Optimal Allocation of Groundwater Resources in the Agricultural Sector Under Restrictive Policies on Groundwater Extraction

The escalating utilization of groundwater resources within watersheds is a growing concern attributed to factors such as population growth, agricultural expansion, and diminishing surface water availability due to recurring droughts and climate variations. This surge in groundwater usage has precipitated conflicts among various water user groups, notably between agricultural and environmental stakeholders. The primary goal of this chapter is to devise and introduce an optimization framework for the allocation of groundwater resources, with the aim of mitigating conflicts between the objectives of the agricultural and environmental sectors. This framework considers all technical-hydrological constraints and, crucially, analyzes the cooperative behavior of farmers as a pivotal aspect in addressing these conflicts. In the initial segment of the literature review, the focus was on investigating the strategies and policies employed for the effective management of groundwater resources. The findings from this review highlighted a predominant reliance on demand management policies compared to supply management policies in the management of groundwater resources across various basins. In the second part of the study, an integrated modeling tool was designed and developed for the optimal allocation of groundwater resources. The optimization model was meticulously formulated, providing a comprehensive framework that can serve as a valuable tool for decision-making. This model stands out for its ability to address the conflicting objectives of maximizing economic benefits for farmers while also promoting the conservation of environmental goods and services. By taking into account technical constraints and hydrological interconnections at the basin level, the model is well-equipped to facilitate conflict resolution and support the optimal allocation of groundwater resources. By incorporating considerations of technical feasibility, hydrological dynamics, and the dual objectives of economic benefit and environmental protection, the optimization model emerges as a robust tool for guiding resource allocation strategies within watershed contexts. The third part of the study evaluated the policy of restricting the extraction of groundwater resources in order to implement the model of optimal allocation of these resources at the basin level. The results of this part showed that the successful implementation of the policy of restricting the extraction of groundwater resources and the implementation of the optimal pattern of allocation of these resources requires the analysis of farmers’ behavior at the basin level. Therefore, the simulation of farmers’ behavior in cooperation with such a policy and model was described by the agent-based method.