Cost-Benefit Analysis of Three Proposed Distributed Water Storage Options for Manitoba

The report evaluates three water storage options for Manitoba to address flooding and eutrophication. Using benefits transfer and expert analysis, it finds that back-flooded dams offer the highest cost-benefit ratio (371%) due to low capital costs and significant ecological benefits, followed by re-graded ditches (194%) and filter fields and ponds (128%).

• Back-flooded dams are the most economically viable option among the three studied, with a benefit-cost ratio of 371%, primarily because of their "relatively low cost and comparable ecological goods and services (EGS) related benefits."
• Re-graded ditches are the second most beneficial option with a benefit-cost ratio of 194%, while filter fields and ponds are the least beneficial at 128%.
• The analysis identifies significant economic impacts from flooding in Manitoba, noting that costs for preparation, fighting, infrastructure repair, and disaster payments have reached $1.2 billion, with the 2011 flood being of "a scope and severity never before experienced in the province."
• Lake Winnipeg is described as "the most eutrophic lake in the world," with phosphorus loading from agricultural runoff being a primary driver of this condition.
• The three proposed interventions provide multiple co-benefits beyond flood mitigation, including the production of cattail biomass for bioenergy, carbon credits, and the creation of new wetland habitats.
• Sensitivity analysis indicates that the merit order of the three options remains unchanged regardless of fluctuations in the value of cattails, carbon credits, phosphorus removal, or land opportunity costs.
• Certain ecological benefits were excluded from the quantitative monetization process because they were too difficult to measure, including recovered soil, aquaculture, watering livestock, reduced sedimentation, and the "enhanced provision of broad EGS."

APA

Dion, J., & McCandless, M. (2013). Cost-Benefit Analysis of Three Proposed Distributed Water Storage Options for Manitoba. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/mb_water_storage_options.pdf

Chicago

Dion, Jason, and Matthew McCandless. Cost-Benefit Analysis of Three Proposed Distributed Water Storage Options for Manitoba. International Institute for Sustainable Development, 2013. https://www.iisd.org/system/files/publications/mb_water_storage_options.pdf.

Wikipedia

{{cite report |last1=Dion |first1=Jason |last2=McCandless |first2=Matthew |title=Cost-Benefit Analysis of Three Proposed Distributed Water Storage Options for Manitoba |publisher=International Institute for Sustainable Development |date=May 2013 |url=https://www.iisd.org/system/files/publications/mb_water_storage_options.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{dion2013costbenefit, author = {Dion, Jason and McCandless, Matthew}, title = {{Cost-Benefit Analysis of Three Proposed Distributed Water Storage Options for Manitoba}}, institution = {International Institute for Sustainable Development}, year = {2013}, month = may, url = {https://www.iisd.org/system/files/publications/mb_water_storage_options.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }