Increasing the Economic Efficiency of Irrigation Restoration Investment Projects in the Face of Climate Change

Abstract

The chapter presents a scientific and methodological approach to justify investment projects for restoring irrigation systems in southern Ukraine that were not damaged by hostilities. It focuses on irrigation systems in the Odessa region covering up to 10000 hectares with water supply from local sources. The economic efficiency of investment projects for system restoration is analyzed under different agricultural scenarios. Proposals for modernizing a small irrigation system in Odessa are developed, considering legislative reforms for water user organizations. The chapter evaluates the technical condition of infrastructure, land use, legislative reforms, climate change, and water resources availability. Legal aspects of irrigation restoration are examined, and modernization plans are proposed with results mapping. Profitability indicators are calculated for various investment return scenarios, comparing them with the basic business scenario. Sensitivity analysis is conducted to assess project resilience to changes in key parameters.