Technical Notes
Jan 26, 2018

Understanding Water Utility Attitudes toward Water Transfers and Risk: Pretest Results

Publication: Journal of Water Resources Planning and Management
Volume 144, Issue 4

Abstract

Water transfers between utilities can be a cost-effective substitute for supply infrastructure expansions when seeking to reduce vulnerability to drought. Water utility employees may choose not to use water transfers, however, if they are risk averse, have nonmonetary preferences against transfers, or are uninformed about the benefits of transfers. A pretest is conducted for two surveys that address these issues. The results indicate that, on average, employees are indeed risk averse and prefer supply expansions to transfers, but they become more receptive to transfers after learning more about them. In addition, there is considerable heterogeneity in beliefs; hence, a subset of water utilities may be inclined to use water transfers.

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Acknowledgments

This research is supported by NSF Grant WSC-1360442.

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Go to Journal of Water Resources Planning and Management
Journal of Water Resources Planning and Management
Volume 144Issue 4April 2018

History

Received: Jan 5, 2017
Accepted: Aug 22, 2017
Published online: Jan 26, 2018
Published in print: Apr 1, 2018
Discussion open until: Jun 26, 2018

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Authors

Affiliations

Zachary D. Mozenter
Graduate Student, Dept. of Economics, Univ. of North Carolina, CB 3305, Chapel Hill, NC 27599.
Andrew J. Yates [email protected]
Associate Professor, Dept. of Economics and Curriculum for the Environment and Ecology, Univ. of North Carolina, CB 3305, Chapel Hill, NC 27599 (corresponding author). E-mail: [email protected]
Kurt E. Schnier
Professor, Dept. of Economics, Univ. of California, Merced, 5200 North Lake Rd., Merced, CA 95343.
Jeffrey A. Hughes
Lecturer and Director, Environmental Finance Center, School of Government, Univ. of North Carolina, CB 3330, Chapel Hill, NC 27599.
Gregory W. Characklis, M.ASCE
Professor, Environmental Sciences and Engineering and Institute for the Environment, Univ. of North Carolina, CB 7431, Chapel Hill, NC 27599.

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