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Economic and Financial
Instruments for IWRM
Introduction to IWRM
Part 2: IWRM Principles
Goal and objectives of the session
To introduce water management principles
Introduction
Adoption of water management principles are key
to achieving IWRM but challenges exist.
Water Management Principles
1: Fresh water is a finite and vulnerable resource
2: Water development and management should be based on a participatory approach.
3: Women play central role in provision, management and safeguarding of water.
4: Water has an economic value but should be recognised as an economic good and a social good.
Principle 1: Fresh water is a finite and vulnerable
resource
Ocean
Evaporation Evaporation (ET)
runoff
Precipitatio
n
Aquifer
Infiltration
Evaporation
Precipitation
Evaporation/ET
Surface Water
Groundwater
Why is it vulnerable?
Water is essential for development and is vulnerable to development.
Holistic approach: Link social and economic development with the protection of natural ecosystems.
Integrated Perspective: No dichotomy between land use and water use.
The river basin is the logical unit for water resources management.
Principle 2: Water development & management
should be participatory
Everyone is a stakeholder (inclusion vs exclusion);
Democratisation of decision-making principle is adopted;
Ideally, multiple stakeholders (users, planners and policymakers) at all levels involved;
In reality, involvement in decision-making at the most feasible level (subsidiary);
Gender sensitive and sensitive to issues of vulnerability and poverty.
Benefits of participation
More successful projects in terms of scale, design,
operation and maintenance;
Improve cost recovery . Key to revenue generation
and financing;
Environmental resources are protected and
cultural and human rights are respected;
Coordinate interests and resolve conflicts;
Increase transparency and accountability in
decision-making.
Challenges to the Participatory Approach
Participation does not always achieve consensus:
Arbitration processes and conflict resolution mechanisms needed.
Government intervention needed to create enabling environment for marginalised social groups (poor, indigenous people, the elderly & women.
Disadvantaged groups must also have the capacity to participate.
Think about it
In your country are all stakeholders involved in
decision-making on water supply, management
and investment decisions?
Principle 3: Women play a central role in the
provision, management and safeguarding of water.
In many countries women are the collectors of water, responsible for safeguarding water for domestic use and agricultural use.
Women less instrumental than men in key areas:
Management;
Problem analysis;
Decision-making in relation to design of systems and investment etc.
Links between Gender and IWRM
Gender and environmental sustainability
linkages
Gender and economic efficiency linkages
Gender and social equity linkages
Gender and economic efficiency linkages
Women may be less mobile and have
payment constraints
Payment centres should be in closer
proximity to their homes
Payment amounts should be smaller and
can be made at more regular intervals
making more affordable.
Think about it
In your country is a gender-sensitive approach being used to manage water resources?
If not, give reasons why this approach has not been adopted.
Principle 4: Water has an economic value among all
competing uses and should be recognised as an
economic good as well as a social good.
Water has a value as an economic good as
well as a social good.
The value of water in alternative uses is
important for the rational allocation of
water as an economic good as well as a
social good.
Think about it
Is there any adoption
of water management
principles in your
country? Where can
you find them?
End
Next presentation introduces the role of
economic and financial instruments in
IWRM