Table of contents for Making the most of scarcity : accountability for better water management results in the Middle East and North Africa.

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Table of Contents
Acknowledgements
Executive Summary
Acronyms and Abbreviations
CHAPTER 1.	The problems and potential solutions to water in MENA are driven by factors inside and outside the ¿water sector¿	1
1.1.	Introduction	1
1.2.	Hydrology affects countries¿ water challenge, but institutions and policies determine how well they manage their resources	4
1.3.	Many factors driving poor water outcomes come from outside the water sector	4
1.3.1.	External factors determine how efficiently water is used	5
1.3.2.	External factors determine how efficiently public funds are used	8
1.4.	MENA countries are facing new water challenges	9
1.5.	Meeting the water-management challenge in MENA will require addressing three types of ¿scarcity¿	13
1.6.	The pace of reform is determined by the political economy	18
1.7.	Structure of the report	20
CHAPTER 2.	Progress but problems	22
2.1.	Introduction	22
2.2.	Progress dealing with scarcity of the physical resource	22
2.2.1.	Investing in securing supply	22
2.2.2.	Investing in technologies to augment supply	27
2.2.3.	Investing in water services: water supply and sanitation	30
2.2.4.	Investing in water services: irrigation and drainage	32
2.3.	Progress dealing with organizational scarcity	33
2.3.1.	Investing in water organizations	33
2.3.2.	Organizations for water supply and sanitation	36
2.3.3.	Organizations for irrigation	38
2.3.4.	Organizations to rebalance the financing burdens	39
2.3.5.	Organizations to improve end-user efficiency and equity	40
2.4.	Progress dealing with scarcity of accountability	41
2.5.	Conclusion	44
CHAPTER 3.	Several factors that drive the politics of water reform are changing	46
3.1.	Introduction	46
3.2.	Economic forces driving change	48
3.2.1.	Agricultural transformation	48
3.2.2.	Macroeconomic and fiscal shocks	56
3.3.	Environmental forces driving change	61
3.4.	Social forces driving change	63
3.5.	International drivers of change	67
3.6.	Institutional changes that can reduce the social impact of reform	71
3.6.1.	Social protection	71
3.6.2.	Dispute resolution	75
3.6.3.	Trade facilitation	77
3.7.	Conclusion	79
CHAPTER 4.	MENA countries can leverage the potential for change by improving external accountability		80
4.1.	Introduction	80
4.2.	Strong economies and accountability mechanisms have helped some arid countries reform water management	81
4.3.	MENA¿s water organizations are operating in an environment of inadequate accountability to users		83
4.4.	What mechanisms foster accountability and how do they improve water outcomes?	88
4.4.1.	Certain characteristics of water make good accountability particularly important	88
4.4.2.	Insufficient balance between competing interests	90
4.4.3.	Difficulties assessing the full costs of the problems	93
4.5.	Conclusions	98
CHAPTER 5.	MENA countries can meet the water management challenges of the twenty-first century by making changes inside and outside the water sector	99
5.1.	Introduction	99
5.2.	Options for non-water policy makers to affect political opportunities	101
5.2.1.	Evaluate the level and efficiency of public expenditure on water	101
5.2.2.	Define goals for public spending and cost recovery	102
5.2.3.	Consider the impacts on water when evaluating policy options in other sectors	105
5.2.4.	Calculate the social costs of the status quo	106
5.3.	Options for improving accountability within the water sector	106
5.3.1.	Create a flexible, sustainable allocation system	106
5.3.2.	Clarify roles and responsibilities of different actors	109
5.3.3.	Collect, agree upon and release information	112
5.3.4.	Actions to improve capacity and water planning	115
5.4.	Applying the approach in practice	116
5.5.	Conclusion	117
Appendices 
Appendix 1: Water Resources Data 
Appendix 2: Water Services Data 
Appendix 3: Country Profiles
Appendix 4: Mechanisms for Resolving Water Conflicts
Appendix 5: Maps 
	Map 1.	Population Density
Map 2.	Urban Settlements
Map 3.	Area Equipped for Irrigation
Map 4.	Aridity Zones
References
List of Boxes 
Box ?1.1 Water scarcity is often mis-understood	2
Box ?1.2 Water and land disputes leave many dead, according to the Yemeni press	12
Box ?2.1 Benefits from the Aswan High Dam	24
Box ?2.2 Progress providing water supply	36
Box ?3.1 Demographic changes drive different responses to water-crisis	64
Box ?3.2 Changing social priorities affected water lobbies in Spain and the USA	66
Box ?3.3 Water as a Vehicle for Co-operation: The Nile Basin Initiative	69
Box ?3.4 Changing agricultural support in Turkey	72
Box ?4.1 Transformation of the economy and the water management system in Spain	80
Box ?5.1Changing the priority given to water through economic analysis in Ethiopia	100
Box ?5.2 Accountability mechanisms for the National Water and Sewage Corporation (NWSC), Uganda	103
Box ?5.3 Tradeable water rights can promote efficiency, sustainability and voluntary reallocation of water	106
List of Figures 
Figure 1: Proportion of regional surface freshwater resources stored in reservoirs	ii
Figure 2: Access to improved water supply and sanitation by region, 2002	ii
Figure 3: Percent of total renewable water resources withdrawn by region	iii
Figure 1.1 Actual renewable freshwater resources per capita by region	5
Figure 1.2 MENA countries have an unusual combination of low precipitation and high variability	1
Figure 1.3 Total actual renewable water resources per capita in MENA	2
Figure 1.4 Share of water available or used by source, MENA	3
Figure 1.5 Percent of total renewable water resources withdrawn by region	10
Figure 1.6 Value of groundwater depletion in selected MENA countries	12
Figure 1.7 The three levels of scarcity	15
Figure 1.8 Model of the Political Economy of Decision-Making	20
Figure 2.1 Proportion of regional surface freshwater resources stored in reservoirs	24
Figure 2.2 Fill rate of dams in Morocco 1986-2004	25
Figure 2.3: Probability of two consecutive drought years in December in Morocco based on four different starting years	25
Figure 2.4 Evaluation of Water Policies and Organizations: MENA and Comparator Countries, 2004	35
Figure 2.5 Non-revenue water ratio for utilities in select countries and major cities	41
Figure 3.1 Political and Social Forces acting on interest groups	47
Figure 3.2 Labour Requirements of Moroccan Agriculture	50
Figure 3.3. Farm employment and the Aggregate Measure of Support (AMS) for agriculture	54
Figure 3.4 Change in agricultural value-added and GDP per capita growth, MENA, 1975-2005	55
Figure 3.5 Oil Prices Drive Budget Balances	60
Figure 3.6 Energy production and water cost recovery	61
Figure 3.7: Operating cost coverage ratio for utilities in select countries and major cities in MENA.	74
Figure 4.1 Change in share of water allocated to agriculture between 1992 and 2000 (base year varies)	84
Figure 4.2 Water Policies and Institutions are stronger but accountability weaker in MENA than in 27 comparator countries	86
Figure 4.3 Quality of services in MENA countries by relative level of accountability	88
Figure 4.4: Command area of dams, irrigation, and drainage infrastructure in Iran and Algeria	92
Figure 4.5 Annual Cost of Environmental Degradation of Water	95
Figure 5.1 Policy objectives and responses to the three stages of water management in arid regions 	100
Figure 5.2 Types of benefits from services derived from different water investments	103
Figure 5.3 Map of the Northern Saharan Aquifer	113
List of Tables 
Table ?1.1 Perverse incentives for excess irrigation	7
Table ?1.2 Public expenditures on water as a share of GDP	8
Table ?2.1 Estimated total dam capacity and share of freshwater stored in reservoirs, by country	23
Table ?2.2 Desalination capacity in non-Gulf MENA countries	28
Table ?2.3 Percent of population with access to improved water and basic sanitation	30
Table ?2.4 Official vs. Best Estimates of Rural Water Supply and Sanitation Coverage	32
Table ?2.5. Area Equipped for Irrigation in MENA (2000)	32
Table ?2.6 Strength of environmental NGOs in the MENA region	43
Table ?3.1. Returns to water use in the MENA region by crop	50
Table ?3.2 Annual growth of fruit and vegetables sector	51
Table ?3.3 The fiscal context of irrigation and water supply sector reforms	59
Table ?3.4 Socioeconomic implications of climate change impacts on water resources in some Middle East countries	63
Table ?3.5 Mechanisms for Resolving Conflict over Water: Tradition vs. Modernity	78
Table ?4.1 Selected Operating Performance Indicators for MENA water utilities	96
Table ?4.2 Excess cost of vended water compared to utility water in Select MENA cities	97
Table ?5.1Institutional responsibility for water management	111

Library of Congress Subject Headings for this publication:

Water conservation -- Middle East.
Water conservation -- Africa, North.
Water-supply -- Government policy -- Middle East.
Water-supply -- Government policy -- Africa, North.
Water-supply -- International cooperation.
Water consumption -- Measurement.