Implementation of a water availability modelling system for the 23 river basins of Texas illustrates key institutional aspects of this type of effort. Water supply capabilities depend upon institutional considerations such as water rights, contractual arrangements and reservoir project ownership, as well as river basin hydrology. A water management community must work together to develop decision support tools lo help manage water resources shared by numerous water users. The Water Rights Analysis Package model adopted by the state of Texas and the lessons learned in its application are applicable to river basin management world-wide.

Competition for water will increase in the northern portion of the Nile River basin, with increases in population and with new and continuing efforts to stimulate economic development, improve income levels and achieve food security. Water scarcity and the inefficient allocation of water can limit the pace of economic development in arid regions, particularly when nations are unable to implement agreements that enhance the sum of net benefits generated with water resources. Much of the discussion regarding water in the northern Nile basin involves the volumetric allocation of water among countries. That focus may limit appreciation of the benefits that might be generated by co-operation involving a larger set of activities, such as international trade and transborder investments. The authors present a conceptual framework that describes how co-operation and international agreements may contribute to achieving the development goals of individual countries, while also enhancing regional net benefits. The authors propose several types of transborder investments that might be helpful in achieving those goals.

Water markets are increasingly being relied upon as an instrument to reallocate water between competing users under conditions of water scarcity, and within an environment of fully committed water resources. Without such a reallocation new irrigation developments cannot take place and economic developments will be forgone to the detriment of rural communities. There is therefore a need for continued development of a water market mechanism to ensure that this reallocation process can take place as efficiently as possible, and to alleviate the socio-economic impact of water scarcity. Since markets are still emerging around the world it is important to learn from operating markets. This paper discusses the operational mechanism of a water exchange in Victoria, Australia, and analyses the outcome of the first five years of operation.

China faces great challenges to alleviate poverty as it enters the new century. There are still 30 million people living below the absolute poverty line. They are concentrated in the mountainous areas of western China, of which the loess area of Gansu province is one of the driest and poorest. One of the root causes of poverty is water scarcity. Water is the key factor in changing the fundamental conditions for the existence and development of the poor areas. Due to the topographical nature of the area, a major water delivery project would be difficult to build and be economically unfeasible. The most easy-to-use water source with the highest potential is rainwater. Rainwater harvesting (RWH) has been carried out in previous decades and it has been shown that it can serve the poor by supplying water for domestic use and supplemental irrigation, thus ensuring both water and food security. It can create a precondition for the modification of agricultural structure, thus promoting income generation. RWH is also beneficial to the recovery of the ecosystem and environmental conservation in the semi-arid northwest region of China. Past experiences show that RWH is an innovative approach for the integrated and sustainable development of the poor areas. It is reasonable to mainstream RWH in integrated water resources management.

The primary objective of this project is to identify gaps, whether real or perceived, that hinder effective groundwater management in New Zealand. These gaps show as gaps in information, gaps in implementation, gaps in technological and management tools and gaps in understanding of fundamental processes. The secondary objective is to propose a management strategy to close the identified gaps. Several methods are used to meet these objectives: surveys distributed to selected staff in each regional council; the review of various written reports; the analysis of land-use databases; and private consultation within each regional council. Results show that groundwater management in New Zealand is generally reactionary with the main gaps being in strategic planning and national guidelines. Most gaps appear to be predominantly information and implementation issues. In some cases there are gaps in the understanding of fundamental processes within an aquifer system, including the long-term effects of land-use on groundwater quality. An adaptive management approach is suggested as a means of closing these gaps.

The international community has limited support for Third World countries that apply politically unacceptable measures to their water crises. For political reasons, the community also selectively dismisses international instruments governing military actions, the United Nations Charter and the International Law on Water, worsening the crises. The Middle East conflict offers testimony where instruments have been continuously violated, allowing expropriation of the water of weaker nations and groups. Israel, with a population twice that of the Palestinian territories, uses 95% of the fresh water utilized in Historic Palestine, leaving 5% for the Palestinians. Though alarmed with Aral Sea conditions, the community ignores the polluted lower Jordan River, the declining Dead Sea and the destruction of the Palestine aquifers. Middle East agreements will set precedents for addressing international water crises. The community must reverse its past silence and provide equitable, effective reallocation of the Middle East's resources. It cannot afford to leave a destabilizing legacy.

This paper determines the degradation of the rural water system in the Mekong Delta, Vietnam, due to pesticide application for rice production. The theoretical framework of the contingent valuation method is identified and its empirical application to the valuation of the rural water resources is presented via a case study in the Mekong Delta. Study results show that the loss of value of the rural water resources due to pesticide contamination in the Mekong Delta is about US$251 million.