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        Revamping Policy for 
        Water and Energy Use in Agriculture
 
          
        Context
        The indiscriminate use of disinfectants and soaps to reduce the chance 
        of COVID 19 spread is contaminating our water bodies and groundwater. 
        However, almost nothing has been mentioned about the issue of overuse of 
        water and contamination of water bodies in the awareness being generated 
        on health and hygiene.
 
        India is 
        already an extremely water stressed nation. The pandemic situation will 
        not only impact the fresh water availability in the country but will 
        also burden the already depleting groundwater aquifers. 
         
        
        Issue of Excessive Use of Groundwater in Agriculture 
         
        Since the 
        Green Revolution in the 1960s, groundwater has played a vital role in 
        irrigating water-thirsty crops such as rice to feed India’s ever-growing 
        population (Mongabay, 7 June 2018). Groundwater level in India declined 
        by 61% in a decade (between 2007 and 2017). 89% of this extracted 
        groundwater is used for irrigation (Down to Earth, 9 July 2019). 
         
        Crop 
        choices too over the last few decades have contributed to our rapidly 
        depleting groundwater tables. While in the early eighties and nineties, 
        farming was based on the agro-climatic conditions of the region (based 
        on rainfall), the practice has shifted completely in the last two 
        decades. Rice, a water intensive crop from South India is grown in the 
        central Indian belt and North Indian states of Punjab and Haryana due to 
        easy availability of irrigation facility and free electricity for ground 
        water extraction backed by minimum support price (MSP). 
         
        The net 
        area irrigated by groundwater has increased seven-fold from 5.98 million 
        ha in 1950-51 to 42.44 million ha in 2013-14. In the same period, canal 
        irrigated area rose only two-fold, from 8.29 million ha to 16.28 million 
        ha (Hindu Business Line, 21 January 2019). Groundwater overexploitation 
        has reached near-crisis level in the states dominated by electric tube 
        wells and cheap or free power. The nine states of Punjab, Andhra 
        Pradesh, Karnataka, Haryana, Gujarat, Rajasthan, Madhya Pradesh, 
        Maharashtra and Tamil Nadu together account for 85% of India’s 
        groundwater blocks that are in critical condition. If current trends of 
        declining groundwater tables continue, 60% of all aquifers in India will 
        be in critical condition by 2025 (SW4All report, 2015). 
         
        
        Issue of Free Energy/ Cross Subsidised Energy in Agriculture Sector 
        In many 
        states of India, as part of the agricultural subsidies, electricity is 
        provided free to the farmers. This free electricity is used to draw 
        groundwater indiscriminately. States like Punjab and Tamil Nadu have 
        seen this trend. There has been a sharp growth in electricity use in the 
        agriculture sector, especially since the 1980s with consumption rising 
        from 3,465 million units (mu) in 1969 (8% of the total consumption) to 
        173,185 mu in 2016 (17% of the total). This is supplied either free or 
        at subsidised rates, and a large part of it is not metered. Close to 85% 
        of pumping energy used in agriculture comes from electricity, the rest 
        being mainly from diesel. (Hindu Business line, Opinion, Jan 21 2019). 
        This explains the kind of pressure being exerted on the ground water 
        table. Efforts to recharge the groundwater have been minimum. In 
        addition to this, excessive use of fertilizers and pesticides, also 
        subsidised, have contaminated the groundwater through percolation from 
        the agricultural lands, giving birth to various health hazards for the 
        people living in these states. 
        These 
        agricultural cross subsidies not only burden the industrial and 
        commercial consumers, huge financial investments also go from the state 
        governments to provide direct subsidies to the farmers. As a result, the 
        electricity distribution companies (discoms) lose revenue. 
         
        Policy 
        Recommendations  
         
        To 
        establish a new normal scenario, states need to regularise water and 
        power use to the agriculture sector. India’s agriculture policy needs to 
        look at all the issues in a comprehensive way. The figure shows how 
        these issues are interlinked. Most of the countries where farming is the 
        main source of livelihood of the majority of the population provide 
        electricity and water free or at subsidised rates to the farmers but 
        they have devised effective ways of dealing with the issue of 
        overexploitation of groundwater. Below are a few examples: 
        Spain 
        uses an European Union programme which pays a subsidy of 420 Euros / ha 
        to reduce groundwater extraction. 
        Mexico 
        implements a cap on the quantity of subsidised electricity through a 
        formula based approach and is now considering direct cash transfer to 
        farmers in lieu of tariff subsidy. 
        Oman 
        subsidises electricity tariff for agriculture but meters consumption and 
        plans to implement consumption quotas. 
         
        
        Bangladesh provides a direct subsidy for diesel fuel purchase to 
        eligible farmers based on their land holdings. 
        
        Policy recommendations for the Indian context are as follows: 
          
        
        Electricity 
        subsidy should only be provided to farmers who have lower land holdings 
        through direct cash transfer mode and not as a free resource. 
          
        
        Subsidy 
        money should be used by farmers to purchase electricity in order to 
        prudently irrigate their lands. 
          
        
        Surface 
        water irrigation should be given preference rather than using ground 
        water. 
        The need of 
        the hour is to initiate strong policies at the state level to not only 
        reduce groundwater use but also revamp subsidy policy in the power 
        sector and implement policies with proper monitoring framework in place 
        for the sustainable use of natural resources and to achieve the goal of 
        SDGs. 
        ■ 
        
        References: 
          
        
        Direct 
        Delivery of Power Subsidy to Agriculture in India, SE4ALL
        
        
        Dharmadhikary, S., Nhalur, S., & Dabadge, A. (2019, January 21). Issues 
        in power subsidy and farm distress. The Hindu Business Line .
        
        DNA . 
        (2019, July 09). Groundwater extraction behind 61% decline in India's 
        water levels. DNA.
        
        Down to 
        Earth. (2019, September 06). Growing gap in irrigation potential and 
        usage major challenge. Down to Earth.
        
        MONGABAY . 
        (2018, June 07). India's groundwater crises, fuelled by intense pumping, 
        needs urgent management. MONGABAY.
        
        World Bank 
        Group. (2010). Deep wells and prudence : towards pragmatic action for 
        addressing groundwater overexploitation in India. Washington D.C : World 
        Bank Group.
        
        
        Understanding the Electricity, Water, Agriculture Linkages, Volume 1: 
        Overview , Prayas Energy Group, September 2018. 
           
        Gitika Goswamiggoswami@devalt.org
 
          
          
        
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