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German Development Institute Gdi GERMAN DEVELOPMENT INSTITUTE GDI Reforming Institutions for Sustainable Water Management Editors: Susanne Neubert Waltina Scheumann Annette van Edig GERMAN DEVELOPMENT INSTITUTE Reforming Institutions for Sustainable Water Mangement Susanne Neubert Waltina Scheumann Annette van Edig (Editors) Reports and Working Papers 6/2002 Bonn, August 2002 © German Development Institute Tulpenfeld 4 · D-53113 Bonn Telephone +49 (0)228 94927-0 · Fax +49 (0)228 94927-130 [email protected] www.die-gdi.de ISBN 3-88985-244-0 Contents Abbreviations Prologue 1 Institutional Reform in the Irrigation Sector 5 The Cases of Turkey and Pakistan Waltina Scheumann 1 Introduction 5 2 Reforms are not Politically Neutral 5 3 Turkey and Pakistan: Institutional Similarities and Differences at the Outset of the Reform Process 6 4 Driving Factors and Actors for Institutional Change 8 5 Risks of the Reform Concepts 13 6 Conclusions: Facilitating Conditions and Constraining Factors Compared 15 The Role of Elites in Changing Water Institutions at the Local Level in Uzbekistan 19 Kai Wegerich 1 Introduction 19 2 Institutional Rules 19 3 Institutional Change 21 4 The Influence of Elites on Institutional Change 21 5 The Case of Water User Associations in Uzbekistan 22 6 Developing the Theory 27 7 Conclusion 28 Ghana's Water Institutions in the Process of Reform: from the International to the Local Level 31 Annette van Edig / Stefanie Engel / Wolfram Laube 1 Introduction 31 2 The Volta Basin 32 3 The International Level 32 4 The National Level: the Water Resources Commission 35 5 Interlocking the International and the National Level 36 6 From National to Local: Interlocking Water Resource Commission, River Basin Commissions and Local Actors in Ghanaian Water Reform 37 7 Management of Irrigation Schemes at the Community Level: What Determines the Results of Participatory Management? 42 8 Conclusions and Issues for Future Research 48 New Perspectives on Water Management: Rent-seeking in Irrigated Agriculture 51 Jochen Renger 1 Introduction 51 2 New Perspectives on Water Management 51 3 Rent-seeking: Striving for Profit from Transfers 52 4 Rent-seeking in Irrigated Agriculture 54 5 The Impact of Rent-seeking on Irrigated Agriculture 56 6 Institutional Approaches to Combating Rent-seeking 57 Efficient Inefficiency: Principal-Agent Problems in Irrigation Management 61 Walter Huppert 1 Introduction 61 2 Service Provision in Irrigation 61 3 Fundamental Principal-Agent Problems 62 4 Principal-Agent Problems in State-administered Irrigation Systems 64 5 Principal-Agent Problems in Water User-managed Irrigation Systems 66 6 Options to Solve Principal-Agent Problems 67 7 Conclusions 69 River Basin Management and the Economic Theory of Federalism 71 Two Basic Concepts and their Applicability to Water Policy Axel Klaphake 1 Introduction 71 2 Two Faces of the Economic Theory of Federalism 72 3 Perspectives for Further Research 78 The German Water and Land Management Associations and their Alternatives 81 Economic Criteria for Comparative Institutional Analysis Jan Monsees 1 Introduction 81 2 The German Water and Land Management Associations 81 3 Classification of Water and Land Management Associations in Economic Theories and Concepts 84 4 Comparing the Water and Land Management Associations with Alternative Institutions 86 5 Conclusion and Outlook 88 Water Harvesting: Challenges and Opportunities for Community-based Management 91 A Case Study from India Hannah Büttner 1 Introduction 91 2 Perspectives and Conceptual Framework 92 3 Case Study of the District of Purulia 94 4 Conclusion 99 Institutional Change in Smallholder Irrigated Agriculture 103 A Case Study from South Africa Bettina Hedden-Dunkhorst 1 Introduction 103 2 Smallholder Irrigation Farming in South Africa 103 3 Legal and Institutional Innovations Affecting Smallholder Irrigation 103 4 Policies and Implementation Strategies for Transformation and Recent Effects on Smallholder Irrigation 107 5 Conclusions and Policy Implications 108 Household Strategies to Cope with Institutionally Induced Supply Constraints 109 The Case of Jordan Maria Iskandarani 1 Background 109 2 Intersectional Water Allocation in Jordan 109 3 Institutional Framework of the Water Sector in Jordan 110 4 Dealing with Water Scarcity in Jordan: Household Choice between Formal and Informal Water Sources 111 5 How do Households Value Water Supply Reliability? 113 6 Intra-household Water Conservation Behaviour 113 7 Conclusion with Perspectives on Household Water Security in Jordan 115 Wastewater Reuse in Agriculture – A Challenge for Administrative Coordination and Implementation 117 Susanne Neubert 1 Introduction 117 2 Basic Considerations and the Need for Institutionalization 118 3 Anticipated Risks and Benefits for Sectors and Actors Involved 119 4 Health Risks and Possibilities of Regulating them 121 5 Environmental Risks and the Use of Nutrients in Wastewater 123 6 The Farmers’ Perspective 125 7 Conclusion and Outlook 126 Low-quality Water Resources and Their Impact on Regional Supply and Intersectoral Water Allocation in the Jordan Valley 129 The Framework of a Research Programme in the Near East Heinz-Peter Wolff / Werner Doppler 1 Introduction 129 2 Institutional Aspects of the Present Approach 130 3 Work Packages in Research on Technical Issues and People's Attitudes 130 4 Work Packages in Research on Socio-economics and Formal Institutions 132 5 Situation of the Research Programme and Preliminary Results 134 Editors and Authors 137 Abbreviations A+T Accountability and Transparency AED Academy of Educational Development bcm billion cubic meters BMBF Bundesministerium für Bildung und Forschung / German Ministry of Education and Research BOD5 Biological sum parameter CA Competent authority CACG Compagnie d’Aménagement des Coteaux de Gascogne COD Chemical sum parameter CPR Common Property Research crit. criteria DA District Assembly DMC Damsite Management Committee DO District Office of the Environmental Protection Agency DSI General Directorate for State Hydraulic Works DSS Decision Support System DWAF Department of Water Affairs and Forestry (Republic of South Africa) EEF Environmental Entitlements Framework EPA Environmental Protection Agency FAO UN Food and Agriculture Organization FO Farm Organizations FOCJ Functional – Overlapping – Competition – Jurisdictions GLOWA Globaler Wasserkreislauf GTZ Deutsche Gesellschaft für Technische Zusammenarbeit ha hectares HIPC Highly Indebted Poor Countries ICOUR Irrigation Company of the Upper Region IDA Irrigation Development Authority IFPRI International Food Policy Research Institute IHP International Hydrological Programme IMF International Monetary Fund IMT Irrigation Management Transfer IWC International Waters Committee IWRM Integrated Water Resources Management JVA Jordan Valley Authority KZV Kommunaler Zweckverband LACOSREP Land Conservation and Smallholder Rehabilitation Project LEMA Lyonnaise des Eaux – Montgomery Watson and Arabtech Jardaneh LOQWA Low-quality Water Resources MENA Middle East and North Africa MOWI Ministry of Water and Irrigation NGO Non Governmental Organization NIE New Institutional Economics O&M Operation and Maintenance ONAS Office National de l'Assainissement PAD Provincial Agriculture PE Political Ecology PID Provincial Irrigation Departments PIDA Provincial Irrigation and Drainage Authorities PPP Public-Private-Partnership PSP Private Sector Participation PURC Public Utilities Regulatory Commission RBC River Basin Commission RBM River Basin Management SANIRII Central Asia Scientific Research Institute for Irrigation SCARP Salinity Control and Reclamation Projects SWV Sondergesetzlicher Wasserverband UER Upper East Region UFW Unaccounted for Water UNDP United Nations Development Programme VALCO Enterprise Henry J. Kaiser, known as VALCO WAJ Water Authority of Jordan WAPDA Water and Power Development Authority WHO World Health Organization WLMA Water and Land Management Association(s) WRC Water Resource Commission WUA Water User Association WuBV Wasser- und Bodenverband WVG Gesetz über Wasser- und Bodenverbände ZEF Zentrum für Entwicklungsforschung / Center of Development Research Prologue 1 Prologue "at the lowest appropriate level" and greater in- volvement of non-governmental organisations, the Reforming institutions for sustainable water man- private sector, and water users. The Dublin Prin- agement was the theme of the Third Water Work- ciples pointed to institutional weaknesses and shop held in Bonn in October 20011 and organised malfunctions as major causes of ineffective, inef- by Susanne Neubert (German Development Insti- ficient, and unsustainable water services, and tute, GDI, Bonn), Waltina Scheumann (Institute for called for urgent attention to be paid to institu- Management in Environmental Planning, IMUP, tional capacity-building. Technical University Berlin), and Annette van Edig (Center for Development Research, ZEF, As an input to RIO + 10, the Ministerial Declara- Bonn). Participants from various academic disci- tion adopted by a ministerial meeting at the Inter- plines, namely economists, political and social national Conference on Freshwater in Bonn in scientists, and practitioners from the Deutsche Ge- December 2001 calls for applicable arrangements sellschaft für Technische Zusammenarbeit (GTZ) for the governance of water affairs at all levels, concurred not only in their opinion that sustainable demanding that governments should, where appro- water management calls for the design of 'ade- priate, accelerate water-sector reforms, including quate'
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