Buybacks back on the table

DAMAGING PLAN... Community leaders and politicians in the region have criticised the Federal Government's indications it will continue to support water buybacks. Photo: The Adviser

By Deanne Jeffers

MURRAY-Darling Basin water ministers met on Friday `to discuss the next steps to deliver the Basin Plan. That same day, Federal Member for Nicholls called on southern basin states to remain firm of their position on water buybacks.

Mr Birrell said Victoria’s modernised irrigation system and efficiency projects had already delivered 826 gigalitres for the environment, meeting the state’s Bridging the Gap target.

His comments came after the Federal Government began voluntary water purchases in Queensland and NSW to recover the remaining 49GL to achieve the final Bridging the Gap targets.

“We know from experience that buybacks, even from willing sellers, reduces the consumptive pool and has a negative impact on the viability of farms,” he said.

His position was resounded by Goulburn-Murray Irrigation District (GMID) Water Leadership group co-chairs, David McKenzie and Suzanna Sheed, who also came out ahead of Friday against buybacks.

DAMAGING PLAN… Community leaders and politicians in the region have criticised the Federal Government’s indications it will continue to support water buybacks. Photo: The Adviser

“This is the worst-case scenario for northern Victorian communities,” said Ms Sheed. “Every analysis of buybacks has demonstrated that they cause a catastrophic hollowing out of regional economies, undermining their resilience and causing huge third-party impacts.”

“Some of the buybacks are targeted on the NSW Murray and the Darling system. Less water in these systems will increase prices for Victorian water, because our markets are physically linked. Victorian communities will be third-party damage in this program supposedly aimed at NSW and Queensland,” said Mr McKenzie.

The $13-billion Murray-Darling Basin Plan, legislated in 2012, sets out how water in the system is to be shared between farmers, communities and the environment. A misprint in last week’s edition said $13M, but it meant to say $13B.

A communique released after Friday’s meeting said the ministers had “discussed a range of options to progress delivery.”

“They noted that the Commonwealth reiterated its determination to deliver the 450GL per year of additional environmental water,” it said.

“Ministers noted it is the Commonwealth’s position that delivering the Basin Plan will include the purchase of water so that all targets can be delivered, consistent with an approach of all options on the table.”