scholarly journals Designing Optimum Water-Saving Policy in China Using Quantity and Price Control Mechanisms

2019 ◽  
Vol 11 (9) ◽  
pp. 2529
Author(s):  
Khampheng Boudmyxay ◽  
Shuai Zhong ◽  
Lei Shen

In an attempt to alleviate water scarcity, the government of China has introduced a water plan for the year 2030. Based on a dynamic computable general equilibrium model, this paper investigates how conservation of irrigation water, grain production, and the welfare of rural households will be affected by planned reductions to the irrigation water subsidy between 2018 and 2030. Four policy instruments, namely quantitative control (QC), quantitative control with a subsidy reduction (QC-SR), price control (PC), and price control with a subsidy reduction (PC-SR) are employed in the model. Most existing research has found that reducing the irrigation subsidy will lead to significant negative impacts to the agricultural economy, and especially to rural households. These predicted negative impacts are a barrier to agricultural water policy pricing reform. However, the results of this research show that a provincial subsidy reduction to 1% between 2018 and 2030 will have an insignificant impact on agricultural production as well as rural household incomes and welfare, despite the subsidy rate currently accounting for more than 90% of the total irrigation value at the macro level in most provinces. Furthermore, PC will create a demand for irrigation water, which is predicted to rise to more than five times the agricultural water planning level currently set for 2030, and PC-SR will not achieve the agricultural water planning goal.

2018 ◽  
Vol 1 (1) ◽  
pp. 29-42
Author(s):  
Tri Isdinarmiati ◽  
Rina Oktaviani

Electricity is one of the strategic commodities in Indonesia. The Increasing of electrical price (so called TDL stand for Tarif Dasar Listrik) administered by the government will be negative impact on Indonesian economic performance. Based on this research analysis, a rise of TDL will have negative impact on macro and sectoral economic performance. This study aims to analyze the effects of a rise of TDL and policy responses to minimize its negative impacts on Indonesian economic performance. The data which is used in this research areInput Output Table, Social Accounting Matrix (SAM) and SUSENAS data. Sources of data obtained from Board Central of Statistics. The analysis using Computable General Equilibrium (CGE) model is called INDOTDL CGE model. The simulation results show that a rise of TDL will have negative impact oneconomic growth, household consumption, export, employment and sectoral demand.  This study also shows that an increase of  efficiency in electricity sector by 10 percent is expected to decrease the electrical price.  In addition, a rise of  TDL which is followed by an increase of efficiency or decrease of value added tax (VAT) policy in all sector have positive impact on macro and sectoral economic performance on Indonesian. The most effective policy to economic improvementis to increase efficiency of electricity sector, so TDL doesn’t need to be increased.Keywords : TDL, CGE, Efficiency, VAT, Economic Performance


2018 ◽  
Vol 14 (1) ◽  
pp. 69-79 ◽  
Author(s):  
Chandam Victoria Devi

The demand of water by various competing sectors, such as industry, power, drinking and irrigation, is increasing while the supply of available fresh water remains the same. This calls for efficient use of water in all sectors especially irrigation, which consumes the highest amount of water in India. Due to recurrence of drought and flood India suffered from famine, so after the Independence the government has rigorously pursued the construction of irrigation dams to increase agricultural production and meet the increasing demand of food. Construction of dams was given priority than management of irrigation projects. But due to a large gap between irrigation potential created and irrigation potential utilized, there was a paradigm shift in the irrigation sector. As a result, the concept of participatory irrigation management (PIM) was widely spread through seminars, National Water Policies and specific irrigation Command Area Development (CAD) programme. The first National Water Policy in 1987 and the subsequent policies had provisions for involvement of farmers in irrigation management for efficient use of irrigation water. Many states in India implemented PIM Act under the policy. It also applies to the northeastern region (NE region) of India. This region has a traditional irrigation system such as bamboo drip irrigation in Meghalaya, water conservation among the Apatanis of Arunachal Pradesh, zabo system of Nagaland and dong irrigation among the Bodos of Assam which are traditionally managed by the farmers. This article examines the farmers’ participation in irrigation management in the NE region. It attempts to highlight the changes of PIM policies, involvement of farmers or the Water Users’ Associations (WUAs) in irrigation management, constraints and suggest ways to strengthen them for efficient use of irrigation water in the NE region of India.


2016 ◽  
Vol 19 (2) ◽  
pp. 153-176 ◽  
Author(s):  
Nayasari Aissa ◽  
Djoni Hartono

Energy is one of the most important inputs that supports Indonesia’s economy. The government utilises coal and oil as the main sources for power plants energy mix. However, the utilization of fossil fuel energy has been proven to pose negative impacts on the environment such as, increasing carbon dioxide emission which leads to global warming. This study analyses investment policy on increasing electricity production of geothermal power plants as well as substitution of fossil energy to geothermal energy using Computable General Equilibrium (CGE) Model and Indonesia’s data of Social Accounting Matrix 2008. The result shows that when investment on the substitution of energy from fossil to renewable energy takes place, economic growth will increase and carbon dioxide emission will reduce significantly.


Water Policy ◽  
2016 ◽  
Vol 18 (4) ◽  
pp. 877-891 ◽  
Author(s):  
Shuai Zhong ◽  
Jinghua Sha ◽  
Lei Shen ◽  
Mitsuru Okiyama ◽  
Suminori Tokunaga ◽  
...  

There have been many droughts in China that have caused severe losses. Previous studies evaluating droughts were from meteorological and hydrological perspectives. We measure the Chinese drought of 2000 based on a static computable general equilibrium model of China's macroeconomy, which describes the relationships between drought, agricultural production, and rural households' welfare from an economic perspective. In the model, the irrigation water inputs of the 16 regions of China are estimated and combined with the same regions' cropland inputs. Thus, the drought is simulated as an external impact by reducing the productivity of different crops in different regions. The reductions in 10 crop outputs and the rural households' welfare, total consumption and food consumption from 16 regions are more severe than those from a perfect market reaction. The findings herein are also distinct in that the five rural households that suffer most as a result of drought are from southern areas. The results provide an available reference for the Chinese government's decision on what measures to take to prevent drought and its impacts. The model can be further improved by incorporating meteorological and hydrological models to identify droughts using more accurate indexes.


2018 ◽  
Vol 1 (1) ◽  
pp. 29-42
Author(s):  
Tri Isdinarmiati ◽  
Rina Oktaviani

Electricity is one of the strategic commodities in Indonesia. The Increasing of electrical price (so called TDL stand for Tarif Dasar Listrik) administered by the government will be negative impact on Indonesian economic performance. Based on this research analysis, a rise of TDL will have negative impact on macro and sectoral economic performance. This study aims to analyze the effects of a rise of TDL and policy responses to minimize its negative impacts on Indonesian economic performance. The data which is used in this research areInput Output Table, Social Accounting Matrix (SAM) and SUSENAS data. Sources of data obtained from Board Central of Statistics. The analysis using Computable General Equilibrium (CGE) model is called INDOTDL CGE model. The simulation results show that a rise of TDL will have negative impact oneconomic growth, household consumption, export, employment and sectoral demand.  This study also shows that an increase of  efficiency in electricity sector by 10 percent is expected to decrease the electrical price.  In addition, a rise of  TDL which is followed by an increase of efficiency or decrease of value added tax (VAT) policy in all sector have positive impact on macro and sectoral economic performance on Indonesian. The most effective policy to economic improvementis to increase efficiency of electricity sector, so TDL doesn’t need to be increased.Keywords : TDL, CGE, Efficiency, VAT, Economic Performance


Water Policy ◽  
2017 ◽  
Vol 19 (2) ◽  
pp. 216-232 ◽  
Author(s):  
Shuai Zhong ◽  
Lei Shen ◽  
Litao Liu ◽  
Chao Zhang ◽  
Ming Shen

Water pricing policy is believed to be an efficient method for addressing the water scarcity problem in China. The motivation of this study is to provide a better understanding of how reducing irrigation subsidies impacts farming sectors and rural households. We apply a Computable General Equilibrium model to simulate the irrigation water and irrigation subsidy in 16 provinces. The results show that reducing irrigation has great potential for resolving the water scarcity problem in China, especially for the provinces with high subsidy levels such as Guangdong, Shandong, and Jilin. The declines in farming outputs are significant, and then their producer prices and imports increase. Rural households suffer serious losses in food consumption, particularly for those in Jilin, Guangdong, and Shandong. As for policy recommendation, improving the mobility of cropland should be given greater attention for promoting water conservation, and improving the mobility of agricultural labor could mitigate the losses in the farming outputs and in the food consumption for rural households in most provinces. Reduction in irrigation subsidy as a policy option should be adopted gradually, and then increasing the water demand elasticity should be taken into account when the irrigation water price is close to the full-cost recovery level.


2006 ◽  
Vol 53 (10) ◽  
pp. 301-307 ◽  
Author(s):  
P. Baril ◽  
Y. Maranda ◽  
J. Baudrand

The Quebec Water Policy was launched in November 2002 in support of reform of the water governance. One of the government commitments is to gradually implement watershed-based management for 33 major watercourses located primarily in the St. Lawrence plain. At the local and regional levels, watershed organizations are responsible for implementing integrated management, from a sustainable-development perspective, by preparing a master plan for water (MPW), which will include watercourses, lakes, wetlands and aquifers. These watershed organizations rely on public consultation, as well as local and regional expertise, on the responsibilities for water of the municipalities and regional county municipalities of the territory, as well as those of the ministries and other government agencies. They are also required to observe national priorities regarding protection, restoration, and development of water resources and to comply with relevant guidelines, directives, standards, regulations, and legislation. The role of watershed organizations is to act as planning and consultation tables. Government representatives are present, on the initial process, as the facilitator and for scientific and technical support. They do not have, at this moment, any voting or decisional rights. After two years, integrated water management mobilized water stakeholders on watersheds and they are on their way to initiating their first MPW.


Author(s):  
Jason K. Hawes ◽  
Morey Burnham ◽  
Margaret V. du Bray ◽  
Vicken Hillis ◽  
Zhao Ma ◽  
...  

2018 ◽  
Vol 10 (10) ◽  
pp. 3759 ◽  
Author(s):  
Abebe Alemu ◽  
Hossein Azadi

These days, one of the global challenges is the growing demand for food. To be more specific, seafood bases play a key role in filling the nutritional requirements of human beings. In Africa (Ethiopia) the public expenses to improve productive capacity in aquatic food are increasing. Additionally, the expenses in dams and in fishers’ capacity building have increased households’ engagement in the fishery sector in Ethiopia. Cooperatives’ productive capacity has been strengthened by the government and other non-government organizations with the supply of fishing boats, refrigerators, fish nets and other office supplies. However, the effect of such public expenses in bringing changes in the households’ livelihood and welfare has never been assessed in this study area. This paper aims to investigate what motivates the households to fish and assess the effect of fisheries on the households’ livelihood and welfare. A structured survey consisting of 313 rural households was administered using trained enumerators in two kebeles located close to the Tekeze dam, Northern Ethiopia. The result indicates that socioeconomic characteristics, such as age (young), sex, education, and active family size were driving the households to fishing. Access to market and access to support are driving farmers to fisheries. There is a significant difference in fishing households’ income which is higher than non-fishing households. The results also indicate that there are lesser income inequalities among fishery households operating in cooperatives compared to private fishery households.


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