International Journal of Water Resources and Environmental Engineering Vol. 3(12), pp. 266-282, 21 November, 2011 Available online at http://www.academicjournals.org/ijwree DOI: 10.5897/IJWREE10.030 ISSN 1991-637X ©2011 Academic Journals Full Length Research Paper Water management with wastewater treatment and reuse, desalination, and conveyance to counteract future water shortages in the Gaza Strip Ahmed E. Al-Juaidi 1 *, David E. Rosenberg 1 and Jagath J. Kaluarachchi 2 1 Department of Civil and Environmental Engineering and Utah Water Research Laboratory, 4110 Old Main Hill, Utah State University, Logan, Utah 84322-4110. 2 College of Engineering, Utah State University, 4100 Old Main Hill, Logan, Utah 84321-4100. Accepted 14 October, 2011 Groundwater is the only freshwater source available for the Gaza Strip of Palestine, but Gaza groundwater is heavily polluted from agricultural activities and seawater intrusion. Water resource planners therefore have to find innovative alternate sources of water to minimize existing and future deficits. Possible management options include the use of treated wastewater (TWW), desalination, and conveyance of water between locations based on the demand. However, these options require significant funding and therefore, economic evaluation. Sophisticated economic and mathematical tools are now available that allow such analyses. A water allocation system model was used to economically evaluate various options for the projected water demands in 2010, 2020, and 2030. Results show that the use of TWW in agriculture can significantly increase net benefits and reduce water prices. However, any reduction in groundwater pumping can impact net benefits and increase water prices if additional supply is not found. Similar observations were made with the shadow value of water. However, water deficits cannot be accommodated with the existing supply including the use of TWW in agriculture. A combination of TWW use and desalination can increase the supply in an economically competitive manner while reducing groundwater pumping to minimize seawater intrusion. The increased net benefits and profits derived from such supply enhancements surpass the costs to rebuild and maintain the required infrastructure for the Gaza Strip. Key words: Water allocation, wastewater reuse, desalination, conveyance, sustainable water management, economic benefits, the Gaza Strip. INTRODUCTION The primary competing uses for water are typically agriculture followed by domestic, industry, recreational, and more recently, environmental preservation. The proper distribution of water among these sectors requires careful planning and management. Sustainability of water resource and an equitable distribution of available water drive much of this planning (Huber Lee, 1999; McCarl et al., 1999; Orr and Colby, 2004; Loehman and Becker, 2006). Finding sustainable solutions for water *Corresponding author: E-mail: ahmed.al- juaidi@aggiemail.usu.edu, ahmed.aljuaidi@gmail.com. stressed regions is an important focus of water resources planners and policy makers. To sustainably manage water, water allocations must be socially fair for both current and future populations (Huber Lee, 1999; Gillig et al., 2001; Loehman and Becker, 2006). The main goal of regional water managers is to develop spatial and temporal policies or suggest the efficient use of scarce water supplies for meeting ever increasing water demands. Integrating engineering, economic, social, and political considerations is crucial for this process (Perry, 1999; Rosenberg, 2008). Water is not scarce in terms of quantity for those countries bordering a coast such as the Gaza Strip, Palestine. Coastal regions have the option of producing