Large-scale water scarcity assessment under global changes: insights from a hydroeconomic framework

Abstract

Global changes are expected to exacerbate water scarcity issues in the Mediterranean region in the next decades. In this work, we investigate the impacts of reservoirs operation rules based on an economic criterion. We examine whether can they help reduce the costs of water scarcity, and whether they become more relevant under future climatic and socioeconomic conditions. We develop an original hydroeconomic model able to compare water supply and demand on a large scale, while representing river basin heterogeneity. On the supply side, we evaluate the impacts of climate change on water inflows to the reservoirs. On the demand side, we focus on the two main sectors of water use: irrigation and domestic sectors. Demands are projected in terms of both quantity and economic value. Coordinated operating rules of the reservoirs are set up, considering spatial and temporal trade-offs. The objective is the maximisation of water benefits. The methodology is applied to Algeria at the 2050 horizon. Our results show that the supply-demand imbalance and its costs will increase in most Algerian basins under future climatic and socioeconomic conditions. Our results suggest that the benefits of operating rules based on economic criteria are not unequivocally increased with global changes. In some basins the positive impact of economic prioritisation is higher in future conditions, but in other basins it is higher in historical conditions. Given its generic nature and low data requirements, the developed framework could be implemented in other regions concerned with water scarcity, or extended to a global coverage.