Water Market Insider VIDEO: The Arizona Water Market
WestWater Associate Audrey Arnao gives us an update on the current status of the Arizona water market. Want to learn more about the Colorado River shortage impacts in Arizona? Check out our recent Water Market Insider on the topic here.
Colorado River Shortage Impacts in Arizona and the Long-term Storage Credit Market
The first-ever Colorado River shortage declaration will drive up market demand and price of Long-Term Storage Credits in Arizona. As we enter 2022, Colorado River water users are enduring the first-ever shortage operations on the river, following declaration of a Tier 1 shortage by the US Bureau of Reclamation. Shortage operations have been coordinated and […]
Even in a Critically Dry Year, Water Moves in the Market
California’s drought continues to make national news as the severity of water supply shortages intensifies. Some farmers are making the decision to remove permanent crop plantings, based on concerns that the crop water demands may be difficult to meet under current or future water supply conditions. However, even in a dry year like this one, […]
Water Market Insider: Connecting Regional Water Market Conditions to the Statewide NQH2O Price Index
The recent launch of the Nasdaq Veles California water futures is changing the water management toolkit for participants in California’s water market. This Water Market Insider explores the relationship between water pricing in California’s heterogeneous regional sub-markets and the statewide NQH2O price index, and provides an explanation of how basis can applied in the futures […]
Change at What Cost? Understanding Transaction Costs for Water Transfers in Colorado
Transaction costs are a necessary pill to swallow for most trades in the Colorado water market but can be daunting for market participants because of their uncertainty and the feel of an open checkbook. Recent research by two university economists shaves away some of this uncertainty by providing some useful benchmark cost estimates for changing water rights and realizing the benefits of […]
California Water Project Allocations Drop; Nasdaq Veles California Water Index (NQH2O) and Futures Jump Nearly 30%
On Tuesday, California’s Department of Water Resources made a decision that will impact 27 million state residents and 750,000 acres of farmland. The Department lowered the State Water Project (SWP) allocation to 5%, potentially decreasing water supplies from the California aqueduct by 95% for 2021. The United States Bureau of Reclamation also announced a 5% […]
02.2021 Water Market Insider: California Farm Revenues Rely Heavily on Water Transfers
The agriculture industry in California relies heavily on water transfers to meet irrigation needs and maintain its billion-dollar revenues. The most recent issue of the Water Market Insider gives further insight into the importance of water transfers in a state that produces much of the nation’s vegetables, fruit, and nuts. Read the current issue […]
Water Market Insider: Divergence in Agricultural Water Use Values
The $50 billion per year irrigated agriculture market in the Western U.S. is on the rise but growth is concentrated in higher-value crops and more intensive agriculture. The most recent Water Market Insider discusses the rising value of agricultural water in states such as California and Washington Read the full issue here. Agricultural Water Values
Q2 2020: Supply & Demand: An Update on California’s Spot-Market
Responses to hydrologic, institutional, and management indicators The current issue of The Water Market Insider explores how the spot-market price of water observed across California responds to certain hydrologic, institutional, and management indicators. Prices are found to respond to water scarcity, which is driven by natural factors, policy decisions, and water management. Price transparency in […]
Q1 2020: Instream Capital: An Update on Environmental Water Markets
Stability, creativity and the need for capital in the environmental water market Environmental water markets are an important part of regional water planning and instream flow protection that largely did not exist 20 years ago. Over the last two decades, environmental water trading has expanded with transactions now reported in every western state. Despite this […]