Water Stress, Agricultural water Transfer and Social Equity in the Chaobai Watershed

Water stress has resulted in an increasing trend towards the reallocation of agricultural water to the industrial and municipal sectors. This study examines the impact of water reallocation on crop production and farmers’ incomes, and identifies the gap between current levels of financial compensation and the real loss of farmers’ incomes based on a survey of 349 farm households and their farm plots in the Chaobai watershed. The results show that the current compensation received by farmers is generally lower than the losses incurred due to reduced irrigation. A transparent, fair, and legally protected compensation mechanism is required to achieve a long-term water sharing relationship and sustainable water utilisation