Conserving One Water Source at the Expense of Another: The Role of Surface Water Price in Adoption of Wells in a Conjunctive Use System

One potential side-effect of irrigation water rate reform is groundwater substitution. As surface water prices rise, irrigators may find it cheaper to rely on on-farm wells than a regional irrigation district. The impact of surface water price on well adoption is examined in a conjunctive use system...

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Bibliographic Details
Published in:International journal of water resources development 2003-03, Vol.19 (1), p.55-66
Main Authors: Schuck, Eric, Green, Gareth P.
Format: Article
Language:English
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Summary:One potential side-effect of irrigation water rate reform is groundwater substitution. As surface water prices rise, irrigators may find it cheaper to rely on on-farm wells than a regional irrigation district. The impact of surface water price on well adoption is examined in a conjunctive use system where both surface water and groundwater are used to meet irrigator demand. Results indicate that as the price of surface water approaches 62% of the marginal cost of pumping groundwater, irrigators are more likely to have on-farm pumping capabilities. This result suggests that proposed water rate reforms by the United States Bureau of Reclamation may result in irrigators substituting groundwater for surface water by adopting on-farm wells.
ISSN:0790-0627
1360-0648
DOI:10.1080/713672718