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Administration and Management of Irrigation Water in 24 User Organizations in Chile

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Administration and Management of Irrigation Water in 24 User Organizations in Chile 224RESEARCH CHILEAN J. AGRIC. RES. - VOL. 69 - Nº 2 - 2009 ADMINISTRATION AND MANAGEMENT OF IRRIGATION WATER IN 24 USER ORGANIZATIONS IN CHILE Jorge Jara1*, Marco A. López1, Álvaro San Martín2, Luis Salgado1, and Ovidio Melo1 ABSTRACT Approximately 85% of the water consumed in Chile is destined to agricultural irrigation and is managed by the users themselves. This study analyzed the price that irrigation water users pay to their Water User Associations (WUAs) to which they belong and the relationship of this price to the professional level and performance of the WUAs. The study included 24 WUAs: 10 River Administration Boards (JV) and 14 Irrigation Canal Associations (AC). The annual operational budget of each WUA, the price paid by users and the management capacities of the board of directors of each WUA were compared. The study also determined the relative value of user payments to WUAs as a proportion of total production costs of the main crops in each zone. The variability of user fees per irrigated hectare decreases when the irrigation area of the WUA is more than 10 000 ha, though this was not observed in JVs. The presence of technical-professional staff directly affects the development and growth of the WUAs. As well, the WUAs with a greater level of capacity development (NDC) have more board members with a higher education level and have lower rates of unpaid user fees. The price that users pay to the WUA by irrigated hectare represents less than 4.0% of the average total production cost of the main crops in the study area. Finally, no correlation was found between the prices that users pay and the average profitability of the main crops, or between price and the geographical location of the WUAs. Key words: water cost, water users associations, WUAs, water canal associations, river administration board. INTRODUCTION by law and with their own regulations and autonomous boards of directors. In different countries in Latin America and the The costs assumed by users for irrigation water services Caribbean there are efforts to encourage changes in in the majority of Latin American countries have not been legislation and organizations related to the management analyzed in-depth. In fact, some works have been carried and use of water for irrigation. These reforms vary out in recent years related to valuing irrigation water that from one country to another in terms of their execution, tangentially address the cost of the service. Notably, there progress and content (Garduño, 2003, Huamanchumo et are works to estimate the economic and/or environmental al., 2008). Brazil, Chile, Colombia, Jamaica and Mexico value of irrigation water by Dinar (2000) cited by Çakmak have reformed the institutional character of water et al. (2004), Herrera et al. (2004), Garrido et al. (2007) management, while the majority of other countries are and Huamanchumo et al. (2008). in the process of making legal and institutional changes Water resources in Chile are the responsibility of the (Jouravlev, 2001). General Water Directorate, a body under the Ministry of Approximately 85% of water consumed in Chile is used Public Works, which grants water use rights without cost in agricultural irrigation (Ministry of Public Work-General for the user. Nevertheless, the catchment, conduction and Water Directorate, 1999), a resource that is administered distribution of water resources, which imply administrative by the users themselves through organizations recognized and operational costs, are the responsibility of Water User Associations (WUAs). These are regulated by the Water Code and have the objective of administering 1Universidad de Concepción, Facultad de Ingeniería Agrícola, Casilla water sources and works through which water resources 537, Chillán, Chile. *Corresponding author ([email protected]). are extracted, captured and/or conducted and distributed 2 Dirección General de Aguas, Unidad de Administración de Recursos among users. As well, they are responsible for resolving Hídricos, Caupolicán s/n Edificios Públicos 3er piso Of. 7, Los Ángeles, Chile ([email protected]). conflicts among such users (Galaz, 2004). Received: 16 May 2008. The Water Code (Republic of Chile, 2006) defines Accepted: 20 August 2008. three types of organizations: (1) River Administration CHILEAN JOURNAL OF AGRICULTURAL RESEARCH 69(2):224-234 (APRIL-JUNE 2009) J. JARA et al. - Administration AND MANAGEMENT OF irrigation water… 225 Boards (JV), (2) Irrigation Canal Associations (AC) and MATERIALS AND METHODS (3) Water Communities. JVs are constituted on the basis of natural water sources, including ground water. ACs Twenty-four WUAs (JV and AC) from the Coquimbo are constituted on the basis of artificial water sources, to the Bio-Bio Regions were studied. The WUAs studied normally canal networks of multi-farm irrigation systems. were willing to share their financial records, budget for Water Communities are constituted on the basis of the irrigation season of 2005-2006 and information about artificial water sources and distribute water according to the total surface area under irrigation that they administer, the user rights of their members. as well as geographic maps and information about the According to the CPA-SIGIRH-V8.03 Information administrative characteristics of the organization. The System of the Public Water Registry of the General Water initial stage of the study was interviews with representatives Directorate, there are currently 39 JVs and 168 ACs of each organization (members of boards of directors, registered, which in general have professionalized their managers or administrators) with the objective of obtaining administration and comply with the functions they are primary information. As well, a semi-structured interview charged with under existing legislation. At the same time, was applied to the members of the boards of directors with there are 3218 water communities registered at the national the objective of relating their characteristics of age, years in level, the majority of which are weak in technical, legal, the position, participation, contact with other organizations administrative, financial and operational aspects, and with and educational level, among others, that can influence the low levels of management and serious problems in intake, functioning of the WUA. Finally, secondary information conduction and distribution of water resources. They have was evaluated to determine if there was a correlation not developed institutional networks and are characterized between the profitability of the crops that predominate by high levels of conflict (Melo et al., 2005). As well, in the areas of jurisdiction of these organizations and the there are a number of additional organizations, especially price that users pay for the administration of the irrigation among water communities, which operate informally and system. The research stage and information gathering was do not fully exercise their legal rights (Galaz, 2004). carried out from April to June of 2006. There are WUAs in Chile that administer water for The level of prices and costs presented by the WUAs large areas under irrigation (> 30 000 ha) without having were evaluated, for the period of May 2005 to April permanent engineers or technical staff, and at the same 2006. The exchange rate used of $541.7 Chilean pesos time there are others smaller WUAs with one or more per US dollar was estimated based on data published by professional staff, without a clear or direct relationship the Central Bank of Chile (2008), considering the average between the fees user have to pay to their organization rate of exchange for the period indicated, which presented (Melo et al., 2005). The success of the latter has been a standard deviation of $24.2 pesos. based mainly on the capacity to professionalize the administration of the organization. As well, the support Primary information team (engineers, lawyers, technicians and accountants) This refers to the economic resources used during the carries out activities on behalf of the organization’s board irrigation season of 2005-2006 in each of the organizations of directors, such as improving the quality of the service, evaluated, identifying or recovering administrative and earning extra incomes and implementing systems of operational costs, highlighting among others the operation gradual penalties to reduce the rate of unpaid user fees of irrigation intakes structures, cleaning canals and and other practices against the interests of the users. professional or administrative fees. As well, this includes Given this, it is estimated that a small WUA, without information related to technical and administrative aspects professional support would have difficulty in meeting of the organization such as the total area under irrigation, all its obligations. This suggests that there is a minimum the number of water right allotments under the jurisdiction irrigation surface area under the responsibility of a and water resources that are managed. WUA that makes it economically viable for the WUA The information related to the leadership capacity and to professionalize itself, taking into consideration agro- performance of the board of directors of each organization climatic and sociocultural factors. was gathered by means of semi-structured interviews The objective of this work was to analyze the cost conducted with members of 19 of the 24 boards of the that users should pay based on administration, operation WUAs that agreed to participate in this part of the study. and management in 24 WUAs and the relationship to the level of professionalization, management capacity and Secondary information performance of these organizations and their impact on This refers to bibliographic information available on production costs. the surface area destined to the main crops in the areas of the study (Larrañaga et al., 2003; 2004; 2005; 2006), their 226 CHILEAN J. AGRIC. RES. - VOL. 69 - Nº 2 - 2009 proportional participation in each WUA and information presented under Law N° 18450 for the promotion of about the total production costs and average gross margin private investment in irrigation and drainage works, (Fundación Chile, 2007).
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