Transaction costs in Duero River Basin; a longitudinal study

Abstract

[EN] Given the fact that a global water crisis has already started and it will get worse due to factors such as population growth or climate change, new transformational water reallocation solutions will be needed within the institutions related to water management. Transaction costs measurement will have to be added up to conventional abatement costs in order to pursue an accurate and more complete analysis about the efficiency and public performance of water institutions. The focus of this study is the analysis of the institutional transaction costs involved within the CHD (Confederación Hidrográfica del Duero), the water management institution for the Spanish Duero River Basin. Therefore, a literature review covering the theoretical and empirical framework has been applied to the creation and econometric analysis of our own database for the period of 2004-2021. The results obtained give us insights about the structure and characteristics of the institutional transaction costs involved over this period. Nevertheless, further research needs to be done in order to assess more accurately possible trends and paths which may be followed by the institution in the coming decades.