Emerging Agricultural Water Conservation Price Incentives

Recent Bureau of Reclamation policies encourage or require irrigation districts to adopt price conservation incentives. Using unpublished survey results and new district-level information, we examine the rate structures and incentives of district water pricing. Our findings reveal that the majority...

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Main Authors: Ari M. Michelsen, R. Garth Taylor, Ray G. Huffaker, J. Thomas McGuckin
Format: Article
Language:English
Published: Western Agricultural Economics Association 1999-07-01
Series:Journal of Agricultural and Resource Economics
Subjects:
Online Access:https://ageconsearch.umn.edu/record/30871
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author Ari M. Michelsen
R. Garth Taylor
Ray G. Huffaker
J. Thomas McGuckin
author_facet Ari M. Michelsen
R. Garth Taylor
Ray G. Huffaker
J. Thomas McGuckin
author_sort Ari M. Michelsen
collection DOAJ
description Recent Bureau of Reclamation policies encourage or require irrigation districts to adopt price conservation incentives. Using unpublished survey results and new district-level information, we examine the rate structures and incentives of district water pricing. Our findings reveal that the majority of districts use fixed charges independent of the quantity of water delivered and that most conservation rate structures recently implemented are designed so that the first tier quantity allocation satisfies most crop water needs. Although other district management objectives may be satisfied, price incentives are diminished or nonexistent. The question of whether conservation is being achieved is tautological and depends on how each district defines conservation.
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spelling doaj.art-db433fee60a943309c54a3c350c355182022-12-21T20:33:14ZengWestern Agricultural Economics AssociationJournal of Agricultural and Resource Economics1068-55022327-82851999-07-0124122223810.22004/ag.econ.3087130871Emerging Agricultural Water Conservation Price IncentivesAri M. MichelsenR. Garth TaylorRay G. HuffakerJ. Thomas McGuckinRecent Bureau of Reclamation policies encourage or require irrigation districts to adopt price conservation incentives. Using unpublished survey results and new district-level information, we examine the rate structures and incentives of district water pricing. Our findings reveal that the majority of districts use fixed charges independent of the quantity of water delivered and that most conservation rate structures recently implemented are designed so that the first tier quantity allocation satisfies most crop water needs. Although other district management objectives may be satisfied, price incentives are diminished or nonexistent. The question of whether conservation is being achieved is tautological and depends on how each district defines conservation.https://ageconsearch.umn.edu/record/30871conservationirrigation districtsprice incentivesrate structurewater use policy
spellingShingle Ari M. Michelsen
R. Garth Taylor
Ray G. Huffaker
J. Thomas McGuckin
Emerging Agricultural Water Conservation Price Incentives
Journal of Agricultural and Resource Economics
conservation
irrigation districts
price incentives
rate structure
water use policy
title Emerging Agricultural Water Conservation Price Incentives
title_full Emerging Agricultural Water Conservation Price Incentives
title_fullStr Emerging Agricultural Water Conservation Price Incentives
title_full_unstemmed Emerging Agricultural Water Conservation Price Incentives
title_short Emerging Agricultural Water Conservation Price Incentives
title_sort emerging agricultural water conservation price incentives
topic conservation
irrigation districts
price incentives
rate structure
water use policy
url https://ageconsearch.umn.edu/record/30871
work_keys_str_mv AT arimmichelsen emergingagriculturalwaterconservationpriceincentives
AT rgarthtaylor emergingagriculturalwaterconservationpriceincentives
AT rayghuffaker emergingagriculturalwaterconservationpriceincentives
AT jthomasmcguckin emergingagriculturalwaterconservationpriceincentives