xavier leflaive water team leader oecd environment directorate · 2017-02-15 · 8-9 nov, 2016 the...
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Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
From knowledge to action
Xavier Leflaive
Water Team leader
OECD Environment Directorate
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Recast the ambition
Knowledge Action
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Recast the ambition
Action-oriented
Knowledge
Knowledge-based
Action
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
The OECD, on water
• A forum– 35 members– Economic organisation– Better policies for better lives
• Water economics and governance– Water as a driver for sustainable growth– Water and agriculture– Water governance
• www.oecd.org.water
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Outline
• From knowledge to action
– Water allocation reform
– Investment in water security
• A call for new knowledge
• Towards a theory of change
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Water allocation reformMaking the case
0
1 000
2 000
3 000
4 000
5 000
6 000
2000 2050 2000 2050 2000 2050 2000 2050
OECD BRIICS RoW World
Km
3
irrigation domestic livestock manufacturing electricity
Competition to access the resource becomes fiercer, as
global water demand is projected to
increase by 55% by 2050
OECD (2012), Environmental Outlook to 2050
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Water allocation reformLooking for solutions
• Economics 101– Allocate water where it maximises value for society,
the economy and the environment
• Preferred instruments– Markets
– Pricing
– Administration
A survey
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Water allocation reformThe real issue is…
• Water is already being allocated
• How to transition from one regime to another
• Managing the reform process
National policy dialogues
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Investment in water securityHow water-related risks affect growth
Sadoff et al. (2015), Securing Water, Sustaining Growth, report of the OECD/GWP Task Force
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Investment in water securityFrom economics to finance
• Financial flows are not at scale
• How to make the best use of existing assets
• How to identify the most beneficialinvestments
• How to increase financial flows
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Investment in water securityHow to make beneficial investments happen
• From investment in water infrastructure to water-wise investments
– Mainstream water in the portfolio of financinginstitutions
– Allocate risks and returns
The Roundtable on water finance
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
A call for action-oriented knowledge
• There are good reasons why « optimal » solutions do not work
– « global » and « average » are not real
– Trade-offs
– Path dependency
– A genuine political dimension
– Finance and budgetary decision making
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Towards a theory of changeAn implicit theory of change
• We know what the solution is
• Governments are rational decision makers
• Implementation is lagging
• We need to build capacities
Technocratic, unscientific, neo-colonialist
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
Towards a theory of changeA role for critical social theory
• TINA – « we know what the solution is »
• Political will: whose decision?
– At what scale?
– Water users, property developers, private equity?
• Implementation: gap or opportunity?
• Building capacities vs valuing know-how
Water SDGs and Future Water Management Symposium 8-9 Nov, 2016
www.oecd.org/water
Thank you!
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Water SDGs and Future Water Management Symposium 8-9 Nov, 2016 1
6
Multiple objectives - Pricing for WSSEcological sustainability Economic sustainability
Financial sustainability Social concerns / affordability
Efficient allocation
may not induce water saving
Give priority
to access by
high-value uses
vs. merit uses
Environmental
requirements
increase costs
Move to fuller cost recovery through tariffs
may negatively affect affordability
OECD (2010), Pricing Water and Water Supply and Sanitation Services