Analysis of the Potential for Treated Wastewater Reuse from the MCC Jordan Compact Investment and Implications for the Compact’s Economic Benefits

Abstract

The Hashemite Kingdom of Jordan is one of the most water scarce countries in the world. To address water shortage the Government of Jordan seeks to increase the use on non-conventional water sources such as reuse of treated wastewater for agricultural irrigation. Millennium Challenge Corporation Compact investment of US$ 275 million, made in water and wastewater sectors in Zarqa Governorate, is projected to improve water supply and collect additional wastewater from domestic uses. This study applied two-step approach to evaluate the economic benefits associated with the reuse of the additionally collected wastewater: 1) the development of water balance model for Jordan Valley, and 2) the economic analysis of impacts to the agricultural sector in Jordan Valley and municipal water users in Amman and Zarqa. The analysis results show that net benefits associated with the investment are significant and potentially contributing to water conservation in Jordan