Technorati Profile
Does Malcolm Turnbull have a rainwater tank? Does it make sense to have a rainwater tank in suburban Sydney? If you think so, tell me why and i will tell you why not.
Wednesday, July 25, 2007
Wednesday, May 30, 2007
water
water unlike all other commodities is seldom priced on the basis of supply and demand. Infact water is often regarded by communities as a free resource and further that there is an inherent right that the resource should be nearly free.
other commodities for which there is a sustained public need are priced on the basis of supply and demand except where socialist doctrines intervene.
because I can fill my swimming pool for about $30 and my wife can water the garden for cents rather than dollars the price incentive to be careful is absent and the community relies upon the responsibility of the user
in a world where water is scarce there are many many initiatives which can be taken to ameliorate the shortage problem, but most of these initiatives can be measured best as to efficacy if water is priced by conventional process. Then improved reticulation, improved storage, improved sourcing and wastage control can be motivated and rewared by the returns on capital available. It is very unlikely for instance that encouraging all households to instal a 5000 litre tank for capturing rainwater is a good use of capital. If water is priced at .1 of a cent per litre, the value of water stored is $5, a hardly attractive outcome for a capital outlay likey to be in thousands of dollars.
other commodities for which there is a sustained public need are priced on the basis of supply and demand except where socialist doctrines intervene.
because I can fill my swimming pool for about $30 and my wife can water the garden for cents rather than dollars the price incentive to be careful is absent and the community relies upon the responsibility of the user
in a world where water is scarce there are many many initiatives which can be taken to ameliorate the shortage problem, but most of these initiatives can be measured best as to efficacy if water is priced by conventional process. Then improved reticulation, improved storage, improved sourcing and wastage control can be motivated and rewared by the returns on capital available. It is very unlikely for instance that encouraging all households to instal a 5000 litre tank for capturing rainwater is a good use of capital. If water is priced at .1 of a cent per litre, the value of water stored is $5, a hardly attractive outcome for a capital outlay likey to be in thousands of dollars.
Subscribe to:
Posts (Atom)