Policy issues and institutional impediments in the management of groundwater: lessons from case studies

Urban Farm DB summary

This study noted that in inappropriate legal and administrative settings, groundwater becomes an open-access resource, leading to excessive externalities. Competition between urban and agricultural sectors for limited groundwater can lead to crises if appropriate policy instruments are not used to mediate it. For non-renewable groundwater stocks, without economic and demographic development planned according to long-term criteria, there is a risk of overly rapid exploitation, unsustainable population levels, and inappropriate infrastructure investment.