Winemaker Pernod Ricard asks SA court to overturn irrigation licence denial, saying vineyards are at risk of being destroyed by frost

EXCLUSIVE: Some of Australia’s most popular vintages will be ruined by frost because bureaucrats insist winemakers missed an irrigation request deadline by 48 hours, court documents assert.

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SOME of Australia’s most popular wines will be ruined by frost because bureaucrats insist winemakers missed an irrigation request deadline by 48 hours, court documents assert.

Pernod Ricard, maker of wine including Jacob’s Creek and Wyndham Estate, has filed court action against the Environment and Heritage Department.

It wants the Environment, Resources and Development Court to overturn the department’s refusal to allocate extra River Murray irrig-ation water to its South-East vineyards over winter.

The department denied the allocation application, saying it was filed two days after the deadline, but Pernod Ricard claims it can prove otherwise.

“The application was rejected on the grounds it was received on 28 May 2014, two days past the due date of 26 May 2014,” it asserts in court papers.

“But the application was signed and posted on 21 May, 2014 by Australia Post.

“This rejection will limit water availability for frost protection for our vineyards, significantly restricting our income.”

Department water licensing manager Mike Fuller told The Advertiser that irrigators were given six months to apply.

“All existing licence holders in the Lower Limestone Coast Prescribed Wells Area were written to advise them of the application process and the deadline,” he said.

“This opportunity was also publicised in various other communications materials and newsletters.

“Applications received after the deadline were refused.”

Pernod Ricard, based in France, commenced operations in 1975 as a merger between two rival distillers, one of which could trace its origins to the absinthe trade of the 1790s.

It acquired SA winemaker Orlando in 1989 and NSW’s Wyndham Estate a year later, then merged them. It operates large vineyards in the Barossa Valley, Penola and the Coonawarra region.

Pernod Ricard brands include Jacob’s Creek, Wyndham Estate, Richmond Grove, Poet’s Corner and Russet Ridge.

It also distributes spirits, including Absolut Vodka, Kahlua, Chivas Regal and Jameson, in Australia.

In its papers, Pernod Ricard says it applied for “specialised protection allowances” on top of its four Penola and Coonawara irrigation allocations.

Wines made from grapes in that region include St Hugo, Jacob’s Creek Reserve Coonawara Cabernet Sauvignon and Jacob’s Creek Double Barrel Cabernet Sauvignon.

The company asserts it needed more than its existing allocation of 149,695kL “for frost protection”.

It further asserts the department improperly refused those allowance applications, granting it permission to draw 149,695kL only from the river.

Pernod Ricard asks the court to immediately overturn the department’s refusal and order its application be reconsidered so that frost preparations can be undertaken.

The department is yet to file its response to Pernod Richard’s appeal.

Mr Fuller told The Advertiser the department had adopted its water allocation plan for the Lower Limestone Coast Prescribed Wells Area on November 26, 2013.

“All applicants are afforded an appeal right to the Environment, Resources and Development Court on refusal or issue of a water licence,” he said.

“The department is currently in conference in the court with a small number of licence holders, including Pernod Ricard, following refusal of applications.”

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