How Can Reasonable Governments Expect Communities to Plan in the Dark?
Published on 14 August 2024
It’s been a busy month for the Mayor and General Manager in the water advocacy space. While still generally supportive of the intent of the original Basin Plan, Council remains concerned about the way it’s being rolled out – especially since the passing of the Restoring Our Rivers legislation in January 2024. Restoring Our Rivers sees a further 450GL of water being pursued for recovery from the productive pool and, worryingly, with the requirement for proper socio-economic neutrality testing now removed. These legislative changes mean the Federal Water Minister needs to only ‘consider’ the socio-economic impacts not ensure they are neutral and, to date, those impacts relate to prices at the farm gate only, not the broader impacts on towns and regions.
Council’s concerns have been heightened by the recent, early call for tenders by the Federal government for 70GL of voluntary buybacks in the Southern Basin, well before any promises of community consultation, co-design and cooperation have been honoured and without any clarity about what alternative solutions to buybacks are being actively pursued. Further, it is understood that Federal Water Minister, the Hon Tanya Plibersek, is planning two more rounds of buybacks in 2025, front loading the direct recovery of water.
Mayor Reneker likens the situation to being aware that a major, deliberate, man-made event is going to strike our region but we are not sure what, when or where, or how impactful it will be. He says the lack of transparency and clarity makes preparation for change extremely difficult and notes too that the announcement of water tenders is arguably already skewing the market (and that's before any water has actually been sold to the government).
The Southern Basin includes all Basin catchments that run into the Murray River (as opposed to the Northern Basin that feeds the Darling River). To date, over 2,500GL of water have already been recovered from the Southern Basin and transferred to the environment, 66% of that since the start of the Basin Plan. It is also important to understand that when water is recovered for the environment, it is measured as the long-term equivalent (LTE) which means the total volume being pursued could be much higher than the 450GL. For example, if general security (GS) entitlements are purchased in the Murrumbidgee, the government will be needing to buy 1.47ML each time to get the equivalent of 1ML LTE (based on the official figure of 68% LTE yield for GS entitlements in the Murrumbidgee).
Mayor Reneker would like Leeton Shire residents and businesses to be alert to what is unfolding.
“Fortunately, the Murrumbidgee Irrigation Area (MIA) is one of the best places in Australia to farm and our local farmers are some of the best in the world when it comes to water efficiency. To date, even with the Basin Plan, the MIA has continued to thrive, with Gross Regional Product having grown. But this doesn’t mean we can rest on our laurels. The Aither Report released in February 2024 by the NSW Government has some sobering forecasts and it is important we understand what might come next as a result of these government-imposed actions and how best to prepare ourselves to survive the impacts.”
The Aither Report states:
- Rice, dairy and bulk wine industries are most vulnerable if another 120-150 GL LTDLE is purchased in the southern NSW Basin towards the 450 GL target.
- Towns most vulnerable to downstream processing impacts are: Leeton and Deniliquin (rice); Finley (dairy); and, Murrumbidgee and Lower Murray for bulk wine.
- NSW local government areas most impacted and vulnerable to further water recovery in Southern MDB (on-farm impacts and downstream processing): Murrumbidgee, Balranald, Carrathool, Edward River, Hay and Leeton.
Mayor Reneker, who is also the Chair of the RAMJO Water Subcommittee (Riverina and Murray Joint Organisation of Councils), and the Leeton Shire Council General Manager, Jackie Kruger, have endeavoured to stay abreast of Basin Plan developments to the extent information is available and continue to advocate for common sense from all tiers of government. Between the Murray Darling Association’s Conference and AGM in July and further representation just last Thursday to ministerial and departmental heads in Sydney, they and fellow RAMJO colleagues continue to call for:
- No more buybacks or, at least, the stalling of any tender decisions and any further calls for buybacks until comprehensive social economic impact studies have been completed at the town and regional level (not just at the farm gate).
- Direct financial assistance from government to do socio-economic benchmarking and analysis, scenario planning and options studies for diversification or replacement industries to generate the equivalent jobs / economic value where industries look likely to be impacted by
government-imposed buybacks.
Mayor Reneker said that jobs, livelihoods and local economies in the Southern Basin could possibly be at stake and that councils and communities can’t afford to sit back and wait now that buybacks have commenced. RAMJO Councils feel frustrated that direct and active Federal and State government support to plan for the changes in Basin communities as a result of federal water policy is lagging.
“Government is forcing this on us but we feel like we are being made to prepare in the pitch dark as both tiers of government have shrouded everything they are doing in secrecy. They keep talking about councils being a trusted partner and important representative of the community but they are simply not engaging with us or inviting us to co-design anything. Certainly no investment has been forthcoming to help us anticipate and plan for any impacts.
“We are continually making contact but consistentlly hitting the same brick walls when it comes to getting the information we need, however ‘sympathetic’ those bricks walls may sound.
“We were initially heartened when we heard NSW Water Minister, the Hon Rose Jackson, call buybacks “mindless, thoughtless and unstrategic” at the MDA Conference in July but talk is cheap if its not followed up by action. If the State government really does care about the bush, the NSW government would be working with us already, not waiting for federal government money to come through. After all, buybacks are already rolling,” he said.
Mayor Reneker said he and other RAMJO Councils in the Southern Basin are calling for full transparency and a seat at the decision-making table when water reform decisions are being made that will impact their local communities.
“We cannot allow the reckless implementation of Basin policy – the chasing of arbitrary numbers by an artibrary date – to override considered and intelligent long-term planning. The Riverina Murray is arguably the food bowl of Australia and this needs to be remembered and fully understood by all decision makers.
“Our goal here is a win-win-win solution – a sustainable environment, sustainable communities and sustainable economies. All decisions need to be carefully made because the results of buybacks will leave a long and lasting tail. We don’t want, and nor can we afford, any regrets,” said Mayor Reneker.
Leeton Shire Council will continue to champion the cause and ensure local voices are heard in the halls of the State and Federal government.
ENDS
MEDIA CONTACT:
Cr Tony Reneker
Mayor
T. 0448 535 004
E: tonyr@leeton.nsw.gov.au
Jackie Kruger
General Manager
T. 02 6953 0911
E: jackiek@leeton.nsw.gov.au