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"The pressure on an already stressed water situation in South Africa is predicted to increase significantly under climate change, plans for large industrial expansion, observed rapid urbanization, and government programs to provide access to water to millions of previously excluded people. The present study employed a general equilibrium approach to examine the economy-wide impacts of selected macro and water related policy reforms on water use and allocation, rural livelihoods, and the economy at large. The analyses reveal that implicit crop-level water quotas reduce the amount of irrigated land allocated to higher-value horticultural crops and create higher shadow rents for production of lower-value, water-intensive field crops, such as sugarcane and fodder. Accordingly, liberalizing local water allocation in irrigation agriculture is found to work in favor of higher-value crops, and expand agricultural production and exports and farm employment. Allowing for water trade between irrigation and non-agricultural uses fueled by higher competition for water from industrial expansion and urbanization leads to greater water shadow prices for irrigation water with reduced income and employment benefits to rural households and higher gains for non-agricultural households. The analyses show difficult tradeoffs between general economic gains and higher water prices, making irrigation subsidies difficult to justify. "--World Bank web site.

South Africa --- Water-supply --- Economic conditions.

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This report on natural resource and environmental accounting in one of the world’s least developed zones is predicated on a wealth approach to sustainable development that recognizes the need for information on all of a nation’s assets, including, for example, potable water, as well as how these might change or evolve over time. Under these criteria, a nation that manages its natural wealth intelligently may actually increase its net natural assets. Namibia’s wildlife reserves have an ongoing and evolving value far in excess of their commodity value as a source of meat, or even of ivory. Thus, this volume assesses how effectively polities in southern and eastern Africa have implemented the more complex set of metrics that make up the UN’s Integrated System of Environmental and Economic Accounts (SEEA), which replaced the former System of National Accounts—a measure of production alone. Leaving aside human and social capital for a future volume, the book should be viewed as a crucial first step in developing indicators for total wealth in the countries covered by the case studies, which include Kenya, Uganda, Tanzania, Ethiopia, Mozambique and South Africa. These case studies experiment with implementing the SEAA in sub-Saharan nations known to suffer from the ‘resource curse’: their wealth in resources and commodities has allowed inflows of liquidity, yet this cash has not funded crucial developments in infrastructure or education. What’s more, resource-driven economies are highly vulnerable to commodity price mutability. The new measures of wealth deployed here offer more hope for the future in these countries than they themselves would once have allowed for.

Economics --- Methodology of economics --- Economic conditions. Economic development --- Developing countries: economic development problems --- Environmental protection. Environmental technology --- Business economics --- Business management --- financieel management --- bedrijfseconomie --- economie --- ontwikkelingssamenwerking --- milieuzorg --- duurzame ontwikkeling --- Natural resources --- Environmental auditing --- Sustainable development --- Accounting