Can Property Rights Reform of China’s Agricultural Water Facilities Improve the Quality of Facility Maintenance and Enhance Farmers’ Water Conservation Behavior?—A Typical Case from Yunnan Province, China

Abstract

Currently, China is facing the problems of chaotic governance of end-use agricultural water conservancy facilities and a serious waste of agricultural water. To address the above issues, China launched a pilot policy of reforming the property rights of agricultural water facilities in 2014. In this study, we obtained data from 328 farm households through a microscopic study of the pilot property rights reform in Yunnan Province. We found that the reform has resulted in two typical property rights models: “Multiple cooperative governance” and “Private contract governance”. The impact of the reform on the maintenance quality of irrigation facilities and farmers’ water-saving technology adoption behavior was empirically analyzed using the Oprobit and IV-Oprobit methods. The study found that: (1) the property rights reform significantly improved the quality of maintenance of facilities while promoting farmers’ water-saving technology adoption behavior. (2) Heterogeneity analysis revealed that the degree of non-farming of farmers had a negative moderating effect on the quality of facility maintenance and a positive moderating effect on the adoption of water-saving technologies, and the physical health of farmers had a negative moderating effect on the quality of facility maintenance. (3) There was no significant difference in the quality of facility maintenance between the “Private contract model” and the “Multiple cooperative governance model”, but the former had higher water supply capacity; in addition, farmers under the “Multiple cooperative governance model” mainly used drip irrigation technology, whereas farmers under the “Private contract governance model” mainly used sprinkler irrigation technology. The findings of this study provide Chinese experience in promoting the governance of agricultural water facilities and promoting the water-saving behavior of farmers.