One solution to this is so incredibly simple, that I'm surprised no on has mentioned it yet.
Supply & Demand!
Simply let the open market set the price for water instead of the state & local gov. Those that want to pay a high price per gallon to live in CA will stay, and those that don't want to pay that price will move to another part of the country with a more stable/repeatable rainfall. The price will rise until it balances the new demand.
Now, if a company wants to build another reservoir or desalinization plant or whatever...then that's their business choice and they will have to gauge profitability vs expenses just like every other business. The high price of water will entice the construction of profitable water supply companies and that will bring on more supply. The increased supply would then lower the price for water & the cycle continues.
Such a simple solution...
Supply & Demand!
Simply let the open market set the price for water instead of the state & local gov. Those that want to pay a high price per gallon to live in CA will stay, and those that don't want to pay that price will move to another part of the country with a more stable/repeatable rainfall. The price will rise until it balances the new demand.
Now, if a company wants to build another reservoir or desalinization plant or whatever...then that's their business choice and they will have to gauge profitability vs expenses just like every other business. The high price of water will entice the construction of profitable water supply companies and that will bring on more supply. The increased supply would then lower the price for water & the cycle continues.
Such a simple solution...
Dislike ads? Remove them and support the forum:
Subscribe to Fastlane Insiders.