The already complex interrelationships between water, food, energy and the environment are facing both challenges and opportunities. Rising fuel costs and increasing concerns over the effects of climate change are reinvigorating policymakers’ interest in renewable energy sources such as hydropower and bio-energy—both from biofuels as well as biomass. Development of any of these sources has the potential to generate positive economic and environmental benefits, yet, at the same time, they can cause negative food and equity impacts. This obviously entails major tradeoffs between the food, energy and environmental goals of water and energy development, allocation and management. Using both a brief global overview as well as a closer review of four case studies from India, Ethiopia, Jordon and the USA, this paper tries to (i) a present the nature of the tradeoffs under different hydrological, energy, agricultural and environmental contexts and (ii) provide some anecdotal evidence and illustrative cases for the available policy options for minimizing conflicts but maximizing synergies between water, energy, food and environment.

Major changes are occurring with far reaching implications for the existing equilibria or disequilibria in the water-energy-food-environment interface. The increased demand of energy worldwide will reflect directly and indirectly on water-dependent systems. Direct implications will come from higher energy prices, which make extraction and conveyance of water more costly. Indirect implications will be in the form of demand for alternative energy sources. It triggers demand for hydropower and remains a major driver—along with some environmental policies—for biofuel expansion. The key question is how these effects may alter water allocation and influence food security, rural poverty and environmental sustainability. This paper sets the background and context of this special issue by highlighting some of the major water-related policy issues related to the subject and provides an overview and synthesis of the papers in this special issue. Besides offering insight into how these papers address these questions in the practical context of few selected countries and basins, this paper also indicates some key areas for future research on the subject.

Peter G. McCornick, Seleshi B. Awulachew, Michael Abebe, 'Water?food?energy?environment synergies and tradeoffs: major issues and case studies', Water Policy, vol. 10(S1), pp.23-36, IWA Publishing, 2008