A new report released by the Victorian Government also raises questions over whether a group or district of irrigators could surrender their entitlements to avoid the ‘Swiss cheese’ effect on infrastructure, similar to the closure of the Rochester Irrigation district.
The 50-page report, which has no declared author, acknowledges the Federal Government will enter the market to find the extra 450 Gl of water for the environment under the government’s changed Murray-Darling Basin Plan.
The new agreement was settled by the Federal Government without the Victorian Government’s support last year, a new approach under Murray-Darling arrangements.
The VFF says communities in northern Victoria are being forced to have difficult conversations in the face of the Albanese Government’s plan.
VFF Water Council chair Andrew Leahy said the Victorian Government’s paper, called Planning Our Basin Future Together, was an important step to help communities plan for a future of producing less food if water buybacks occur.
“The VFF continues to oppose the Albanese Government’s plan to take more water from our farming communities,” Mr Leahy said.
“Until the situation in Canberra changes, we must be prepared for all possible outcomes. The Victorian Government is showing leadership in starting the conversation across our communities.
“In a situation where we can’t stop the Commonwealth entering the market, we must look for options with the least impact on communities and agriculture.
“The release of this document is the first step, now comes the hard part of working with local communities to find local solutions that protect our farmers and communities.”
Mr Leahy said the Victorian Government was helping deliver some answers to northern Victorian communities in the face of a lack of details coming from Canberra.
“The unknown is how and when the Commonwealth will recover the 450 Gl and how much will come from Victoria,” he said.
“The VFF has repeatedly asked the Commonwealth for this information. Tanya Plibersek and her department have refused to respond or simply have no idea.
“They are not even prepared to talk in any practical way about the environmental improvements they expect to deliver.
“It seems to be a case of let’s just see how much water we can find, and we’ll worry about the consequences later. This Commonwealth approach is totally unacceptable.”
Mr Leahy said the paper points out the impact of water purchases under low, medium and high scenarios. A low scenario could see somewhere between 8 and 55 Gl purchased across the nine catchments, 55 to 120 Gl under a medium scenario and more than 120 Gl in a high scenario.
“Significant Commonwealth purchases of water from irrigators will force channels to be closed down and large numbers of farms to be dried-off,” he said.
“Irrigators can expect a 15 per cent increase in water charges if 100 Gl is purchased and delivery shares are terminated.”
The paper contains some suggestions on how the Commonwealth could recover the environmental water while minimising impacts on communities.
For example, conducting a water purchase tender to gauge irrigator interest.
“We need to work with irrigation district customers to identify where opportunities may exist to strategically align water purchase with reconfiguration or rationalisation of irrigation infrastructure to maintain the efficiency and affordability of irrigation systems,” the report said.
The report sets out the following principles for water recovery in Victoria:
- Demonstrated environmental benefits for the state.
- Minimised impact on water availability for towns, industry and agriculture.
- Proactive structural change to support a sustainable future for irrigators and communities.
- Supports progress towards Traditional Owner self-determination in water access and management.
The report refers to the closure of the Campaspe Irrigation District in 2010, following five years of low and zero water allocations. Some irrigators moved to alternative supply from the Goulburn system.
To give feedback on the report, go to: https://engage.vic.gov.au/planning-our-basin-future-together
You can also contact the department at: rural.water@delwp.vic.gov.au