Farmers shocked two of the largest barrage users are not contributing to costs

Irrigators lumped with 53 per cent water charge increases say two of the major users of the $40 million infrastructure are not paying their way. See what council says.

The value of the Fitzroy River Barrage is now $40 million. Council plans to spend $15m on its upkeep over the next five years.

Why isn't the Stanwell Power Station paying its share for using the Fitzroy River Barrage to pump water from?

That’s one of the questions Fitzroy River irrigators will be asking Rockhampton Regional councillors and Fitzroy River Water officers at tonight’s public meeting at Alton Downs.

The larger irrigators called the meeting last week out of concern that their issues relating to a 53 per cent hike in water costs were not being listened too.

While council decided to delay the introduction of the higher charges for irrigators until July to provide more time for consultation, the irrigators said they needed to address some urgent concerns about the process in a more timely manner.

Macadamia farmer Henrik Christiansen said one these issues included why a large user of the barrage infrastructure, Stanwell Power Station, wasn’t contributing to full cost recovery for its maintenance?

The Stanwell Power station at Rockhampton. Pics Adam Head

He said the Gladstone Area Water Board should also be contributing when it starts to pump water through its $1 billion Fitzroy to Gladstone pipeline, which is under construction.

“Stanwell has a water license from Eden Bann Weir and GAWB has one from Rookwood Weir but they both use the barrage as part of their supply chain (or line),” he said.

“They drop the water in the barrage (from upstream storage releases) and pump it out.”

He said by using the downstream barrage they saved on construction costs with shorter pipelines and also saved on electricity through pumping water a shorter distance.

“The obvious question is that if Rockhampton Regional Council needs to spend $15m (over five years) to improve and maintain the barrage (currently valued at $40m), why aren’t (Stanwell and GAWB) contributing if they are using the infrastructure?” he asked.

“We as (Rockhampton) ratepayers and irrigators are actually subsiding Stanwell and GAWB.

“If they contribute it makes the ratepayer cost of raw water cheaper. Full cost recovery divided by more users is less for everybody, except for the new users.”

The $1 billion water pipeline will have capacity to transport 30 gigalitres per annum from the Fitzroy River to Gladstone.

He said GAWB was investing $1b in a pipeline but had no control over its “risk point” at the barrage storage.

“They’re not contributing, unless there is some deal we aren't aware of,” he said.

‘They put the pipeline in on the assumption that the barrage is going to be there. The barrage can only be there if it keeps being maintained and they should be contributing to that.

Council was asked to explain why Stanwell and GAWB were not obliged to pay for a share of the barrage infrastructure maintenance costs.

Council said there was “no legislative instrument that allows Council to impose a charge on GAWB or Stanwell, so neither organisation make any contribution to the barrage”.

To this Mr Christiansen said, “So what?”

“Two of the largest users of the barrage are not contributing. It does not make sense.”

Macadamia nut farmer Henrik Christiansen, who waters his 120,000 macadamia trees on 340ha of land in South Yaamba, said the impact of Rockhampton Regional Council's new pricing structure on his bottom line is significant.

The RRC’s website barrage fact sheet states:

“The Stanwell Power Station draws approximately 20,000ML of high priority water from the Barrage storage each year. This 20,000ML is stored in the upstream Eden Bann Weir, approximately 80km upstream of the Barrage, as part of a 24,000ML allocation held by Stanwell Corporation. Water is released from Eden Bann Weir as required to keep the Barrage storage close to full supply level. This enables the Stanwell Power Station to pump the water it needs for its operation directly from the Barrage storage.”