May 2, 2023

Replenish able but depleteable Resource: Water

By: Molla Deribie Djima Baysa Milkyas Addis Ibrahim Farah

May 2, 2023

OutlineIntroductionThe potential for water scarcityThe current allocation systemSource of inefficient Ethiopian water potentialEfficient water pricingWater management policy in Ethiopia Constraints of efficient utilization of water resource in

EthiopiaPotential remediesGround and Surface Water in Ethiopia

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1.Introduction

Water is one of the essential element of life.Humans depend not only on an intake of

water to replace the continual loss of body fluids

Also on food sources that themselves need water to survive.

Methods of water allocation in the past and

to the future by different institutions is differ.

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Cont…According to the UN Environment Program

(2002), 90 percent of the world’s readily available freshwater resources is groundwater.

And only 2.5 percent of this is available on a renewable basis. The rest is a finite, depletable resource

Of the estimated total volume of water on earth, only 2.5 percent (1.4 billion is freshwater.

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Cont…Of this amount, less than1 percent of all

freshwater resources (and only 0.01 percent of all the water on earth),is available for human consumption and for ecosystems (Gleick,1993).

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2.The potential for water scarcity

efficient allocation of surface and ground water.

Surface water consists of the freshwater in rivers, lakes, and

reservoirs that collects and flows on the earth’s surface and in to the groundwater.

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Cont…Groundwater

by contrast, collects in porous layers of underground rock known as aquifers.

in certain parts of the world, groundwater supplies are being depleted to the potential detriment of future users

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2.1Efficient allocation of surface water

Definition:-distributing a fixed renewable water supply

among competing users.Things taken to be considered during allocation:

The hydrologic nature of the water source;

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Cont…strike a balance among a host of competing

users and; supply an acceptable means of handling the

year-to-year variability in water flow;the marginal net benefit is equalized for all uses. 

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Figure one: efficient allocation of surface water$/unit

S1T S

OT

AMNB1

BMNBO

Ag MNB

QoB Q1

A=Q1T Q

OA Q

OT Q.W

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Cont… Water supply labeled at SO

T

Two individual marginal net benefit curves (A

and B) are depicted along with the aggregate

marginal net benefit curve for both

individuals.the marginal net benefit (MNB0) is equal for

the two users. A uses QO

A and B uses QoB.

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Cont…the marginal net benefit for both users is

positivewater sales should involve a positive

marginal scarcity rent

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Cont…

Zero marginal scarcity rent

This happened if water were not scarce;

This is the point at which to the right of

intersection point of MNBa and the axis;

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Cont…

no computation to use the resource;

Their marginal net benefits would still be

equal;

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Cont…

Supply fluctuations (water supply labeled S1T)

User B receives no water, while use A receives it all.

The MNB curve for water in use A lies above that for

B,

AS supplies diminish, the cost (the forgone net

benefits) of doing without water is much higher for A

than for B.

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Cont…

In an efficient allocation, users who can most

easily find substitutes or conserve water

receive proportionately smaller allocations

when supplies are diminished than those who

have few alternatives. In practice, this can be

handled using a spot market (Zarnikau, 1994).

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Ethiopian water potentialEthiopia has 12 river basins that provide an

estimated annual run-off of ~125 billion m3, with the Abay basins (in central and northwest Ethiopia) accounting for ~45 percent of this amount.

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Ethiopia has limited water infrastructure to use this

surface water.

For example, current per capita water storage capacity

is just 160 m3, which is only 20 percent of South

Africa’s capacity.

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2.2 Efficient allocation of ground water

An efficient allocation considers marginal user cost.

At that point, the marginal pumping cost

and the price would be equal.

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Preliminary map of groundwater potential

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3.The current allocation system

It is inefficient.

This is depending on the legal and

institutional frameworks governing water

resources. property rights structure

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Cont…3.1 Riparian right:

the right to use the water to the owner of the land adjacent to the

water is not in operation in the country after permit system

proclamation 31/75 and proclamation of Ethiopia No.197/2000,

which is “Water Resource Management.”

Thus, according to both proclamations ,” the right of ownership of

rural and urban land as well as all natural resources, exclusively

vested in the state in the people’s of Ethiopia.”

less appropriate-trade off with population growth

The rights to the water were tied to the land and could not be

separately transferred 21

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3.2 prior appropriation right:

more congenial to the need for transferability.

the first person to arrive had the superior

(or senior) claim on the water.Later claimants hold junior (or subordinate)

claims.Agriculture flourished.

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4.Source of inefficient

preventing their gravitation to the highest-

valued use;Charging low prices; must bear some of the responsibility;Restrictions-bureaucracy;

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5.Efficient water pricing

Municipal and Industrial Water Pricing

requires the use of marginal, not average,

cost the customer should be paying the marginal

cost of supplying the last unit of water

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6. Water management policy in Ethiopia

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6.1 General water resources management policy

6.1.1 General policy

Enhance the integrated and

comprehensive management of water

resources that avoids fragmented

approach.

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Con…Recognize that water resources development,

utilization, protection and conservation go

hand in hand and ensure that water supply

and sanitation, irrigation and drainage as

well as hydraulic structures, watershed

management and related activities are

integrated and addressed in unison.

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Con…Ensure that water resources management is

compatible and integrated with other

natural resources as well as river basin

development plans and with the goals of

other sectoral developments in health,

mines, energy, agriculture….etc.

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Con…

Promote and enhance traditional and

localized water harvesting techniques in

view of the advantages provided by the

schemes’ dependence on local resources and

indigenous skills.

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Con…

Promote the involvement and meaningful

participation of the private sector in the

management of water resources.

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Con…6.1.2 Inland water transport policy

6.1.3 Aquatic resources policy

6.1.4 Water for tourism and recreation policy

6.1.5 Water for tourism and recreation policy

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6.2 Policy on cross-cutting issues

6.2.1 Water Allocation and Apportionment 6.2.2 Environment, Watershed

Management, Water Resources Protection and Conservation

a. Environment b. Watershed Management c. Water Resources Protectiond. Water Resources Conservation

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Con…

6.2.3 Technology and Engineering

a. Standards and Design Criteria

b. Consultancy and Contracting

c. Professional Associations and Technical

Publications

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Con…d. Ownership, Operation and Maintenance

e. Wells and Drilling

f. Drainage g. dams and Reservoirs Management and

operation h. Technological Issues

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Con…6.2.4 Water Resources Management

Information systems, Monitoring, Assessment and Auditing

Management of Water Resources Information

Development of Information Management

System

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Con…6.2.5 Economics of water:- water

cost and pricing

Funding for water resources Water pricing 6.2.6 Ground water resources 6.2.7 Disasters, emergencies and public

Safety6.2.8 Transboundary waters 36

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Con…

6.2.9 Stakeholders issues

6.2.10 Gender issues

6.2.11 Research and development

6.2.12 Water quality management

6.2.13 Enabling environment

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6.3 policy on sectoral issues

6.3.1 water supply and sanitation policy

1. Drinking Water Supply Policy

Establish a "Social Tariff" that enables poor

communities to cover operation and

maintenance costs.

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Con…

2. Livestock water supply policy Harmonize and promote the "user pays"

principle with the willingness and ability to pay for livestock water supply.

3. Water supply for industry and other users policy

Harmonize and promote the "user pays" principle with the willingness and ability to pay for livestock water supply.

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Con…

4. Sanitation policy

5. Integrated water supply and sanitation

policy

Promote the "User Pays" principle for

urban water supply and sanitation services

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Con…

6.3.2 Irrigation policy

6.3.3 Hydropower policy

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Water pricing in Ethiopia(water policy of Ethiopia)

Water pricing is based on willingness to pay by users of water systems.fees are paid for services rendered.

all pricing systems and mechanisms should

be geared towards conservation, protection

and efficient use of water as well as promote

equity of access- basic social equity norms. 42

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Cont…the price for water should be neither too high

(and discourage water use) nor too low (and

encourage abuses and over use of water). tariff setting shall be site specific, depending on the particulars of the project, location, the users, the cost and other characteristics of the schemes.

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Cont…The rural communities are able and willing to cover the operation and maintenance costs on their own.

pricing for urban water supplies shall aim

at full cost recovery and develop cross-

subsidization strategies and promote credit

services.

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7. Constraints of efficient utilization of water resource in Ethiopia

1. Lack of skilled man power

2. Lack of modern technology

3. Lack of good governance

4. Land fragmentation

5. Poor policy and strategy

6. Financial problem

7. Political and macro economic instability

8. Poor infrastructure 45

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8.Potencial remedies

reduce a number of restrictions on water

transfers. in stream flows protectionWater pricing

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Water paradox??Water privatization?

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8.Ground and Surface Water in Ethiopia

Surface Water

The 3 largest river basins (Abbay, Baro-

Akobo, and Omo-Gibe) contribute 76 per cent

of the total runoff from a catchment area.This amount comprises only 32 per cent of the

total area of the country

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Cont…Their large runoff stems from the fact that

the river basins occupy the western and southwestern parts of Ethiopia, where the highest concentration of rainfall occurs

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Table 1-2. Surface-water resources of major river basins

No. River basin Catchment area (km2)

Annual runoff (BM3)

Specific discharge (l/s/km2)

1 Abay 199 812 52.6 7.82 Awash 112 700 4.6 1.43 Baro-Akobo 74 100 23.6 9.74 Genale –Dawa 171 050 5.80 1.25 Mereb 5 700 0.26 3.26 Omo-Gibe 78 200 17.90 6.77 Rift Valley 52 740 5.60 3.4

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Cont….8 Tekeze 89 000 7.63 3.2

9 Wabe Shebele 200 214 3.15 0.5

10 Afar-Danakil 74 000 0.86 -

11 Ogaden 77 100 0 -

12 Aysha 2 200 0 -

Total 1 136 816 122.00

compiled from various River basins

Masterplan

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Cont…With regard to groundwater resources, the

true potential of the country is not known.

However, it is widely reported that Ethiopia

possesses a groundwater potential of

approximately 2.6 billion m³.

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Cont…Not only are the yield levels of water wells

too low (less than 5 liters per second) but

wells are generally too deep to justify

economic exploitation of groundwater

resources for irrigation purposes in

Ethiopia.

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Cont…The gross hydropower generation potential

of the country is estimated to be 650 TWh

per year of which 25 per cent can be

exploited for power. That is about 100 times

the existing installed

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Ground water resourcesEthiopia has abundant surface and ground

water resources potential of which

groundwater has a lion-share.

The preliminary estimated amount of yearly

groundwater recharge of the country is

about 28,000 Mm 3.

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Cont…Recent studies indicated that the potential is

much greater than this amount. Most of the

developed groundwater resources is mainly

used for domestic and industrial water

supply.

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Thank U!