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Solving the state vs state water crisis via tax (Read 2371 times)
freediver
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Solving the state vs state water crisis via tax
May 14th, 2007 at 12:14pm
 
A major cause of the water crisis along the Murray Darling river system is the inability of the states involved to agree on a rational approach to water allocations. If one state reduces it's water consumption, the water will just be used by downstream states. One way around this is for the QLD government to put a tax on water extraction from the system, except within 50km of where a stream crosses a state border. They could then offer to downstream states to extend the tax right up to the border provided the downstream state either:
  • compensates them for the lost revenue, or
  • applies the same scheme with the same or higher taxes to all streams within their state

This results in a 'no lose' situation for states that take the lead, while at the same time creating incentives for other states to join the scheme.
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Re: Solving the state vs state water crisis via ta
Reply #1 - May 14th, 2007 at 1:25pm
 
I thought it wa just the prolonged period of low or no rainfall.
A few years ago i was out in the upper reaches of the Murray Darling.
Water had not been in there for quite some time. 
Was surprising, I never knew it started up in QLD, was onl y that a sign said it.

Divert some of the the flood waters from the NT inland . Would solve many of our problems.
Would have new inhabitable areas inland.
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Re: Solving the state vs state water crisis via ta
Reply #2 - May 14th, 2007 at 1:35pm
 
Obviously the drought is a problem, but so is what we do with the water - we waste it. The states have failed to negotiate a better management regime because they are afraid that other states might get some of 'their' water.

The whole cubbie cotton farm drama is part of this. A QLD state MP has shares in it. He is also involved in deciding how much water is extracted. Some call it a conflict of interest. It is a massive water wasting cotton farm in the desert just north of the QLD/NSW border.
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Editorial: Water everywhere, not a drop to drink
Reply #3 - May 21st, 2007 at 9:49am
 
Competition, not rationing, is the water-shortage solution

http://www.theaustralian.news.com.au/story/0,20867,21755935-7583,00.html

AS urban Australians go about their daily lives they seem to be burdened by the plight of the ancient mariner. It continues to rain in capital cities around Australia's coastline but benighted residents are subjected to ever-tighter restrictions. Yet the parlous water shortages around Australia are less a failure of the climate than they are a failure of the market. And as National Water Commission chief executive Ken Matthews pointed out, restrictions have no place in long-term water management.

At the same time, good-hearted Australians have been persuaded to make water savings that are nothing more than feel-good gestures. Urban dwellers may catch the water from their showers and develop "bucket back" as they carry it to their gardens, but that is about as useful as babushkas standing in queues in the former Soviet Union to buy potatoes and vodka, or Chinese peasants smelting iron in their back yards to meet industrial shortfalls in the Great Leap Forward.

The first step to delivering a market solution is introducing price signals. Irrigated agriculture uses about 75 per cent of water in Australia, and industry a further 20 per cent, while domestic water use accounts for not much more than 5 per cent. Until pricing signals are directed at agricultural and industrial users, they will have no incentive to seek greater efficiencies in their usage and shortages will continue. Meanwhile, domestic users refraining from washing their cars, filling their swimming pools or watering their lawns save just a drop in the bucket. Misguided state government water policies have only further exacerbated the problem. Objections to waste-water recycling have been allowed toprevail and desalination plants have been favoured, regardless of relative cost.

As with other environmental issues, the backyard initiatives of well-meaning do-gooders are not the solution. Carrying buckets of water is notarational response to the water needs of a sophisticated society in the 21st century.
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