Spain is facing an increasingly difficult situation in terms of water stress. This is an issue that is due mostly to poor management practices in all sectors. Large amounts of water have been used for agricultural purposes at very low prices for too long; there is an uncontrolled use of most aquifers in rural areas which result from ineffective control by the public administration; per capita consumption continues increasing as well as water used for industrial and energy generation, the construction and tourism sectors and for recreation activities. In fact, they have all exerted additional pressure on available water resources. In order to face the above challenges, water policy has made a gradual shift towards more rational and sustainable management of water resources. This has also been influenced by the European Water Framework Directive about which, as the book discusses, there are both myths and misunderstandings. This book analyses the very complex position of all sectors in the country, the alternatives available and the challenges ahead. In so doing, it makes an important contribution to the literature on water resources management. This book was published as a special issue of the International Journal of Water Resources Development.

"The world water problems are a due to bad governance, not to physical water scarcity." This book is inspired by this statement and explores whether it holds in a specific country, Spain, where climatic conditions – Spain is one of the most arid countries of the European Union - would fully justify saying that water problems are due to physical water scarcity. The metrification of water uses and their monetary value is a first important step in understanding how reallocation of water among users could help mitigating many of current water problems in Spain. However, water reallocation among users or from users to nature is far from simple. Initiatives portrayed as the solution to the water governance ‘jigsaw’ – e.g. water trade, improved water use efficiency, users collective action, public participation – are not free of difficulties and shortcomings. The book explores the growing need for maintaining Spain’s natural capital and the human component of water governance – people’s needs, wishes, (vested) interests, aspirations – that often determine the result of decisions and, sometimes, lead water management to a deadlock. This book takes a step forward in showing a more complex - and also closer to reality - picture of water governance in Spain.

This research provides a broad picture of water sector governance in Spain, a country dealing with serious water stress and quality problems. Moreover, a decentralized structure of regional and local governments supports the design and development of water policies. In this context, governance emerges as a key issue to improve water resources allocation. Several key policies and institutional features have been described, with a special attention to economic instruments and the role of private-public partnerships (PPPs). Definitively, greater efforts in the policy-making and coordination processes are needed in the Spanish water sector.

Increasing irrigation efficiency has been high on the political agenda in Spain for many years. However, the overarching aim to reduce agricultural water consumption has not been met so far. To explore this phenomenon, Nora Schütze investigates processes of coordination between the water and agricultural sector in three Spanish river basins in the context of the EU Water Framework Directive implementation. From the perspective of polycentric governance, she identifies multiple mechanisms which illustrate how and why actors interact in certain ways, and thus shows why environmental aims of the Water Framework Directive remain unachieved.

ÔEnsuring that everybody has access to drinking water, sanitation and enough nutritious food, which depends on water to grow it, are prerequisites for a healthy life. Water management is not just about the technical aspects of water supply and sanitation. It is equally about our water governance systems, including policies, regulation and societal perception of water rights. This book presents many helpful examples of how different societies are dealing with these issues and of the performance of public and private sector players in this important arena.Õ Ð Colin Chartres, International Water Management Institute (IWMI), Colombo, Sri Lanka ÔI congratulate the Institute of Water Policy, the two editors and the contributors for a very thoughtful book on urban water governance. Our objective is to deliver sustainable water and sanitation services to our people. This book contains useful lessons on how to achieve that objective.Õ Ð Tommy Koh, Chairman, Governing Council, Asia-Pacific Water Forum This insightful book explores urban water governance challenges in different parts of the world and highlights the advantages and disadvantages of publicly run, privatized, and publicÐprivate partnership managed water facilities. The contributors expertly discuss various types of public and private water governance architectures as well as identifying the trends, challenges, opportunities and the shifts in perceptions with regard to the provision of water supply services. Many chapters are dedicated to analyzing the urban water supply scenarios in selected countries, with specific focus on legal, policy and institutional frameworks. The study reveals that while private sector participation has been largely promoted by multilateral institutions as part of institutional and financial reforms, ultimately governments bear the major responsibility for provision of water supply services either as Ôservice providerÕ or as Ôregulator and policy-makerÕ. Containing a detailed overview and analysis of the global urban water supply sector, this timely compendium will strongly appeal to academics, researchers and university students following water-related courses. Water sector professionals, water regulators and public officers as well as managers and researchers employed by private sector water operators will also find plenty of invaluable information in this important book.

1.1 General Framework In most arid and semi-arid countries, water resource management is an issue that is both important and controversial. Most water resources experts now acknowledge that water conflicts are not caused by physical scarcity but are mainly due to poor water management (Rosegrant et al. 2002; Benoit and Comeau 2005; Comprehensive Assessment of Water Management in Agriculture 2007; Garrido and Dinar 2010, among others). The scientific and technological advances of the past 50 years have led to new ways to solve many water-related conflicts, often with tools that seemed unthinkable a few decades ago (Llamas 2005; Lopez-Gunn and Llamas 2008). This study deals with the estimation and analysis of Spain’s water footprint, both from a hydrological and economic perspective. Its ultimate objective is to report on the allocative efficiency of water and economic resources. This analysis can provide a transparent and multidisciplinary framework for informing and optimising water policy decisions, contributing at the same time to the implementation of the EU Water Framework Directive (WFD) (2000/60/EC). It also responds to the current mandate of the Spanish Ministry of Environment and Rural and Marine Affairs, which recently issued instructions for drafting river basin management plans in compliance with the EU Water Framework Directive, with a deadline of end of year 2009 and then every 6 years (BOE 2008).