Cost Benefit/Effectiveness Analysis of Climate Change Adaptation in Potohar Region by Building Rainwater Harvesting Dams

Abstract

Northern Punjab region of Pakistan, known as Potohar region comprises 2.26 (Million Hectre) of rich land with mean annual rainfall varying from 400 mm to 1400 mm that has high runoff potential. Climate of this region is affected by variation in rainfall frequency, flash floods and long dry periods. The increasing gap in water supply and demand put huge stress on already scarce water resources. Considering the potential of rainwater harvesting in Potohar, the Government has been subsidizing rainwater harvesting projects since 1980's. Given the historical uncertainties of climate, importance of rainwater harvesting is increased for it being a most feasible climate change adaptation option. Rainwater harvesting is evaluated as climate change adaptation option by performing cost benefit analysis and cost effectiveness analysis. A total 400 farming families were reviewed in this research that were reported to have benefitted from subsidized rainwater harvesting projects. For this research, 21 farmers and farms were surveyed and their cases were collected across the Potohar region. Findings of this research have revealed that, 60% of the surveyed farmers have higher understanding of climate change and they are willing to add value into their farming practice to increase their income, while 67% of farmers recognized that Potohar region has high potential for rainwater harvesting. Older dams had higher income and showed higher benefit cost ratio, on the other hand dams constructed during last two years have shown marginal to lower benefits. Overall economic benefits and effectiveness had established rainwater harvesting as suitable climate change adaptation option.