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Can Preliminary Evaluation Guide Implementation Effectiveness? UC Irvine UC Irvine Previously Published Works Title Governance issues in developing and implementing offsets for water management benefits: Can preliminary evaluation guide implementation effectiveness? Permalink https://escholarship.org/uc/item/40k5w08m Journal WILEY INTERDISCIPLINARY REVIEWS-WATER, 2(2) ISSN 2049-1948 Authors Feldman, David L Sengupta, Ashmita Stuvick, Lindsey et al. Publication Date 2015 DOI 10.1002/wat2.1061 Peer reviewed eScholarship.org Powered by the California Digital Library University of California Focus Article Governance issues in developing and implementing offsets for water management benefits: Can preliminary evaluation guide implementation effectiveness? David L. Feldman,1∗ Ashmita Sengupta,2 Lindsey Stuvick,3 Eric Stein,2 Vin Pettigrove4 and Meenakshi Arora5 This article explores governance issues in developing innovative pollutant offset programs by focusing on a case study being piloted at the Gisborne Recycled Water Plant in Jackson Creek, a rural subcatchment of the Maribyrnong River north of Melbourne, Australia. The article offers preliminary lessons from the ongoing design and anticipated challenges facing this innovative program based on reflec- tions from the literature and project progress to-date. This case exemplifies a form of adaptive governance—an approach well suited to achieving broad sustainabil- ity objectives—and for which an early assessment is both appropriate and oppor- tune. Adaptive governance is characterized by governmental collaboration with civil society groups, social learning through public participation, and experimen- tation leading to more flexible policy outcomes. Early assessment affords the pos- sibility of midcourse corrections, drawing on experience acquired elsewhere. We contend that the approach being developed in Victoria through this pilot program has implications beyond the use of recycled wastewater for achieving various social objectives. It may also contribute to the development of an expansive water quality offset framework applicable to point source discharges, nonpoint source pollution, and sewerage overspills. Moreover, the approach can be applied to design of off- set systems elsewhere—with appropriate economic savings and effective applica- tion to multiple water quality challenges if potential problems are discerned early. © 2015 Wiley Periodicals, Inc. Howtocitethisarticle: WIREs Water 2015. doi: 10.1002/wat2.1061 INTRODUCTION ∗Correspondence to: [email protected] ater quality trading and offset programs are 1Planning, Policy and Design, University of California, Irvine, CA, USA Wpromising approaches to mitigate impacts of 2Southern California Coastal Water Research Project, Costa Mesa, pollutants in receiving water bodies. The underlying CA, USA concept is a credit-based system wherein a discharger 3Irvine Ranch Water District, Irvine, CA, USA earns ‘credit’ by measurably reducing a pollutant in 4 Aquatic Ecotoxicology, University of Melbourne, Melbourne, discharged effluent. The credit can be traded with Victoria, Australia other dischargers, or applied toward another pollutant 5Infrastructure Engineering, University of Melbourne, Melbourne, Victoria, Australia by the same discharger. Trading schemes can range Conflict of interest: The authors have declared no conflicts of from multiparty trading markets1 to more holistic, interest for this article. The authors gratefully acknowledge financial multiobjective approaches having as their goal the support from the U.S. National Science Foundation Partnerships for International Research and Education (OISE-1243543). reduction of total pollutants at lower cost to society © 2015 Wiley Periodicals, Inc. Focus Article wires.wiley.com/water coupled with the generation of other social benefits paper’s authors play various roles in establishing and (e.g., improved instream flow).2 implementing the offset scheme, including providing a The Jackson Creek Pilot Project in Victoria is detailed monitoring assessment to establish stressors intended to explore a trade-off among dissimilar pol- in Jackson Creek, and a preliminary rainfall-runoff lutants with different environmental impacts. The goal model to establish water quality and quantity impacts of this experiment is to develop a systematic approach under the current and future scenarios affecting land to measure net positive environmental benefits3 while use. Thus, by undertaking a proactive assessment also evaluating the effectiveness of a series of dis- effort, the investigators hope to incorporate social similar trade-offs revolving around the ‘triple bot- issues into the scheme deliberately. tom line’ (TBL)—a sustainable development principle Second, preference for an offset scheme is a pol- that aims to integrate social, economic, and environ- icy decision adopted by the principals—Victoria EPA mental objectives. In this experiment, offsets must be and Western Water—it was not chosen by the authors. cost effective and incorporate stakeholder and com- Thus, while our ultimate interest is in assessing the munity participation in the decision-making process program’s achievements—which will be done in a sec- to ensure that local values and interests inform final ond, later evaluation—at this point, we seek to iden- offset framework design.4,5 tify and anticipate potential challenges with the offset While water quality trading and offsets have scheme, as well as possible barriers to its acceptability existed for decades, and several agencies and other and collaborative success. In effect, such as assessment entities have provided financial and technical support can help to prescribe midcourse adjustments to better for their implementation,6 their practical success has hasten overall project effectiveness. thus far been limited.7 Among other reasons, tradi- This approach has a precedent. Past studies of tional water pollution governance systems limit the pollutant offset schemes, for example, have noted application and adoption of these schemes due to reg- the value in timing program evaluation to permit ulatory roadblocks or severe restrictions on offsets. a greater impact on design and to hasten relevant 11 We contend that adaptive governance, characterized adjustments early in the policy development cycle. by bottom-up, multi-actor collaboration, policy learn- We will conclude our preliminary assessment by ing mechanisms, and flexibility in managing resources describing the efficacy of such an offset scheme for under uncertain and dynamic social and environmen- balancing social values and environmental bene- tal conditions,8–10 can enhance their success. This is fits when both are measured on different scales, or because such schemes may better allow for integration when they prompt differing trade-offs in terms of of societal values in the offset development process as risk, gain, or desired outcome. While we can offer well as more effective elicitation of non-market con- only a progress report—since the scheme remains siderations in their design. Although Western Water, in early development—its value lies in reporting the principal entity responsible for the Jackson Creek possible impediments while they can be discerned Pilot project, has not explicitly embraced adaptive early enough to be managed, and so lessons can be governance in its offset program, the concept provides transferred elsewhere. a useful framework to assess challenges to the policy’s versatility, flexibility, and inclusiveness. JACKSON CREEK PILOT PROJECT The goal of this investigation is to use the Jack- son Creek pilot study to explore the role of adaptive Site governance in the early development of a water qual- Jackson Creek watershed is a rural subcatchment ity offset scheme—and its role in fostering publicly of the Maribyrnong River, northwest of Melbourne acceptable, ecologically sound outcomes. Western (Figure 1). The area currently supports low-density Water is exploring an offset scheme to trade point residential and agricultural land uses; however, Mel- source effluent discharge from the Gisborne Water bourne’s expanding Urban Growth Boundary has Recycling Plant (WRP) with diffuse pollution from placed significant population growth and develop- urban and agricultural discharge. The success of this ment pressures on the catchment. Regional planners approach, we believe, depends on both the technical project population in the upper catchment (e.g., robustness of the scheme and the adaptability of its Gisborne, New Gisborne) to double from a 2006 governance framework to changing regulatory pres- population of 6398 to 12,071 residents by 2021,11 sures, societal values, and environmental and climatic while the principal community in the lower portion conditions. of the watershed, Sunbury, will double from 36,789 Why conduct such an assessment now, in such to 73,462 residents between 2014 and 2036.12 an early phase? There are two reasons. First, the Melbourne’s regional transportation corridors will © 2015 Wiley Periodicals, Inc. WIREs Water Governance Issues in developing offsets for water management benefits Jackson creek and Mount macedon riddells creek catchments Riddells creek Riddells creek Rosslynne reservoir Gisborne Jackson creek Legend Jackson creek catchment Riddells creek catchment Towns Jackson creek and tributaries Sunbury Diggers rest 0 3 6 12 km FIGURE 1| Image of the Jackson Creek catchment area highlighting major population centers and geographic features. An inset of the greater Melbourne area provides a scalar reference for the catchment area image.
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