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The Economics of Desertification, Land Degradation, and Drought

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Figure 6.15—Costs <strong>of</strong> action <strong>and</strong> inaction to address soil nutrient mining for selected crops,<br />

Kenya<br />

Cost (US$/ha)<br />

250<br />

200<br />

150<br />

100<br />

50<br />

0<br />

Cost <strong>of</strong> inaction<br />

Cost <strong>of</strong> action<br />

85<br />

54<br />

Source: Calculated from simulation results.<br />

Off-Site Impact <strong>of</strong> Soil Erosion<br />

212<br />

192<br />

Nkonya et al. (2008b) estimated the <strong>of</strong>f-site cost <strong>of</strong> soil erosion in Kenya using a potable water dam<br />

supplying water to Nairobi. Box 6.1 shows that the cost <strong>of</strong> siltation <strong>of</strong> the water dam was about $127<br />

million, or about $1,000 per square kilometer <strong>of</strong> the watershed area. <strong>The</strong> high <strong>of</strong>f-site cost <strong>of</strong> siltation<br />

underscores the need for designing locally based payment for ecosystem services, in which l<strong>and</strong> users<br />

upstream could be given an incentive by downstream communities <strong>and</strong> businesses to prevent soil<br />

erosion. In broader terms, cooperation between upstream <strong>and</strong> downstream communities is likely to<br />

enhance better l<strong>and</strong> management practices.<br />

Box 6.1—Sasumua water treatment plant (Nairobi City Water <strong>and</strong> Sewerage Company Ltd.)<br />

114<br />

74<br />

103<br />

Maize Rice Sorghum<br />

<strong>The</strong> Sasumua water treatment plant supplies 1.972 million cubic meters <strong>of</strong> water per month to<br />

Nairobi during the rainy season. <strong>The</strong> Sasumua dam receives water from the Chania river, which has<br />

a catchment <strong>of</strong> about 128 square kilometers. Deforestation <strong>and</strong> other forms <strong>of</strong> l<strong>and</strong> degradation<br />

upstream have led to an increase <strong>of</strong> sedimentation in the Sasumua dam, which has increased the<br />

dredging <strong>and</strong> purification costs. <strong>The</strong> Sasumua water treatment has seen decreasing water quality <strong>and</strong><br />

has taken steps to address some <strong>of</strong> these problems:<br />

1. Higher turbidity due to solids, such as soil, crop residues, animal droppings, <strong>and</strong> so<br />

on—This is addressed by using alum, a coagulant that helps purify water.<br />

2. Higher bacterial count—This is addressed by chlorination.<br />

3. pH increases—<strong>The</strong> treatment plant does not address this problem.<br />

4. Coloration<br />

5. Agrochemicals loading—This problem is not addressed.<br />

Comparing treatment costs <strong>of</strong> 1995 <strong>and</strong> 2005, water treatment for the wet season lasting seven<br />

months has changed, as shown in the table below.<br />

Type <strong>of</strong> cost Additional cost (US$)<br />

Alum (coagulant) 74,499<br />

Chlorination 2,129<br />

Sludge removal (backwash) 5,525<br />

Dredging costs 44,872<br />

Total additional cost 127,025<br />

Source: Nkonya et al. 2008b.<br />

.

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