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52<br />

<strong>ZEF</strong> <strong>Bonn</strong> ● Center for Development Research – Annual Report 2001/2002<br />

GLOWA-Volta project<br />

It has been argued that local<br />

communities are better suited<br />

than national governments to<br />

manage local natural resources.<br />

<strong>ZEF</strong> has set up a research<br />

group aiming at a better<br />

understanding of the factors<br />

leading to the success or failure<br />

of such approaches.<br />

fallow systems in the Eastern Amazon. The evaluation includes a private and social<br />

cost benefit analysis, a bio-economic modelling approach to quantify land use decisions<br />

under different policy scenarios, an analysis of institutions relevant to technology<br />

diffusion and a comparative analysis to assess the significance of the results for<br />

other areas in the Amazon.<br />

2.3.2 Water safety and security issues<br />

Changes in water supply and demand in the Volta basin as well as the hydrological<br />

and socio-economic trade-offs in water allocation are being examined in the context<br />

of the GLOWA-Volta project. Based on ten-year average data and an institutional<br />

analysis of the water sector, alternative water management<br />

scenarios have been developed and assessed in initial runs<br />

of an integrated economic-hydrologic optimisation model.<br />

Initial results suggest that the effect of increased irrigation<br />

development is small compared to rainfall and runoff variability<br />

in the Volta basin. Secondary data analysis showed that only<br />

around 40 % of rural households and about 50 % of urban<br />

households use improved water sources for their drinking water<br />

needs. A household's choice between improved and traditional<br />

drinking water sources not only depends on the household's<br />

income level and distance to the source but is also determined<br />

by other factors such as education, preferences or taste.<br />

Mapping of water-related diseases, moreover, underlines the<br />

importance of health effects through water use.<br />

A PhD research project was finalised in 2001 looking at the “Economics of<br />

Household Water Security in Jordan". The objective of this research was a better<br />

understanding of household access, demand and usage of water over space and time<br />

and the assessment of effective water prices paid by poor households. This research<br />

forms a pilot study of <strong>ZEF</strong> research on Water and Poverty, which will be continued<br />

and extended within the GLOWA-Volta framework.<br />

2.3.3 Sustainable land use in Uganda<br />

A <strong>ZEF</strong> project conducted in co-operation with the International Food Policy<br />

Research Institute (IFPRI) integrates biophysical and socio-economic approaches to<br />

identify suitable incentives for enhancing sustainable land use in Uganda.<br />

Bioeconomic modelling work within a multiple-agent framework is being conducted<br />

at two sites representing different development pathways: one site in the coffeebanana-maize<br />

system of central Uganda, and the other in the maize-dominated<br />

system in the highlands of eastern Uganda.<br />

2.3.4 Institutions and natural resource management<br />

Many developing countries are currently devolving rights and responsibilities over<br />

natural resource management from the state to local communities. It has been<br />

argued that local communities are better suited than national governments to manage<br />

local natural resources because they have better information on local conditions,<br />

the capacity to adapt to changes in these conditions more easily, a higher stake in<br />

successful management, and lower monitoring costs. However, an effective management<br />

of natural resources through local communities also requires the co-operation<br />

of heterogeneous community members or subgroups and can be hampered by local<br />

hierarchies and different ethnicities or simply by differences in interests and negotiating<br />

power between groups of users. Devolution may thus lead to rent-seeking activi-

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