328
15 Agricultural Water Management in Northern China
negotiable pricing, to be decided at the local level. The cost auditing for governmental pricing shall be strengthened. The water tariff for water supply sections shall
be rationally formulated and regulated to fully use the space from water-saving
improvement (which will reduce irrigation water use and improve irrigation.), and
under consideration of water supply cost, water shortage and farmers’ ability to pay.
The water tariff shall gradually increase to cover operation and maintenance costs in
principle. The comprehensive measures to guarantee sustainable engineering operations shall be adopted in the region difficult to cover, besides increasing tariffs as
much as possible. In regions with water shortages, levies on farmers with a greater
ability to pay shall help to cover full costs.
Exploring the classified tariffs. An end-use classified tariff shall be applied to grain,
cash crops, and aquaculture. The water tariff shall be formulated under comprehensive consideration of water usage, production benefits, and regional agricultural
development policy. The tariff for cash crops with high water use or high-value added
and aquaculture could be higher than other classes. Groundwater-use costs shall be
higher than those of surface water in groundwater overdraft areas.
Gradually implementing block tariffs. Quota management and charges for
exceeding quotas shall be applied in agricultural water use. The block and its tariff
shall be rationally designed to promote water saving. The basic charge and volumetric charge could be applied in the region with significant changes in annual water
use, as well as seasonal charges for those with significant seasonal changes.
Developing accurate subsidy and water-saving reward system
Developing an accurate subsidy reward system for agricultural water use. The
water pricing formulation mechanism will be developed to ensure it is compatible with water saving, tariff regulation, and financial resources. The subsidy is
defined according to water supply costs under quota and operational and maintenance
expenditure, with a focus on the in-quota water use of grain production farmers.
Developing a water-saving reward mechanism. An easy and widely acceptable
agricultural water-saving reward mechanism shall be gradual. Bodies adopting watersaving measures and cropping structures will be rewarded according to the amount
of water saved.
Multi-channel raising fund for reward capital. The financial sources of accurate subsidy and water saving reward shall be comprehensively collected from the
basic expenditures of the public-interest staff, and public-interest repair and maintenance budget of the infrastructure, provided by the governmental finance; operational expenditure for agricultural water supply and drainage infrastructure; subsidy
for repair and maintenance of irrigation infrastructure; subsidy for water diversion;
electricity subsidy for high water head pumping; and related agricultural reward and
subsidy capitals, etc.
The document requests that the reforms be completed and targets achieved
within 10 years across the country, and within three-five years in parts with better
infrastructure. Some 80 counties in 27 provinces were used for pilot schemes.
15 Agricultural Water Management in Northern China
negotiable pricing, to be decided at the local level. The cost auditing for governmental pricing shall be strengthened. The water tariff for water supply sections shall
be rationally formulated and regulated to fully use the space from water-saving
improvement (which will reduce irrigation water use and improve irrigation.), and
under consideration of water supply cost, water shortage and farmers’ ability to pay.
The water tariff shall gradually increase to cover operation and maintenance costs in
principle. The comprehensive measures to guarantee sustainable engineering operations shall be adopted in the region difficult to cover, besides increasing tariffs as
much as possible. In regions with water shortages, levies on farmers with a greater
ability to pay shall help to cover full costs.
Exploring the classified tariffs. An end-use classified tariff shall be applied to grain,
cash crops, and aquaculture. The water tariff shall be formulated under comprehensive consideration of water usage, production benefits, and regional agricultural
development policy. The tariff for cash crops with high water use or high-value added
and aquaculture could be higher than other classes. Groundwater-use costs shall be
higher than those of surface water in groundwater overdraft areas.
Gradually implementing block tariffs. Quota management and charges for
exceeding quotas shall be applied in agricultural water use. The block and its tariff
shall be rationally designed to promote water saving. The basic charge and volumetric charge could be applied in the region with significant changes in annual water
use, as well as seasonal charges for those with significant seasonal changes.
Developing accurate subsidy and water-saving reward system
Developing an accurate subsidy reward system for agricultural water use. The
water pricing formulation mechanism will be developed to ensure it is compatible with water saving, tariff regulation, and financial resources. The subsidy is
defined according to water supply costs under quota and operational and maintenance
expenditure, with a focus on the in-quota water use of grain production farmers.
Developing a water-saving reward mechanism. An easy and widely acceptable
agricultural water-saving reward mechanism shall be gradual. Bodies adopting watersaving measures and cropping structures will be rewarded according to the amount
of water saved.
Multi-channel raising fund for reward capital. The financial sources of accurate subsidy and water saving reward shall be comprehensively collected from the
basic expenditures of the public-interest staff, and public-interest repair and maintenance budget of the infrastructure, provided by the governmental finance; operational expenditure for agricultural water supply and drainage infrastructure; subsidy
for repair and maintenance of irrigation infrastructure; subsidy for water diversion;
electricity subsidy for high water head pumping; and related agricultural reward and
subsidy capitals, etc.
The document requests that the reforms be completed and targets achieved
within 10 years across the country, and within three-five years in parts with better
infrastructure. Some 80 counties in 27 provinces were used for pilot schemes.