The article explains how Australia’s “cap-and-trade” water market operates, particularly in the Murray–Darling Basin. Water entitlements and seasonal allocations can be traded separately from land ownership, attracting farmers, investors, environmental agencies, and brokers. The system aims to manage scarce water resources efficiently while also creating an investment market around water rights.
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Australia trades water like a financial asset
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The article explains how Australia’s “cap-and-trade” water market operates, particularly in the Murray–Darling Basin. Water entitlements and seasonal allocations can be traded separately from land ownership, attractin...
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