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<br />~0095? <br /> <br />substantial discount -- the seasonal rate in 1990-91 is <br />$110jAF for untreated water and $130jAF for treated <br />water. <br /> <br />c. Part of this water is provided in <br />exchange for assurances that the receiving agency will <br />reduce demand on Metropolitan during the peak summer <br />demand months; the remainder is placed into long-term <br />storage, primarily in groundwater basins, to meet future <br />demands during droughts. <br />6. Drou~ht Pricin~ (1990). During the <br />current drought, as well as in 1976-77, Metropolitan has <br />relied in part on drought pricing to manage demandS and <br />reduce the potential impacts of water shortages. (See <br />Section V.B.2) <br /> <br />VII. LONG TERM PROGRAMS TO RESTORE ADEQUATE RELIABLE <br />SUPPLIES: THE ROLE OF WATER TRANSFERS <br />'A. Increasin~ Role of Water Transfers. <br />During the past decade, water transfers have <br />gradually occupied a more prominent role in water <br />planning. For more than a half century, California <br />water agencies have used transfers to manage water, <br />primarily within established water basins or service <br />areas and in response to local shortages. However, <br />water transfer activities at Metropolitan are evolving <br />beyond these past practices in at least two important <br />ways. . <br /> <br />1. Interbasin Transfers. While the vast <br /> <br />-22- <br />