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Home / Archive / 2019 - 2 (34) release Date 16.05.2019 . / ON ISSUES OF THE ECONOMIC MECHANISM OF CHARGEABLE WATER USE IN THE FIELD OF RECLAMATION IN RUSSIA AND THE FORMER SOVIET STATES (overview)

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Author: Slabunov A. V.

ON ISSUES OF THE ECONOMIC MECHANISM OF CHARGEABLE WATER USE IN THE FIELD OF RECLAMATION IN RUSSIA AND THE FORMER SOVIET STATES (overview)

Topics: 08.00.05 Economics and Management of National Economy

Abstract:

The aim of the research was to conduct a retrospective analysis of the accounting of the land reclamation institutions profitability level in determining the cost of water supply for irrigating agricultural crops, that allowed to reveal both positive and negative sides, as well as to develop proposals for improving the economic mechanism of chargeable water use in the field of land reclamation in Russia. An analysis of various approaches to the introduction of payment for irrigation water in agriculture in former Soviet republics showed that, taking into account the realities of a market economy, none of the republics considered full compensation for the expenditures for maintenance, repair and renewal of the main and interfarm irrigation network and transfer of operating organizations to self-financing at the expense of water users, but consideration of the organization profitability level providing water supply services was a mandatory factor. Based on the analysis of the various considered approaches to determine the cost of water supply services for irrigation of agricultural crops, it was noted that these services should be charged to cover the expenses of reclamation institutions on their provision and ensure minimum profitability. It is proposed to take into account the profitability level in determining the charge for the provision of water supply services for irrigation in the form of “planned savings” and set them directively or by preliminary calculation the needs of land reclamation agencies for financial resources for their development. The formulas for calculating charges for the provision of services for water supply (discharge) for irrigation within and beyond the set state assignment, taking into account the proposed indicator – “planned savings” are presented.
Keywords: chargeable water use, water supply services, profitability level, economic mechanism, profit, planned savings.
DOI: 10.31774/2222-1816-2019-2-230-245

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