OUR WATER
National water reform
Water is a scarce resource in Australia, the driest inhabited continent on earth with only one per cent of the world’s water. Each year, on average, Australians use more than one million litres per person. The efficient use of water resources is a high priority for the Australian Government.
Australia’s environment and economy rely on the health of our inland waterways. They provide habitat for biodiversity, ensure survival of terrestrial species and irrigate agriculture. Human water usage, land clearing, soil erosion, exotic species and pollutants have damaged inland waterways.
The 1994 Council of Australian Governments’ (COAG) Water Reform Framework was a fundamental step towards ensuring the sustainable management of our water resources. The Framework includes provisions for water entitlements and trading, institutional reform, public consultation and education, water pricing and research. It requires governments to clarify water property rights and provide water for the environment. Future water resource developments may proceed only where they are economically viable and environmentally sustainable.
In 1995, the Water Reform Framework was tied to the National Competition Policy Agreement. Under this Agreement, states and territories are required to meet COAG water reforms to receive their share of competition payments. A major focus of the National Competition Council’s 2004 assessment will be environmental water allocations.
In August 2003 COAG endorsed the Australian Government’s proposal to develop a National Water Initiative to progress water reforms beyond the 1994 Framework. COAG will consider an intergovernmental agreement on the National Water Initiative at its meeting in June 2004.
Key features of the National Water Initiative will include:
- a nationally compatible system of water access entitlements;
- efficient water markets and removal of trade barriers;
- open processes to returning over-allocated and over-used surface and groundwater systems to environmentally sustainable levels of extraction;
- arrangements to recover water for the environment,
- best practice water pricing, and a robust, transparent regulatory water accounting framework; and,
- increased water use efficiency in the urban sector.
Resolution of community concerns over water access rights, water trading and environmental water issues is critical if Australia is to maximise the benefits from water reform.
The Australian Government also progresses the reform agenda through the Natural Heritage Trust, the National Action Plan for Salinity and Water Quality and the National Water Quality Management Strategy.
Restoring our rivers
The Murray-Darling Basin accounts for more than 40 per cent of Australia’s gross value of agricultural production but has less than six per cent of the country’s water. River and groundwater systems in the Basin have deteriorated and are crucial issues for Basin governments.
This budget reaffirms the landmark $200 million for a Basin-wide strategic approach to water over-allocation in the Murray-Darling Basin agreed at COAG in August 2003, announced in the 2003-04 Additional Estimates. This $200 million contribution is proof of the Howard Government's commitment to partnerships with the State and Territory Governments to improve the health of one of our biggest natural icons, the Murray River system. It is subject to satisfactory agreement between the partners on the introduction of the National Water Initiative.
The First Step focuses on six key ecological assets - Barmah-Millewa forest; Gunbower-Pericoota-Koondrook forests; Hattah Lakes; Chowilla Floodplain (including Lindsay-Wallpolla); the Murray Mouth; Coorong and Lower Lakes and the Murray River channel.
By better managing water to sites significant benefits can be achieved. Engineering works, river flow management, on-farm water efficiency savings and some water purchases will provide the necessary water.
The Living Murray initiative is delivering results. Arrangements for watering stressed River Redgums on the Chowilla floodplain and operation of the new fish ladders on the River Murray are underway. As part of the Native Fish Strategy, the first fishway has opened on the River Murray near the South Australian border. This is part of a programme to provide 2,300 kilometres of fish passage from the sea to Hume Dam over five years at a cost of $25 million. Scientists counted more than 1,500 fish moving up the Lock 8 fish ladder during its first week of operation in December 2003. The dredging programme at the Murray Mouth has provided sufficient tidal surge to replenish the water at the Coorong.
These are early and encouraging steps towards ecological objectives identified in the First Step for the Living Murray. These objectives include floodplain forests and wetlands restoration, expanding the geographic range of native fish and improving migratory water birds habitat.
Environmental flows are being increased to the Murray and Snowy Rivers, aiming to restore their environmental health, through the Joint Government Enterprise, an initiative of the Victorian, New South Wales and Australian governments, established in December 2003.
The Government will provide an additional $67.0 million over four years to the Murray-Darling Basin Commission (MDBC) to fund capital works, administration and education activities, and to establish a “renewals annuity” for capital replacement and major cyclical maintenance.
This funding is in addition to $19.5 million over four years allocated to the MDBC and already included in the forward estimates.
The Australian Government will provide $75 million over ten years for Murray River flows, while New South Wales and Victoria will provide $150 million each over ten years for Snowy River flows, for a total funding of $375 million.
Several water saving projects have been identified, undertaken, or completed by the Victorian Government and the Joint Government Enterprise will negotiate to purchase the water savings.
Rehabilitating the Great Artesian Basin
The Great Artesian Basin, one of the largest groundwater systems in the world, is the main source of water for a major portion of Australia’s arid zone. Of environmental concern is the natural discharge of springs in the Basin as a result of unsustainable use. Springs are listed under the EPBC Act as endangered ecological communities.
Since 1998 the Government has provided $32 million to the Department of Agriculture, Fisheries and Forestry to restore artesian pressure in the Basin and save water by capping old, free-flowing bores and replacing earth bores with pipes. About 300 priority bores have been rehabilitated, leaving another 850 to be treated.
The 2004-05 Budget provides $42.7 million over five years to extend this initiative. This year’s Budget allocation includes $1.4 million to the Department of Agriculture, Fisheries and Forestry to complete work on the Carnarvon Artesian Basin in Western Australia.
River health initiatives
The Government has embarked on a programme of research into Australia’s northern tropical rivers, providing the knowledge to manage these rivers sustainably as they come under increasing development pressure.
Approaches to enhanced management of rivers of high conservation value are also being examined to minimise future investment in restoration and rehabilitation.
Conserving wetlands
Australia is working to conserve internationally and nationally important wetlands by meeting Australia's obligations under the Convention on Wetlands (the Ramsar Convention), including supporting the Oceania region, and the Ramsar provisions of the EPBC Act.
The Australian Government continues to implement the Convention in partnership with State and Territory governments, a wide range of non-government organisations and private landholders.
On World Wetlands Day, 2 February 2004, the Australian Government committed $350,000 from the Natural Heritage Trust, for 2004-05. This funding continues the Government’s support for wetlands conservation, will provide guidance to wetland managers across Australia and improve our understanding of our nationally and internationally significant wetlands.
The Australian Government engages in a wide range of activities relating to the protection of wetlands. Activities include: the preparation of Ramsar nomination documents, distribution of a CD to assist the facilitators’ network to integrate wetlands into regional planning processes, providing advice on referrals and assessments under the EPBC Act, and reviewing Ramsar Management Plans for consistency with the Australian Ramsar Management Principles (regulations to the Act).
Nationally important wetlands are being conserved and restored through funding from the Natural Heritage Trust and the National Action Plan for Salinity and Water Quality. For example, all states and territories have been encouraged to prepare management plans for Ramsar sites through the Trust bilateral agreements. Funding will prepare or review management plans for Bool and Hacks Lagoons, Banrock Station Wetland Complex and the Riverland Ramsar sites.
Improving water quality
The National Water Quality Management Strategy provides policies, processes and guidelines for water quality management. Nineteen guidelines have been released covering drinking water quality, monitoring, groundwater, rural land uses and water quality, stormwater, sewerage systems and effluent management for industry.
