paradox nature of water

1. Replenish able but depleteable
Resource: Water
By: Molla Deribie
Djima Baysa
Milkyas Addis
Ibrahim Farah3 December 2015

2. Outline
Introduction
The potential for water scarcity
The current allocation system
Source of inefficient
 Ethiopian water potential
Efficient water pricing
Water management policy in Ethiopia
 Constraints of efficient utilization of water resource in
Ethiopia
Potential remedies
Ground and Surface Water in Ethiopia
3 December 2015
i

3. 1.Introduction
Water is one of the essential element of life.
Humans depend not only on an intake of
water to replace the continual loss of body
fluids
Also on food sources that themselves need
water to survive.
Methods of water allocation in the past and
to the future by different institutions is differ.
3 December 2015 1

4. Cont…
According to the UN Environment Program
(2002), 90 percent of the world’s readily
available freshwater resources is
groundwater.
And only 2.5 percent of this is available on a
renewable basis. The rest is a finite,
depletable resource
Of the estimated total volume of water on
earth, only 2.5 percent (1.4 billion is
freshwater.
3 December 2015
2

5. Cont…
Of this amount, less than1 percent of all
freshwater resources (and only 0.01 percent
of all the water on earth),is available for
human consumption and for ecosystems
(Gleick,1993).
3 December 2015
3

6. 2.The potential for water scarcity
efficient allocation of surface and ground
water.
Surface water
consists of the freshwater in rivers, lakes, and
reservoirs that collects and flows on the
earth’s surface and in to the groundwater.
3 December 2015
4

7. Cont…
Groundwater
by contrast, collects in porous layers of
underground rock known as aquifers.
in certain parts of the world, groundwater
supplies are being depleted to the potential
detriment of future users
3 December 2015
5

8. 2.1Efficient allocation of surface water
Definition:-
distributing a fixed renewable water supply
among competing users.
Things taken to be considered during
allocation:
The hydrologic nature of the water source;
3 December 2015
6

9. Cont…
strike a balance among a host of competing
users and;
supply an acceptable means of handling the
year-to-year variability in water flow;
the marginal net benefit is equalized for all
uses.
3 December 2015 7

10. Figure one: efficient allocation of surface water
$/unit
S1
T S
O
T
A
MNB1
B
MNBO
Ag MNB
Qo
B Q1
A=Q1
T Q
O
A Q
O
T Q.W
3 December 2015
8

11. Cont…
Water supply labeled at SO
T
Two individual marginal net benefit curves (A
and B) are depicted along with the aggregate
marginal net benefit curve for both
individuals.
the marginal net benefit (MNB0) is equal for
the two users. A uses Q
O
A and B uses Qo
B.
3 December 2015 9

12. Cont…
the marginal net benefit for both users is
positive
water sales should involve a positive
marginal scarcity rent
3 December 2015 10

13. Cont…
Zero marginal scarcity rent
This happened if water were not scarce;
This is the point at which to the right of
intersection point of MNBa and the axis;
3 December 2015
11

14. Cont…
no computation to use the resource;
Their marginal net benefits would still be
equal;
3 December 2015 12

15. Cont…
Supply fluctuations (water supply labeled S1
T)
User B receives no water, while use A receives it
all.
The MNB curve for water in use A lies above that
for B,
AS supplies diminish, the cost (the forgone net
benefits) of doing without water is much higher
for A than for B.
3 December 2015 13

16. Cont…
In an efficient allocation, users who can most
easily find substitutes or conserve water
receive proportionately smaller allocations
when supplies are diminished than those who
have few alternatives. In practice, this can be
handled using a spot market (Zarnikau, 1994).
3 December 2015 14

17. Ethiopian water potential
Ethiopia has 12 river basins that provide an
estimated annual run-off of ~125 billion m3,
with the Abay basins (in central and
northwest Ethiopia) accounting for ~45
percent of this amount.
3 December 2015 15

18.  Ethiopia has limited water infrastructure to use this
surface water.
For example, current per capita water storage capacity
is just 160 m3, which is only 20 percent of South
Africa’s capacity.
3 December 2015 16

19. 2.2 Efficient allocation of ground water
An efficient allocation considers marginal
user cost.
At that point, the marginal pumping cost
and the price would be equal.
3 December 2015
17

20. Preliminary map of groundwater
potential
3 December 2015
18

21. 3.The current allocation system
It is inefficient.
This is depending on the legal and
institutional frameworks governing water
resources.
property rights structure
3 December 2015
20

22. Cont…
3.1 Riparian right:
 the right to use the water to the owner of the land adjacent to
the water is not in operation in the country after permit system
proclamation 31/75 and proclamation of Ethiopia No.197/2000,
which is “Water Resource Management.”
 Thus, according to both proclamations ,” the right of ownership
of rural and urban land as well as all natural resources,
exclusively vested in the state in the people’s of Ethiopia.”
 less appropriate-trade off with population growth
 The rights to the water were tied to the land and could not be
separately transferred
3 December 2015
21

23. 3.2 prior appropriation right:
more congenial to the need for
transferability.
the first person to arrive had the superior
(or senior) claim on the water.
Later claimants hold junior (or subordinate)
claims.
Agriculture flourished.
3 December 2015
22

24. 4.Source of inefficient
preventing their gravitation to the highest-
valued use;
Charging low prices;
must bear some of the responsibility;
Restrictions-bureaucracy;
3 December 2015
23

25. 5.Efficient water pricing
Municipal and Industrial Water Pricing
requires the use of marginal, not average,
cost
the customer should be paying the marginal
cost of supplying the last unit of water
3 December 2015 24

26. 6. Water management policy in Ethiopia
3 December 2015 25

27. 6.1 General water resources
management policy
6.1.1 General policy
Enhance the integrated and
comprehensive management of water
resources that avoids fragmented
approach.
3 December 2015
26

28. Con…
Recognize that water resources
development, utilization, protection and
conservation go hand in hand and ensure
that water supply and sanitation, irrigation
and drainage as well as hydraulic
structures, watershed management and
related activities are integrated and
addressed in unison.
3 December 2015
27

29. Con…
Ensure that water resources management is
compatible and integrated with other
natural resources as well as river basin
development plans and with the goals of
other sectoral developments in health,
mines, energy, agriculture….etc.
3 December 2015 28

30. Con…
Promote and enhance traditional and
localized water harvesting techniques in
view of the advantages provided by the
schemes’ dependence on local resources and
indigenous skills.
3 December 2015
29

31. Con…
Promote the involvement and meaningful
participation of the private sector in the
management of water resources.
3 December 2015 30

32. Con…
6.1.2 Inland water transport policy
6.1.3 Aquatic resources policy
6.1.4 Water for tourism and recreation policy
6.1.5 Water for tourism and recreation policy
3 December 2015 31

33. 6.2 Policy on cross-cutting issues
6.2.1 Water Allocation and Apportionment
6.2.2 Environment, Watershed
Management, Water Resources
Protection and Conservation
a. Environment
b. Watershed Management
c. Water Resources Protection
d. Water Resources Conservation
3 December 2015
32

34. Con…
6.2.3 Technology and Engineering
a. Standards and Design Criteria
b. Consultancy and Contracting
c. Professional Associations and Technical
Publications
3 December 2015
33

35. Con…
d. Ownership, Operation and Maintenance
e. Wells and Drilling
f. Drainage
g. dams and Reservoirs Management and
operation
h. Technological Issues
3 December 2015 34

36. Con…
6.2.4 Water Resources Management
Information systems, Monitoring,
Assessment and Auditing
Management of Water Resources Information
Development of Information Management
System
3 December 2015 35

37. Con…
6.2.5 Economics of water:- water
cost and pricing
 Funding for water resources
Water pricing
6.2.6 Ground water resources
6.2.7 Disasters, emergencies and public
Safety
6.2.8 Transboundary waters
3 December 2015
36

38. Con…
6.2.9 Stakeholders issues
6.2.10 Gender issues
6.2.11 Research and development
6.2.12 Water quality management
6.2.13 Enabling environment
3 December 2015 37

39. 6.3 policy on sectoral issues
6.3.1 water supply and sanitation policy
1. Drinking Water Supply Policy
Establish a "Social Tariff" that enables poor
communities to cover operation and
maintenance costs.
3 December 2015 38

40. Con…
2. Livestock water supply policy
 Harmonize and promote the "user pays"
principle with the willingness and ability to
pay for livestock water supply.
3. Water supply for industry and other users
policy
Harmonize and promote the "user pays"
principle with the willingness and ability to
pay for livestock water supply.
3 December 2015 39

41. Con…
4. Sanitation policy
5. Integrated water supply and sanitation
policy
Promote the "User Pays" principle for
urban water supply and sanitation services
3 December 2015
40

42. Con…
6.3.2 Irrigation policy
6.3.3 Hydropower policy
3 December 2015 41

43. Water pricing in Ethiopia(water policy of
Ethiopia)
Water pricing is based on willingness to pay
by users of water systems.
fees are paid for services rendered.
all pricing systems and mechanisms should
be geared towards conservation, protection
and efficient use of water as well as promote
equity of access- basic social equity norms.
3 December 2015 42

44. Cont…
the price for water should be neither too
high (and discourage water use) nor too low
(and encourage abuses and over use of
water).
tariff setting shall be site specific, depending
on the particulars of the project, location,
the users, the cost and other characteristics
of the schemes.
3 December 2015
43

45. Cont…
The rural communities are able and willing
to cover the operation and maintenance
costs on their own.
pricing for urban water supplies shall aim
at full cost recovery and develop cross-
subsidization strategies and promote credit
services.
3 December 2015 44

46. 7. Constraints of efficient utilization
of water resource in Ethiopia
1. Lack of skilled man power
2. Lack of modern technology
3. Lack of good governance
4. Land fragmentation
5. Poor policy and strategy
6. Financial problem
7. Political and macro economic instability
8. Poor infrastructure3 December 2015 45

47. 8.Potencial remedies
reduce a number of restrictions on water
transfers.
 in stream flows protection
Water pricing
3 December 2015
46

48. Water paradox??
Water privatization?
3 December 2015
47

49. 8.Ground and Surface Water in Ethiopia
Surface Water
The 3 largest river basins (Abbay, Baro-
Akobo, and Omo-Gibe) contribute 76 per cent
of the total runoff from a catchment area.
This amount comprises only 32 per cent of the
total area of the country
3 December 2015 48

50. Cont…
Their large runoff stems from the fact that
the river basins occupy the western and
southwestern parts of Ethiopia, where the
highest concentration of rainfall occurs
3 December 2015 49

51. Table 1-2. Surface-water resources of
major river basins
No. River basin Catchment
area (km2)
Annual
runoff (BM3)
Specific
discharge
(l/s/km2)
1 Abay 199 812 52.6 7.8
2 Awash 112 700 4.6 1.4
3 Baro-Akobo 74 100 23.6 9.7
4 Genale –Dawa 171 050 5.80 1.2
5 Mereb 5 700 0.26 3.2
6 Omo-Gibe 78 200 17.90 6.7
7 Rift Valley 52 740 5.60 3.4
3 December 2015 50

52. Cont….
8 Tekeze 89 000 7.63 3.2
9 Wabe Shebele 200 214 3.15 0.5
10 Afar-Danakil 74 000 0.86 -
11 Ogaden 77 100 0 -
12 Aysha 2 200 0 -
Total 1 136 816 122.00
compiled from various River
basins
Master
plan
3 December 2015 51

53. Cont…
With regard to groundwater resources, the
true potential of the country is not known.
However, it is widely reported that Ethiopia
possesses a groundwater potential of
approximately 2.6 billion m³.
3 December 2015
52

54. Cont…
Not only are the yield levels of water wells
too low (less than 5 liters per second) but
wells are generally too deep to justify
economic exploitation of groundwater
resources for irrigation purposes in
Ethiopia.
3 December 2015 53

55. Cont…
The gross hydropower generation potential
of the country is estimated to be 650 TWh
per year of which 25 per cent can be
exploited for power. That is about 100 times
the existing installed
3 December 2015 54

56. Ground water resources
Ethiopia has abundant surface and ground
water resources potential of which
groundwater has a lion-share.
The preliminary estimated amount of yearly
groundwater recharge of the country is
about 28,000 Mm 3.
3 December 2015
55

57. Cont…
Recent studies indicated that the potential is
much greater than this amount. Most of the
developed groundwater resources is mainly
used for domestic and industrial water
supply.
3 December 2015 56

58. 3 December 2015