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Political economy of the energy-groundwater nexus in India: exploring issues and assessing policy options

Economie politique et lien énergie-eau souterraine en Inde: exploration des problèmes et évaluation des options politiques

Econocixmía política del nexo energía-agua subterránea en India: Explorando cuestiones y evaluando opciones políticas

印度能源政治经济与地下水的关系:问题探讨及政策选择评价

Economia política do nexo energia-águas subterrâneas na Índia: exploração das questões e avaliação das opções políticas

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Abstract

Indian agriculture is trapped in a complex nexus of groundwater depletion and energy subsidies. This nexus is the product of past public policy choices that initially offered opportunities to India’s small-holder-based irrigation economy but has now generated in its wake myriad economic, social, and environmental distortions. Conventional ‘getting-the-price-right’ solutions to reduce these distortions have consistently been undermined by the invidious political economy that the nexus has created. The historical evolution of the nexus is outlined, the nature and scale of the distortions it has created are explored, and alternative approaches which Indian policy makers can use to limit, if not eliminate, the damaging impacts of the distortions, are analysed.

Résumé

L’agriculture indienne est empêtrée dans un réseau de relations complexes reliant l’épuisement de l’eau souterraine et les subventions énergétiques de l’énergie. Ces relations complexes résultent des choix politiques publics passés passées qui offraient à l’origine des opportunités aux petits exploitants à l’économie basée sur l’irrigation mais qui a maintenant généré dans son sillage des myriades de distorsions économiques, sociales et environnementales. Des solutions conventionnelles pour « définir le juste-prix » dans le but de réduire ces distorsions ont été immanquablement sapées par la politique d’économie individuelle que ces relations ont créée. L’historique de ces relations. L’évolution historique de ce réseau est esquissée, la nature et l’échelle des distorsions crées sont explorées, et des approches alternatives sont analysées, que les décideurs indiens peuvent utiliser pour limiter, sinon éliminer, les impacts préjudiciables de ces distorsions.

Resumen

La agricultura de la India está atrapada en un complejo nexo del agotamiento de las aguas subterráneas y los subsidios energéticos. Este nexo es el producto de las políticas públicas pasadas elegidas que inicialmente ofrecieron en la India oportunidades a la economía de irrigación basada en pequeños agricultores, pero que ahora ha generado tras de sí una miríada de distorsiones económicas, sociales y ambientales. Las soluciones convencionales de obtener el precio correcto para reducir estas distorsiones han sido consistentemente socavadas por la injusta economía política injusta que el nexo ha creado. Se delinea la evolución histórica del nexo, se explora la naturaleza y la escala de las distorsiones que ha creado, y se analizan enfoques alternativos, que los planificadores pueden usar para limitar, si no eliminar, los impactos perjudiciales de las distorsiones.

摘要

印度的农业发展受地下水亏损和能源补贴的复杂关系限制。这种关系是过去公众政策选择的产物,该政策起初是为印度的少数占有者的灌溉经济提供机会,但现在却导致了无数的经济,社会和环境扭曲。传统的用于减少这些扭曲的“获得合理价格”的方法一直被该关系产生的令人反感的政治经济因素破坏。本文论述了该关系的历史演化、本质以及变化的尺度,并分析了可能的选择。印度的政策制定者可以利用该方法,即使不能消除,但也能限制该扭曲产生的破坏性影响。

Resumo

A agricultura indiana encontra-se aprisionada num nexo complexo entre o esgotamento das águas subterrâneas e os subsídios à energia. Este nexo é o produto de opções políticas públicas do passado, que inicialmente ofereceram a oportunidade aos pequenos proprietários indianos de basearem a sua actividade económica em pequenos regadios, mas que agora geraram no seu seio inúmeras distorções económicas, sociais e ambientais. Soluções convencionais tipo “receba o preço certo”, destinadas a reduzir estas distorções, têm sido consistentemente minadas por uma economia política injusta criada por este nexo. É descrita a evolução histórica do nexo, são exploradas a natureza e a escala das distorções criadas, e são analisadas abordagens alternativas, as quais podem ser usadas pelos decisores políticos indianos para limitar, se não para eliminar, os impactes prejudiciais das distorções.

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Acknowledgements

This paper is prepared based on several years of research under the IWMI-Tata Water Policy Program supported by Sir Ratan Tata Trust, Mumbai. The paper was also stimulated by the work in progress under the Energy Sector Management Assistance Program (ESMAP) project funded by the World Bank. The authors acknowledge their debt to their interaction with Mohinder Gulati of the World Bank, and Vijay Modi of the Earth Institute at Columbia University.

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Shah, T., Giordano, M. & Mukherji, A. Political economy of the energy-groundwater nexus in India: exploring issues and assessing policy options. Hydrogeol J 20, 995–1006 (2012). https://doi.org/10.1007/s10040-011-0816-0

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