1. Economic and Financial
Instruments for IWRM
Introduction to IWRM
Part 2: IWRM Principles

2. Goal and objectives of the session
 To introduce water management principles

3. Introduction
 Adoption of water management principles are key
to achieving IWRM but challenges exist.

4. Water Management Principles
 1: Fresh water is a finite and vulnerable resource
 2: Water development and management should be
based on a participatory approach.
 3: Women play central role in provision,
management and safeguarding of water.
 4: Water has an economic value but should be
recognised as an economic good and a social good.

5. Principle 1: Fresh water is a finite and vulnerable
resource
Ocean
Evaporation
Evaporation (ET)
runoff
Precipitatio
n
Aquifer
Infiltration
Evaporation
Precipitation
Evaporation/ET
Surface Water
Groundwater

6. Why is it vulnerable?
Water is essential for development and is
vulnerable to development.
 Holistic approach: Link social and economic
development with the protection of natural
ecosystems.
 Integrated Perspective: No dichotomy
between land use and water use.
 The river basin is the logical unit for water
resources management.

7. Principle 2: Water development & management
should be participatory
 Everyone is a stakeholder (inclusion vs
exclusion);
 Democratisation of decision-making principle is
adopted;
 Ideally, multiple stakeholders (users, planners
and policymakers) at all levels involved;
 In reality, involvement in decision-making at
the most feasible level (subsidiary);
 Gender sensitive and sensitive to issues of
vulnerability and poverty.

8. Benefits of participation
 More successful projects in terms of scale, design,
operation and maintenance;
 Improve cost recovery . Key to revenue generation
and financing;
 Environmental resources are protected and
cultural and human rights are respected;
 Coordinate interests and resolve conflicts;
 Increase transparency and accountability in
decision-making.

9. Challenges to the Participatory Approach
Participation does not always achieve consensus:
 Arbitration processes and conflict resolution
mechanisms needed.
 Government intervention needed to create
enabling environment for marginalised social
groups (poor, indigenous people, the elderly &
women.
 Disadvantaged groups must also have the
capacity to participate.

10. Think about it
 In your country are all stakeholders involved in
decision-making on water supply, management
and investment decisions?

11. Principle 3: Women play a central role in the
provision, management and safeguarding of water.
 In many countries women are the
collectors of water, responsible for
safeguarding water for domestic use and
agricultural use.
 Women less instrumental than men in key
areas:
 Management;
 Problem analysis;
 Decision-making in relation to design of
systems and investment etc.

12. Links between Gender and IWRM
 Gender and environmental sustainability
linkages
 Gender and economic efficiency linkages
 Gender and social equity linkages

13. Gender and economic efficiency linkages
 Women may be less mobile and have
payment constraints
 Payment centres should be in closer
proximity to their homes
 Payment amounts should be smaller and
can be made at more regular intervals
making more affordable.

14. Think about it
 In your country is a
gender-sensitive
approach being used to
manage water
resources?
 If not, give reasons why
this approach has not
been adopted.

15. Principle 4: Water has an economic value among all
competing uses and should be recognised as an
economic good as well as a social good.
 Water has a value as an economic good as
well as a social good.
 The value of water in alternative uses is
important for the rational allocation of
water as an economic good as well as a
social good.

16. Think about it
 Is there any adoption
of water management
principles in your
country? Where can
you find them?

17. End
Next presentation introduces the role of
economic and financial instruments in
IWRM