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Distributional consequences of upstream tree plantations on downstream water users in a Public–Private Benefit Framework

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  • Nordblom, T.L.
  • Hume, I.H.
  • Finlayson, J.D.
  • Pannell, D.J.
  • Holland, J.E.
  • McClintock, A.J.

Abstract

We apply a Public–Private Benefit Framework (PPBF) for new perspectives on the distributional consequences of land-use change in upstream watersheds (wide expansion of tree plantations) negatively affecting downstream water users. Our study area is the Macquarie River catchment in central-west New South Wales, as part of Australia's Murray–Darling Basin, where active water entitlement markets exist downstream.

Suggested Citation

  • Nordblom, T.L. & Hume, I.H. & Finlayson, J.D. & Pannell, D.J. & Holland, J.E. & McClintock, A.J., 2015. "Distributional consequences of upstream tree plantations on downstream water users in a Public–Private Benefit Framework," Agricultural Systems, Elsevier, vol. 139(C), pages 271-281.
  • Handle: RePEc:eee:agisys:v:139:y:2015:i:c:p:271-281
    DOI: 10.1016/j.agsy.2015.07.008
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    References listed on IDEAS

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    1. Nordblom, Tom & Finlayson, John D. & Hume, Iain H. & Kelly, Jason A., 2009. "Supply and Demand for Water use by New Forest Plantations: a market to balance increasing upstream water use with downstream community, industry and environmental use?," Research Reports 280785, New South Wales Department of Primary Industries Research Economists.
    2. Finlayson, John & Bathgate, Andrew & Nordblom, Tom & Theiveyanathan, Tivi & Farquharson, Bob & Crosbie, Russell & Mitchell, David & Hoque, Ziaul, 2010. "Balancing land use to manage river volume and salinity: Economic and hydrological consequences for the Little River catchment in Central West, New South Wales, Australia," Agricultural Systems, Elsevier, vol. 103(3), pages 161-170, March.
    3. Adamson, David & Mallawaarachchi, Thilak & Quiggin, John C., 2007. "Water use and salinity in the Murray–Darling Basin: A state-contingent model," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 51(3), pages 1-19.
    4. David J. Pannell, 2008. "Public Benefits, Private Benefits, and Policy Mechanism Choice for Land-Use Change for Environmental Benefits," Land Economics, University of Wisconsin Press, vol. 84(2), pages 225-240.
    5. John Quiggin & Robert G. Chambers, 2006. "The state-contingent approach to production under uncertainty ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(2), pages 153-169, June.
    6. David Adamson & Thilak Mallawaarachchi & John Quiggin, 2009. "Declining inflows and more frequent droughts in the Murray-Darling Basin: climate change, impacts and adaptation ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 53(3), pages 345-366, July.
    7. Powell, Janine & Scott, Fiona, 2011. "A Representative Irrigated Farming System in the Lower Namoi Valley of NSW: An Economic Analysis," Research Reports 280788, New South Wales Department of Primary Industries Research Economists.
    8. Peter Bardsley & Ingrid Burfurd, 2013. "Auctioning contracts for environmental services," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 57(2), pages 253-272, April.
    9. Thomas L. Nordblom & John D. Finlayson & Iain H. Hume, 2012. "Upstream demand for water use by new tree plantations imposes externalities on downstream irrigated agriculture and wetlands," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 56(4), pages 455-474, October.
    10. Peggy Schrobback & David Adamson & John Quiggin, 2011. "Turning Water into Carbon: Carbon Sequestration and Water Flow in the Murray–Darling Basin," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 49(1), pages 23-45, May.
    11. Nordblom, T.L. & Christy, B.P. & Finlayson, J.D. & Roberts, A.M. & Kelly, J.A., 2010. "Least cost land-use changes for targeted catchment salt load and water yield impacts in south eastern Australia," Agricultural Water Management, Elsevier, vol. 97(6), pages 811-823, June.
    12. Nordblom, Thomas L. & Hume, Iain H. & Bathgate, Andrew D. & Reynolds, Michael, 2006. "Mathematical optimisation of drainage and economic land use for target water and salt yields," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(3), pages 1-22, September.
    13. Tom Nordblom & Iain Hume & Andrew Bathgate & Michael Reynolds, 2006. "Mathematical optimisation of drainage and economic land use for target water and salt yields ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(3), pages 381-402, September.
    14. P. Polglase & A. Reeson & C. Hawkins & K. Paul & A. Siggins & J. Turner & D. Crawford & T. Jovanovic & T. Hobbs & K. Opie & J. Carwardine & A. Almeida, 2013. "Potential for forest carbon plantings to offset greenhouse emissions in Australia: economics and constraints to implementation," Climatic Change, Springer, vol. 121(2), pages 161-175, November.
    15. Jason Crean & Kevin Parton & John Mullen & Randall Jones, 2013. "Representing climatic uncertainty in agricultural models – an application of state-contingent theory," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 57(3), pages 359-378, July.
    16. Nordblom, Thomas L. & Finlayson, John D. & Hume, Iain H., 2012. "Upstream demand for water use by new tree plantations imposes externalities on downstream irrigated agriculture and wetlands," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 56(4), pages 1-20, December.
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