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There are many methods of decomposition in traditional structural decomposition analysis (SDA) due to non-uniqueness. The random selection of SDA often causes differences in results. Based on this, we introduced a new method, called path-based method (PBM), to precisely analyze the impact of elements on the total variations. In this paper, taking Gansu province as research area, the changes in local water resource utilization were investigated from 2002 to 2007. PBM was used to analyze the impacts of local water utilization with water utilization intensity, production technology and final demand. Results show that declining water utilization per unit of gross output leads to lower local water resource utilization in most sectors; the effect of production technology suggests that the change in production technology causes a decrease trend in local water resource utilization; increasing final demand always yields increasing water resource utilization. Through the study of three factors affecting water resource utilization, cultivation accounts for the largest portion in the contribution of the changes in water resource utilization. It indicates that local water resource utilization is mainly decided by cultivation in Gansu province. [ABSTRACT FROM AUTHOR]