Federal election 2019: Buyback ‘deal’ prompts Murray-Darling Basin Royal Commission call by key SA crossbench senators

Unanswered questions over $80 million of water buybacks in the Murray-Darling Basin have renewed calls for a Royal Commission into the handling of the Australia’s largest and most complex river system.

• Greens: Probe Murray Darling Basin Plan over ‘fraud, misconduct’

Unanswered questions over $80 million of water buybacks in the Murray-Darling Basin have renewed calls for a Royal Commission into the handling of the Australia’s largest and most complex river system.

South Australian senators, Centre Alliance’s Rex Patrick and Greens’ Sarah Hanson-Young who are likely to play a key crossbench roles in the next parliament, have both called for probes into the buybacks.

But the Liberals have argued a Royal Commission is not necessary with a legislated review to be conducted next year.

Two water licences were bought by the government for a total of $80 million in 2017 from a company once associated with Energy Minister Angus Taylor.

South Australian senators, Centre Alliance’s Rex Patrick and Greens’ Sarah Hanson-Young.

The deal with Eastern Australia Agriculture was signed off by the then Water Minister and Deputy Prime Minister Barnaby Joyce.

There is no evidence that Mr Taylor or Mr Joyce have done anything wrong.

A spokesman for Mr Taylor said the “Minister concluded all association with EAA and related companies prior to entering the parliament … had no knowledge of the Federal Government’s water buyback from EAA until after it occurred … (and) received no benefit from this transaction.”

However, Labor, the Greens and Centre Alliance have all called for more detail into the deal.

Senator Patrick said the SA Royal Commissioner made findings that there has been both political interference and maladministration associated with the Murray Darling Basin Plan.

“Between these latest questions about … and previous allegations of the Commonwealth paying ‘over the odds’ for water buybacks, there is no doubt that both a lack of confidence and an apprehension exists within the community over the proper execution of the plan,” he said.

“Only a Federal Royal Commission will have the necessary jurisdiction and powers, including the ability to summons witnesses’ … and to subpoena documents, to get to the bottom of all of this.”

Senator Hanson-Young said South Australians are angry that big irrigators upstream are ripping off the river and leaving everyone else downstream to ruin.

“We need a Federal Royal Commission to investigate the possible perceived corruption surrounding these water buybacks, the practice of overland flow harvesting and water licence management.”

The Liberals said a royal commission is not necessary because a 2020 review is already legislated under the Murray-Darling Basin plan.

A Liberals campaign spokeswoman said the government’s focus is on delivering the Murray Darling Basin Plan in full rather than being distracted by further reviews.

“We have already secured more than 2,100 billion litres of annual water licenses to put towards better environmental outcomes,” she said.

Labor leader Bill Shorten said there were questions about the probity of the deal at a time when the government had “stuffed” the Murray-Darling Basin.

“This was the nation’s biggest water purchase, the most expensive water purchase, and now we’re seeing question marks about the probity of it,” Mr Shorten said.

“You have got the particular minister, (Energy Minister Angus) Taylor, he used to make a living from working with this company, he goes into parliament, and the company gets a super contract.”