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Irrigators question recent efforts by Minister Plibersek to consider socio-economic impacts of buybacks
Irrigators question recent efforts by Minister Plibersek to consider socio-economic impacts of buybacks
25 February 2025, Canberra, ACT – Irrigators call out Minister Plibersek’s decision to sign off[
on purchasing another 100 GL of water in the southern Basin with questionable procurement processes and deliberately narrow evidence to
support the decision.
“The advice before the Minister to inform the decision is flawed,” said Zara Lowien, CEO of National Irrigators’ Council.
“The additional 170 GL of water (from a 2024 round and this new one), will cause a significant increase in water allocation price of around
7.2% in the southern Murray Darling, and impact some industries particularly hard, such as rice, with an estimated 6.48% drop in water use.”
“The narrow assessment only looked at buying back 170 GL/y of water and apportioned $84 million annual production losses, ignoring that more
than 2,100 GL/y is now recovered with an estimated annual farm-gate production loss between $602 million - $914 million.”
“Can the Minister really say she has considered socio-economic impacts, if the impact assessment is designed to not capture the full
impacts?” said Ms Lowien.
“Worse still, the evidence highlighted the range of government programs aimed at mitigating the known socio-economic impacts but failed to
mention the minimal progress of these other strategies”.
“Updates show there are no ‘new’ efficiency alternatives contracted, no land and water partnerships, and only NSW has signed up to their
flagship program: Sustaining Basin Communities.”
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170 GL in unnecessary water recovery to win city votes
In a clearly political move to win city votes at the expense of regional Australia, the Commonwealth has today kicked off a second buyback
tender in the southern Murray-Darling Basin in 2024-25. NSW Irrigators’ Council CEO Claire Miller said with an election due any moment,
“today’s announcement is clearly intended to try to win city votes while throwing regional communities, farmers and even the environment
under the bus. “Today we learn the Government is full steam ahead to buy up to another 100 billion litres in 2025, on top of the 70 billion
litres from its first tender opened last year. “The minister claims she considers social and economic impacts before approving buybacks.
Considers maybe, but clearly ignores when ABARES says past and planned water recovery wipes $602 million – $914 million every year from
what the farmgate value of irrigated agriculture would otherwise be.
“The one-off $300 million assistance package will not even touch the sides of what irrigation-dependent communities need when the Government
is stripping hundreds of millions of dollars in income from their economies every year.
“We also know that while more than 3000 GL recovered to date is delivering important, localised environmental benefits, more water will not
deliver the Basin-wide step change needed to reverse declining native fish and static waterbird populations, and improve water quality.
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Auditor General report of buybacks shows a well-paved road, but to where?
19 February 2025, Canberra, ACT – The release of the Auditor General’s report of the Federal Government’s water
buybacks finds the Government implemented a well-paved road of effective process but struggled to find the link between the buyback program
and the intended policy objectives for the Murray Darling Basin Plan.
“Many will glance at the key findings of effective process and give the Government a pat on the back, but the devil is in the detail when
the report goes on to question the link between the buyback program and the intended policy objectives for the environment” said National
Irrigators’ Council CEO, Ms Lowien.
“It found that the buyback program, designed to bridge the gap between current diversions and the Basin Plan’s Sustainable Diversion Limits
(SDLs), was a well-paved road but questions, to where?”, said Ms Lowien.
“Achieving Sustainable Diversion Limits in the Basin was the centrepiece of the Basin Plan, but achieving the broader environmental
objectives requires going beyond just adding water,”
“Government reporting indicates that SDLs are enforced and being achieved– so it’s fair to ask the question, as the Auditor General infers,
why is the Government buying more water and not investing in other solutions?” said Ms Lowien.
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Media
Media snippets (not endorsements):
- Water allocations face potential shake-up with climate review under way [HERE]
- Minister Plibersek concedes that the accreditation of water resource plan is unlawful [HERE]
- These Traditional Owners are demanding that First Nations voices are heard on water [HERE]
- Buybacks inquiry launched [HERE]
- Landholders want to see changes to water basin plan [HERE]
- Farmers fear forced flood easements [HERE]
- MDBA plans for year ahead [HERE]
- Research confirms environmental water supports “nerve system” of Narran Lakes (Dharriwaa) [HERE]
Read More
Water bill increases proposed
Proposals by Water NSW and WAMC would result in water prices to increase by 170% within five years. “Here in the Gwydir valley, we grow
pecans, oranges for fruit juice, as well as cotton, all of which is at risk due to these exorbitant proposed price hikes,” Mr Cush said.
“But this is not just about farmers – households in Moree and other towns will also be hit through council water utilities, as well as other
water licence holders like local golf clubs, rugby and cricket grounds and children’s parks.”
Telemetry uplift program
The Telemetry Uplift Program aims to assist eligible water users in the Murray-Darling Basin with compliance to the metering rules, to
ensure water taken from inland regional water sources is extracted fairly, equitably and according to the rules.
By opting in to the program, eligible water users will be offered free telemetry devices, including a local intelligence device (LID) and
data logger.
The $10.5 million Australian Government funded program will benefit over 2,500 eligible water users.
Register your interest by 31 March 2025 to receive further information and make sure you don’t miss out.
National Water Grid Fund
| The NSW Government is calling for expressions of interest to participate in the Australian Government’s next round of National Water Grid funding applications, likely in June 2025. |
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The National Water Grid initiative makes funding available for priority water infrastructure projects to improve the reliability and
security of water for Australia’s regional and remote towns, agriculture and primary industry sectors. Expressions of interest for the next funding round must be submitted no later than 11:00 pm (AEDT) on Thursday 27 February 2025, to allow sufficient time to prepare proposals and for the Water Group to have further discussions with proponents. |
Water NSW, DCCEEW and NRAR pricing proposal
The pricing proposals put to IPART for review by Water NSW and Water Administration Ministerial Corporation (WAMC) in November 2024 are we
believe excessive. The GVIA have made submissions on both proposals and have had a one on one meeting with the IPART WAMC and WaterNSW
regional and rural water price review teams to discuss our concerns. The team at NSWIC have also prepared a submission and held a meeting
with IPART.
Submissions to the IPART Issues paper are available here
NSWIC Monthly Newsletter
Please find included a link to the January newsletter from the NSWIC.
- Federal election
- Basin Plan is working
- Proposed wetlands in inland WSPs
- National Water Agreement
- Review of rural water pricing
CA Meeting with Qld Govt on NAW
Meeting with Qld Water Minister Ann Leahy
Cotton Australia, National Irrigators' Council and Border Rivers Food and Fibre, met with the Hon Ann Leahy, QLD Minister for Local Government and Water, to discuss the proposed National Water Agreement (NWA) and provide insights into matters of concern.
Cotton Australia General Manager Michael Murray acknowledged that the current public draft of the agreement was much improved on previous versions released throughout last year, but there were still matters of significant concern and an overriding question as to what benefit signing the agreement would bring to a state like Queensland.
“Given the states are being asked to sign this agreement, but no money has been put on the table, it is hard to see why a state would voluntarily limit some of its decision-making capacity and commit significant resources to developing implementation plans, even if the proposed NWA was a good document that could be supported by stakeholders,” Mr Murray said.
Key areas of concern include:
- The inclusion of the statement giving Indigenous Australians a concept of “Free, Prior and Informed Consent,” but no clarity on what this actually means within the context of water management, despite the glossary section assuring that it does not mean a right of veto.
- The retention of the Risk Assignment framework (currently in the National Water Initiative) that allows, under some circumstances, the recovery of water from entitlement holders without compensation, where industry holds that if water recovery is required, it should be through market-based mechanisms.
- A lack of recognition of the importance of irrigated agriculture in the draft.
- Inclusion of a clause encouraging jurisdictions to move towards “Upper Bound” pricing, fortunately something Queensland rejects.
Cotton Australia will continue to work with the National Irrigators' Council, National Farmers Federation, Queensland Farmers Federation, and NSW Irrigators' Council to provide feedback to the federal and state governments on how this draft agreement can be improved. Read More