Water Markets, Resource Issues, and Mediterranean Agriculture

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Water Markets, Resource Issues, and Mediterranean
Agriculture

• Leo Simon
• University of California, Berkeley
• Opening Discussion Comments

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Water Issues

• Water quantity
• Competing needs
• Water quality
• Salinity, nitrates,pesticides
• Water location

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Californias Major Rivers
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Californias Population
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Federal, State and Major Local Water
Projects
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CA DWR WATER PLAN 05
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Water location

• Northern supply
• Southern demand
• Infrastructure required
• Maintenance
• Growing demand
• Climate change, earthquakes and the Delta

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Jones Tract levee break, June 2 2004
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Water Policy Constraints

• Science
• Whats feasible?
• Economics
• Whats cost-effective?
• Regulation
• Whats compliant with ESA, etc.?
• Politics
• Whats possible?

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Political Feasibility

• Crisis has led to changes in CA water policy in
  the past (David)
• Not only avenue
• Three-Way Negotiations

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Stakeholder Negotiations

• Becoming more common in water policy
• California
• France
• 1992 law
• Spain
• Negotiation topics
• Allocation of existing resources
• Development of new resources
• Funding new resources

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Negotiation Design 2 Key Elements

• Issues/policies
• Whats on the table
• Participants
• Whos at the table

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Stakeholder Negotiation

• Deadlines matter
• A crisis is like a deadline
• The default outcome matters
• If a stakeholder prefers the default to any
  change and his/her agreement is required, expect
  the negotiation to fail
• Peripheral Canal

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Concluding Thoughts

• All options should be on the table
• Governor
• Allocating costs will be contentious
• Need to get anti-dam groups to have an interest
  in changes relative to the status quo
• Too bad about ESA(!)