In a country facing severe water scarcity, China’s comprehensive reform of agricultural water prices has become a critical step towards sustainable water management and food security. This research delves into the evaluation system developed to assess the progress and effectiveness of this nationwide reform, providing valuable insights for policymakers and the scientific community. The study compares the evaluation methods adopted by four representative provincial regions, highlighting the key similarities and differences in their approaches. With a focus on the reform’s five main tasks, the analysis sheds light on the integrity and nuances of the evaluation index systems across these regions. As China prepares for a national-level evaluation in the coming years, this research offers timely recommendations to establish a unified, flexible, and practical evaluation framework that considers regional disparities in economic capacity and water infrastructure. By understanding the intricate dynamics of this reform, we can unlock the full potential of water pricing as a powerful lever for agricultural water conservation and sustainable development. Water resources, Agricultural water management, Water pricing, Sustainable development
Addressing China’s Water Scarcity through Agricultural Water Pricing Reform
China’s water resources are characterized by scarcity and uneven distribution, with per capita water availability only 28% of the global average. As a major agricultural powerhouse, the country’s agricultural sector accounts for a staggering 62% of total water consumption, with over 90% used for irrigation. However, the low efficiency of irrigation water use, outdated infrastructure, and insufficient maintenance funding have long plagued the agricultural water management system, leading to significant water waste and unsustainable practices.
To tackle this pressing issue, the Chinese government launched a comprehensive reform of agricultural water prices in 2016, aiming to establish a robust pricing mechanism, improve infrastructure, and incentivize water-saving behaviors among farmers. This reform is a crucial step towards ensuring the country’s food and water security, as well as promoting the sustainable development of the agricultural sector.
Evaluating the Comprehensive Reform: A Comparative Analysis
As the reform enters its eighth year, the Chinese government is preparing for a nationwide evaluation and acceptance process in 2024-2025. This study, conducted by Mingliang Jiang from the Institute of Farmland Irrigation at the Chinese Academy of Agricultural Sciences, delves into the evaluation systems developed by four representative provincial regions: Henan, Jiangsu, Inner Mongolia, and Hunan.

The research team employed content analysis to systematically examine the key points of national reform policies and compare them with the evaluation methods adopted by the four provinces. This comprehensive analysis focused on two main aspects:
1. Integrity of the Evaluation Index System: The study found that the evaluation indices in all four regions have covered the five main tasks of the national reform, including improving reform guarantee measures, establishing agricultural water price formation mechanisms, improving engineering construction and maintenance, setting up precision subsidies and water-saving rewards, and strengthening water use management.
2. Differences in Evaluation Procedures and Index Structures: While the overall evaluation procedures were similar across the four provinces, with a consistent focus on organization, mechanism establishment, and reform effects, the research revealed notable differences in the weight structure of the evaluation indices. For instance, Henan Province placed a stronger emphasis on strengthening water use management, while Jiangsu and Hunan focused more on improving reform guarantee measures and evaluating the overall reform effects.
Towards a Unified and Practical National Evaluation Framework
The study’s findings highlight the need for a more harmonized and flexible national-level evaluation system to ensure the success of China’s comprehensive agricultural water pricing reform. Mingliang Jiang and the research team propose several key recommendations:
1. Develop a Unified National Evaluation Standard: The Chinese government should work with relevant ministries and commissions to establish a simple, unified, and practical national-level evaluation and acceptance standard, taking into account the diverse regional conditions and economic capacities.
2. Prioritize Mechanism Establishment and Funding Support: During the evaluation process, greater emphasis should be placed on the establishment and improvement of the four key mechanisms (pricing, engineering, subsidies, and water management), as these policy instruments are critical for ensuring the long-term sustainability of the reform.
3. Tailor Evaluation Criteria to Regional Differences: Given the vast geographic and economic disparities across China, the evaluation criteria for specific indices should be adapted to reflect the unique conditions of each region, such as water resource availability, agricultural structures, and financial capabilities.
4. Implement a “Look-Back” Mechanism: After the completion of reform tasks and national-level evaluation, a dynamic “look-back” mechanism should be established to continuously monitor the operation of various mechanisms, provide timely support, and ensure the long-term success of agricultural water-saving and water infrastructure development.
Unlocking the Full Potential of Water Pricing Reforms
As China navigates the complex landscape of agricultural water management, the comprehensive reform of water pricing has emerged as a critical strategy to address the country’s water scarcity challenges. By thoroughly evaluating the implementation of this reform, policymakers can fine-tune the evaluation system, ensure the equitable distribution of benefits, and accelerate the transition towards a more sustainable and resilient agricultural sector.
This research by Mingliang Jiang and his team not only provides a detailed analysis of the current evaluation methods but also offers valuable insights for other countries facing similar water management dilemmas. By learning from China’s experiences and adapting the lessons to their own contexts, global policymakers can harness the power of water pricing as a transformative tool for agricultural water conservation and sustainable development.
As the world grapples with the increasing pressures of climate change, water scarcity, and food security, the comprehensive reform of agricultural water prices in China stands as a pioneering example of how strategic policy interventions can drive meaningful change. By continuing to refine the evaluation system and foster collaborative efforts, China can pave the way for a more water-secure and sustainable future for its agricultural sector and the global community.
Author credit: This article is based on research by Mingliang Jiang, from the Institute of Farmland Irrigation at the Chinese Academy of Agricultural Sciences.
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