Benefits of increased streamflow: The case of the John Day River Steelhead Fishery

Conflicts between instream water uses such as fish production and traditional out‐of‐stream uses are an important water resource issue. One criterion for evaluating the merits of alternative water allocations is economic efficiency. This study uses an integrated approach to measure the recreational steelhead fishery benefits of incremental streamflow changes in the John Day River in Oregon. The analysis combines a steelhead fishery production model with a contingent valuation assessment of changes in fishing quality to obtain estimates of the marginal value of water in producing fishing quality. The results suggest that increased summer flows to enhance fishing have a marginal value of about $2.40 acre‐foot. When expressed in terms of water actually consumed, the value may be up to 10 times higher. These values are sensitive to the location of flow alterations in the river, potential for downstream uses and number of anglers in the fishery.