Integrated assessment of the water resources system using water accounting framework in water stressed areas: a case study of Karkhe dam down stream

Introduction
The Water Environmental Economic Accounting System (SEEAW) is a comprehensive framework for integrating economic and environmental data on water. This system clarifies the conceptual and economic aspects of water, demonstrating the critical relationship between water and the economy and highlighting water resources' role in environmental health. Aligned with the United Nations System of National Accounts (SNA), SEEAW provides a framework for global macroeconomic statistics. Established by the United Nations Statistical Commission (UNSC) in 2007 and revised in 2011, the SEEAW system aids in establishing standards for water-related statistical data worldwide, including methodologies and application guidance (UNESCO Division of Water Sciences, 2011)
 
Methodology
The SEEA-W accounting framework categorizes water accounts into several types, including physical supply and use accounts, pollutant accounts, economic accounts, hybrid accounts, asset accounts, quality accounts, and water valuation (economic and social) (Edens et al, 2014). Two types of tables are used for compiling these accounts: standard tables, tested globally and widely accepted, and supplementary tables, still under review. Social and qualitative accounts are among those in the supplementary category. When assessing water resource systems, it is vital to select appropriate and accurate indicators. Indicators are tools that gauge the status of the studied system against desired goals. In water resource system evaluations, indicators are produced within specific frameworks, helping to provide a systematic understanding of resource status and usage. This refined text is now clearer, with improved flow and coherence, and is suitable for publication in an academic or professional journal. Let me know if you need further customization.
 
 Introduction of the study area
The Karkheh River watershed is located between 46°23' to 49°12' E longitude and 33°40' to 35°00' N latitude. Approximately 17% of this watershed area lies within Khuzestan Province. Positioned in the western part of the country, the watershed extends across the central and western regions of the Zagros mountain range, covering about 50,764 square kilometers. This area consists of 27,645 square kilometers of mountainous terrain and 23,119 square kilometers of plains and foothills. Within the Karkheh basin in Khuzestan Province, the region spans over 1.2 million hectares. The Karkheh River’s average discharge at Hamidieh station is approximately 132 cubic meters per second. Figure 2 illustrates the study area’s location.
 
The Karkheh River can be divided into three sections based on its longitudinal slope. In the first section, extending approximately 100 kilometers downstream from the Karkheh Dam, the river has a steeper slope of about 0.08%, with numerous meanders. The second section spans another 100 kilometers to the Hamidieh regulatory dam, where the river slope decreases to about 0.013%. In the third section, from the Hamidieh dam to its endpoint in Sosangerd City, the river splits into two branches, Hofel and Nissan, with the slope dropping to around 0.002%. Numerous irrigation canals branch off from the river in this lower section, which continues into the Horul Azim Wetland as the elevation decreases.
 
Results and discussion
Implementing the extraction method for water security indicators alongside demographic and economic data poses significant challenges. Results from the relative water stress index and renewable water per capita indicate severe water stress in the study area for the year 1400 (2021/22), leading to instability and imbalance between water sources and uses. In 1401 (2022/23), however, water management efforts helped to stabilize the water balance, with a water stress index of 0.2 and consumption intensity nearing a borderline instability at 0.4.
However, water stress remains critical due to high water consumption in agriculture, where the economic efficiency of water use is lower. To address this, the economic sector’s focus should shift away from agriculture to other industries. Presently, in the study area, water tariffs set by the government in 1401 are below cost recovery: agricultural water is priced at under 1,670 Rials per cubic meter, household and service water (post-treatment) under 2,650 Rials per cubic meter, and industrial water under 46,000 Rials per cubic meter. Such low rates discourage efforts to improve economic water efficiency. Annual growth in economic productivity of water was 0.6%, 0.65%, and 0.97% for agriculture, services, and industry, respectively. Effective water accounting could enhance reporting processes and serve as a valuable tool for evaluating water policy impacts.
 
Analysis of Water Security and Resource Management
The study of water security in the Lower Karkheh basin emphasizes the critical need for coordinated management between water supply and demand. In recent years, water stress in the area has escalated, particularly in 1400, when a combination of overuse and inefficient management practices led to acute water scarcity. This situation has highlighted the pressing need for sustainable practices that balance water availability with consumption needs across various sectors, especially agriculture, which accounts for over 96% of total water use. In 1401, strategic interventions, including regulated water releases downstream of the Karkheh Dam, resulted in notable improvements. Water availability per capita rose from 1,302 cubic meters in 1400 to 1,812 cubic meters in 1401, underscoring the positive impact of improved water management on regional stability. However, these short-term gains must be maintained through policies that prioritize long-term water sustainability, especially given the intense pressures from agricultural demand.
 
Economic Considerations in Water Management
Current water pricing structures in the Lower Karkheh region reflect significant underpricing, particularly within the agricultural sector. Set at a mere 1,670 Rials per cubic meter, agricultural water rates are insufficient to cover even basic supply costs, creating little incentive to optimize water usage or improve agricultural water productivity. In contrast, service sector water costs, after treatment, reach 2,650 Rials per cubic meter, while industrial water pricing is much higher, at around 46,000 Rials per cubic meter.This discrepancy highlights a potential policy gap, where subsidized rates for agriculture encourage overuse and inefficiency.To address these issues, the study recommends revising water tariffs to more accurately reflect the cost of supply, thereby fostering a shift toward higher economic productivity in water use. By adjusting prices, water-intensive industries, particularly agriculture, may be encouraged to adopt more efficient practices, potentially redirecting water resources toward sectors with higher economic returns.
 
Environmental Impact and Ecological Sustainability
Water stress and intensive agricultural activities in the Lower Karkheh basin also pose significant threats to local ecosystems. The Karkheh River and its surrounding wetlands, including the Horul Azim Wetland, are highly vulnerable to both water scarcity and pollution from agricultural runoff. The wetland ecosystems are vital for biodiversity, providing habitats for various species and offering natural flood control benefits. Continued water shortages may lead to ecological degradation, adversely affecting both the local environment and communities’ dependent on these resources.Therefore, a comprehensive approach that integrates environmental conservation with water resource management is essential. Restoration of natural habitats, combined with sustainable water practices, can help maintain ecological balance and preserve these critical ecosystems for future generations.
 
Recommendations for Policy and Future Research
Given the complex interplay between water resources, economic demands, and environmental concerns, the following recommendations are proposed: Enhanced Water Pricing Mechanisms: Revise water tariffs to align closer with the true cost of supply, particularly within agriculture. This policy change could encourage water savings and improve productivity.Increased Investment in Water-Efficient Technologies: Support and incentivize the use of water-saving technologies in agriculture, such as drip irrigation systems, to reduce overall demand.Strengthened Water Resource Governance: Establish a multi-sectoral governance model to coordinate water allocation across agricultural, industrial, and domestic sectors, with clear guidelines for sustainable usage. Environmental Conservation Initiatives: Implement targeted conservation efforts to protect wetland ecosystems, ensuring that policies support both human and ecological needs.Continued Research on Water-Economic-Ecological Links: Conduct further studies on the interconnections between water resources, economic activities, and ecosystem health, focusing on sustainable development in water-scarce regions.
 
Conclusion
This research underscores the urgent need for a holistic approach to water resource management in the Lower Karkheh basin. High agricultural water demand, coupled with insufficient economic incentives, continues to strain regional water security. By adopting integrated strategies that address water pricing, resource allocation, and environmental conservation, policymakers can help ensure a more sustainable and balanced future for the region.Water accounting frameworks like SEEA-W provide valuable insights into the relationships between water usage, economic productivity, and environmental impact. Implementing these frameworks enables more informed decisions, promoting not only economic growth but also environmental sustainability and social welfare. As such, water accounting should be further developed and applied in water-scarce areas to improve resource management and achieve sustainable development goals.