Salmon Economics

Many may assume that salmon recovery is simply another environmental issue. And while environmental justifications for salmon recovery are strong, so are the numerous economic reasons.

To begin, it is an oft-repeated and understandable myth that removing the four Lower Snake River dams will hurt the Northwest economy. At first blush, it makes sense that ending a source of electricity and transportation would hurt the economy. But, not all dams are created equal, and the Lower Snake River dams were created with relatively small benefits.

First, let's address irrigation. Irrigation exists only behind Ice Harbor Dam. Irrigation existed there before the dams went in and will continue to exist if the dams are removed with a simple retrofitting of the pipes.

Second, hydropower is a cheap means of providing electricity to the Northwest and it keeps factories and homes running at a low cost. About half the Northwest's energy comes from hydropower. However, there are over 200 dams in the Columbia River Basin alone, most producing energy. The Lower Snake River dams produce less than 4% of the region's energy and produce it most during the spring when the Northwest doesn't need it. Most of the energy from the four Lower Snake River dams is sold outside the region at a profit. Moreover, a study by the RAND Corporation reports that if those four dams were removed, the energy could be easily made up with conservation and renewables and would cause no rate increase or blackouts for the Northwest. Read more about Alternatives to Hydropower. Additionally, the RAND Corporation reported that removable of the Lower Snake River dams could actually bring 15,000 new long term jobs to Northwest rural communities. Read more about the Lower Snake River dams' removal's impact on labor and jobs.

Third, the Lower Snake River dams allow for barge transportation on between Lewiston, Idaho and the Tri-Cities of Washington. If these dams were removed goods could easily be brought to the Tri-Cities on existing rail lines or with a combination of truck and rail transportation. High end cost estimate for improvements in Eastern WashingtonÍs rail line would cost less than a third of the price of maintaining the dams and technofixing them for salmon for even one year. Read more about transporting goods on the Lower Snake.

Fishing is a great economic benefit in the Northwest. Nearly a third of all Northwesterners call themselves sports fishermen and women. The sportfishing industry is a $3.5 billion business in the Northwest supporting some 36,000 full time jobs. The 2001 sportfishing season brought nearly one third of the economic gains to many rural towns in Idaho. Commercial fishing has long been a stronghold business in the Northwest. The Army Corps of Engineers estimated that removing the four Lower Snake River dams would make commercial fishing a $500 million/year industry. And for thousands of years Northwest tribes' economies and livelihoods depended on salmon. Today many native people continue to make their livelihood fishing. Read more about the economic benefits of fishing and fishing industries and read about the recent study on the potential economic benefit of restored salmon and steelhead fishing in Idaho.

Because the federal government is obligated by law to save the salmon and because the four Lower Snake River dams are in place, taxpayers are forced to foot hefty bills to "technofix" the dams to make them safer for salmon. Unfortunately, many of these technologies and measures are new, untested, ineffective, and very expensive. The federal government has already spent nearly $5 billion on so-called recovery measures that have not yet recovered the fish and it intends to spend another $6 billion over the next ten years. This wasted money is only adding to the federal deficit while simply removing the four Lower Snake River dams would be a one-time cost of $1 billion. Read more about taxpayer issues.

And last but not least, the recreation industry has made its voice heard on this matter as the impacts of wild salmon restoration continue to bring long term prosperity to recreation and outdoor businesses.

More information on salmon economics in our library