXPORT
FARM MANAGEMENT
FARMERS
FARMING
FISHING
FLOW REGIMES
FOOD SECURITY
FORESTRY
FRESH WATER
FRESHWATER
FRESHWATER ECOSYSTEMS
GEOLOGICAL FORMATIONS
GROUND WATER
GROUNDWATER
GROUNDWATER RESOURCES
HIGH LEVELS
HOUSEHOLDS
IMPORTS
IMPROVING SERVICE DELIVERY
INDUSTRIAL GROWTH
INDUSTRIAL OPERATIONS
INDUSTRIAL USE
INDUSTRIAL USERS
INDUSTRIAL WATER
INDUSTRIAL WATER USE
INTER-BASIN TRANSFERS
IRRIGATION
IRRIGATION AGRICULTURE
IRRIGATION BOARDS
IRRIGATION WATER
LAND COVER
LAND REFORM
LAND USE
LOCAL SERVICES
LOCAL WATER
LOW-INCOME HOUSEHOLDS
MANAGEMENT OF WATER
MANAGING WATER RESOURCES
METROPOLITAN AREAS
MUNICIPAL AREAS
MUNICIPALITIES
NATIONAL WATER POLICY
NATIONAL WATER RESOURCES
POLLUTION
POPULATION GROWTH
POWER GENERATION
PRESSURE
PRICE DISTORTIONS
PRICE OF WATER
PROGRAMS
QUANTITY OF WATER
RAW WATER
RESERVOIRS
RIVER BASIN
RIVER BASINS
RIVERS
RUNOFF
SANITATION
SCARCE WATER
SCARCE WATER RESOURCES
SECTORAL WATER
SERVICE DELIVERY
SURFACE WATER
SURPLUS WATER
TARIFF RATES
TOWN
URBAN AREAS
URBAN CENTERS
URBAN WATER
VITICULTURE
WATER AFFAIRS
WATER ALLOCATION
WATER ALLOCATIONS
WATER AVAILABILITY
WATER BOARDS
WATER CHARGES
WATER CONDITIONS
WATER CONSUMPTION
WATER CONSUMPTION CHARGES
WATER DEMAND
WATER DISTRIBUTION
WATER DISTRIBUTION NETWORKS
WATER DISTRIBUTION SYSTEM
WATER DISTRIBUTION SYSTEMS
WATER MANAGEMENT
WATER MANAGEMENT AREAS
WATER MARKET
WATER MARKETS
WATER POLICY
WATER REQUIREMENTS
WATER RESEARCH
WATER RESOURCE
WATER RESOURCE MANAGEMENT
WATER RESOURCES
WATER RESOURCES DEVELOPMENT
WATER RESOURCES MANAGEMENT
WATER SCARCITY
WATER SECTOR
WATER SERVICES
WATER SHORTAGES
WATER STORAGE
WATER SUPPLIES
WATER SUPPLY
WATER TARIFF
WATER TARIFFS
WATER TRANSFER
WATER TRANSFER SCHEMES
WATER TRANSFERS
WATER USE
WATER USER
WATER UTILITY
WATER YIELD
WATERSHED
spellingShingle ACCESS TO WATER
AGRICULTURAL ACTIVITIES
AGRICULTURAL ECONOMY
AGRICULTURAL EMPLOYMENT
AGRICULTURAL POLICY
AGRICULTURAL PRODUCTION
AGRICULTURAL USES
AGRICULTURAL WATER
AGRICULTURAL WATER USE
ALLOCATION OF WATER
ANNUAL RUNOFF
ARID AREAS
AVAILABILITY OF WATER
AVAILABLE WATER
AVAILABLE WATER RESOURCES
AVAILABLE WATER SUPPLY
AVERAGE ANNUAL RAINFALL
BASIN TRANSFER
BULK WATER
BULK WATER SUPPLY
CATCHMENT
CATCHMENT MANAGEMENT
CATCHMENT MANAGEMENT AGENCIES
CLEAN WATER
CLIMATE CHANGE
COASTAL AREAS
COMMERCIAL AGRICULTURE
COMPETITION FOR WATER
CONSERVATION
CONSTRUCTION
CONSUMPTION CHARGES
CROP PRODUCTION
CROP YIELDS
DAMS
DEMAND ESTIMATES
DEMAND FOR WATER
DISTRIBUTION SYSTEMS
DOMESTIC USE
DOMESTIC USERS
DOMESTIC WATER
DOMESTIC WATER DEMAND
DOMESTIC WATER USE
ENVIRONMENTAL IMPACTS
EQUITY IN ACCESS
EXPORT
FARM MANAGEMENT
FARMERS
FARMING
FISHING
FLOW REGIMES
FOOD SECURITY
FORESTRY
FRESH WATER
FRESHWATER
FRESHWATER ECOSYSTEMS
GEOLOGICAL FORMATIONS
GROUND WATER
GROUNDWATER
GROUNDWATER RESOURCES
HIGH LEVELS
HOUSEHOLDS
IMPORTS
IMPROVING SERVICE DELIVERY
INDUSTRIAL GROWTH
INDUSTRIAL OPERATIONS
INDUSTRIAL USE
INDUSTRIAL USERS
INDUSTRIAL WATER
INDUSTRIAL WATER USE
INTER-BASIN TRANSFERS
IRRIGATION
IRRIGATION AGRICULTURE
IRRIGATION BOARDS
IRRIGATION WATER
LAND COVER
LAND REFORM
LAND USE
LOCAL SERVICES
LOCAL WATER
LOW-INCOME HOUSEHOLDS
MANAGEMENT OF WATER
MANAGING WATER RESOURCES
METROPOLITAN AREAS
MUNICIPAL AREAS
MUNICIPALITIES
NATIONAL WATER POLICY
NATIONAL WATER RESOURCES
POLLUTION
POPULATION GROWTH
POWER GENERATION
PRESSURE
PRICE DISTORTIONS
PRICE OF WATER
PROGRAMS
QUANTITY OF WATER
RAW WATER
RESERVOIRS
RIVER BASIN
RIVER BASINS
RIVERS
RUNOFF
SANITATION
SCARCE WATER
SCARCE WATER RESOURCES
SECTORAL WATER
SERVICE DELIVERY
SURFACE WATER
SURPLUS WATER
TARIFF RATES
TOWN
URBAN AREAS
URBAN CENTERS
URBAN WATER
VITICULTURE
WATER AFFAIRS
WATER ALLOCATION
WATER ALLOCATIONS
WATER AVAILABILITY
WATER BOARDS
WATER CHARGES
WATER CONDITIONS
WATER CONSUMPTION
WATER CONSUMPTION CHARGES
WATER DEMAND
WATER DISTRIBUTION
WATER DISTRIBUTION NETWORKS
WATER DISTRIBUTION SYSTEM
WATER DISTRIBUTION SYSTEMS
WATER MANAGEMENT
WATER MANAGEMENT AREAS
WATER MARKET
WATER MARKETS
WATER POLICY
WATER REQUIREMENTS
WATER RESEARCH
WATER RESOURCE
WATER RESOURCE MANAGEMENT
WATER RESOURCES
WATER RESOURCES DEVELOPMENT
WATER RESOURCES MANAGEMENT
WATER SCARCITY
WATER SECTOR
WATER SERVICES
WATER SHORTAGES
WATER STORAGE
WATER SUPPLIES
WATER SUPPLY
WATER TARIFF
WATER TARIFFS
WATER TRANSFER
WATER TRANSFER SCHEMES
WATER TRANSFERS
WATER USE
WATER USER
WATER UTILITY
WATER YIELD
WATERSHED
Hassan, R.
Thurlow, J.
Roe, T.
Diao, X.
Chumi., S.
Tsur, Y.
Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
geographic_facet Africa
Southern Africa
South Africa
relation Policy Research Working Paper; No. 4768
description The pressure on an already stressed water situation in South Africa is predicted to increase significantly under climate change, plans for large industrial expansion, observed rapid urbanization, and government programs to provide access to water to millions of previously excluded people. The present study employed a general equilibrium approach to examine the economy-wide impacts of selected macro and water related policy reforms on water use and allocation, rural livelihoods, and the economy at large. The analyses reveal that implicit crop-level water quotas reduce the amount of irrigated land allocated to higher-value horticultural crops and create higher shadow rents for production of lower-value, water-intensive field crops, such as sugarcane and fodder. Accordingly, liberalizing local water allocation in irrigation agriculture is found to work in favor of higher-value crops, and expand agricultural production and exports and farm employment. Allowing for water trade between irrigation and non-agricultural uses fueled by higher competition for water from industrial expansion and urbanization leads to greater water shadow prices for irrigation water with reduced income and employment benefits to rural households and higher gains for non-agricultural households. The analyses show difficult tradeoffs between general economic gains and higher water prices, making irrigation subsidies difficult to justify.
format Publications & Research :: Policy Research Working Paper
author Hassan, R.
Thurlow, J.
Roe, T.
Diao, X.
Chumi., S.
Tsur, Y.
author_facet Hassan, R.
Thurlow, J.
Roe, T.
Diao, X.
Chumi., S.
Tsur, Y.
author_sort Hassan, R.
title Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
title_short Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
title_full Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
title_fullStr Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
title_full_unstemmed Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes
title_sort macro-micro feedback links of water management in south africa : cge analyses of selected policy regimes
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2008/11/9993285/macro-micro-feedback-links-water-management-south-africa-cge-analyses-selected-policy-regimes
http://hdl.handle.net/10986/6903
_version_ 1764401297645109248
spelling okr-10986-69032021-04-23T14:02:32Z Macro-Micro Feedback Links of Water Management in South Africa : CGE Analyses of Selected Policy Regimes Hassan, R. Thurlow, J. Roe, T. Diao, X. Chumi., S. Tsur, Y. ACCESS TO WATER AGRICULTURAL ACTIVITIES AGRICULTURAL ECONOMY AGRICULTURAL EMPLOYMENT AGRICULTURAL POLICY AGRICULTURAL PRODUCTION AGRICULTURAL USES AGRICULTURAL WATER AGRICULTURAL WATER USE ALLOCATION OF WATER ANNUAL RUNOFF ARID AREAS AVAILABILITY OF WATER AVAILABLE WATER AVAILABLE WATER RESOURCES AVAILABLE WATER SUPPLY AVERAGE ANNUAL RAINFALL BASIN TRANSFER BULK WATER BULK WATER SUPPLY CATCHMENT CATCHMENT MANAGEMENT CATCHMENT MANAGEMENT AGENCIES CLEAN WATER CLIMATE CHANGE COASTAL AREAS COMMERCIAL AGRICULTURE COMPETITION FOR WATER CONSERVATION CONSTRUCTION CONSUMPTION CHARGES CROP PRODUCTION CROP YIELDS DAMS DEMAND ESTIMATES DEMAND FOR WATER DISTRIBUTION SYSTEMS DOMESTIC USE DOMESTIC USERS DOMESTIC WATER DOMESTIC WATER DEMAND DOMESTIC WATER USE ENVIRONMENTAL IMPACTS EQUITY IN ACCESS EXPORT FARM MANAGEMENT FARMERS FARMING FISHING FLOW REGIMES FOOD SECURITY FORESTRY FRESH WATER FRESHWATER FRESHWATER ECOSYSTEMS GEOLOGICAL FORMATIONS GROUND WATER GROUNDWATER GROUNDWATER RESOURCES HIGH LEVELS HOUSEHOLDS IMPORTS IMPROVING SERVICE DELIVERY INDUSTRIAL GROWTH INDUSTRIAL OPERATIONS INDUSTRIAL USE INDUSTRIAL USERS INDUSTRIAL WATER INDUSTRIAL WATER USE INTER-BASIN TRANSFERS IRRIGATION IRRIGATION AGRICULTURE IRRIGATION BOARDS IRRIGATION WATER LAND COVER LAND REFORM LAND USE LOCAL SERVICES LOCAL WATER LOW-INCOME HOUSEHOLDS MANAGEMENT OF WATER MANAGING WATER RESOURCES METROPOLITAN AREAS MUNICIPAL AREAS MUNICIPALITIES NATIONAL WATER POLICY NATIONAL WATER RESOURCES POLLUTION POPULATION GROWTH POWER GENERATION PRESSURE PRICE DISTORTIONS PRICE OF WATER PROGRAMS QUANTITY OF WATER RAW WATER RESERVOIRS RIVER BASIN RIVER BASINS RIVERS RUNOFF SANITATION SCARCE WATER SCARCE WATER RESOURCES SECTORAL WATER SERVICE DELIVERY SURFACE WATER SURPLUS WATER TARIFF RATES TOWN URBAN AREAS URBAN CENTERS URBAN WATER VITICULTURE WATER AFFAIRS WATER ALLOCATION WATER ALLOCATIONS WATER AVAILABILITY WATER BOARDS WATER CHARGES WATER CONDITIONS WATER CONSUMPTION WATER CONSUMPTION CHARGES WATER DEMAND WATER DISTRIBUTION WATER DISTRIBUTION NETWORKS WATER DISTRIBUTION SYSTEM WATER DISTRIBUTION SYSTEMS WATER MANAGEMENT WATER MANAGEMENT AREAS WATER MARKET WATER MARKETS WATER POLICY WATER REQUIREMENTS WATER RESEARCH WATER RESOURCE WATER RESOURCE MANAGEMENT WATER RESOURCES WATER RESOURCES DEVELOPMENT WATER RESOURCES MANAGEMENT WATER SCARCITY WATER SECTOR WATER SERVICES WATER SHORTAGES WATER STORAGE WATER SUPPLIES WATER SUPPLY WATER TARIFF WATER TARIFFS WATER TRANSFER WATER TRANSFER SCHEMES WATER TRANSFERS WATER USE WATER USER WATER UTILITY WATER YIELD WATERSHED The pressure on an already stressed water situation in South Africa is predicted to increase significantly under climate change, plans for large industrial expansion, observed rapid urbanization, and government programs to provide access to water to millions of previously excluded people. The present study employed a general equilibrium approach to examine the economy-wide impacts of selected macro and water related policy reforms on water use and allocation, rural livelihoods, and the economy at large. The analyses reveal that implicit crop-level water quotas reduce the amount of irrigated land allocated to higher-value horticultural crops and create higher shadow rents for production of lower-value, water-intensive field crops, such as sugarcane and fodder. Accordingly, liberalizing local water allocation in irrigation agriculture is found to work in favor of higher-value crops, and expand agricultural production and exports and farm employment. Allowing for water trade between irrigation and non-agricultural uses fueled by higher competition for water from industrial expansion and urbanization leads to greater water shadow prices for irrigation water with reduced income and employment benefits to rural households and higher gains for non-agricultural households. The analyses show difficult tradeoffs between general economic gains and higher water prices, making irrigation subsidies difficult to justify. 2012-06-01T18:42:50Z 2012-06-01T18:42:50Z 2008-11 http://documents.worldbank.org/curated/en/2008/11/9993285/macro-micro-feedback-links-water-management-south-africa-cge-analyses-selected-policy-regimes http://hdl.handle.net/10986/6903 English Policy Research Working Paper; No. 4768 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa Southern Africa South Africa