Water Supply and Demand Bangkok 2013 Water Supply

Water Supply and Demand Bangkok 2013

Water Supply Country Bangladesh Cambodia Indonesia Lao PDR Maldives Mongolia Nepal Philippines Sri Lanka Thailand Viet Nam Water supply Groundwater (billion m 3/yr) supply 1206 21. 12 471. 5 17. 6 1973 457. 4 333. 5 37. 9 0. 0000 0. 0300 32. 7 6. 1 210. 2 20 444 180 52 7. 8 427. 4 41. 9 847. 7 71. 42

Measuring Supply • Water is expensive to move from watershed to watershed – Heavy so costly to move – Low valued (except for drinking water) • Correct measure of supply is at watershed level- not country level • Monthly pattern also matters – Expensive to store across months – Requires a dam

Measuring Water Supply • Care about fresh water (not saltwater) • Care about supply relative to land people • Not every country the same – Some have abundant water – Some have very little – Some have scarce water/land but abundant water/person

Water Supply Country Bangladesh Cambodia Indonesia Lao PDR Maldives Mongolia Nepal Philippines Sri Lanka Thailand Viet Nam Water supply/land (m 3/ha) supply/capita 85208 8153 26298 33282 10601 8332 14084 8332 1000 94 222 12429 14282 6895 15967 5050 8048 2509 8548 6309 26713 9957

Measuring Demand • Four primary users – Agriculture- largest user – Industry- second largest – Residential- highest valued

Water Demand Country Bangladesh Cambodia Indonesia Lao PDR Maldives Mongolia Nepal Philippines Sri Lanka Thailand Viet Nam % Agriculture % Industrial 87. 8 94 81. 9 91. 4 0 43. 9 98. 1 82. 2 87. 3 90. 4 94. 8 % Residential 2. 1 1. 5 6. 5 4. 9 5. 1 43. 2 0. 3 10 6. 4 4. 9 3. 7 10 4. 5 11. 6 3. 7 94. 9 12. 9 1. 5 7. 6 6. 2 3. 7 1. 5

Water Allocation • Suppose two users: farmers and U&I • U&I more price inelastic than farmer • Suppose that farmers have more water than efficient amount • What is loss?

Initial Allocation U&I Supply Price Inefficiency Farmer Water for farmers Water for Urban/Industry

Climate Change • Suppose that climate change reduces water supply • Suppose farmer water is protected • Water must come from U&I • Efficiency loss grows

U&I Supply Price Farmer Water for farmers Water for Urban/Industry

Climate Change • Suppose that climate change reduces water supply • Suppose water is reallocated from farmers to U&I • Efficiency losses shrink • Water management objective- equate marginal value of water across users

U&I Supply Price Farmer Water for farmers Water for Urban/Industry