Ecological-economic efficiency of irrigation projects in the context of climate change

• Main Authors: Lesia Kucher, Serhii Drokin, Yevhenii Ulko
• Format: Article
• Language: English
• Published: Institute of Eastern European Research and Consulting 2020-06-01
• Series: Agricultural and Resource Economics
• Subjects: project efficiency; project cost; innovation; irrigation water quality; yield; ukraine.
• Online Access: http://are-journal.com/are/article/view/300

Purpose. The purpose of the paper is to present the results of research on the assessing of the ecological-economic efficiency of the implementation of reclamation projects taking into account the quality of irrigation water (on an example of the specific projects under soil-and-climatic conditions of Kharkiv and Donetsk regions). Methodology / approach. The research methodology is based on the use of an interdisciplinary approach. The study used the following methods: monographic (to generalize methodological and practical experience in the use of irrigation projects); laboratory-analytical (to determine the quality indicators of irrigation water); constructive-calculated (for calculating the indicators of economic efficiency of yield growth under irrigation conditions); Monte Carlo method (for simulation of crop yields without irrigation and under irrigation conditions); statistical (analysis of variance) (to assess the reliability of the results); generalizations (to summarize the intermediate and general results of ecological-economic analysis of experimental and model data). Results. As a result of laboratory analysis, water quality was assessed, which can be used for irrigation. The advantages of the project of organization of agricultural production under the conditions of drip irrigation are substantiated, and the investment attractiveness of this project was estimated. It is proved that the use of drip irrigation contributes not only to the economic effect, but also to adaptation to climate change. The economic efficiency of irrigation in agriculture, in particular, limited to suitable water (low quality) during the cultivation of various crops, was evaluated. Given the economic assessment, the cultivation of most crops under irrigated conditions with limited suitable water is ineffective. Originality / scientific novelty. The scientific novelty of the paper is that the provisions on ecological and economic efficiency of reclamation projects taking into account the quality of irrigation water has been further developed. This is one of the first paper devoted to the economic management of irrigation projects in Ukrainian agriculture in the context of climate change. Practical value / implications. The results of the study allow to draw conclusions about the effectiveness of the implementation of drip irrigation projects, taking into account potential economic risks and expected benefits. The results of simulation modeling of crop yields under irrigation conditions can be used by agricultural enterprises to manage project risks.