Competition of Energy for Agricultural Water Use

As water needs for energy development increase, the possibility of competition for water between energy and other uses will also intensify. The Upper Colorado River Basin with its vast energy resources and limited water supplies is a region that epitomizes the potential for such water use conflicts. The major pressure for shifting water to energy uses is being felt by the agriculture sector. To assess the likely areas of competition and the magnitude of possible water transfers, a linear programming model is used to identify water transfers that can be made at the least social cost under alternative physical, legal, and institutional restrictions. The reduction in agricultural output due to possible water transfers to energy is estimated for projected levels of energy development. The effect of such transfers on proposed irrigation projects in various counties is assessed. Results of the analysis indicate the regions where there would be competition and water transfers, the amounts of water involved, the value of water lost to agriculture, and the resulting average annual streamflows.