
California Risks Billions in Economic Losses Without Water Supply Action
Study Highlights Need for Long-Term Water Security for California
Faculty from the Department of Civil and Environmental Engineering at the University of California, Davis, have contributed to a new economic analysis that shows the high cost of inaction on California's perpetual water supply challenges. It estimates that the state could lose enough water each year to supply up to 9 million households — with economic losses totaling between $3.4 and $14.5 billion per year, depending on the severity of the scenario.
The study, "Inaction's Economic Cost for California's Water Supply Challenges," builds on prior research showing that California's total water supply is on track to shrink by 12–25% by 2050, a loss of up to 9 million acre-feet per year, equivalent to one or two Lake Shastas.
The study is authored by Distinguished Professor Emeritus of Civil and Environmental Engineering Jay Lund and Assistant Professor of Civil and Environmental Engineering Alvar Escriva-Bou of UC Davis, and Professor of Civil and Environmental Engineering Josué Medellín-Azuara of UC Merced.
"We've done the math — and the costs of inaction are high economically and environmentally," said Lund, who is also the founding director of the Center for Watershed Sciences. "California urgently needs a long-term, statewide strategy to prepare for growing water challenges ahead."