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Agricultural Groundwater Management in Andhra Pradesh, India: A Focus on Free Electricity Policy and its Reform

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  • Rajendra Kondepati

Abstract

The impact of the free electricity policy on agriculture in the state of Andhra Pradesh (AP), India, is the main focus of this work. It is assumed that this policy has a very high political currency and there is, therefore, a difficultly in recalling it in the short-term. In this context, plausible reforms to this policy are explored with an objective to weed out the inefficiencies in this subsidy regime in the context of groundwater extraction and utilization. These reforms are aimed at reducing the ambit of beneficiaries of this subsidy based on their affordability and increasing the water productivity of agriculture in the state. Some examples exclude large farmers from this policy, offering free electricity conditional upon adopting the System of Rice Intensification (SRI) or adopting micro-irrigation or shifting cropping patterns. These alternate policies are evaluated based on the impact on groundwater extraction, fiscal costs, equity, political feasibility, issues in implementation etc. Finally, it is suggested that the government offers free electricity conditional upon adopting water-efficient cropping practices such as the SRI as a short-term step for increasing the effectiveness of this policy and mitigating its adverse impact on groundwater extraction.

Suggested Citation

  • Rajendra Kondepati, 2011. "Agricultural Groundwater Management in Andhra Pradesh, India: A Focus on Free Electricity Policy and its Reform," International Journal of Water Resources Development, Taylor & Francis Journals, vol. 27(02), pages 375-386.
    • Handle: RePEc:taf:cijwxx:v:27:y:2011:i:02:p:375-386
    DOI: 10.1080/07900627.2011.564971
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    Cited by:

    1. Stephen Howes & Paul Wyrwoll, . "New Challenges to the Export Oriented Growth Model," Chapters, in: Zhang Yunling & Fukunari Kimura & Sothea Oum (ed.), Moving Toward A New Development Model For East Asia-The Role of Domestic Policy and Regional Cooperation, chapter 3, pages 55-120, Economic Research Institute for ASEAN and East Asia (ERIA).
    2. Dennis Wichelns, 2015. "Water productivity and water footprints are not helpful in determining optimal water allocations or efficient management strategies," Water International, Taylor & Francis Journals, vol. 40(7), pages 1059-1070, November.
    3. Kimmich, Christian & Sagebiel, Julian, 2016. "Empowering irrigation: A game-theoretic approach to electricity utilization in Indian agriculture," Utilities Policy, Elsevier, vol. 43(PB), pages 174-185.
    4. Venkatachalam ANBUMOZHI & Ponciano S. INTAL, Jr., 2015. "Can Thinking Green and Sustainability Be an Economic Opportunity for ASEAN?," Working Papers DP-2015-66, Economic Research Institute for ASEAN and East Asia (ERIA).
    5. Christian Kimmich & Sergio Villamayor Tomas, 2019. "Assessing Action Situation Networks: A Configurational Perspective on Water and Energy Governance in Irrigation Systems," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 5(01), pages 1-29, January.
    6. Howes, Stephen & Wyrwoll, Paul, 2012. "Asia’s Wicked Environmental Problems," ADBI Working Papers 348, Asian Development Bank Institute.
    7. Jin Kathrine Fosli & A. Amarender Reddy & Radhika Rani, 2021. "The Policy of Free Electricity to Agriculture Sector: Implications and Perspectives of the Stakeholders in India," Journal of Development Policy and Practice, , vol. 6(2), pages 252-269, July.
    8. Akber, Nusrat & Paltasingh, Kirtti Ranjan & Mishra, Ashok K., 2022. "How can public policy encourage private investments in Indian agriculture? Input subsidies vs. public investment," Food Policy, Elsevier, vol. 107(C).

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