Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for...

65
Climate Change, Bioenergy and Population Growth as they Stress the Food-Energy-Water Nexus B.A. McCarl, ChengCheng Fei, Yingqian Yang Department of Agricultural Economics Texas A&M University Presented at Nanjing Agricultural University May 2018

Transcript of Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for...

Page 1: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Change Bioenergy and Population Growth as they Stress the Food-Energy-Water Nexus

BA McCarl ChengCheng Fei Yingqian YangDepartment of Agricultural Economics

Texas AampM University

Presented at Nanjing Agricultural UniversityMay 2018

FEW Nexusbull Food-Energy-Water Nexus Analysis considers way sectors interact in the food energy

and water space and in cases ways in which actions by some parties in the FEW sectors can benefit total regional welfare

bull We are involved in Nexus Analysis in 2 settings

ndash Nexus analysis under Water scarcity Limited supply and increasing demand for waterare driving Nexus forces

ndash Nexus Analysis under major bioenergy decisions ndash US renewable fuel standard and whether we will expand cellulosic ethanol production plus use marginal land

bull Today I will mainly talk from the first project as that is one I am leading

This material is based upon work supported by the National Science Foundation under Grants addressing Innovations at the Nexus of Food Energy and Water Systems numbered 1639327 and 1739977

FEW Nexus ndash Water Scarcitybull Water Scarcity FEW Nexus Analysis is stressed by evolving climate and

population ndash Climate

bull Increases water demand in form of desired water use per acre per household for electrical cooling and for some other industries

bull In study area lowers water supplies and increases variability bull In area lowers yields per unit land lessening food supply

ndash Population growthbull Increases household and supporting industry water demand bull Also increases demands for energy and food

bull Collectively makes Water scarcity worse ndash Lowering supply and increasing demand for water plus adding energy and food demands

while lowering food supply

FEW Nexus ndash Water Scarcitybull In our study we examine FEW Nexus actions in the form of new

water related sectoral investments and altered operating strategies-we collectively call these projects

bull We are working on defining projectsndash Agriculture related projectsndash Water related projectsndash Energy related projects

bull We also examine who gains and who loses as we feel Compensation and mechanisms to achieve it will be a big issue

Background on Regional Issues

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

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Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

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68000

70000

72000

000

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J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

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95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

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2000

2500

3000

1934

1936

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1998

2000

2002

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2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
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08571428571
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1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 2: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

FEW Nexusbull Food-Energy-Water Nexus Analysis considers way sectors interact in the food energy

and water space and in cases ways in which actions by some parties in the FEW sectors can benefit total regional welfare

bull We are involved in Nexus Analysis in 2 settings

ndash Nexus analysis under Water scarcity Limited supply and increasing demand for waterare driving Nexus forces

ndash Nexus Analysis under major bioenergy decisions ndash US renewable fuel standard and whether we will expand cellulosic ethanol production plus use marginal land

bull Today I will mainly talk from the first project as that is one I am leading

This material is based upon work supported by the National Science Foundation under Grants addressing Innovations at the Nexus of Food Energy and Water Systems numbered 1639327 and 1739977

FEW Nexus ndash Water Scarcitybull Water Scarcity FEW Nexus Analysis is stressed by evolving climate and

population ndash Climate

bull Increases water demand in form of desired water use per acre per household for electrical cooling and for some other industries

bull In study area lowers water supplies and increases variability bull In area lowers yields per unit land lessening food supply

ndash Population growthbull Increases household and supporting industry water demand bull Also increases demands for energy and food

bull Collectively makes Water scarcity worse ndash Lowering supply and increasing demand for water plus adding energy and food demands

while lowering food supply

FEW Nexus ndash Water Scarcitybull In our study we examine FEW Nexus actions in the form of new

water related sectoral investments and altered operating strategies-we collectively call these projects

bull We are working on defining projectsndash Agriculture related projectsndash Water related projectsndash Energy related projects

bull We also examine who gains and who loses as we feel Compensation and mechanisms to achieve it will be a big issue

Background on Regional Issues

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 3: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

FEW Nexus ndash Water Scarcitybull Water Scarcity FEW Nexus Analysis is stressed by evolving climate and

population ndash Climate

bull Increases water demand in form of desired water use per acre per household for electrical cooling and for some other industries

bull In study area lowers water supplies and increases variability bull In area lowers yields per unit land lessening food supply

ndash Population growthbull Increases household and supporting industry water demand bull Also increases demands for energy and food

bull Collectively makes Water scarcity worse ndash Lowering supply and increasing demand for water plus adding energy and food demands

while lowering food supply

FEW Nexus ndash Water Scarcitybull In our study we examine FEW Nexus actions in the form of new

water related sectoral investments and altered operating strategies-we collectively call these projects

bull We are working on defining projectsndash Agriculture related projectsndash Water related projectsndash Energy related projects

bull We also examine who gains and who loses as we feel Compensation and mechanisms to achieve it will be a big issue

Background on Regional Issues

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 4: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

FEW Nexus ndash Water Scarcitybull In our study we examine FEW Nexus actions in the form of new

water related sectoral investments and altered operating strategies-we collectively call these projects

bull We are working on defining projectsndash Agriculture related projectsndash Water related projectsndash Energy related projects

bull We also examine who gains and who loses as we feel Compensation and mechanisms to achieve it will be a big issue

Background on Regional Issues

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 5: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Background on Regional Issues

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 6: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Study Region - Geographic amp Hydrologic Scope

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 7: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Study Region - Geographic amp Hydrologic Scope

Water Sourcesbull 4 River Basins bull 5 Aquifers bull 2 Springs bull 5 LakesReservoirsUsersbull Agriculturebull Municipalitybull Industry bull Energy - power plants and

fracking)bull Recreationalbull Environmental

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 8: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Limited water supply Riversbull Average precipitation in the region varies from 20 -30 inches (50-75 cm) per

year in the ag areas in west to about 40 inches (100 cm) per year in the eastbull Sufficient flows needed for

downstream water use and flows to Estuary to protect fishery and species

bull Interaction with ground waterbull Springs from Edwards Aquifer

provide 30-80 of base flow in eastern river under drought

bull Overpumping of groundwater will lower river flows

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 9: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Limited water supply Aquifersbull Edwards Aquifer

Source Edwards Aquifer Website httpwwwedwardsaquifernetintrohtml

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 10: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Limited water supply Edwards Aquiferbull Problems

ndash Limited water supply (recharge)ndash Heavy discharge (pumping and

springs)ndash Environment concerns and

endangered species findingbull EAA solution

ndash Edwards Aquifer Authority (EAA) issued permits to limit pumping and regulated withdraw amount based on water level

ndash Permit trading is allowed in EAA (water market)

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 11: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Stochastic water supply Edwards Aquifer

000

50000

100000

150000

200000

250000

30000019

55

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

Disc

harg

e an

d Re

char

ge

Discharge

Recharge

Unit is thousands of acft which is 1233 cubic meters)

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 12: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Stochastic water supply Aquifers

58000

60000

62000

64000

66000

68000

70000

72000

000

50000

100000

150000

200000

250000

300000

1955

1958

1961

1964

1967

1970

1973

1976

1979

1982

1985

1988

1991

1994

1997

2000

2003

2006

2009

2012

2015

J 17 Well Elevation (feet above

sea level)

Disc

harg

e an

d Re

char

ge

(tho

usan

ds o

f acf

t)

Recharge

Elevation

Edwards Aquifer does not retain water

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 13: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Environmental Issue - Edwardsbull Aquifer supports Endangered species

Texas Blind Salamander Fountain Darter

San Marcos Gambusia San Marcos Salamander

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 14: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Carrizo-Wilcox Aquifer Water Level falling

0

50

100

150

200

250

300

Wat

er E

leva

tion

(feet

)

Well 7708511

In Groundwater Management area 13 covering southern segment of Carrizo-Wilcox Aquifer desired 2070 condition is no more than 48 feet average drawdown relative to 2012

-100-50

050

100150200250300

Elev

atio

n (F

eet)

Well 7738103

050

100150200250300350400450

95

2002

95

2003

95

2004

95

2005

95

2006

95

2007

95

2008

95

2009

95

2010

95

2011

95

2012

95

2013

95

2014

95

2015

95

2016

95

2017

Wat

er E

leva

tion

(Fee

t)

Well 7702509

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 15: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Background on Demand and Population

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 16: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Regional Water Usage by Sector - 2015

Municipal 68200

Industrial 12419

Mining 4646

Power Plant 28882

Irrigation 23674

Livestock 11261

Surface Water Usage (149k Acft)

Municipal 347889

Industrial 14129

Mining 47135

Power Plant 5357

Irrigation 210590

Livestock 18604

Ground Water Usage (643k Acft)

bull Heavy water usage by municipal sector bull Irrigation uses mainly groundwater

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 17: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Rapid Population Growth

00

05

10

15

20

25

30

1980 1990 2000 2010 2020 2030 2040 2050

Bexar County Historical and Projected Population (Million)

000

050

100

150

200

2020 2030 2040 2050 2060 2070

South Central Texas Demand Supply and Gap (Million Acft)

Demands Existing Supplies Deficit

Population growth leads tobull Rapid municipal industrial and

electricity cooling demandbull Growing deficit

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 18: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Challenges from Frackingbull Between 2000 and 2014 water used to drill a horizontal natural gas well

increased from 177000 to 51 million gallons per wellbull Fracking (mining) is largest water use in some countiesbull Heavy fracking in winter garden increased Carrizo-Wilcox drawdown

020406080

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Mining water usage as proportion of total usage

Dimmit LA Salle

-100-50

050

100150200250300

111

503

072

004

081

505

042

506

020

507

102

507

071

508

123

009

093

010

122

511

102

012

071

513

032

514

113

014

081

015

042

016

122

516

092

017

Elev

atio

n (F

eet)

Water Elevation of Well 7738103 on La Salle and Dimmit Boarder

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 19: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Change

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 20: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Temperature historyYear Change from

20th Century Average

Rank out of 138 years

2014 074degC 135

2015 090degC 137

2016 094degC 138

2017 084degC 136

bull 2017 was the third warmest year in NOAAs 138-year series bull 41ht consecutive year (since 1977) that annual temperature is above 20th century average bull All 17 years of 21st century rank are among seventeen warmest on record (1998 is ninth) bull Six warmest years have all occurred since 2010 bull Four warmest have been last 4bull Temperatures in 2015-2016 were majorly influenced by strong El Nintildeobull Increased 007degC (013degF) per decade since 1880 and 017degC (031degF) since 1970

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 21: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Change is making things non stationary

y = 745x + 40704y = -48512x + 11293

0

500

1000

1500

2000

2500

3000

1934

1936

1938

1940

1942

1944

1946

1948

1950

1952

1954

1956

1958

1960

1962

1964

1966

1968

1970

1972

1974

1976

1978

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

Rech

arge

in th

ousa

nd a

cre

feet

Year

Edwards Aquifer Recharge Over Time

Recharge 1934-1975 Recharge 1975-2015Linear (Recharge 1934-1975) Linear (Recharge 1975-2015)

httpwwwedwardsaquifernetdatahtml

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 22: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Change is making things non stationary

WaterCan we use 100 year floodMilly PCD J Betancourt M Falkenmark 2008 Climate Change Stationarity Is Dead WhitherWater Management Science Vol 319 No 5863 pp 573 ndash 574

McCarl Bruce A Xavier Villavicencio and Ximing Wu Climate change and future analysis is stationarity dying American Journal of Agricultural Economics 905 (2008) 1241-1247

Ag yieldsCan we history to assess risk

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 23: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND

httpswwwndsuedufargofloodimagesred_river_of_the_north_raster_plot_august_2014pdf

Where is the dark Blue

Note it is more common recently

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 24: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Yet more could happen

What could happen

What we have seen so far

Figure 1 Global temperature change and uncertainty From Robustness and uncertainties in the new CMIP5 climate model projectionsReto Knutti amp Jan Sedlaacuteček Nature Climate Change 3 369ndash373 (2013) doi101038nclimate1716

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 25: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Changebull Use data for 2030 and 2090

Canadian Climate Center Model (CCC)

Hadley Climate Center Model (HAD)

Average changes for the 10 year periods

Climate Change Scenarios Temperature (0F) Precipitation (Inches)

HAD 2030 32 -41

HAD 2090 901 -078

CCC 2030 541 -1436

CCC 2090 1461 -456

Less water in much of

Southwest region

(IPCC WH2 AR5 chapter 3)

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 26: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Projections ndash Edwards Aquifer

Results for EA Recharge Prediction( change from the BASE ) Hadley Canadian

Recharge in Drought Years -2059 - -2965

Recharge in Normal Years -1968 - -2899 -

Recharge in Wet Years -2364 - -3442 -

Municipal DemandForecasted that climate change will increase municipal water demand by 15 (HAD) to 35 (CCC)

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 27: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Climate Changebull Edwards Aquifer is vulnerable under climate change much less recharge

under La Ninabull Decreasing precipitation in far future makes Groundwater more

vulnerable

80

85

90

95

100

105

110

2015 2020 2030 2040 2050 2060 2070

Precipitation Changing Rate Under Canadian GCM

0001020304050607080910

0 200 400 600 800 1000 1300 1800

El Nino Phase

La Nina Phase

Neutral Phase

Prob

abilit

y of

Rec

harg

e

Thousand Acre-Feet

Edwards Aquifer Recharge

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 28: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

newchart

Probability of Recharge
Thousand Acre-Feet
El Nino Phase
La Nina Phase
Neutral Phase
0
0
0
0
0
0
0125
04
02142857143
0375
06
02142857143
0375
06
05
05
08
06428571429
05
1
06428571429
05
07142857143
0625
07142857143
075
08571428571
075
08571428571
075
1
075
0875
1
1

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
0 0 0
100 100 100
200 200 200
300 300 300
400 400 400
500 500 500
600 600 600
700 700 700
800 800 800
900 900 900
1000 1000 1000
1200 1200 1200
1300 1300 1300
1500 1500 1500
1800 1800 1800
2000 2000 2000
Page 29: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

cdf-graph1

ampA
Page ampP

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

THIS DATA IS USED 3 PHASE SOI
THIS BLOCK IS USED TO GENERATED A GRAPH SHOWN IN cdf-chart
RECHARGE (1000 acre-feet) JAN - JULY (USGS) RECHARGE (1000 acre-feet) JAN - JULY (HDR data)
El Nino Phase La Nina Phase Neutral Phase phase 1 phase 2 phase 3 phase 1 phase 2 phase 3
0 0000 0000 0 0-100 00000 01000 00570 0-100 0 01 0
100 0000 0000 0 101-200 02500 04000 03430 101-200 0167 04 0229
200 0125 0400 0214 201-300 05830 06000 04570 201-300 0417 05 04
300 0375 0600 0214 301-400 05830 06000 06860 301-400 0583 08 0629
400 0375 0600 0500 401-500 06670 08000 07430 401-500 0667 09 0743
500 0500 0800 0643 501-600 06670 09000 07710 501-600 0667 09 08
600 0500 1000 0643 601-700 06670 09000 08290 601-700 075 1 0829
700 0500 0714 701-800 07500 10000 08570 701-800 075 0914
800 0625 0714 801-900 08330 09430 801-900 0917 0971
900 0750 0857 901-1000 08330 09710 901-1000 0917 1
1000 0750 0857 1001-1100 09170 10000 1001-1100 1
1200 0750 1000 1101-1714 10000
1300 0750
1500 0875
1800 1000
2000 1
Page 30: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Modeling

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 31: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash the conceptUnify

bull Detailed aquifer hydrologic modelbull Regionalized economic Modelbull Surface water flow model bull Hydrology embedded in regional economic model via

regression (Keith Keplinger dissertation)1 Keith O Keplinger An investigation of Dry Year Options for the Edwards Aquifer PhD Thesis TAMU 1996 2 File Number 598 - Keplinger KO and BA McCarl Regression Based Investigation of Pumping Limits and Springflow Within the

Edwards Aquifer Texas A and M University 19953 File Number 829 - Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water

Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April ) 59-78 2001

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 32: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ldquoSystemrdquo(and friendsancestors)

RegionalCrop Mixinput use

Envloads

Crop and Env

Simulators(EPICSWAT)

Runoff Simulators(SWAT)

GIS

Non AgResourceDemand

GCMs

LivestockData

Simulator Bundle

PestRegressions

GroundwaterSimulator(GAM)

Water Quality

EDSIMR SWAT

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 33: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model

What is contained in EDSIMR bull Simulation Model (GAM)

Springflow beginningending aquifer elevations pumping

bull Econometric ModelSpringflowending = f (beginning recharge pumping)

bull Mathematical Linear Programmingndash Components objective function

ag MampI power and fracking decision variable constraints Surface water Network flow ground water characteristics

ndash Linkage Ground Water + Surface Water

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 34: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Stat

e of

Nat

ure

Aquifers (Edwards

Carrizo-Wilcox Gulf Coast

Trinity)

Rivers (Nueces Guadalupe

San Antonio)

Reservoirs (Canyon

ChokeCanyon ColetoCreek Lake Corpus

Christi Medina Lake Lake

Texana)

Aquifer Diverters

River Diverters

Return Flows

Evaporation

Aquifer recharge Depletion Elevation

River Flows

Water Project

Use (Exist and New)

Water Rights amp Markets

New Water Projects (YN)

Energy Retrofits

(YN)

Modeled Water Demand

Hydrological Processes

Investments

Reuse

Treatment Plants

EDSIMR ndash the scope

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 35: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Cropland

Agricultural Water Use

Electrical Cooling Water

Fracking Water Use

Water Recreation

Hydro-Electric

Municipal Water

Industrial Water Use

PastureampRange

Crop Production

Livestock ProductionFresh water

Aquifer Diversion

River Diversion

Water Projects (Exist amp New)

Brackish Water

Modeled Water Demand

Reuse

Return Flows

Treatment Plants

Treatment Plants

Environmental

EDSIMR ndash Demand Scope

Red means we areWorking on adding it

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 36: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Objective function termsbull Max Expected Regional Net Benefit

o Agricultural sector =gt revenues ndash production cost

o Non-agricultural sector =gt areas under demand ndash supply curves

o Power ndash operations cost and rev from fixed price

o Fracking ndash operations cost and fixed demand

o Env sector ndash to be determined

o Project cost and retrofit cost (water power fracking)

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 37: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Agriculture SectorLand Modeling

bull Land BalanceCropland + Pasture lt= Total available land

bull Land Transfer

bull Land use decisions are made in Stage 1 of the model (CROPACRES and LIVEPROD)

Irrigate via Furrow

Irrigate via Sprinkler

Dryland Pasture

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 38: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash River flow detail

R3

R1

Lake releaseDiversion

R2

cSpringDischarge

Aquifer

Return flow

New additionalinflow

Add to Lake

Evaporation

Inflow

Outflow

Recharge

Project water

User

Pump ground

Reuse

Diversion+ Aquifer recharge+ Evaporation + Lake addition+ Downstreambay outflow

Upstream inflow+ New Additional inflow+ Return flow+ Spring discharge+ Lake release+ Treated reuse+ Project water

=

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 39: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Stochastic Model

Energy and water projects amp

retrofits crop mix herd size

irrigation to dry dry to pasture

HDry

Wet

DNormal

State of nature specificbull Ag amp MI usebull Water tradesbull Water

projects flowbull Spring flowbull Aquifer

elevationbull Aquifer

Storage

Aquifer Storage and River Flow Identity

MDry

MWet

Normal

Dry

HWet

WNormal

Different Precipitationamp Recharge under DifferentSONs

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 40: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

( )

( )

( )

( )( )

( )

( )

( )

cost transfer Land - cost herd Animal -

cost Planting -

inflow)bayestuaryecreserviorr(Instream EnvBenefit

cos

cos

cos

cos

)dSIND( )dSMUN(

d )( d )(

MAXIMIZE

sum

sum

sum

sum

sum

sum

sum int int

sum int int

sum

sum

sumsum

minus

minus

+++

+minus

+minus

minus

minus

++

++

lowast+

lowast+

lowastlowast

dmdmrd

ppr

nmnmrnmrnr

pmpmrpmrpr

nmnmrnr

pmpmrpr

nnmrnmrnmrnmrnmrnmr

pmpmrpmrpmrpmrpmrpmr

acacrar

pcpcrcr

pcpcrcr

rr

SNEWPROJECTannualcost

TRANSFERSntransactio

SINDSMUNtpumpsurfmunind

GINDGMUNtndpumpgroundmuni

SAGWATERtunpsurfaceagp

GAGWATERtmpgroundagpu

SINDsinddemSMUNsmundem

GINDGINDginddemGMUNGMUNgmundem

LIVESTOCKliveprofit

DDRYCROPPROdryprofit

DIRRCROPPROirrprofitprob

EDSIMR ObjectiveExpected Net

Benefits Maximization areas

under MampIdemandcurves

pumpingdelivery costs

Net Ag income fromIrr and dry Crop and animalproduction

Annual project dev costs - IntegerCrop plant costAnimal acquisition annual costCost of irr to dry or dry to past

The objective function is a probabilistically weighted across the states of nature to reflect stochastic weather

Less SON independent costs

MampI

Ag

Water Mkt Transaction costs

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 41: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Agriculture SectorCrop Mix Modeling

bull Crop Mix Balancendash Crop mix should be a convex combination of historical crop

land allocation ndash Dryland and Irrigated crops mixes are counted separately

119911119911119911119911119911119911119911119911119911119911

119862119862119862119862119862119862119862119862119862119862119862119862119862119862119864119864119888119888119911119911119888119888119911119911119888119888119888119888119911119911119911119911119911119911119911119911119911119911119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911

le 119898119898119894119894119898119898119911119911119911119911119894119894

[119862119862119862119862119862119862119862119862119862119862119862119862119883119883119888119888119911119911119888119888119911119911119888119888119888119888119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894

lowast 119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119888119911119911119888119888119911119911119888119888119888119888119888119888119888119888119911119911119888119888119911119911119894119894119888119888119888119888119894119894119894119894119911119911119888119888119894119894119888119888119888119888119911119911119898119898119894119894119898119898119911119911119911119911119894119894]forall119888119888119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119888119888 119888119888119888119888119888119888119888119888119894119894119888119888119888119888119888119888119888119888119888119888119888119888

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 42: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndashWater rights and Markets

bull Diversion ConstraintAmount of water diverted from river by one permit +Sold to others-Buy from otherslt= Permitted Capacity

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 43: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash ProjectsWater Power Fracking

bull Integer variables in most casesbull Capacity Constraint

ndash Water from projects lt= the project capacity if the project is built0 otherwise

bull Project capacity may be stochasticbull Operating cost per acre footbull Fixed amortzed construction costs per projectbull State of nature (stage 2) operationbull Injection Balance

ndash Water could only be recovered in the Hdry statendash Water recovered in the Injection projects in Hdry state lt= water injected into

aquifer in other state of nature

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 44: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Basics of Stochasticsbull Stochastics

bull Temp and precipitationbull Crop Yields and Water Requirements and pest costsbull Livestock stocking ratebull Livestock performancebull MampI demandbull Cooling requirementsbull Water available

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 45: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Incorporating Water Markets

Includes friction in mkt ($50 in Edwards)

Water use and rights

Municipal

Water use and rights

Agricultural

Water use andrights

Industrial

Water Market

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 46: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Basics of Stochasticsbull Discrete Stochastic Model 9 weather statesbull 2 Stage Decision bull Stage 1

bull Water and energy projectsbull Crop mixbull Livestock numbersbull Initial levels of aquifers and reservoirs

bull Stage 2 bull Crop water use strategy bull Recharge and surface inflowsbull Pumpingdiversionbull Water flows

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 47: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Conceptual Resultsbull Projects builtbull Water Use Pattern and Tradingbull Economic Effect by party

bull regional ag farm income + non-ag net surplusbull regional water prices and costs

bull Hydrologic Effectbull EA elevation at the J-17 well index and river flows

bull Environmental Effectbull spring flows river flows and the Estuary bay flows

bull Social Effect

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 48: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Projects

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 49: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

WEF Alternatives ndash a starting pointIrrigation methods and practices Alternative crops

Ag Land to dryland or grazing Removing minimum limitsDegraded water use Crop mixDry year option

Water Use of more distant aquifers Injection amprecoveryReservoirs Saline sourcesEnhanced recharge ConservationReuse Broader markets and leasingInterbasin transfer

Energy Alternative cooling Coal to Natural GasRenewable sources wind solar Import moreFracking water reuse Fracking technology

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 50: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Water Projects Examples

Out-of-Region Water Project Vista Ridgebull 143 miles pipelinesbull Yield 50000 acftyrbull Water cost full operation $1976 acftbull Total cost of facility $493 millionbull Pumping Energy 156691 MWhyear

ASR Project Luiling ASRbull Total cost of facility $23 millionbull Annual cost of water $1086 acftbull Energy Consumption for pumping

1617 MWhyear

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 51: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Power Plant Retrofitbull Boiler retrofit (coal to natural gas)bull Cooling retrofit

ndash (Once-through to Recirculating to Dry-cooling)

bull Switch to renewable source Wind solar and Nuclearbull Add new capacity in or outside region

ndash Could export water usendash Wind and solar reliability are issue

bull Retrofit and new capacity cost will be in first stage of the model

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 52: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Public Goods Concernbull Some Nexus actions will not be adopted by private

individuals as they benefit the public not just the individual In such cases the public may need to get directly involved in adoption

bull Water Projects in our projects are public goods

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 53: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Compensation Reallocationbull When an entity like a Power plant could retrofit to

save water but donrsquot do it because of cost

bull We need provide subsidy or compensation to the power plants to increase their incentive of cooling and heating retrofit

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 54: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Preliminary Result

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 55: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Example Analysis Objectivesbull Evaluate the economic and environmental

consequences of a set of water management and energy project plans

bull Determine the ldquobestrdquo mix of water and energy retrofit options for a given demand and environmental constraints

bull Undertake a comparative assessment of the model ldquobestrdquo set of water management and energy project plans

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 56: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Base run -Agriculture Landbull Land transfers from irrigated land to dry land and sprinkler

irrigation is preferred to save water even with higher costbull Few crop lands transfers to pasture

0

20

40

60

80

100

base 2015 2020 2030 2040 2050 2060 2070

Cropland Shares

Dryland Furrow Sprinkler

0

5

10

15

base 2015 2020 2030 2040 2050 2060 2070Land

Are

a (M

illio

n Ac

res)

Crop Land vs Pasture

cropland Pasture

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 57: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Agriculture Production Index

08

085

09

095

1

105

11

0

50

100

150

200

250

300

350

400

2015 2020 2030 2040 2050 2060 2070

Prec

ipita

tion

Chan

ging

Rat

e

Prod

uctio

n In

dex

Ag Production Index

All Ag Products Vegetable Field Crops

Livestock Precipitation

bull Vegetable production is very sensitive to precipitation It is preferred during wet years (2020s 2030s) but spurned in the dry years (2050s 2060s)

bull Production index of all ag products also varies with precipitation

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 58: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Water Source by Sectorbull Demand increases over time with the growing population bull Municipal water needs driving expensive water projects proposed by Texas Water

Development Board or being implemented bull Municipal sector owns less surface water permits than agriculture and industrial sector in the

region Plus has means of financingbull Industrial water relies more on surface water over time due to the shortage of water

projects and groundwater drawdown

0200400600800

2015

2020

2030

2040

2050

2060

2070Wat

er (T

hous

and

Acft

)

Municipal Water Source

Surface Ground Project

0

10

20

30

40

50

60

70

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Industrial Water Source

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 59: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Water Source by Sectorbull Agriculture use less water under climate change because the increasing

demand of groundwater draw down the aquifer and make the water too expensive for agriculture usage

bull Mining relies on ground water due to the shortage of surface water permits

0

50

100

150

200

250

300

2015 2020 2030 2040 2050 2060 2070

Wat

er (T

hous

and

Acft

)

Agriculture Water Source

0

10

20

30

40

50

2015 2020 2030 2040 2050 2060 2070W

ater

(Tho

usan

d Ac

ft)

Mining Water Source

Surface Ground

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 60: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Average Water Cost by Sector

Surface Ground Project

0

1000

2000

3000

4000

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Municipal Water Cost

0

500

1000

1500

2000

2500

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Industrial Water Cost

0

10

20

30

40

50

60

2015 2020 2030 2040 2050 2060 2070

Wat

er C

ost (

$Ac

ft)

Agricultural Water Cost

1850

1900

1950

2000

2015 2020 2030 2040 2050 2060 2070W

ater

Cos

t ($

Acft

)

Mining Water Cost

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 61: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Water Projects Selection

AvailableProjects 2015 2020 2030 2040 2050 2060 2070

Surface Water Projects 4

Ground Water Projects 34 0 4 5 5 5 5 6Aquifer Storage and

Recovery 7 0 2 2 2 2 2 2Off-Channel Reservoir 5

Outside Water Projects 7Fixed cost(Million $) 387 389 002 1760

Variable cost(Million $) 0 000 2918 3528 3517 3512 4082 7269Energy

Consumption(MWh) 3152 4274 4267 4263 5835 20220

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 62: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Sample Analysis Resultsbull There is a distinct tradeoff in the EA region between the economic well being of

pumping users and regional environmental attributes bull Leaving behind the rule of capture to take on the highest of the HCP motivated

pumping limits reduces regional pumping user related welfare by $246 million per year The most extreme limit examined (175000 acft) under the emerging HCP raises the welfare loss to $633 million per year

bull The emergence of the EA water market improves regional welfare to pumping users but worsens environmental attributes unless the East-West pools could somehow be factored into its design

bull Water development from alternative sources will be stimulated greatly by HCP related EA use restrictions

bull The EA region will have to develop an expanded set of water development alternatives if the severe Habitat Conservation Plan based restrictions are imposed

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 63: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Sample Analysis ResultsTable 2 Economic and Hydrologic Effects of Water Management Plans

2050 Basea

Optimal400

Optimal200

Plan 1 Plan 2 Plan 3 Plan 4 Plan 5

----------------------------- change from the 2050 Base ----------------------------- Average Welfare Measures (Mil$)

Agricultural Income

191 -315 -98

-127 -412 -100 -169 -723

Non-agricultural Surplus

8780 22 09 -57 -72 -121 -82 20

Other Regional Agricultural Income 591 002 002

-21 -21 -21 002 -23

Other Regional Non-Agricultural Surplus

2165 000 000 000 000 000 000 000

Total Regional Welfare

12328 11 05 -42 -59 -88 -61 02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested 745 -357 -216

-219 -454 -218 -251 -644

Edwards Aquifer Dry Land 172 -59 -66

-81 -16 -69 -76 -58

Purchased Edwards Aquifer Irrigated Land NA 404 279

284 451 282 311 592

Leased Edwards Aquifer Irrigated Land

NA 19 04 15 15 03 15 86

Average Hydrologic Measures

Comal Spring Flow (cfsyear) 1960 -460 1256

-87 719 1287 -169 -445

Corpus Bay Inflow (103 acft) 10257 -47 -16

55 76 04 -381 -92

The EA ag sector is worse off

The economic gain accrues to the EA non-agricultural sector but is basically offset by the water development costs

Gillig D BA McCarl and FO Boadu An Economic Hydrologic and Environmental Assessment of Water Management Alternative Plans for the South-Central Texas Region Journal of Agricultural and Applied Economics 33 1 (April) 59-78 2001

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

2050

Basea

Optimal400

Optimal200

Plan 1

Plan 2

Plan 3

Plan 4

Plan 5

----------------------------- change from the 2050 Base -----------------------------

Average Welfare Measures (Mil$)

Agricultural Income

191

-315

-98

-127

-412

-100

-169

-723

Non-agricultural Surplus

8780

22

09

-57

-72

-121

-82

20

Other Regional Agricultural Income

591

002

002

-21

-21

-21

002

-23

Other Regional Non-Agricultural Surplus

2165

000

000

000

000

000

000

000

Total Regional Welfare

12328

11

05

-42

-59

-88

-61

02

Agricultural Activity Measures (103 acres)

Edwards Aquifer Irrigated Acres Harvested

745

-357

-216

-219

-454

-218

-251

-644

Edwards Aquifer Dry Land

172

-59

-66

-81

-16

-69

-76

-58

Purchased Edwards Aquifer Irrigated Land

NA

404

279

284

451

282

311

592

Leased Edwards Aquifer Irrigated Land

NA

19

04

15

15

03

15

86

Average Hydrologic Measures

Comal Spring Flow (cfsyear)

1960

-460

1256

-87

719

1287

-169

-445

Corpus Bay Inflow (103 acft)

10257

-47

-16

55

76

04

-381

-92

Page 64: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

EDSIMR ndash Sample Analysis ResultsTable 1 Water Management Options Used in the Alternative Plans

Water Option

Optimal400

Optimal 200

Plan

1

Plan

2

Plan

3

Plan

4

Plan

5 Surface Water DiversionTransfer

Lower Guadalupe River diversion X X X X

Colorado River in Colorado County X

Colorado River in Bastrop X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir X X X X X

Wimberley amp Woodcreek Reservoirs X X X X X

Cibolo Reservoir X

Lockhart Reservoir X X

Purchaselease surface water irrigation rights

X X

Groundwater PumpingRechargeRecovery

EA irrigation transfers X X X X X X X

EA recharge Type 2 X X X X X X

Guadalupe River diversion near Comfort X

Springflow recirculation X X X X

Table 1 Water Management Options Used in the Alternative Plans

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65

Water Option

Optimal400

Optimal 200

Plan 1

Plan2

Plan3

Plan4

Plan5

Surface Water DiversionTransfer

Lower Guadalupe River diversion

X

X

X

X

Colorado River in Colorado County

X

Colorado River in Bastrop

X

Joint development of water supply with CCCLCC system

X

Medina Lake

Canyon Reservoir

X

X

X

X

X

Wimberley amp Woodcreek Reservoirs

X

X

X

X

X

Cibolo Reservoir

X

Lockhart Reservoir

X

X

Purchaselease surface water irrigation rights

X

X

Groundwater PumpingRechargeRecovery

EA irrigation transfers

X

X

X

X

X

X

X

EA recharge Type 2

X

X

X

X

X

X

Guadalupe River diversion near Comfort

X

Springflow recirculation

X

X

X

X

Medina Lake irrigation reduction and recharge enhancement

X

X

X

Carrizo Aquifers pumping andor recharge enhancement

X

X

X

X

X

X

X

Gulf Coast Aquifers pumping andor recharge enhancement

X

X

X

Simsboro Aquifers pumping andor recharge enhancement

X

X

X

Trinity Aquifers pumping andor recharge enhancement

X

X

X

Page 65: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Conclusionbull Agriculture transfer land from furrow irrigation to sprinkler

irrigation to dryland to save fresh water and avoid high pumping cost

bull Building more water projects could destress water scarcity and increase social welfare

bull More water projects are built over time ASR and Groundwater projects are preferred due to extra water source and lower fixed and operating cost

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65
Page 66: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Future Researchbull Enhance the preliminary electrical energy part improving

data and modeling on cooling alternatives and the use of electricity when developing the water projects

bull Add Edwards Aquifer Authority water management strategiesregulation and water marketing into the model

bull Add alternative strategies via which fracking can reduce its usage of fresh water

bull Develop information on how water supply crop yield and irrigated crop water use are affected by climate change scenarios in interaction with the SWAT hydrological modeling group

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65
Page 67: Climate Change, Bioenergy and ... - Texas A&M University€¦ · Management Alternative Plans for the South -Central Texas Region", Journal of Agricultural and Applied Economics,

Preliminary Result

  • Slide Number 1
  • FEW Nexus
  • FEW Nexus ndash Water Scarcity
  • FEW Nexus ndash Water Scarcity
  • Slide Number 5
  • Study Region - Geographic amp Hydrologic Scope
  • Study Region - Geographic amp Hydrologic Scope
  • Limited water supply Rivers
  • Limited water supply Aquifers
  • Limited water supply Edwards Aquifer
  • Stochastic water supply Edwards Aquifer
  • Stochastic water supply Aquifers
  • Environmental Issue - Edwards
  • Carrizo-Wilcox Aquifer Water Level falling
  • Slide Number 15
  • Regional Water Usage by Sector - 2015
  • Rapid Population Growth
  • Challenges from Fracking
  • Slide Number 19
  • Temperature history
  • Climate Change is making things non stationary
  • Climate Change is making things non stationary
  • Climate Change is making things non stationaryUSGS 05054000 RED RIVER OF THE NORTH AT FARGO ND
  • Yet more could happen
  • Climate Change
  • Projections ndash Edwards Aquifer
  • Climate Change
  • Slide Number 28
  • EDSIMR ndash the concept
  • EDSIMR ldquoSystemrdquo(and friendsancestors)
  • EDSIMR ndash ComponentsEdwards Aquifer Groundwater and River System Simulation Model
  • Slide Number 32
  • Slide Number 33
  • EDSIMR ndash Objective function terms
  • EDSIMR ndash Agriculture SectorLand Modeling
  • EDSIMR ndash River flow detail
  • Stochastic Model
  • Slide Number 38
  • EDSIMR ndash Agriculture SectorCrop Mix Modeling
  • EDSIMR ndashWater rights and Markets
  • EDSIMR ndash ProjectsWater Power Fracking
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Incorporating Water Markets
  • EDSIMR ndash Basics of Stochastics
  • EDSIMR ndash Conceptual Results
  • Slide Number 46
  • WEF Alternatives ndash a starting point
  • Water Projects Examples
  • Power Plant Retrofit
  • Public Goods Concern
  • Compensation Reallocation
  • Slide Number 52
  • EDSIMR ndash Example Analysis Objectives
  • Base run -Agriculture Land
  • Agriculture Production Index
  • Water Source by Sector
  • Water Source by Sector
  • Average Water Cost by Sector
  • Water Projects Selection
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • EDSIMR ndash Sample Analysis Results
  • Conclusion
  • Future Research
  • Slide Number 65