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Policy Analysis of Water Management for the Netherlands

Vol. IV, Design of Long-Run Pricing and Regulation Strategies

by Stanley Charles Abraham

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This volume is concerned with designing long-run pricing and regulation strategies that efficiently allocate the increasingly scarce groundwater (GW) in the Netherlands. Chapter 2 describes the methodology used, particularly the linear program RESDM that became an integral part of the strategy-design process. It begins with a nontechnical overview, and then describes fully the tactics considered. Chapter 3 begins with outlining the plans to use RESDM to carry out the analysis, then presents the results of those analyses. The special study that shows the expected net annual benefits to the nation of giving GW-extraction priority to agriculture or jointly to industry and drinking water companies is given at the end of the chapter. Finally, the conclusions, both about the methodology and the findings, are presented in Chap. 4.

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