At What Price Are Farmers Willing to Reduce Water Usage? Insights from the Aosta Valley
Francesca Moino,
Francesco Caracciolo,
Patrizia Borsotto,
Stefano Trione,
Denise Chabloz,
Mauro Bassignana,
Teresa del Giudice,
Filiberto Altobelli
Affiliations
Francesca Moino
Research Centre for Agricultural Policies and Bioeconomy, CREA-Council for Agricultural Research and Economics, Via della Navicella, 2/4, 00184 Roma, Italy
Francesco Caracciolo
Department of Agricultural Sciences, University of Naples Federico II, Via Università, 100, Portici, 80055 Naples, Italy
Patrizia Borsotto
Research Centre for Agricultural Policies and Bioeconomy, CREA-Council for Agricultural Research and Economics, Via della Navicella, 2/4, 00184 Roma, Italy
Stefano Trione
Research Centre for Agricultural Policies and Bioeconomy, CREA-Council for Agricultural Research and Economics, Via della Navicella, 2/4, 00184 Roma, Italy
Denise Chabloz
Institut Agricole Régional, Regione La Rochère, 1/A, 11100 Aosta, Italy
Mauro Bassignana
Institut Agricole Régional, Regione La Rochère, 1/A, 11100 Aosta, Italy
Teresa del Giudice
Department of Agricultural Sciences, University of Naples Federico II, Via Università, 100, Portici, 80055 Naples, Italy
Filiberto Altobelli
Research Centre for Agricultural Policies and Bioeconomy, CREA-Council for Agricultural Research and Economics, Via della Navicella, 2/4, 00184 Roma, Italy
As climate change and decreasing precipitation worsen water scarcity, understanding farmers’ willingness to reduce water usage is crucial. This study examines this issue in the Aosta Valley, a region facing unique challenges due to its mountainous terrain and high water management costs. The aim is to evaluate farmers’ willingness to reduce water usage and the economic incentives needed to encourage water-saving strategies. To gather the data, 100 farmers participated in a survey that included a discrete choice experiment. The findings revealed that 75% of farmers were unwilling to reduce their water usage even with proposed monetary compensation (EUR 100–120 per hectare per year). On average, the additional compensation farmers would accept for a 10% reduction in water usage was estimated at EUR 360 per hectare per year. This high compensation demand suggests a disconnect between individual desires and economic feasibility. The key reasons for their reluctance included the belief that their current water usage is already optimized, inadequate compensation for potential economic losses and concerns about water shortage. The study highlights the need to understand the socio-cultural context when designing water management policies. Combining economic incentives with social and educational initiatives is likely more effective for promoting sustainable water practices.
