Water Resource Management and Transition to a Green Economy: Institutional and Economic Mechanisms in Uzbekistan
DOI:
https://doi.org/10.51699/cajitmf.v7i2.1222Keywords:
Water resource management, green economy, Uzbekistan, institutional mechanisms, water pricing, Aral Sea, WEF nexus, Central Asia, irrigation efficiency, climate financeAbstract
Uzbekistan faces one of the most acute water resource crises in Central Asia, characterised by shrinking freshwater availability, the ecological catastrophe of the Aral Sea, and intensifying pressure from irrigated agriculture that consumes approximately 92% of total water withdrawals. Simultaneously, the country's commitment to the Paris Agreement and its National Green Economy Strategy has elevated water governance to a strategic policy priority. This article analyses the institutional and economic mechanisms governing water resource management in Uzbekistan, with a particular focus on their alignment with green economy principles. Applying a mixed-methods approach — combining secondary data analysis, institutional mapping, and a multi-criteria assessment framework — the study evaluates six core mechanisms: the basin-level Water User Associations (WUAs), economic water pricing instruments, green investment financing, transboundary water cooperation within the ICWC framework, digital water monitoring (IoT/remote sensing), and integrated water–energy–food (WEF) nexus governance. Quantitative findings reveal that irrigation efficiency stands at only 53–58%, implying a potential water-saving of 11–14 km³/year if best practices are adopted. Green bonds for water infrastructure remain nascent (USD 47 million issued by 2023), while the gap between required and actual investment in water infrastructure is estimated at USD 1.8–2.3 billion annually. The article proposes a five-pillar institutional reform agenda and presents a quantified scenario analysis for 2030, projecting that a comprehensive green transition could raise irrigation efficiency to 72–75%, reduce water-related GDP losses by 3.2 percentage points, and mobilise USD 4.6 billion in climate finance. These results provide evidence-based guidance for policymakers, development banks, and academic researchers engaged in water–climate–economy nexus studies.
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