Water is one of Australia's most precious resources. Careful management is needed to safeguard our water supply and ensure an appropriate balance between the needs of communities, industry and the environment.
Around 65 per cent of Australia's total water use is in agriculture, with the majority of intensive irrigation occurring in the Murray‑Darling Basin.
However, this water use is not as efficient as it could be and in many areas is beyond sustainable levels. Expected future declines in inflows will amplify this problem.
The $10 billion National Plan is intended to place rural water use on a sustainable footing over the next decade.
Key elements of the Plan include:
- $5.9 billion to modernise both on farm and off-farm irrigation infrastructure to increase the efficiency of water use
- $3.1 billion to address over‑allocation of water, including through the purchase of water entitlements, and assisting non‑viable irrigators to exit the industry
- $417 million to improve the quality of forecasting and water data to better inform future decisions regarding land and water use.
Under the Plan, $585 million has also been allocated to reform the governance arrangements of the Murray-Darling Basin Commission, to ensure the responsible management of water into the future.
Community water grants extension
The budget also includes $201 million over six years to support the installation of water tanks and other water saving devices by schools and community organisations.

National Plan for Water Security — funding allocations
22 2007‑08 Budget Overview


