[HN Gopher] Strawberry case study: What if farmers had to pay fo...
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       Strawberry case study: What if farmers had to pay for water?
        
       Author : jgwil2
       Score  : 67 points
       Date   : 2023-12-29 15:16 UTC (7 hours ago)
        
 (HTM) web link (www.nytimes.com)
 (TXT) w3m dump (www.nytimes.com)
        
       | jgwil2 wrote:
       | https://web.archive.org/web/20231229141143/https://www.nytim...
        
       | mooreds wrote:
       | https://www.nytimes.com/interactive/2023/12/29/climate/calif...
        
       | Sirizarry wrote:
       | "Water can't be free anywhere" is one of the most dystopian lines
       | I've seen this year
        
         | AlexandrB wrote:
         | It's classic "tragedy of the commons" stuff. Having a "free"
         | input sets up incentives for waste since that resource now
         | exists outside the influence of market forces.
         | 
         | So it's either putting a price on these resources or careful
         | regulation. The latter is not very popular in today's political
         | climate.
        
           | Supermancho wrote:
           | Related to Jevons Paradox
        
             | acover wrote:
             | > Jevons paradox occurs when technological progress or
             | government policy increases the efficiency with which a
             | resource is used (reducing the amount necessary for any one
             | use), but the falling cost of use induces increases in
             | demand enough that resource use is increased, rather than
             | reduced.
             | 
             | https://en.wikipedia.org/wiki/Jevons_paradox
        
           | WalterBright wrote:
           | > careful regulation
           | 
           | Has never worked very well. Government bureaucracies are very
           | bad at pricing and allocating things appropriately. A case
           | study is in the 70's the government decided gas allocations
           | for every gas station. The result was a patchwork of gluts
           | and shortages across the country.
           | 
           | Reagan ended all that as his first Executive Order, and
           | overnight the gluts and shortages vanished along with the gas
           | lines.
        
         | ldoughty wrote:
         | When I lived in a rural area on septic and well, my electric
         | bill was often under $200 in the summer, running AC fairly
         | heavily, and taking care of ~6 dense garden beds full of
         | veggies for ~6 months... and regularly watering 1 acre of grass
         | to keep it from drying too much. We even had a timer to auto-
         | water the garden and parts of the lawn... We'd even let it run
         | overnight on a few occasions (needing to water, but coming home
         | very late)
         | 
         | I hardly considered water a costly resource
         | 
         | On "city" water now in suburbs, I followed a similar pattern
         | for grass on a 1/4 acre lot, and heavily watered the lawn one
         | month, and I had a $300 water & sewer bill -- on top of my $100
         | electric bill.
         | 
         | Water went from being something I hardly considered to
         | something I am far more careful about 'wasting'.
        
           | skeletal88 wrote:
           | Well.. if your grass would dry out and become yellow without
           | watering it, then watering is a luxury. The water in deep
           | wells will eventually run out. Why waste it on grass?
        
             | sparrish wrote:
             | Because my HOA says I have to maintain a green lawn or I
             | get fined.
        
               | bilbo0s wrote:
               | No dog in this fight. I moved out of Scottsdale to the
               | Great Lakes region a bit back partly because of the water
               | issue. So I definitely get the natural inclination to not
               | want to have to think about water.
               | 
               | All that said, I mean, if your HOA requires this, is the
               | problem with the city charging for water use to upkeep
               | the infrastructure required to deliver it? Or is the
               | issue really just that your HOA has rules that it
               | shouldn't?
        
               | unshavedyak wrote:
               | Yea but the discussion is around water usage practices.
               | Deciding we have to waste water because HOAs say so is of
               | course silly. They need to change.
        
               | jghn wrote:
               | > Because my HOA says I have to maintain a green lawn or
               | I get fined.
               | 
               | And this is why I don't live somewhere where I'm ruled by
               | an HOA
        
               | tekla wrote:
               | Any HOA that requires green lawns should be required to
               | pay a tax of minimum $100 per lawn per year it oversees.
               | Its a stupid wasteful policy
        
               | cookie_monsta wrote:
               | I would be calculating the fine vs water bill comparison.
               | 
               | Or ripping up the lawn to plant something more sensible.
               | 
               | Or just not living somewhere where an HOA can tell me
               | what to do with my own house
        
           | throw0101b wrote:
           | > _Water went from being something I hardly considered to
           | something I am far more careful about 'wasting'._
           | 
           | Water being "free" from a well probably doesn't help with
           | aquifer longevity, at least at larger scales.
        
           | pfranz wrote:
           | I'm not really sure what you're getting at. Like others have
           | said, "Water can't be free anywhere" seems to be inevitable
           | at a commercial level--but dystopian on an individual level.
           | If you had neighbors in your rural area aggressively pumping
           | water out of the ground your well would dry up...and you'd be
           | paying "market price" for it.
           | 
           | Just looking at water usage when I owned a house, irrigation
           | uses a ridiculous amount of water relative to everything else
           | individuals use to live--including laundry, bathing, dishes,
           | etc. If memory serves, sewage costs are significantly more
           | than the water itself (and sewage as metered off of water
           | consumption--so you're likely paying sewage feeds on water
           | you're irrigating with).
           | 
           | The actual cost of enough clean drinking water for people is
           | very small. Enough that drinking fountains are common and
           | people shouldn't need to ration drinking water.
        
             | shzhdbi09gv8ioi wrote:
             | > Like others have said, "Water can't be free anywhere"
             | seems to be inevitable at a commercial level--but dystopian
             | on an individual level.
             | 
             | This is why we need a democracy with human rights being
             | protected [1,2].
             | 
             | If not even fundamental things like water (or air) is free,
             | you have to ask yourself how did we get here and how do we
             | leave?
             | 
             | 1: https://www.unwater.org/water-facts/human-rights-water-
             | and-s... 2: https://truthout.org/articles/un-declares-
             | water-and-sanitati...
        
             | ItsMonkk wrote:
             | Yep, this is why we need a water price and dividend system.
             | 
             | Whenever you use water it is tracked and you pay the market
             | price. All of that is then collected and put into a pot. It
             | is then given back equally to everyone.
             | 
             | Everyone is thus incentivized to use less and those that
             | use less than the average amount of water - a huge majority
             | of people since the heaviest users use so much - will
             | receive more money than they spent.
        
               | WalterBright wrote:
               | > It is then given back equally to everyone.
               | 
               | Use it to fund the government.
        
           | WalterBright wrote:
           | I landscaped with native plants that require no water beyond
           | the rain.
           | 
           | It saves me a ton on water bills and lawn maintenance time &
           | expense. As a bonus, the deer won't eat the native plants.
        
         | ryaneager wrote:
         | It's only dystopian if it's in context of people. Water
         | shouldn't be free for companies to profit off of but free to
         | individuals to sustain life.
        
           | WalterBright wrote:
           | The food grown to sustain life requires water.
           | 
           | History also shows us that when the government runs
           | collective farms that have no profit, people starve.
        
         | TulliusCicero wrote:
         | Ehhh, that's a rather cynical take on it.
         | 
         | It's obviously about inefficient overuse by businesses. Having
         | water for individual people free for basic personal use
         | wouldn't be a problem.
        
           | WalterBright wrote:
           | > Having water for individual people free for basic personal
           | use wouldn't be a problem.
           | 
           | Operating the water system to deliver water is expensive. If
           | you want to put out a rain barrel and collect rain, it's
           | free.
        
             | dukeyukey wrote:
             | Doesn't help with water treatment or sewage handling
             | though.
        
         | notatoad wrote:
         | "paying the water bill" is a pretty normal thing for a large
         | portion of the world. certainly for most of america.
         | 
         | paying for water is not a dystopia. and taking a totally normal
         | part of life and calling it "dystopian" with no further
         | explanation is one of the laziest arguments ever.
        
           | josefritz wrote:
           | Paying for water when you are poor is a threat to life and
           | livelihood that's dystopian. This is the nature of dystopia,
           | it mostly affects the impoverished.
        
             | unshavedyak wrote:
             | Is it not the same for paying for food, as well? I
             | generally agree, but water seems an arbitrary line to draw
             | when we still have shelter and food to consider.
        
         | JoshGG wrote:
         | Dystopian is "water was free so the big farming business pumped
         | the aquifer dry and exported the agricultural goods. Now people
         | here have no water and the land is a desert".
         | 
         | This stuff is economics 101.
         | 
         | The full quote is:
         | 
         | ""Soren Bjorn, a senior executive at Driscoll's who in January
         | will become the chief executive, said in an interview that he
         | "absolutely" sees the region as a model of water pricing that
         | could be replicated in water-stressed regions from Texas to
         | Portugal. "Water can't be free anywhere, because you can't run
         | a sustainable water supply without pricing it," he said. "That
         | would apply to the globe." ""
        
           | irrational wrote:
           | Where I live it rains for the majority of the year. We could
           | put out buckets and easily capture enough to care for our
           | needs, but then you have to deal with making sure what we are
           | going to ingest is clean and deal with no water pressure and
           | hauling water around the house. It is so much easier to pay
           | someone else to deal with it. So, water could be free some
           | places, but...
        
             | atrus wrote:
             | Nothing of what you described is free though? It's going to
             | take some sort of resources no matter what.
        
             | ta1243 wrote:
             | You don't live in Arizona
        
           | intrasight wrote:
           | Water is free. What we pay for is it's delivery and it's
           | treatment.
           | 
           | I remember learning in elementary school that you're not
           | allowed to charge for water.
        
         | xboxnolifes wrote:
         | There's a very unambiguously wide gap between water being
         | freely available to every person for sustaining life, and water
         | being completely free to use in quantities of
         | trillions/quadrillions of gallons for profit.
        
           | KeplerBoy wrote:
           | There's not really. You need water for farming. Farming is
           | necessary for survival and farmers sell their produce for
           | profit.
           | 
           | The line between small, local, "good" farmers and large
           | "evil" corporations is all but clear cut.
        
             | ethanbond wrote:
             | You don't need to farm water-intensive crops in deserts,
             | especially in the modern era of extremely effective
             | logistics. We should be growing crops where they're most
             | suitable for, and applying something closer to normal
             | pricing dynamics will nudge us closer to that.
             | 
             | Agreed there's not a bright line, but we're clearly at one
             | undesirable end of the spectrum.
        
               | KeplerBoy wrote:
               | I agree, but then we're back at exporting produce from
               | wherever water is cheap and abundant. Which is a good
               | thing and necessary, but it has to be done carefully at
               | the industrial scale we're at.
        
             | unshavedyak wrote:
             | Is it? What about using limited water for crops that don't
             | have as much value to survival as other crops? Or wasteful
             | locations, etc.
             | 
             | I'm not advocating charging necessarily, but using up a
             | limited resource with reckless abandon seems short sighted.
             | What am I missing? Is it not a very important resource to
             | manage?
        
         | j4yav wrote:
         | You can take my Mojave desert almond farm when you pry it from
         | my cold dead fingers.
        
         | inamberclad wrote:
         | Limited natural resources shouldn't be free for industrial
         | exploitation. Unfortunately, money is the best mechanism for
         | incorporating these concerns into a product.
        
           | WalterBright wrote:
           | Mining rights are expensive.
        
         | kardianos wrote:
         | So... Let me tell you about Natural Asset Companies the SEC is
         | considering approvnig: https://www.nyse.com/introducing-
         | natural-asset-companies
         | 
         | So yes, dystopian. Not a trial run.
        
       | ergl wrote:
       | This could be good, but as always the second-order ramifications
       | could be troublesome (only big agricultural business would be
       | able to afford to have crops, etc, etc).
       | 
       | "Cadillac Desert" is a good read to see how bonkers the water
       | system can be (and was devised to be) in the US West, because it
       | basically tries to turn the desert into a garden. The only
       | problem is that there's just not enough water to do that.
       | 
       | Another good story in the New York times:
       | https://www.nytimes.com/interactive/2023/08/28/climate/groun...
       | (which was discussed in HN, as well:
       | https://news.ycombinator.com/item?id=37306841 )
        
         | HWR_14 wrote:
         | Why would only big agricultural business be able to afford to
         | have crops? Water use, and thus costs, should scale linearly
         | with acreage.
        
           | HPsquared wrote:
           | Might there be edge effects? (thinking of There Will Be Blood
           | and the famous "Drainage!" scene)
        
             | mcguire wrote:
             | From the article:
             | 
             | " _While corporate growers of premium products like
             | berries, which are shipped to the shelves of major chains
             | like Whole Foods, Safeway and Trader Joe's, can absorb the
             | price of Pajaro's water, there is no way farmers of
             | commodity crops like cotton, alfalfa and soybeans can make
             | the economics work, said David Sanford, the agricultural
             | commissioner of the Santa Cruz County, which includes the
             | Pajaro Valley._
             | 
             | " _In the years since the price on water was imposed,
             | growers of those crops either shifted to high-priced
             | berries and lettuces, or simply left the region for cheaper
             | pastures._ "
             | 
             | The increased cost could only be handled by shifting to
             | higher-margin crops.
             | 
             | On the other hand, anyone growing alfalfa or soybeans in
             | the stinking desert deserves whatever happens to them.
        
               | Matticus_Rex wrote:
               | That's not really a big agribusiness vs. small farm thing
               | -- it's just not going to make sense to grow those in the
               | desert if the farmers have to actually pay the cost of
               | the water. Classic case of internalizing the
               | externalities.
        
       | shrubble wrote:
       | Is California a special case, however?
        
         | vineyardmike wrote:
         | California is the most important agricultural state in America,
         | so really every other state is a special case. They export
         | _nearly_ 2x the next biggest state 24k vs 16k.
         | 
         | https://www.ers.usda.gov/webdocs/DataFiles/100812/commodity_...
        
           | jandrewrogers wrote:
           | The data you linked to doesn't support your claim. Per that
           | document, California only exports 50% more than Iowa.
           | 
           | Also, that document only refers to _export value_ and not
           | production. Most agricultural production in the US is not
           | exported.
        
       | CrzyLngPwd wrote:
       | We would increase rainwater storage.
        
         | silon42 wrote:
         | Yeah, eventually rivers would dry up.
        
         | WalterBright wrote:
         | There are lots of well-known ways to slow down rainfall to let
         | it seep into the ground, things like terracing and berms.
         | California does little of that, so when it does rain, it all
         | just washes into the ocean and it's back to drought.
        
           | zbrozek wrote:
           | Good news, my California town makes terracing so difficult to
           | do that it might as well be illegal. So when it rains there's
           | rapid runoff into a creek that makes a beeline for the ocean.
        
           | cryptonector wrote:
           | It's really not that hard. Well, it takes time and labor.
           | Beavers used to be the key to water retention in the
           | ecosystem, but we hunted them to near extinction.
        
             | zdragnar wrote:
             | You can have some of the ones that live by me. They're
             | quite the nuisance, and nobody wants to trap them for pelts
             | anymore.
             | 
             | I'm pretty sure the colony that lives by me has been
             | exporting them (given the number of babies and new dams
             | I've seen) but they're not likely to cross the Rockies on
             | their own.
        
       | thelastgallon wrote:
       | Also, electricity from fossil fuels consumes a lot of water.
       | 
       | U.S. thermoelectric plants are the largest source of U.S. water
       | withdrawals, accounting for more than 40% of total U.S. water
       | withdrawals in 2015:
       | https://www.eia.gov/todayinenergy/detail.php?id=50698
        
         | 4death4 wrote:
         | Mostly east of the Mississippi, which has no water shortage. If
         | you don't use the water in the East, it usually ends up as salt
         | water in the ocean.
         | 
         | https://www.usgs.gov/mission-areas/water-resources/science/t...
        
           | thereisnospork wrote:
           | Additionally in certain circumstances it's less disruptive to
           | use more water. E.g a nuclear power plant on a river: river
           | water in, slightly warmer river water out w/o any or much
           | steam generated. The more water 'used' the lower the
           | temperature of hot water discharged, so kinder to the local
           | ecosystem.
        
         | quickthrowman wrote:
         | Water used for cooling a power plant either evaporates in a
         | cooling tower or gets discharged back into the river.
        
           | intrasight wrote:
           | Same with water for farming of course
        
             | jerzmacow wrote:
             | With a healthy dose of AG chemicals!
        
         | idiotsecant wrote:
         | I am an electrical engineer that mainly works on hydro plants
         | but also have done some work on natural gas plants. The fact
         | that this is so high is shocking to me. I guess the big culprit
         | is coal plant cooling towers. The natural gas plants I've
         | worked in don't even have cooling towers, any cooling water
         | goes right back where it came from.
        
       | alexpotato wrote:
       | My favorite example of "wait, they do what for growing fruit??"
       | is that they use helicopters to dry cherry trees if there is too
       | much rain.
       | 
       | More details here:
       | https://www.theweathernetwork.com/en/news/nature/outdoors/fa...
        
         | kvonhorn wrote:
         | In California, they hover helicopters over avocado groves in
         | the winter to keep the fruit from freezing overnight.
         | 
         | https://www.fairlifts.com/helicopter-services/agricultural/f...
        
       | SoftTalker wrote:
       | Farmers don't pay for water, it becomes part of the overhead that
       | must be covered to make farming an economically worthwhile
       | activity. So fruit would cost more, or it would be less
       | available, or both.
        
         | idiotsecant wrote:
         | That seems like it might be a good thing. If we priced it in
         | producers would need to find more water efficient ways to make
         | the product to be able to be a viable participant in the
         | market. If that means growing fruit in a desert isn't viable,
         | so be it! Don't grow fruit in the desert!
        
           | bshipp wrote:
           | If water was priced appropriately it would incentivize
           | hydroponics that captures and recirculates waste water to
           | minimize usage.
        
         | ggm wrote:
         | In this model of what pay means, nobody making anything pays
         | for anything. I know that's a reductive argument but really it
         | mistakes the relationship of input costs, fixed costs, declared
         | rainfall, and price in the market.
         | 
         | In Australia water has financial value as an asset class and is
         | bought and sold, in a futures model as well as at time of use
         | (irrigation)
         | 
         | I just think you're wrong on so many levels. Only primary
         | mining can be said to not pay for anything in this model and
         | they pay rent and royalties and other costs.
        
       | 082349872349872 wrote:
       | Are there any commonly-used units more nonisotropic than the
       | acre-foot? (its "unit cube" is 1 furlong x 1 chain x 1 foot)
        
         | riversflow wrote:
         | Hmm, water related, there is the "Miner's Inch"
         | 
         | for which the "unit cube"(block?) would be like 1" x 1" x ~2300
         | miles by my (fast, bad) calculations.
         | 
         | https://en.wikipedia.org/wiki/Miner%27s_inch
        
         | cobbal wrote:
         | Hubble's constant is typically measured in kilometers per
         | second per megaparsec, which can be converted to Hertz.
        
       | TrackerFF wrote:
       | For that matter, what if farmers had to pay a livable wage?
       | Berry-picking is especially rife with social dumping.
       | 
       | It is a hot topic here in Scandinavia, because every season
       | farmer will cry "no one wants to work!", and then comes
       | testimonies of indentured servitude at its worth, and sweat-shops
       | at its best.
       | 
       | Many farmers here "import" Asian rice farmers to pick berries
       | these days.
        
         | gjsman-1000 wrote:
         | Sounds great until you realize how razor-thin the margins on
         | farming are; and that all it takes is one bad year.
        
           | xracy wrote:
           | It's wild to me that people see problems like this, and think
           | to themselves "Yeah, it's okay that we overwork people for no
           | money, but there's no other way to turn a profit for this, so
           | this just has to be the way the world works."
           | 
           | This is what governments are for. If the system doesn't pay
           | people a livable wage to do the work to support our existence
           | (food), then clearly we need to change the system to not be
           | based on "maximizing profits".
           | 
           | But instead you justify it by saying the margins are "razor-
           | thin", and farmers _have_ to take advantage of people if
           | _they_ want to survive. And that justifies this terrible
           | behavior. Move who you 're blaming and call them to action,
           | instead of just accepting terrible conditions for workers.
           | 
           | Farmers are responding to incentives, gov'ts have built
           | subsidies for farmwork in the past, because food _has_ to be
           | cheap for people to live.
        
             | gjsman-1000 wrote:
             | I challenge you to walk up to the nearest farmer, look at
             | their (edit for clarity: accounting) books; and not realize
             | that what you are asking, is just as impossible as asking 3
             | engineers to write a competitor to Windows.
             | 
             | I know enough about their lives to know that your armchair
             | quarterbacking is an absurdity.
        
               | jiggawatts wrote:
               | I guess that settles it then: modern slavery is a-okay.
        
               | gjsman-1000 wrote:
               | Reminder that the median income for the US is $31K per
               | year. If they earned only $24K per year, they are doing
               | better than 25% of earners.
               | 
               | Welcome to America. Where SV folk would scream slavery if
               | they lived as a quarter of the nation does.
        
               | xracy wrote:
               | oh, well, I guess since _everyone_ is doing it, that
               | makes it okay, and we can 't imagine a better world.
               | Let's call it a day, accept our lot in life, and move
               | forward.
               | 
               | I _hate_ the sentiment that because things are bad
               | somewhere they _should_ be bad elsewhere. Every time I
               | bring up benefits that I have that others don 't they
               | start by saying "you shouldn't have those" instead of
               | saying "I should have those _too_. " It's like we're
               | playing a weird game of the prisoner's dilemma, but
               | there's not actually any benefit for the person
               | defecting.
        
               | alistairSH wrote:
               | That's why there needs to be government intervention. No
               | single farmer is going to do the right thing because
               | market forces are driving them to thin margins and poor
               | behavior.
        
               | xracy wrote:
               | please reread my comment. You have missed the point of
               | it, if you think I'm asking farmers to fix this.
        
               | belorn wrote:
               | There are multiple problems, some which are real problem
               | with the industry and other that are problem more
               | inherent with that kind of farming.
               | 
               | Farmers who do human smuggling and steal labors passports
               | in order to force people to work for nothing are a
               | problem both about regulation and enforcement (and
               | ethics). It the exact same problem in construction,
               | cleaning, prostitution, and so on. Those industries can
               | exist without human smuggling, and the bad actors only
               | serve to make it worse for everyone.
               | 
               | Berry farms in Scandinavia do however have a problem with
               | distribution. Most farms are located very far away from
               | the consumer, with the distributor taking more than the
               | major portion of the profits. The accounting can quickly
               | look a lot better when a farming do not need to sell to
               | gross distributors for 1/10th of the value of the
               | product. Solving cheaper distribution and storage are
               | possible, but is more similar to the issue of creating a
               | competitor to Windows. Margins for farmers do not need to
               | be that thin, but creating storage and distribution
               | chains are complex when dealing with such perishable
               | goods.
        
               | patcon wrote:
               | Isn't the farmer the wrong person to ask? As in, the
               | margins are razor-thin because the competitors (merged
               | conglomerates operating) are operating vertically-
               | integrated at scale, driving prices so low that only
               | _they_ can skim enough to profit from participatong in
               | the market.
               | 
               | So the farmer has no variables to change because the
               | problem is not in _their_ jurisdiction, but rather the
               | government 's, no? (i.e. breaking up giant agri-
               | businesses, or taxing them and redistributing to
               | subsidize small operations)
               | 
               | But I recognize there's also geopolitics of food, so
               | there are many layers I don't understand :)
        
       | mcguire wrote:
       | One thing to point out: this particular case was the response to
       | a crisis.
       | 
       | " _But in the 1980s, disaster struck. Growers over pumped the
       | coastal groundwater, allowing saltwater from the Pacific Ocean to
       | seep in below their fields, up through the roots of the berry
       | crop._ "
       | 
       | It doesn't seem likely that a similar change would happen
       | elsewhere without a similar crisis.
        
       | labrador wrote:
       | As a life long Californian, when people tell me California is
       | running out of water my response that California is running out
       | of cheap water.
       | 
       | Calfornia farmers pay $30 to $120 for an acre foot (325,851
       | gallons or 1,233 cubic meters) which is ridiculously cheap and is
       | wasted growing things like rice (California grows about 20% of
       | the rice produced in the U.S. each year.)
        
         | jandrewrogers wrote:
         | On the private water markets, it used to be more on the order
         | of $1000 per foot-acre for agricultural purposes in the US high
         | desert. This clears the market so you can still make money in
         | agriculture at these prices, you just can't be wasteful.
        
           | labrador wrote:
           | > $1000 per foot-acre for agricultural purposes in the US
           | high desert
           | 
           | I bet. There aren't many agricultural areas in California
           | that could be considered high desert
        
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       (page generated 2023-12-29 23:01 UTC)