Analyzing Economic Tradeoffs of Water Use in the Nam Ngum River Basin, Lao PDR

Duke Environmental and Energy Economics Working Paper Series No. EE 12-10

38 Pages Posted: 22 Jul 2014

See all articles by Ryan Bartlett

Ryan Bartlett

World Wildlife Fund (WWF)

Justin Baker

RTI International - Headquarters - Research Triangle Park

Guillaume Lacombe

International Water Management Institute

Somphasith Douangsavanh

International Water Management Institute

Marc Jeuland

Duke University - Sanford School of Public Policy

Date Written: December 2012

Abstract

This paper develops a hydroeconomic optimization modeling framework to assess the economic consequences and potential trade-offs of various infrastructure development and policy pathways in the Nam Ngum Basin (Lao PDR). We considered whether large shifts in water resource demands in a relatively water abundant basin could induce meaningful economic tradeoffs among water uses, including hydropower generation, irrigation expansion, flood control, and transboundary water transfer objectives. We constructed a series of sensitivity scenarios under dry, average, and wet hydrologic conditions with varying levels dam development, irrigated agricultural expansion, agricultural returns, flood control storage restrictions, and water diversions to northeast Thailand. We also considered how flows into the Mekong would be affected by these collective developments. In general, results indicate that tradeoffs between hydropower production, irrigation, and flood control are modest.

Keywords: Optimization, water resources management, Mekong River, Lao PDR, hydropower, irrigation

Suggested Citation

Bartlett, Ryan and Baker, Justin and Lacombe, Guillaume and Douangsavanh, Somphasith and Jeuland, Marc, Analyzing Economic Tradeoffs of Water Use in the Nam Ngum River Basin, Lao PDR (December 2012). Duke Environmental and Energy Economics Working Paper Series No. EE 12-10, Available at SSRN: https://ssrn.com/abstract=2469222 or http://dx.doi.org/10.2139/ssrn.2469222

Ryan Bartlett (Contact Author)

World Wildlife Fund (WWF) ( email )

1250 24th Street, N.W.
P.O. Box 97180
Washington, DC 20090-7180
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Justin Baker

RTI International - Headquarters - Research Triangle Park ( email )

3040 Cornwallis Road
P.O. Box 12194
Research Triangle Park, NC 27709
United States

Guillaume Lacombe

International Water Management Institute ( email )

127, Sunil Mawatha,
Pelawatte,
Battaramulla
Sri Lanka

Somphasith Douangsavanh

International Water Management Institute ( email )

127, Sunil Mawatha,
Pelawatte,
Battaramulla
Sri Lanka

Marc Jeuland

Duke University - Sanford School of Public Policy ( email )

201 Science Drive
Box 90312
Durham, NC 27708-0239
United States

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