Monday, 3 December 2012

Basin water buyback cap


A  CAP  on water entitlement purchases has been welcomed by the NSW Irrigators Council.

NSW Irrigators Council, chief executive officer, Andrew Gregson said NSW Minister for primary industries, Katrina Hodgkinson, has committed to introducing a legislative cap in the state under the Water Management Act from January 2013. Both the NSW Government and the Federal Opposition this week flagged that they would cap the purchase of water entitlements associated with the Murray-Darling Basin Plan.
In Federal Parliament opposition Environment Minister Greg Hunt foreshadowed amendments to the Water Act to limit the purchase to 1500 gigalitres which the coalition would enact in Government if not accepted now.
“This is a great result – it is something that we have been doggedly pursuing to ensure a vibrant future for irrigation, irrigation farmers and the communities that they support and rely on,” Mr Gregson said.
“We want to thank Minister Hodgkinson for her commitment and support on this issue along with Deputy Premier Andrew Stoner and Premier Barry O’Farrell,” he said.
Mr Gregson said all of these leaders promised a rally of thousands in Griffith, in the Murrumbidgee Irrigation Area (MIA) that they would stay strong and they haven’t wavered from that. 
“In Canberra, Michael McCormack, Sussan Ley, Senator Birmingham and Senator Joyce have been instrumental in engineering a sensible approach to the Basin Plan,” he said.
“He wanted people to work together for the Basin Plan – and now is his chance to practice that approach. “The ball is back in the court of Minister Tony Burke. We urge him to see the sense and practicality in embracing bipartisanship,” Mr Gregson said.
“Minister Burke should commit his Government to accepting the amendments proposed by the Opposition.”

Basin plan may work - if we’re smart enough



BRUCE McCOLLUM has been a vocal opponent of previous Murray-Darling Basin Water Plans. But he is now “guardedly optimistic”.. Find out why...
Long term annual average flows in the Basin are 32,000 gigalitres (GL). Last week, after years in the making, the Murray-Darling Basin Plan was signed into law by Commonwealth Water Minister Tony Burke.
The Plan reduces take from these flows from 13,622 GL to 10,872 GL, providing an extra 2,750 GL for the environment by 2019. 
The objective is to maintain healthy working rivers in the long term, thereby protecting the economic and social viability of Basin communities.
The Plan is a disallowable instrument. 
At the time of writing, the Greens are expected to move for its disallowance in the Senate because they say it does not return enough water to the environment. 
The Coalition, however, is likely to vote with the Government to defeat the Greens’ motion. The Plan will then move into implementation phase.
So what does the Plan mean for the Northern Basin (the Barwon-Darling and its tributaries: the Condamine-Balonne, Border Rivers, Gwydir, Namoi and Macquarie)? 
Quite a lot of environmental water has already been recovered through purchases from willing sellers and co-investment by irrigators and the Commonwealth Government in on-farm infrastructure works to increase water use efficiency.
Remaining to be recovered by 2019 is 68 GL for the environmental watering needs of the Condamine-Balonne, six GL for the environmental watering needs of the Border Rivers, and 64 GL for the environmental watering needs of the BarwonDarling down to Menindee Lakes. 
The latter is referred to as a “shared contribution” from the tributaries. Set at 143 GL, 79 GL has already been recovered.
Deciding how much of the remainder will come from each tributary, and how it will be recovered, is a key task for the next three years.
Turning now to the Border Rivers, our system has two main components. 
The regulated system comprises the rivers from Pindari, Glenlyon and Coolmunda Dams down to Mungindi. 
The unregulated system is the rivers without dams such as the Upper Macintyre, Mole, Severn (Qld) and Weir. Because trading from unregulated to regulated rivers is not allowed, water recovery in the Border Rivers is mainly from licences on the Macintyre from its junction with the Dumaresq upstream of Boggabilla through to Mungindi. This is where the bulk of irrigation water is held and used.
The big question for us in this catchment is how much of the remaining 64 GL of “shared contribution” we will be required to contribute, and whether this can be recovered without any loss of productivity.
In an ideal world it would all come from works and measures: savings made by increasing the efficiency of both public and private infrastructure, and by managing the system more effectively.
In reality, some of it will come from buyback: purchases from willing sellers. 
If the licences bought are “sleepers” (water entitlements not currently being used) or “dozers” (water entitlements used only partially), then the impact on productivity, employment and the local economy should be small. 
The outright sale of fully productive water is the worst outcome for our catchment.
The Border Rivers Environmental Water Network (BREWN) was formed over a year ago to make sure that our community has a say in how the Basin Plan is implemented. It has representatives from water users, industry associations, local government, the business community, natural resource
management organisations, Regional Development Australia committees, State and Commonwealth Government water and environmental agencies and the general community. Involvement is open to anyone who has an interest in the environmental, economic and social aspects of water in the Border Rivers. 
More details can be found online at www.brewn.net.  
BREWN has formed a Technical Working Group to fully understand the Basin Plan.
In particular, this group will investigate the basis for the “shared contribution” and incatchment needs, the environmental changes the Plan seeks to achieve, whether these changes are appropriate, whether they can be achieved with less water, and if so, how and where from. The MurrayDarling Basin Authority (MDBA) has indicated that serious notice will be taken of suggestions and recommendations from local communities.
This is an important part of the process of testing the science used to develop the Plan against “on the ground” knowledge and experience.
BREWN will advocate the sensible and practical implementation of the Plan so that productivity is maintained or enhanced, and there is no decline in the economic and social viability of our communities.
Thinking back to the large, angry public meetings held when the Guide to the Basin Plan was released, several significant changes have occurred since that time, at least partly due to “people power”. 
The Northern Basin has been separated from the Southern Basin because they are totally different systems. Economic and social considerations have been elevated to their rightful place beside environmental ones. In the future, more water for the environment can only be recovered if there are no adverse economic and social impacts. Works and measures are now the preferred methods of recovering water for the environment, with buyback taking a back seat. Processes have been put in place so that better scientific knowledge can be used to adjust extraction limits. 
Most importantly, the sudden catastrophic changes flagged by the Guide have now been replaced by a gradual process over the next seven years so that any adjustment required can take place on an incremental basis. 
MDBA has formed a Northern Basin Advisory Committee (NBAC) to act as a link with local communities.
NBAC will provide community input to inform MDBA in the implementation of the Plan in the Northern Basin. The Border Rivers is well represented on the 11-person Committee, with Mal Peters from Ashford as Chair and Michelle Ramsay from Bonshaw and me from Goondiwindi as members. This gives us direct access to MDBA Chair Craig Knowles, CEO Rhondda Dickson and senior staff in charge of various aspects of the Plan. We also have access to the Commonwealth Government’s infrastructure program and buyback managers, and to the Commonwealth Environmental Water Holder.
Personally, I am now guardedly optimistic that the Basin Plan will result in manageable impacts for the Border Rivers if we are smart enough to come up with innovative recommendations, and committed enough to see it through.This is how Craig Knowles’ concept of localism is being put into practice. It is up to all of us to make it work. 
This is encouraging for our major irrigation town, Goondiwindi, and our many other towns and villages that rely on irrigated production as one of the major contributors to the regional economy.

Irrigators' group supports capping water purchases



The New South Wales Irrigators Council has supported NSW Premier, Barry O'Farrell, in his announcement that the State will unilaterally cap purchases under the Murray-Darling Basin Plan in the event that the Commonwealth Government fails to do so.
The Council's Chief Executive Officer, Andrew Gregson, says that capping buyback is necessary to prevent further social and economic vandalism of rural communities.They've also called on the Federal Opposition to immediately adopt a policy to cap buybacks.
"Purchasing productive water entitlements when alternatives are available is downright foolish. Premier O'Farrell has the right idea - these buybacks need to be capped. Good on him for stepping up to the mark where Minister Tony Burke has failed,'' Mr Gregson said.
"We call on the Federal Opposition to immediately announce a policy of capping purchases of water entitlements. We need to hear from Opposition Leader Tony Abbott and Shadow Water Minister Senator Barnaby Joyce that they understand a cap on buyback is a necessity and that they will implement it."
The council believes that Mr Burke's assertions that the volume of buyback is in the hands of the states via the 650 environmental works and measures targets is just a little disingenuous.
"If the full 650 is not achieved, it's replaced with buyback," Mr Gregson said.
"Why wouldn't it be achieved? Because the process of approving projects requires unanimous agreement between states - effectively giving South Australia a veto. Having not seen fit to apportion the 650 target or shortfall between states, Mr Burke has handed the most parochial of states an opportunity to pursue buyback. That must be offset with a cap," Mr Gregson concluded.

NSW Government responds to Murray Darling Basin Plan


The NSW Government will impose a limit on water buybacks to address the failings of the Murray Darling Basin Plan if the Intergovernmental Agreement does not commit to a 3 % cap, provide proper funding for implementation, and remains unrealistic about groundwater Sustainable Diversion Limits according to NSW Minister for Primary Industries Katrina Hodgkinson.
"I have consistently called for the Commonwealth Minister to cap water buybacks as a fair and reasonable measure to minimise economic and social impacts on our Basin communities and allow them time to adjust," Ms Hodgkinson said.
"In addition, the current limits imposed on brackish and saline groundwater will negatively impact proposed developments in remote and regional NSW that are set to generate billions of dollars if they proceed.
"Given the Commonwealth Government has foregone sound policy and our Basin communities in the pursuit of South Australian votes, the NSW Government is determined to support our communities and maintain our focus on infrastructure investment."
The Ministerial Order to cap water buybacks at 3% per valley per decade would be introduced in January 2013 under section 71Z of the NSW Water Management Act 2000.
"Minister Burke keeps referring to 'if' and 'whether' the States put forward projects to improve water use efficiency and deliver environmental returns," Ms Hodgkinson said.
"While NSW has identified a range of projects to be implemented across the Basin, we are still waiting on the Commonwealth Government to fund these.
"NSW is not in a position to fund projects to implement the Commonwealth's policy, and the Commonwealth must provide all funding necessary to implement the Plan.
"Premier Barry O'Farrell is writing to the Prime Minister seeking a response to this."
Ms Hodgkinson pointed to further failings of the Plan, with the Murray Darling Basin Authority's own Regulation Impact Statement estimating that the annual economic impact to communities from reduced surface water availability is over $500 million, even after factoring in planned infrastructure projects, on top of the estimated $100 million annual cost of implementation.
"Last Thursday the Commonwealth announced a limited assistance package of $100 million to be shared across the entire Basin and indicated that NSW will be required to co-contribute in order for our communities to access this fund," Ms Hodgkinson said.
"I call on the Federal Government to back up its rhetoric of ambitious reform to actually fund this policy."

Attempts to derail Basin Plan fail


ABC
Two motions to disallow the Murray-Darling Basin Plan have been comprehensively defeated in the House of Representatives, on the last sitting day of the year.
Motions moved by the Nationals MP for Riverina, Michael McCormack, seconded by the Liberal MP for Murray, Sharman Stone, and also by Queensland MP Bob Katter, were defeated by 95 votes to five, with most Coalition MPs supporting the Labor Government.
Mr McCormack, Dr Stone and Mr Katter were joined by NSW Liberal Alby Schultz and Greens MP for Melbourne Adam Bandt in voting to kill off the Basin Plan.
Shortly before the vote, the Water Minister Tony Burke implored the parliament not to reject the new law.
"For many members of this House, this debate is really hard and really difficult, particularly with conflicting views within their electorates," he said.
"But the truth is, if we don't fix this, it will not be fixed. If this parliament blows it up, let's face fact, there will never be a Murray-Darling Basin Plan."
It was the third disallowance moved against the Plan this week, with a Greens motion defeated in the Senate on Wednesday night by 44 votes to 9.
While they've agreed to the Plan, the state governments now need to agree on the implementation of that Plan, including who should cover the costs involved.
That's expected to come to a head when the Council of Australian Governments meets at the end of next week.
Meanwhile, after months without a formal appointee, Mr Burke has named David Papps as the new Commonwealth Environmental Water Holder, the man responsible for managing the Commonwealth's environmental water entitlements.
Mr Papps is currently the director-general of the ACT's Environmental and Sustainable Directorate, and will take up his new role before Christmas.

Ley won safeguards in Murray basin plan



BORDER MP Sussan Ley has been credited with securing guarantees within the government’s recently released Murray-Darling basin plan that have won a commitment to the plan from federal Opposition Leader Tony Abbott.
Her efforts were commended by Mr Abbott and the opposition’s environment spokesman Greg Hunt.
The Coalition’s amendments require the government to cap water buybacks at 1500 gigalitres as well as more detailed socio-economic analysis of the impact of an extra 450 gigalitres of environmental water diversions.
This is on top of the existing 2750 gigalitres of diversions already announced in the plan by federal Water Minister, Tony Burke.
Ms Ley said the buybacks would prove a “killer” to basin communities in her electorate of Farrer.
“The type of buyback seen under the government is non-strategic, ad hoc and is not in any way in the interests of farmers,” she said.
“I’m not saying the minister isn’t acting in good faith to secure efficiencies in irrigation water delivery but the plan defaults to a buyback situation.
“In the basin’s south, we have never accepted the plan’s poor science or modelling and have always fought for the priority to be improvements in infrastructure, not destructive buybacks.”
Ms Ley said she had spoken with leaders of all Murray River towns in her electorate, including flying to Wentworth at the weekend.
“I wanted to be sure I received their input,” she said.
“Everyone said ‘don’t torpedo the plan, we can’t start this process again’.”
Ms Ley said the Greens were still trying to hijack the plan “in a bid to extract fanciful amounts of water from Australia’s premier food bowl”.
“That is the reason the Coalition has accepted what is the least worst plan,” she said.
“We are not endorsing it, but it is a plan we can reluctantly live with.”
Ms Ley said she saw the NSW government’s objections to further water buybacks as an additional safeguard against a challenge by the South Australian Premier.
“Our commitment dovetails with the commitments by both the Victorian and NSW governments,” she said.
“The government has still got an awful lot of work to do.
“They still don’t have an environmental watering plan and can’t guarantee the existing plan won’t cause low-level flooding.

WINDSOR IS A DICKHEAD

TONY WINDSOR IS A DICKHEAD
WHILE conceding some aspects of the final Murray-Darling Basin Plan could have been done differently, federal Independent MP Tony Windsor says the plan is now a “significant piece of political history”.
Mr Windsor said he’s relieved certainty has now been achieved and most of the political “confection” has been proven wrong, in particular over water buybacks.
In a frank interview with Fairfax Agricultural Media about the disputed water planning process, Mr Windsor said he’s “relatively comfortable” with the final plan, signed into law by the Prime Minister and Water Minister Tony Burke last week.
He also praised Minister Burke for taking on board critical recommendations that came via the Regional Australia Committee process.
The no-nonsense MP chaired the multi-party committee which consulted with rural communities extensively after the Guide to a draft Basin Plan was released in October 2010.
That work helped reverse the direction in which the doomed plan was heading.
Minister Burke said the Windsor Committee played an “irreplaceable role” in ensuring basin communities had a direct line of communication in finding ways to deliver the outcomes that the rivers required, in ways that minimised community impacts.
The Committee’s work and recommendations helped with; creating the sustainable diversion limit adjustment mechanism; prioritising infrastructure investment (on and off-farm) ahead of water buyback; moving to a more strategic approach to water purchases; and engineering solutions to enable more efficient use of environmental water.
It also assisted with establishing the Commonwealth Environmental Water Office with a focus on the water needs of environmental assets, scientific and engineering expertise, transparency and accountability and community engagement in watering decisions.
Mr Windsor said there would always be some argument about something at the margins when it comes to water management.
“For some people, an agreement could never be reached because of a whole heap of parochial political reasons, but now it’s been done,” he said.
“Our committee was given a task to do and I think they did a good job.”
Mr Windsor said the plan’s baseline target of 2750 gigalitres in environmental water flows can be obtained without causing “a hell of a lot of pain” for farmers and rural communities over time.
He said 2750GL was always going to require some sort of compromise position in the end.
But at the start of this process, he said all the water use efficiency demands were mainly placed at the farmers’ feet. The final plan places those demands at both ends, with the environment also required to become more efficient.
Mr Windsor said it was misleading to say 3200GL was the actual volume of environmental water required in the Basin Plan, with various political motives and profit, attached to repetitions of that statement.
He said the additional 450GL on top of the baseline 2750GL would be a voluntary program for South Australia in accessing the $1.77 billion federal funding to improve water use efficiencies and would not include any buybacks.
Another 650GL would be achieved through various works and measures, to create improvements and savings from the environmental watering pool.
The remaining 2100GL would be derived from current water buyback and infrastructure programs, with 1300 to 1500GL of that volume already obtained.
“The actual number going back into the system is 2100GL but we’ve got between 1300 to 1500GL of that now already, so the actual number left to go is between 600 and 800GL,” he said.
“But there’s still this stuff running around out there claiming the government is going to take water from rural communities which simply isn’t true.
“I think one of the great tragedies in all of this is that some very decent, genuine people were absolutely frightened by some of the rhetoric that was out there saying the government was going to come along and just take their water away.
“And up until about a week ago that stuff was still running around.
“But Minister Burke has said that essentially only strategic buybacks will occur to recover any water, so those who are worried about buybacks shouldn’t be worried.
“Those who are worried about the additional 450GL also have nothing to worry about.
“If they don’t want to access funding to become more efficient then they don’t have to access the funding.”
Mr Windsor praised MDBA chairman Craig Knowles, who replaced Mike Taylor in early 2011 after the process hit the skids with growing anger and outrage captivating public consultation and opinions.
He said Mr Knowles, “turned around a nasty situation, even though a large part of it was confected”.
“The whole process got off to a bad start under Mike Taylor because they went straight for the numbers and then sold the plan as the government taking away water from communities,” he said.
“They came out with rows and rows of numbers next to rivers and it was all very complicated and confusing.
“They didn’t get the right interpretation in place and so it all became this belief that ‘your river’s going to lose 100GL and they’re going to take 100GL from your town’.
“I don’t think it was a deliberate strategy, but when Craig Knowles took over he had to claw it all back into the world of realism.
“And that wasn’t easy with (Shadow Water Minister) Barnaby Joyce and the like running around saying the government was coming to town to take everyone’s water away.
“But throughout this entire process, no one has shown me where they’ve come to town and taken away water.
“We went through this Murray-Darling process with a number of people, like Barnaby Joyce and others, running around and frightening the crap out of everyone.
“Michael McCormack (Nationals Riverina MP) is another one who was doing it and I’ve got a lot of time for Michael - but the way some of those Griffith people were frightened for no good reason is unforgivable.
“The political profit out there in all of this was to frighten everyone but Barnaby Joyce and others will now vote for the very thing they were arguing against.”
Mr Windsor said the most significant impact of the Basin Plan would be ending ongoing uncertainty for people living and working within the river system.
Throughout his Committee process, which covered almost every region of the Basin in gauging stakeholder reaction to the Guide and seeking grass-roots solutions, he said the recurring theme was uncertainty.
“People said we need to know what the government and the Authority wants to do and how they want to achieve that,” he said.
“People now know there’s only 600 to 800GL to go which can be found through a whole range of ways, so they can be certain of the final number which isn’t that big.”
Mr Windsor said the remaining 600 to 800GL in environmental water flows would come through a range of methods, including strategic buybacks in specific sections of the river system.
He said the Windsor report identified about 1600GL was possible in water use improvements at Menindee Lakes alone, and if one only third of that is achieved it would have a significant impact on the remaining volume.
He said another area of opportunity to recover a large percentage of the remaining 600 to 800GL was through the computerised river management technologies used by Water for Rivers which enhance water use efficiencies.
But some of the State and Commonwealth water agencies would need to overcome “frictions” and “bureaucratic protection” for that technology to reach its full potential.
He said water saving work by Water for Rivers would be “lean and mean” but if the Commonwealth and States insisted on retaining the task it would prove less efficient and more expensive.
“Water for Rivers has been a real shining light in this process,” he said.
“They have credibility in the bank for the water improvements they’ve done already and that’s been accepted by the community.
“I’d hope something like that would gain acceptance.”
Mr Windsor said the 2750GL won’t achieve some of the environmental outcomes that some environmentalists want, but would create a healthier river system.
“Most communities probably won’t feel any great socio-economic impact because no water has been taken away and people have legitimately sold their water,” he said.
Mr Windsor said he received personal abuse for recommending buybacks be stopped in irrigation districts at the southern end of the river system.
“I had people ring me up saying, ‘you bastard you’ve taken away our opportunity to get out of trouble because the government’s the only one who’ll buy water from us’,” he said.
“But then you had growers and irrigation groups saying, ‘oh no, buybacks will destroy our towns’.
“The farmers have always been a little bit trapped in this.
“All the communities have argued that as soon as (former Water Minister) Penny Wong came along with the cheque book the bigger players said, ‘who gives a stuff about the town anymore I’m off to the coast’.
“The farming community was always dogged by this business that they agreed with this market mechanism that allowed water to be taken from their towns, if someone wanted to sell water, regardless of the socio-economic impacts.”
Mr Windsor said only time would tell how balanced the final plan was.
He expected the States, including NSW, will eventually all agree to the final plan that’s been presented to parliament by the Minister.
He said he expected disallowance motions, raised in the House of Representatives and Senate during the prescribed 15-day period, would be defeated with the government and opposition agreeing to pass the final plan.
Mr McCormack rejected Mr Windsor’s criticism of the Nationals by suggesting they’d confected fears about government taking water from basin communities.
He plans to cross the floor and vote against the Murray-Darling Basin Plan.
“I’ve stood up for my constituents in doing the right thing and representing their views on the Murray-Darling Basin,” Mr McCormack said.

BASIN PLAN DISALLOWANCE

BASIN PLAN DISALLOWANCE: Moved my Disallowance Motion to the Murray-Darling Basin Plan today (29 November 2012) to stick up for the Riverina. My speech follows. The disallowance was defeated 95-5 (my 5 comprising my seconder Sharman Stone, 
Liberal Alby Schultz, Bob Katter and Adam Bandt – for the opposite reasons to mine). Colin Bettles of Fairfax Agricultural Media was good enough to take and supply this picture when the vote was taken.
Mr McCORMACK (Riverina) (16:40): I move:
That the Basin Plan made under the Water Act 2007 and presented to the House on 26 November 2012, be disallowed.
The Murray-Darling Basin Plan has generated a wealth of fear and uncertainty for regional communities and cost good, hardworking country people a wealth of money. An attack on the nation's farmers is, in fact, an attack on the nation itself. This is an assault on regional Australia.
The Water Act was legislated in 2007 by the coalition government. The fact the Commonwealth was able to gain carriage of the water issue, overriding the states in spite of the Constitution, was made possible only via international treaties. Because management of water is constitutionally the responsibility of the states, the Commonwealth government invoked several international environmental treaties, particularly the Convention on Biological Diversity and the Ramsar Convention on Wetlands of International Importance especially as Waterfowl Habitat, done at Ramsar, Iran on 2 February 1971.
The Water Act therefore became an environmental act. The Solicitor-General of Australia gave advice, upon request, to the government that:
Neither the Convention on Biological Diversity nor the Ramsar Convention require that the Parties disregard economic and social considerations in giving effect to the environmental obligations. Both Conventions establish a framework in which environmental objectives have primacy but the implementation of environmental objectives allows consideration of social and economic factors.
As the New South Wales Irrigators Council chief executive officer Andrew Gregson said only last week, 'Green idealism will neither feed nor clothe people.' To wrest power from the states, the Commonwealth resorted to an obscure international environmental convention.
To avoid a constitutional crisis, the Commonwealth had to build the Water Act around this fig-leaf.
That was the view of leading Harvard University water expert John Briscoe, who addressed a Senate inquiry last year. He said this process 'would not work and could not work'.
Professor Briscoe, who was senior water adviser at the World Bank, absolutely nailed it when he said that the Water Act placed extraordinary faith in the views of scientists. The act stipulated that 'science will determine what the environment needs' and that the task for government, including the Murray-Darling Basin Authority, is then just to 'do what science tells it to do', Professor Briscoe said. This decision-making process effectively excludes asking the thousands of people living and working in the basin—those to be most affected by the new Basin Plan—to use their knowledge and expertise to review and evaluate the science, he asserted. Never a truer word was said. He said that it was the job of science to map out options, indicating clearly the enormous uncertainties which underlie any scenario linking water and environmental outcomes. But it was up to government to decide the necessary trade-offs and value judgements and then to take responsibility for its decisions and to make those decisions transparent to the public.
In his advisory role on the Basin Plan, Professor Briscoe said:
In all of my years of public service, often in very sensitive environments, I had never been subject to such an elaborate “confidentiality” process as that embodied in the preparation of the Guide to the Basin Plan.

He said that time and again he was told by many professionals, community leaders, farmers and state politicians who had made Australia the widely acknowledged world leader in arid zone water management that they were excluded from the process of developing the Basin Plan.
On 14 October 2010, just six days after the original guide to the draft to the Basin Plan was made public, more than 7,000 people descended on the Yoogali Club at Griffith to voice their objection. I say 'objection', singular, because they spoke as one. They were united, and people power won that day. The Labor government took notice—it had to, was forced to—and tasked the new House of Representatives Standing Committee on Regional Australia with conducting an exhaustive inquiry into the impact of the guide.
Another 1,000 people from Griffith and district fronted to the committee's hearing on 25 January 2011. Among them was Coleambally Irrigation Cooperative Chief Executive Officer John Culleton, who poignantly quoted a local farmer who said: 'I'm not here to survive; I came here 30 years ago to thrive.'
Then, on 15 December last year, the Leader of the Opposition and the Minister for Sustainability, Environment, Water, Population and Communities—a title which is, I might add, a bit incongruous with this bad Basin Plan—were there when as many as 12,000 converged on Yoogali in another defiant show of solidarity against the ill-conceived draft plan.
Nearly a year on, and the MDBA still has not explained how it intends to act to get the water to the 2,442 icon sites it listed. We are still yet to see an environmental watering plan for the 'key environmental assets', what the precise socioeconomic impact on towns will be, where the water will come from and the actual costings about where this money will come from.
Labor's record on saving water through infrastructure is atrocious and it cannot be trusted. As at the end of May 2012, the government had spent just 15 per cent of the $4.6 billion allocated towards projects to deliver water into the basin. This included funding just 12 per cent of projects in New South Wales ($159 million of $1.35 billion); just 16 per cent of projects in Victoria ($171 million of $1.059 billion); just 26 per cent of projects in Queensland ($21 million of $81 million); and 40 per cent of projects in South Australia ($162 million of $420 million). For every one litre this government has saved through infrastructure, it has bought back five litres. This is a dreadful indictment. The government has spent just $500 million on infrastructure projects, yet it has spent almost $2 billion on buybacks.
If the government were serious, it would genuinely look at building more dams. That would actually increase the amount of food we produce and generate the wealth we need to pay back the debt Labor has accumulated. But, just like the 26 October 2012 'I saved the ailing Murray' pledge by the Prime Minister at Goolwa, making a $1.77 billion unfunded announcement of an extra 450 billion litres for South Australia, Labor makes a grand announcement and then does nothing on delivery.
In the 2007 election, Labor promised to 're-engineer' the Menindee Lakes, with a $400 million promise. Indeed, it was top of its list of Murray-Darling projects. Five years later, and Labor has spent just $21 million on Menindee and not a single drop of water has been saved. Why doesn't Labor actually deliver on the promises it has made before it goes about making new ones? There remains almost $4 billion yet to be spent on infrastructure works, and now another $1.77 billion has been ratified in this House, after considerable debate just last night.
The Goolwa announcement was just another example of Labor making promises with money it does not have and for which it will not be accountable. It is just piling up the liabilities for future governments. The 2.1 million people in the basin, which supplies around 40 per cent of Australia's food, deserve better. They deserve a future, just like all Australians. My motion to disallow the Basin Plan will be seconded by the member for Murray, who, like me, has an electorate which stands to significantly lose through poor water policy. And this is happening in the Murrumbidgee Irrigation Area's centenary and the Australian Year of the Farmer.
Just last week Elizabeth Minehan complained to me that the value of her Grimison Avenue, Griffith, home had decreased by $75,000 and now she could not sell. She blamed the Basin Plan. Let us never forget, farmers are paid for their water but businesses in the regional cities and towns which rely on agricultural and irrigation production to keep their economies turning do not receive compensation and they suffer considerable downturn when productive water goes out of a district.
Since our disallowance motion was lodged, at 10.28 on Monday night, the opposition leader has made his strongest statement yet on water, saying a future coalition government would cap buyback at 1,500 gigalitres, meaning, with water already recovered, there would be only 249 gigalitres left to purchase basin wide. The Nationals' New South Wales Minister for Primary Industries yesterday announced a limit on buybacks at three per cent per valley, per decade, from 15 January 2013. Tony Abbott's and Katrina Hodgkinson's announcements this week are welcomed. So too is the assurance given to me yesterday by the Minister for Regional Australia, Regional Development and Local Government that the taxation hindrance holding up a funding offer to Murrumbidgee Irrigation Ltd of nearly $150 million to implement grant activities in return for 1,534 megalitres of general security, 8,352 megalitres of high security and 23,110 megalitres of conveyance water entitlements to the Commonwealth, a commitment made in February 2011, would be fixed.
Each and every member of this House was entrusted by their community to represent their interests. Above and beyond all else, the people of our electorates expect us to be their voice in this place. Like all members on all sides in this House, I believe this is a very grave responsibility which I cannot—and do not—take lightly. Every member will appreciate the difficulty which I face today in moving this motion. It is not something that I relish nor something I take joy in doing. I move this motion because I cannot, in good faith, cast a vote in favour of a move which will bring about severe social and economic consequences for my community.
When severe social and economic consequences are threatened through significant change in the automotive industry in South Australia, the people of Wakefield expect their member to represent their interests. When job losses hit Canberra as a result of the federal budget, the voters here expect their members, for Canberra and Fraser, to voice their concerns. In exactly the same manner, my constituents expect me—above and beyond all else—to represent their interests on this national stage.
The Murrumbidgee Irrigation Area—the heart of my electorate—is one of the most productive regions of Australia. The annual value of our farm-gate productions is in excess of half a billion dollars each and every year. This is greatly multiplied with a range of value-add processing. The winemakers' association estimates more than $2 billion of regional investment has been injected into our region in wine processing alone. We are home to the SunRice processing facilities, which enable millions around the globe to be fed. We produce chicken meat, cattle, wine, citrus, rice, cotton, nuts, vegetables, cereals—the list goes on and on. And we are highly dependent on water.
My electorate is an electorate built on irrigation. My community is a community built on irrigation. The people who entrusted me to represent them are reliant on irrigation. It is simply not possible for me to support, encourage or allow to pass without comment a Basin Plan which will so materially affect the people who placed their trust in me.
This plan says that my electorate must have hundreds of billions of litres of its lifeblood taken away from it. I cannot tell you how many hundreds of billions of litres, because this plan does not specify that. It merely says that my electorate must suffer an indeterminate amount of pain. This plan says that 320 billion litres of water must come directly from my electorate, plus some share of a further 971 billion litres that is to be 'shared' amongst the southern basin. Around 50 per cent of that shared volume is to come from New South Wales, so I can only assume that around half of that will come from my electorate. That is another 243 billion litres of water.
That is 563 billion litres of social and economic productivity. A billion litres is one gigalitre. According to Australian Bureau of Statistics figures, each gigalitre of water produces around $770,000 in gross value of production. That same gigalitre provides around seven jobs. We are talking about 563 of those gigalitres. Let me put that into a context that every member of this House will understand. We are talking about just under 4,000 jobs. How many members in this chamber would stay silent when that sort of direct impact was being thrust upon the people who trust them to speak up? I would like to think not one of us—and certainly not me.
I recognise quite clearly that I have overstated the impact here, because not all of those gigalitres will be simply stripped from production. Some of them will be obtained via infrastructure, but not enough. Too many will come from buybacks, which are nothing short of economic vandalism, a simple ripping out of the economic capacity of communities.
This plan should have been sensible about how it obtained water. It should have focused on maintaining the productivity of our regions. It should have been about the balance between production of food and fibre and ensuring the sustainability of the environment. But it is not. It needed to have a cap on buybacks. It does not.
The failure of the minister to pay heed to social and economic devastation leaves me with no choice but to disapprove of this plan. The minister may believe that the impacts are far from his inner-Sydney electorate. They are not distant to me. They are not distant to my electorate.
Today I do what any member of this chamber should do: I stand up for the people of Riverina, who put their trust in me. I speak not with my voice but with theirs. Their voice is clear. It is loud and it is proud. It says to the Australian parliament and the people of this land that they will not suffer this indignity, this great affront to their resourcefulness and their productivity. They say no to this Basin Plan. This is why I move this disallowance motion, and I urge others to join me for the sake of their electorates, their communities and the people they represent.
Finally, I commend Riverina people for their resilience during this difficult time. The Area News editor, Daniel Johns, has led a spirited campaign, Our Water Our Future. Among many who have been strident advocates for common sense are included Griffith Business Chamber president Paul Pierotti; Murrumbidgee Valley Food and Fibre Association president Debbie Buller; the state member for Murrumbidgee, the Hon. Adrian Piccoli; Murrumbidgee Irrigation policy and public relations officer and proud Gogeldrie cotton grower Elizabeth Stott and her husband Dallas; and the various mayors of affected towns. There are many, many more. They turned up in their thousands at the many meetings at Griffith.
The minister at the table, the Minister for Sustainability, Environment, Water, Population and Communities, knows that. He went to some of those meetings, and I do appreciate the fact that he went there. I do appreciate the fact that he took copious notes. I do not appreciate the Basin Plan he has put before this parliament.
This is one of the last debates of this parliament this year. It is, I would argue, the most important, because water grows food, and food availability and security are the most important economic and moral challenge of our time.

NO MORE BUYBACK

www.mgcc-nsw.org
No More Buyback
The Murray Group of Concerned Communities (MGCC) is calling on the Government to put a cap on buyback and focus water recovery in the Murray-Darling Basin on efficiency and infrastructure measures.
“The NSW 
Government is calling for a cap on buyback. The Coalition has committed to implementing a cap on buyback if they win Government. We want to see the same commitment from the current Government,” MGCC Chairman, Bruce Simpson said today.
The NSW Water Minister, Katrina Hodgkinson this week confirmed the State Government would legislate their own cap on Commonwealth water purchase if there was not strong enough protection for regional communities in the Basin Plan intergovernmental agreement due to be taken to the Council of Australian Governments (COAG) next month.
At the same time, Shadow Environment Minister, Greg Hunt, speaking to Parliament on the amendment to the Water Act 2007 (Water for the Environment Special Account), confirmed that the Coalition will move an amendment to the Bill to cap buyback and, if unsuccessful, would commit to implementing the cap if they win Government.
“What we want to see is the Government support the amendments being proposed by the Coalition which will ensure an end to the most damaging form of water recovery for regional communities,” Mr Simpson said.
“To her credit, our local Member, Sussan Ley, fought hard to get the Coalition to understand the need for a cap on buyback and understand the damage that has already occurred through non-strategic water recovery.
“We know she has also endeavoured to highlight the issue with the Government, as have we and groups like ours throughout the Basin.
“If the Government is serious about minimising the harm to Basin communities, they need to end buyback and look to fund the strategic projects including infrastructure projects that have been put to them by the NSW Government.
“In the last week we have had announcements of funds for infrastructure works in South Australia’s Riverland, in Victoria’s Sunraysia region, but NSW projects have been conspicuously absent.
“Federal Water Minister Tony Burke and his department must ensure that the projects NSW has proposed, which will significantly reduce the pressure of water recovery on irrigation communities, are made a priority,” Mr Simpson said.
ENDS: For further information contact Bruce Simpson on 0429 681 317

MGCC Press Release

The MGCC has never, and will never, accept that water recovery of 2,750GL is justified. We have never said we support or agree to the Basin Plan and we will never say that. We continue to say the process has been floored and the risks to communities are great.

However, we must focus on trying to minimise the impact to our community of what is now a done deal. The Coalition committed on Tuesday
 to support the plan. The Greens disallowance motion in the Senate failed last night and the disallowance motion moved by Michael McCormack and Sharmon Stone is due to be debated in the House of Representatives today but does not have the numbers to pass.
When we started this process we were looking at three key areas:
1.Water Recovery
a.Lower the target
b.Minimise buyback
c.Focus on infrastructure.
2.Equity
a.All states contribute to recovery
3.Constraints.
While the headline figure is nowhere near low enough, we have seen movement in other areas. We now have written into the Basin Plan an adjustment mechanism that can account for offsets through works and measures AND it has been amended to ensure the Living Murray works can be evaluated as offsets. We also have an acknowledgement by both the Government and the Department that buyback has the potential to negatively impact on communities with Tony Burke committing further funding for infrastructure and being willing to transfer buyback money to infrastructure projects up to the market value of the water. Both the coalition and the NSW Government have committed to a cap on buyback.
The shared recovery target has now been apportioned between the Basin States with South Australia and the ACT required to contribute proportionally. The salinity and water quality targets in the Plan itself are non-mandatory, although there are some modelling objectives that may hinder the environmental works and measures offsets if we don’t watch them closely. There are also some concerning targets related to the Water for the Environement Special Account (which passed the House of Representatives last night) which we must also watch closely.
And finally, we have a commitment for a constraints management strategy to be developed which must look at both local AND downstream impacts. While the Government has committed to funding constraints relaxation, this strategy must be developed first and may identify areas where it is just not feasible to try manage them. This will be an area where we will all need to be vigilant , particularly local government who need to highlight the impact of not only flooding, but maintenance of roads when the sub-soil is constantly wet.
None of this makes it a good Basin Plan - but it is significantly better than where it was when they initially wanted to recover water through a change in reliability with no compensation.

We met with NSW Minister Katrina Hodgkinson today and she was told quite frankly that there is a lot of expectation for the NSW Government to ensure regional communities are not forgotten. She was told to maintain the principle that NSW will not support any changes to rules or river operations that will have negative third-party impacts. She will take our feedback, and of others who attended the meeting, to the MDB Ministerial Council meeting in Canberra tomorrow where they will be discussing the Basin Plan Intergovernmental Agreement (IGA) that will be taken to COAG initially next month.

Regards