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Price induced irrigation water saving: Unraveling conflicts and synergies between European agricultural and water policies for a Greek Water District

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  • Kampas, Athanasios
  • Petsakos, Athanasios
  • Rozakis, Stelios

Abstract

The 2003 CAP reform considerably affects cropping patterns in European agriculture. At the same time the imperatives of the Water Framework Directive (WFD) are expected to modify irrigation decisions especially in Southern Europe where irrigated agriculture utilizes about 70–80% of total water. The paper uses a nonlinear optimization model that incorporates rain-fed, irrigated and fodder crops to examine the impacts of water pricing and CAP reform on cropping patterns, water use, irrigation technology use and farm returns in the region of Thessaly, Greece. The results indicate that, although there are important trade-offs between water pricing (WFD) and decoupling (CAP reform), water use is more sensitive to water pricing in the post-reform CAP.

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  • Kampas, Athanasios & Petsakos, Athanasios & Rozakis, Stelios, 2012. "Price induced irrigation water saving: Unraveling conflicts and synergies between European agricultural and water policies for a Greek Water District," Agricultural Systems, Elsevier, vol. 113(C), pages 28-38.
    • Handle: RePEc:eee:agisys:v:113:y:2012:i:c:p:28-38
    DOI: 10.1016/j.agsy.2012.07.003
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    17. Carlos Mario Gómez Gómez & C. D. Pérez-Blanco & David Adamson & Adam Loch, 2018. "Managing Water Scarcity at a River Basin Scale with Economic Instruments," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 4(01), pages 1-31, January.
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    21. Levidow, Les & Zaccaria, Daniele & Maia, Rodrigo & Vivas, Eduardo & Todorovic, Mladen & Scardigno, Alessandra, 2014. "Improving water-efficient irrigation: Prospects and difficulties of innovative practices," Agricultural Water Management, Elsevier, vol. 146(C), pages 84-94.
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