Economic Benefits of Reservoirs in the Irrigated Agriculture

Abstract

In the Jordan Valley of Jordan, the demand for water and ability to control its location, timing, quality, and quantity are becoming critical. The competition for water between the urban and agricultural sectors is increasing. There is a general trend in Jordan to reduce water allocated for agricultural use. Increasing the price of irrigation water or restricting the planted areas of water consuming crops, such as bananas, has been implemented during the recent growing season. The main objective of this paper is to highlight the impact of optimal allocation of irrigation water by building storage capacity on the economy of Jordan Valley. A linear programming technique is used, and the main results show that for proper management of water storage capacity, the suggested cropping pattern would generate $88.2 million, whereas the actual cropping pattern generated $74.4 million. The optimal water demand schedule is distributed according to the needs of the planted crops, and water demand has been allocated in an efficient way. In addition, appropriate management of storage capacity has solved the problem of water scarcity during the summer months, when peak production takes place. Storage-transfer system between locations played a significant role in reallocating irrigation water through the storage system. This compensates to a high degree in keeping the agricultural production more stable in physical and monetary units.