Point 1: It's not just acid, it's water mixed with acid, right? Would a fire elemental really be safe in there?
Point 2: Trying to boil down around 30,000+ cubic feet of water by having a fire elemental stand on a shield will take a long, long, long, long, long, long, long, long, long, long time. I doubt he can really raise the average temperature of the water at the bottom of the pool much either.
Point 3: Is the dragon just going to sit there while you hook him with a slow-trolling grappling hook, instead of...say...moving out of the way?
I agree with Thanee that you should wait for him to come out. Divert the waterfall from above, if possible, and he can't get out via the river outlet either. The only way for him to leave the pool is to come out via land or air and in both cases is vulnerable to attack.