Abstract
<p>The water-energy-food (WEF) nexus is quickly becoming one of the most critical global environmental challenges of the twenty first century. However, WEF systems are inherently complex; they typically are dynamic and span multiple land or agro-ecosystems at a regional or global scale. Addressing this challenge requires a systems approach to optimal and sustainable resource management across multiple dimensions. To that end, using Pajaro Valley (California) as a case study, our research aims to (1) highlight synergies and tradeoffs in food and water production, (2) build a dynamic framework capable of examining intertemporal resource relationships, and (3) detail the steps required to develop incentive-compatible financing of the resulting management plans when benefits are not distributed uniformly across users. Using a stylized model, we find that in the long run, inland growers benefit from the halting of seawater intrusion (SWI) due to overpumping of groundwater. We also calculate that the water provided by the proposed College Lake Multi-Objective Management Program-a plan designed to halt SWI and support sustainable water and agricultural development in the region-will generate net revenue of $40-58 million per year, compared to an annualized cost of less than $3 million. An equal cost-sharing plan would be desirable if the benefit of the project exceeded $1,268 per year for each well owner. Since this may not necessarily be the case for smaller well owners, one possible alternative is to allocate costs in proportion to expected benefits for each user.</p>
Highlights
The water-energy-food (WEF) nexus describes the connectivity between three basic but indispensable resources
We find that in the long run, inland growers benefit from the halting of seawater intrusion (SWI) due to overpumping of groundwater
We suppose initially that the water is used for irrigation of strawberries, a crop grown throughout inland and coastal Pajaro Valley; a similar calculation could be made for any other type of crop. 7,068 acres in Pajaro Valley were used for growing strawberries in 2009, and 13,338 AF of water were applied that year, which amounts to 2.36 AF of water per acre of strawberries, after adjusting for an acreage factor that accounts for the fact that only a fraction of the surface area of each farm is used for crop production (Lin et al, 2013)
Summary
The water-energy-food (WEF) nexus describes the connectivity between three basic but indispensable resources. Designing policies that take into account those tradeoffs is challenging when considering global population and climate change projections over the century and beyond. From a long-term planning perspective, management of WEF systems should address contemporaneous tradeoffs, and intertemporal ones. (economically) optimal water management has been shown to be sustainable in many circumstances, provided that externalities and supply-side substitutes are properly accounted for (Roumasset and Wada, 2010). Our research focuses on the sustainable management of water and food production in Pajaro Valley, California. Our primary objectives are to (1) highlight synergies and tradeoffs in food and water production, (2) build a dynamic framework capable of examining intertemporal resource relationships, and (3) detail the steps required to develop incentive-compatible financing of such multi-dimensional plans when benefits are not distributed uniformly across users
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