A Different Perspective on the Destruction of Lake Urmia; Rooted in 'Misinvestment' and 'Government Intervention'

A veteran journalist offers a different perspective on the destruction of Lake Urmia and other natural resources in Iran, arguing that 'misinvestment due to price distortion has led to the draining of the country's water resources and the destruction of nature in Iran, including Lake Urmia.' Ali Mirzakhani wrote in a note for 'Farda Media of Economics': 'The most important short-term consequence of inflation is the change in relative prices, and in the long term, it leads to misinvestment or 'over-investment,' and government intervention in pricing exacerbates this situation. It can be proven that the destruction of water, soil, and natural resources in the country is caused by this issue.' He further added: 'Low real prices increase demand; if a cheap commodity can be exported or even smuggled, it reaches foreign applicants. However, if it lacks such capability, like water, according to economic laws, the cheap commodity transforms into another commodity that has a free price or can be exported or smuggled. This is the story of the expansion of water-intensive agriculture or industry even in provinces facing water shortages, aimed at converting water into a commodity with a non-regulated price or export capability.' This journalist emphasized: 'This calculation was apparently made a few years ago by the Pistachio Growers Association, indicating that the total value of pistachios exported in recent decades has been less than the value of the water used for their production, meaning both underground water resources have been depleted and extensive misinvestment has occurred that could have been done correctly. This disaster can be plotted on a graph, showing the massive volume of water wasted from underground resources due to misinvestment, with the destruction of Urmia being just one catastrophe.' In his view, 'of course, pistachio growers or other farmers are not to blame; the economic policymaker is at fault for distorting prices, which has turned unjustified investment into justified investment while removing justified investment from the table.' Ali Mirzakhani stressed: 'Misinvestment resulting from price distortion is not limited to draining the country's water resources. The observation that nature, mountains, forests, and villages are being converted into buildings, or in a situation where demand for essential goods has sharply decreased (from milk to meat), vast resources are being allocated to car production, and the thirst for car demand remains unquenched, is rooted in this issue.' The head of the Environmental Protection Organization of the Islamic Republic acknowledged the worsening situation of Lake Urmia on Thursday following the publication of numerous images and documents about its critical condition. The website 'Khabar Online' reported that Ali Salajegheh, during a trip to Urmia and in a meeting to 'review the environmental status of Lake Urmia National Park,' admitted that this lake 'is not in good condition.' On the other hand, this environmental official of Ebrahim Raisi's government expressed hope that the 'autumn' season and 'good rainfall' could change the 'situation of Lake Urmia.' The publication of images of Lake Urmia in mid-August astonished social media users and prompted Salman Zaker, the representative of this city in the Islamic Consultative Assembly, to state that with the drying up of this lake, the lives of about 'five million people' are at risk and exposed to 'respiratory diseases.' Ali Alizadeh, a member of the Research and Investigation Committee of the Islamic Consultative Assembly from the 'Lake Urmia Revival Headquarters,' also stated on August 1 to 'Shargh Network' that there is no water capacity in the region to revive Lake Urmia, and with 'fantasy programs,' there is no hope for the lake's revival.