A scarcity value based explanation of trans-boundary water disputes: the case of the Cauvery River Basin in India

摘要

The paper is an attempt to interpret trans-boundary water disputes with the help of scarcity value, which is thenvalue that could have been generated if the limit on water availability could be relaxed by one unit. Scarcity valuenmeasures the degree of deprivation and creates the basis for disputes. This hypothesis has been applied in this papernto the disputes over water use for irrigation in the Cauvery basin between the states of Karnataka and Tamil Nadunin South India. On the basis of the historical data for the area under paddy cultivation in the two states, the papernshows that such disputes are not clearly based on physical scarcity of water but are a temporal coincidence ofndemand based on scarcity value. This means that enhanced supply would not be the correct approach to thenresolution of disputes. New economic instruments based on scarcity value may provide a more objective picture ofnthe disputes and hence help in their amicable resolution.