Water Allocation between Agriculture and Energy: Economic vs Social values
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Photo :David Molden/IWMI
M.M.M. Aheeyar M.A.C.S. Bandara
Background
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• Agriculture Over 85% • Drinking and Sanitation 6% • Industries 5% Water sharing is a complex issue Depriving water to irrigation – loss of livelihood of many smallholders Drinking and sanitation water needs cannot be postponed Needs immediate policy intervention A water-secure world www.iwmi.org
Walawe River - Originate from wet zone central highland and flow towards dry zone down south - Kaltota Irrigation Scheme (KIS) – Ancient river diversion scheme in the upper reach of basin - Command area – 920ha - Number of farmer families – 1600 - Main crop – Rice (two seasons per year) - Unlimited water issues until 1992 A water-secure world www.iwmi.org
Samanalawewa Reservoir • Constructed in 1992 • Across upstream of Walawe River • 278 million m3 capacity at 465m above MSL • Water sent along a 5.4km canal • Unexpected dam leakage – 55 million m3 to KIS without control all over the year A water-secure world www.iwmi.org
Conflicts of Water Sharing
• Dam – obstruct free flow of water to KIS • KIS water – irrigation outlet and water leakage • Outflow of power plant by passes the KIS • Farmers had to change their usual practices • Created water sharing problem • Historical water right • However, lost exclusive authority on water and needed to adhere pre-seasonal meeting agreements A water-secure world www.iwmi.org
Economics of Water – Rice Vs Hydro Power • Water duty in KIS very high (10-13 ac.ft) • Alluvial soil • Water is plenty – historical right • Poor infrastructure • Farmers’ attitudes
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• Value of water (Irrigation) in 2007 • Total land extent cultivated in KIS
• Total yield (two seasons)
= 865.5 ha
= 8,978.7 mt (5187*865.5*2)
• Average selling price of paddy (year 2007 Yala) = LKR. 20/kg
• Average production cost per season
= LKR 34,500/ha
• The gross value of total yield (GV)
= LKR. 179,574,000
• The net value of total yield (NV)
= LKR. 119,854,500
• Value of one m3 of water for irrigation
= LKR. 2.99
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• Value of water (Hydropower) in 2007 • Total release for irrigation
= 40 Mm3
• The amount of energy unit lost due to Irrigation release (40 Mm3) = 30 GWh • Average fuel cost per unit of energy (1 KWh)
= LKR. 11.07
• The value of the thermal power generated = LKR. 332,100,000(30*11.07*1,000,000) (Value of fuel imports to cover up the loss) • Value of one m3 of water for thermal power
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= LKR 8.30
Water sharing between farmers and hydropower sector
• Power plant – never achieved plan target – High irrigation demand – Water leakage • Various efforts to reduce irrigation requirement – Awareness programme – Water management techniques
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Contd….
• Compensation scheme for farmers’ dry season water right • Compensation of LKR.14,000/ac of rice land • But failed in couple of seasons • Power authorities had no options other than satisfying with remaining water
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Social and Economic Consequences
• Compensation programme – Beneficial to the country and power sector – Economically attractive than irrigated rice • Why failed in two seasons? • 75% are smallholders – loss of labour hiring out opportunities • Lack of activities for farmers • No income for legal tenant farmers – 14% A water-secure world www.iwmi.org
Contd….
• Tenant farmers – neither had compensation nor water supply • Delays, cumbersome procedures, bribery and corruption • Financial, cultural and environmental issues • Household food security • Household financial management • Shift of traditional role of fund management from women to men-Gender issues A water-secure world www.iwmi.org
Contd….
• Instant change in lifestyle of peasant • Male farmers – less experienced – Spent most money at once – Purchase of household consumer durable – Addicted to alcoholism and gambling • Little money at the end of season • Loss of social integration – sharing labour during peak periods A water-secure world www.iwmi.org
• Environmental effects • Downstream fauna and flora • Ground water recharge- Domestic wells • Effects on livestock
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Concluding Remarks
• Competition has already developed and often reported • Challenge is not primarily technical – it is political, social and institutional • Major challenges • Developing appropriate policy • Institutional framework for management and allocation • Protection of water resource A water-secure world www.iwmi.org
Contd….
• Current allocation through ad-hoc administrative arrangements, but political influence • Re-allocation of existing shares very sensitive • Compensation payment – A win-win solution • Failed due to inflame of social and cultural values A water-secure world www.iwmi.org
Contd….
• Importance of basin level IWRM • Consultation of all stakeholders • Importance of integrated and multi objective planning for fair and equitable access to water
