The drought is propelling water prices to record levels, says the Vallejo (Calif) Times-Herald in recounting how prices have quadrupled or more. Water is, it says, “a commodity, like oil or gold, and its prices swing in response to supply and demand, geography and decisions out of Sacramento.” So-called traded water is a small part of California consumption but the amount has grown greatly. Orchard manager Ray Flanders bid at least $2,000 per acre-foot for water that would cost $60 in a normal year. The Times-Herald quotes him as saying, “If I didn’t buy that water, we’d have 800 acres of dead trees.”
Water conservation will not be enough to resolve California’s problems, says Paul Wenger, president of the California Farm Bureau in a letter to the New York Times. “California must focus on positive longer-term policies that include investing in water storage, which will provide added flexibility during droughts and help stabilize our economy,” wrote Wenger.