Urannah Dam one step closer as state, federal governments reach agreement

It’s an agreement years in the making and one that will push the transformative $2.9bn water infrastructure project to the next level, and open up new industry in North Queensland.

A massive new dam for Central Queensland is one step closer to reality after the Queensland and federal governments signed a bilateral agreement to progress the project.

The Urannah Dam on the Broken River 80km west of Mackay would hold a water storage capacity of 970 gigalitres and support coal development in the Bowen Basin, smart farming practices such as organic horticulture and organic sugar production and future power generation options in Collinsville.

The project, proposed by Bowen River Utilities, is going through the business case and approvals process with $22.65m in funding support from the government.

Dawson MP George Christensen said the business case included detailed technical assessments and an environmental impact statement to advance the project towards investment consideration.

Michelle Landry with Member for Dawson George Christensen and Bowen River Utilities CEO John Cotter touring Collinsville near the Urannah Dam site.

“The current proposal for the 970 gigalitre Urannah Dam includes a water pipeline network, an irrigated precinct, and pumped hydro-electricity storage and power generation infrastructure,” Mr Christensen said.

The cost of the entire project is $2.9bn.

Deputy Prime Minister Barnaby Joyce said the Nationals and Liberals were getting the job done for Central Queenslanders, providing the water infrastructure they needed and deserved.

“The signing of the bilateral agreement is a significant step forward in delivering water security for the Broken River Valley,” Mr Joyce said.

“Water supply and security help form the backbone of so many Central Queensland communities, underpinning local agricultural and primary businesses, supporting jobs and driving economic growth.

“The Urannah Dam will help provide the water security households and businesses in the region need to live and grow.”

Urannah Creek, site of the proposed Urannah Dam, west of Mackay.

Queensland Water Minister Glenn Butcher said the funding enabled Bowen River Utilities to progress its business case and other early investigations into the project.

“The Queensland Government made an application for funding on behalf of proponent Bowen River Utilities in June 2021,” Mr Butcher said.

Capricornia MP Michelle Landry said the transformative project could open up 20,000 hectares of prime agricultural land and support more than 1800 jobs.

“This dam could help provide viable water sources to support 30 active projects and 71 new local projects, highlighting the importance of this investment for communities of Central and North Queensland,” Ms Landry said.