Cross-Sectoral Impacts of Water Deficits in Nan River Basin, Thailand

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Abstract
Nan River Basin contributes about 25 to 40 percent of annual flows in the Lower Chao Phraya River Basin where main agricultural, manufacturing, service, and domestic water use sectors located. Water allocation during dry season depends mainly on the amount of water storage at the end of rainy season in the four main reservoirs in the upstream of the Chao Phraya River. However, impacts across sectors are also important in developing strategies to mitigate drought. Understanding cross-sectoral interactions from both water resources and economic point of view provide better insight in decision making. This study proposes a framework of cross-sectoral analysis of water allocation during dry season between three sectors (agriculture, manufacturing, and service and domestic) in the Nan River Basin with the consideration of impacts to the Lower Chao Phraya River Basin. An assessment model in this study is based on the water budget and the Input-Output model. Preliminary results of economic analysis of cross-sectoral impacts of water allocation in the Nan River Basin show the importance of considering interactions between sectors and non-hydrologic factors in developing strategies to mitigate droughts.

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