ABSTRACT
Water scarcity is an increasing problem in many parts of the world, yet conventional supply-side economics and management are insufficient to deal with it. In this book the role of water trading as an instrument of integrated water resources management is explored in depth. It is also shown to be an instrument for conflict resolution, where it may be necessary to reallocate water in the context of increasing scarcity.
Recent experiences of implementation in different river basins have shown their potential as instruments for improving allocation. These experiences, however, also show that there are implementation challenges and some limitations to trading that need to be considered. This book explores the various types of water trading formulas through the experience of using them in different parts of the world. The final result is varied because, in most cases, trading is conditioned by the legal and institutional framework in which the transactions are carried out. The role of government and the definition of water rights and licenses are critical for the success of water trading.
The book studies the institutional framework and how transactions have been undertaken, drawing some lessons on how trading can improve. It also analyses whether trading has really been a positive instrument to manage scarcity and improve water ecosystems and pollution emission problems in those parts of the world which are most affected. The book concludes by making policy proposals to improve the implementation of water trading.
TABLE OF CONTENTS
part I|179 pages
Water trading experiences
chapter 2|18 pages
Managing water stress, drought and climate change in the twenty-first century
chapter 6|17 pages
Trading into and out of trouble
chapter 9|19 pages
Breaking the gridlock in water reforms through water markets
chapter 11|14 pages
Voluntary water trading in Spain
part II|47 pages
Concerns about water trading and how we are dealing with them
part III|55 pages
Reforms to overcome legal and institutional barriers to trading
chapter 15|12 pages
Water and development in Latin America
part IV|48 pages
Incentives and prices in water trading