Reimagining water governance in India

Reimagining water governance in India The case for participation, innovation, partnerships, education, & integration Dr Arunabha Ghosh CEO Council on Energy, Environment and Water Godrej Good and Green Conclave Mumbai, 9 March 2013 Council on Energy, Environment and Water, 2013

CEEW: addressing global challenges through an integrated approach 1

CEEW connects the dots Maharashtra-Guangdong Partnership on Sustainability Climate Change & Business Leadership in India Cutting Both Ways? Climate, Trade and the Consistency of India s Domestic Policies India-U.S. Track II Dialogue on Climate Change & Energy Governance of Geoengineering India-U.S. Joint Clean Energy R&D Centre 2

Agenda Water and human development India s water challenges Irrigation management: participating? Industrial water use risks: innovating? Municipal water: partnering? Water data: educating? Institutional reform: integrating? 3

Accidents of birth and access to energy, water and sanitation PHOTO CREDIT: Telegraph/Getty PHOTO CREDIT: http://chotimuskan.org/ 3017 kgoe 0 % 566 kgoe 12 % 5736 kwh 0 % 616 kwh 69 % PHOTO CREDIT: World Law Direct 7069 13394 kgoe kwh PHOTO CREDIT: http://shardsofchina.wordpress.com 1 % 1807 kgoe 11 % 0 % 2944 kwh 45 % SOURCE: Ghosh (2012); World Bank; UNDP (2010) 4

PAINTING BY: Darsita Jatakia, 5 th Std., March 2013 5

Human development closely associated with energy access UN Human Development Index - High - Medium - Low SOURCE: MacKay (2009); Beddington (2012) 6

Economic growth is not enough for human development SOURCE: UNDP (2006) 7

The poorer you are, the more you pay SOURCE: UNDP (2006) 8

Collecting water is not child s play PHOTO CREDIT: MTV 9

but collecting water is children s work around the world PHOTO CREDIT: MTV 10

Usable supply of water could fall short of demand India s Usable Supply of Water India s Usable Supply of Water Vs Projected Demand (2030) SOURCE: WRG (2009); CEEW (2011) 12

Sectoral pressures for water use will increase Sectoral shift in water demand (in BCM) SOURCE: Amarasinghe et al., IWMI (2007); CEEW (2011) 13

Little irrigation potential remains Ultimate Irrigation Potential vs. Potential Created vs. Potential Utilised SOURCE: CEEW (2011) 14

Investment in irrigation yielded few gains in net irrigated area 60 Trends of public expenditure in major and medium irrigation and net irrigated area under different sources in India 42 50 36 Expenditure (billion US$, in 2000 prices) 40 30 20 30 24 18 12 Net irrigated area (million ha) 10 6 0 0 1960 1970 1980 1990 2000 Expenditure Tanks Canals Groundwater SOURCE: CEEW (2011); Shah (2009) 15

Significant growth in ground water pumping 1951 2009 Agricultural electric pump sets increased from 26,000 to 16.2 million Agricultural diesel pump sets from 83,000 to 9.2 million 30000 No. of pumps (in Thousands) 25000 20000 15000 10000 5000 0 9,200 4,659 7,237 16,184 83 230 3,101 9,696 8,446 26 160 1,546 1,618 3,568 1951 1961 1972 1982 1991 2003 2009 Diesel Pumps Electric Pumps SOURCE: CEEW (2011) 16

Vicious cycle of energy-ground water management SOURCE: CEEW (2011) Power Utilities Financial losses due to low agricultural flat tariff Poor voltage and frequency power supply Huge T&D losses due to power theft & unauthorised pump sets On farm Water overuse to hedge against poor voltage and infrequent power supply 17

Groundwater stress and overdraft in many states All figures in BCM (2004) SOURCE: CEEW (2011) 18

Resource pressures and price volatility A New Commodity Boom $350 Food price index $300 Constant $US 2000 $250 $200 $150 $100 Imported Crude Oil Price ($/barrel) $50 $0 2000=$100 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 Sources: EIA, FAO SOURCE: Steven and Ghosh (Forthcoming); EIA; FAO 19

The state of urban sanitation is very poor Survey of 423 cities Category Implication Number Percentage Green Healthy & clean 0 0 Blue Recovering 4 0.95% Black Needing considerable improvement 230 54.37% Red Needing immediate attention 189 44.68% SOURCE: MoUD (2010); CEEW (2013) 20

Environmental vulnerabilities: Weather extremes with warming climate Extremely hot temperatures covered about 0.1% to 0.2% of the globe from 1951 to 1980 Since 1980, while average temperature has slowly risen, extremes have rapidly increased: cover about 10% of the globe As the climate warms, natural variability shifts as well SOURCE: Hansen, Sato and Ruedy (2012) 21

316 manufacturing clusters for 14 industries in 181 districts SOURCE: CEEW analysis based on CPCB, EESL, UNIDO 22

but many are critically polluted SOURCE: CEEW analysis based on CPCB, EESL, UNIDO 23

Water demand for the energy sector will rise in India Global water use Water for energy 100% Other 80% Nuclear 60% Biofuels Fossil fuels 40% 20% Power Coal Energy 2010 2010 SOURCE: IEA (2012) In India, the power sector will account for 98% of additional withdrawals and 95% of additional consumption of water between 2010 and 2035 24

A holistic approach to water governance SOURCE: CEEW (2011) 26

Need to focus on service delivery Issues Top-down approach by ID Lack of service delivery agreements between ID and WUAs Solutions Create service delivery culture in the ID Have service delivery agreements between ID and WUAs Link service fees paid to service delivered on individual schemes Partnership of WUAs and ID for enhanced agricultural production and productivity of water on individual schemes Current payment and service delivery arrangements Ideal service delivery relationships SOURCE: CEEW (2011) 27

Experiences from other countries Contractors (China, Philippines) O&M Rehabilitation and construction Incentives to save water Fee collection, total water use, crop production per unit of water use Hydrological units Secondary and tertiary level institutions (China; Mexico) WUAs involved in arbitration and conflict management Building WUA capacity (Mexico) Financial - full cost recovery of O&M (Mexico) - irrigation fees (proportional to land size), membership dues, rental revenue, fines (Turkey) Infrastructure maintenance Management Information sharing with WUAs critical SOURCE: Shah; CEEW (2012) 28

Water User Associations in India Functions Implementing O&M Crop planning, crop water budgeting & raising irrigation water demand No. of Water User Associations (WUAs) per 1000 Ha covered (March 2010) Implementing water distribution Support in estimating and collecting water charges SOURCE: CEEW (2011) 29

Supporting farmer training in Andhra Pradesh Increase in productivity - 15 to 20 % Cost reduction - Rs.1500/- to 2500/- on inputs - KC Canal / Krishna Delta Crop diversification to maize in Rabi - Higher C/B ratio & duty Zero tillage in maize - Cost reduction Rs.2000/- per acre - Krishna Delta System / SRSP Rotational irrigation in paddy - Higher productivity & duty SOURCE: CEEW (2011) 30

Rethinking cropping patterns? Major Wheat Producing States, 2009-10 Bihar 6% Maharashtra 2% Gujarat 3% West Bengal 1% Uttarakhand 1% Others 2% Rajasthan 9% Uttar Pradesh 34% Madhya Pradesh 10% Haryana 13% Punjab 19% SOURCE: Directorate of Economics and Statistics, Department of Agriculture and Cooperation, 2011 31

Rethinking cropping patterns? Major Rice Producing States, 2009-10 Jharkhand 2% Maharashtra 2% Karnataka 4% Chattisgarh 5% Haryana 4% Assam 5% Bihar 4% Tamil Nadu 6% Madhya Pradesh 1% Gujarat 1% Orissa 8% Kerala 1% Others 4% West Bengal 16% Andhra Pradesh 12% Punjab 13% Uttar Pradesh 12% SOURCE: Directorate of Economics and Statistics, Department of Agriculture and Cooperation, 2011 32

Managing groundwater via agricultural demand side management SOURCE: CEEW (2011) 33

Water conservation in industry Potential water saving (%) in industry sector Partnerships with industry Information and target setting by industry type Best Practice Guidance knowhow for businesses and industries Grant programmes and incentives linked to abstraction regulation and pricing policy Potential water saving (in percentage) from measures applied in the industry sector SOURCE: CEEW (2011); Envirowise (2005) 35

Ludhiana Automobiles, Foundry, Textiles Alwar Chemicals, Food Processing, Textiles Ahmedabad Biotech, Chemicals, Electronics & IT, FPO, G&J, P&P, Steel, Textiles Rajkot FPO, Foundry, G&J, Textiles Vadodra Automobiles, Biotech, Fertilizers Surat Fertilizers, G&J, P&P, Textiles Jaipur Cement, Food Processing, Gems & Jewellery, Textiles Target existing clusters as zones of sustainability Delhi Automobiles,Biotechnology, Chemicals,Food Processing,Gems & Jewellery,Leather,Pulp & Paper,Steel Gautam Buddha Nagar Chemicals, Electronics & IT, Fertilizers Gurgaon Automobiles, Electronics & IT, Textiles Nagpur FPO, Steel, Textiles Kolkata Automobiles,FPO, G&J, Leather, Textiles Baleshwar FPO, P&P, Textiles Cuttack Chemicals, FPO, P&P Chandrapur Cement, FPO,P&P East Godavari Aluminium, FPO, P&P West Godavari Fertilikzers, FPO, P&P, Textiles Nashik Automobiles,Steel, Textiles Thane Chemicals, FPO, Steel, Textiles Mumbai Automobiles,Biotech, Chemicals, Electronics & IT, Fertilizers, G&J, Leather, Textiles Pune Automobiles, Electronics & IT, FPO, Foundry, P&P, Textiles Belgaum Aluminium, Foundry, Textiles Shimoga FPO, P&P, Steel Ernakulam Fertilizers, FPO, Textiles Chennai Automobiles, Biotech, Electronics & IT, Foundry, Leather Coimbatore Cement, Foundry,G&J, Textiles Mysore FPO, P&P, Textiles Karur Cement,P&P, Textiles Hyderabad Biotechnology, Cement, Electronics & IT, Gems & Jewellery, Leather Bangalore Aluminium,Automobiles, Biotech,Cement, Electronics &IT, Leather, Textiles SOURCE: CEEW analysis based on CPCB, EESL, UNIDO

Power plants and water availability stress: case for innovation SOURCE: CEEW and NRDC (2012) 37

Urban water: many tasks are already sub-contracted to private entities Activity Who Sector Planning Consultants Private Design Consultants Private Detail Engineering Consultants Private Funding Government/Multilaterals Public/Private Procurement Consultants Private Construction Contractors Private Supervision Consultants Private Treatment Plant Operations Annual Maintenance Contractors Contractors Private Private Connections Licenced Plumbers Private Leak repair Contractors Private Meter reading Own Staff/Contractors Public/Private Billing IT Company Private Cash collection Banks Private SOURCE: CEEW (2011) 39

Risks increase with duration of PPP contracts Option Ownership O&M Capital Commercial Risk Duration Risk Privatisation BOT/BOO Private or Public & Private Private & Public Private Private Private Indefinite Private Private Private 20-30 years Concession Public Private Private Private 20-30 years Lease Public Private Public Shared 8-20 years Management contract Service contract Public Private Public Public 3-7 years Public Private Public Public 1-2 years SOURCE: CEEW (2011) 40

Think about how to partner with social enterprises as well 42

How much surface and ground water do we use???? Very little attention paid to rainwater use 450 BCM currently used, but Maintenance of gauging stations and daily records left to the state agencies CWC monitors storage of major reservoirs but not actual deliveries Data sharing States reluctant to share data with Centre CWC unable to compile validated estimates of gross utilisation from major and medium projects Minor irrigation No information about volume of water supplied Total ground water use is 230.62 BCM Irrigation use = 212.51 BMC (92.15%) Domestic and industrial use = 18.09 BMC (7.85%) Net area irrigated by groundwater is around 33.28 million ha: about 10% of the national GDP is groundwater based But Estimations based on number of wells/tubewells & assumptions about unit draft No way to capture variations Privately created wells not counted! SOURCE: Planning Commission (2011); CEEW (2011) 44

Structure of Hydrological Information System: what it should be USERS Central Water Commission Indian Meteorological Department State Agencies Central Ground Water Board National Data Storage Centre/Regional DSC NDSC SDSC NDSC/RDSC RDPC SDPC SWDPC SGWDP C RDPC DDPC DDPC rdpc DDPC SDDPC SDDPC ddpc UDPC FIELD FIELD FIELD FIELD FIELD Data Flow SOURCE: Chowdhary, Jain, Ogink (2002) Inter-Agency Data Validation Data Exchange 45

Weak information sharing and institutional coordination in practice BONAFIDE USERS Central Water Commission Indian Meteorological Department State Agencies Central Ground Water Board National Data Storage Centre/Regional DSC NDSC SDSC NDSC/RDSC RDPC SDPC SWDPC SGWDP C RDPC DDPC DDPC rdpc DDPC SDDPC SDDPC ddpc UDPC FIELD FIELD FIELD FIELD FIELD Data Flow SOURCE: Adapted from Chowdhary, Jain, Ogink (2002) Inter-Agency Data Validation Data Exchange 46

Integrating water governance at all levels SOURCE: CEEW (2011) 48

Integrating issues reveal many tradeoffs SOURCE: CEEW (2012); Council on Energy, Environment and Water, 2012 49

Integrated plans also offer many opportunities SOURCE: CEEW (2012); Council on Energy, Environment and Water, 2012 50

Don t forget who we are working for PHOTO CREDIT: Arunabha Ghosh 51

Participative strategies for irrigation Innovations for industrial water savings Educating on water through shared data Extended partnerships for municipal water supply Institutional reforms for integrated governance 52

http://ceew.in