15.5 External Factors Impacting Agricultural Water Resources Management
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• and no less than 15% of urban maintenance and construction tax for the
cities with the key flood-control tasks.
The small-scale irrigation infrastructure construction aid special fund was
launched in 2006. The fund aimed to provide the financial subsidy for the
small-scale irrigation infrastructure project voluntarily-constructed by farmers,
WUAs, farmer professional cooperatives and villages. The fund emphasizes
supporting the repair, building and re-construction of the small-scale water
source, canal, electric and machinery pump station projects; and provides subsidies on expenditures of materials, equipment and construction machineries.
The applicants for the central fund include farmers, WUAs or other farmer
professional cooperatives and villages. The central fund implements discriminatory subsidy proportion: the subsidy rate is 15% of total project investment in the eastern region, and 30% in middle and west regions and key grain
production zones.
15.5.2 Energy Pricing
China implements differential energy pricing. The agricultural electricity price is
lower than those for industry and commerce. Normally, agricultural production electricity prices are about 60–70% of the business price. Additionally, China subsidizes
the prices of diesel and gasoline used for agriculture.
Besides the general lower agricultural electricity price, some provinces and
regions implement special electricity prices to support irrigation water use. These
include provinces along the Yellow River with high-head pumping stations.
The Electricity Price Subsidy Policy for High-Head Middle and Large
Pumping Stations Along the Yellow River
There are several high-head medium and large pumping stations along the
Yellow River in the provinces including Gansu, Ningxia, Gansu, Shan’xi and
Shanxi. In these irrigation districts, the electricity cost is the main component
of water tariffs. In order to reduce water tariff and encourage agricultural development, these provinces implement electricity price subsidy policies for these
stations:
• The electricity prices of 0.10 RMB per Kw h for the limit of 140 million Kw
h is implemented in Shaanxi province for the first phase and the second phase
of Donglei high-head pump irrigation and drainage project since 2000.
• The electricity prices of 0.15 RMB per Kw h for water head below 100 m,
0.085 RMB per Kw h for water head between 101 and 200 m, 0.075 RMB
335
• and no less than 15% of urban maintenance and construction tax for the
cities with the key flood-control tasks.
The small-scale irrigation infrastructure construction aid special fund was
launched in 2006. The fund aimed to provide the financial subsidy for the
small-scale irrigation infrastructure project voluntarily-constructed by farmers,
WUAs, farmer professional cooperatives and villages. The fund emphasizes
supporting the repair, building and re-construction of the small-scale water
source, canal, electric and machinery pump station projects; and provides subsidies on expenditures of materials, equipment and construction machineries.
The applicants for the central fund include farmers, WUAs or other farmer
professional cooperatives and villages. The central fund implements discriminatory subsidy proportion: the subsidy rate is 15% of total project investment in the eastern region, and 30% in middle and west regions and key grain
production zones.
15.5.2 Energy Pricing
China implements differential energy pricing. The agricultural electricity price is
lower than those for industry and commerce. Normally, agricultural production electricity prices are about 60–70% of the business price. Additionally, China subsidizes
the prices of diesel and gasoline used for agriculture.
Besides the general lower agricultural electricity price, some provinces and
regions implement special electricity prices to support irrigation water use. These
include provinces along the Yellow River with high-head pumping stations.
The Electricity Price Subsidy Policy for High-Head Middle and Large
Pumping Stations Along the Yellow River
There are several high-head medium and large pumping stations along the
Yellow River in the provinces including Gansu, Ningxia, Gansu, Shan’xi and
Shanxi. In these irrigation districts, the electricity cost is the main component
of water tariffs. In order to reduce water tariff and encourage agricultural development, these provinces implement electricity price subsidy policies for these
stations:
• The electricity prices of 0.10 RMB per Kw h for the limit of 140 million Kw
h is implemented in Shaanxi province for the first phase and the second phase
of Donglei high-head pump irrigation and drainage project since 2000.
• The electricity prices of 0.15 RMB per Kw h for water head below 100 m,
0.085 RMB per Kw h for water head between 101 and 200 m, 0.075 RMB
