Urannah Dam to have flow-on benefits to Mackay and Bowen
‘Water makes the magic happen’: Urannah Dam has been labelled ‘an absolute game changer for Collinsville, Bowen and the Whitsundays’ with flow-on benefits to Mackay. Others have called it a ‘boondoggle’.
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A transformative water security project west of Mackay will receive a $483m cash splash in this month’s federal budget.
The cash injection for the Urannah Dam will cover 50 per cent of construction costs for the project which has been talked about for decades.
Bowen River Utilities asked for $483m in federal cash through the National Water Infrastructure Development Fund, but did not approach the state government for the other half of the funding required, and plans to instead source it from the private market.
Deputy Prime Minister Barnaby Joyce took a swipe at the Queensland Government when announcing the federal funding, saying that while the state “claimed” to support the project, it had so far “failed to commit to any funding”.
“Our government understands that building and growing our nation requires industries that produce wealth, such as the mining, agriculture and farming sectors,” Mr Joyce said.
“It is these industries that earn the export dollars that will help make our country as strong as possible as quickly as possible.
“Our investment will further drive the development of Central Queensland, ensuring businesses and industries have the water security they need to grow into the future.”
Bowen River Utilities CEO James Benjamin said the region had waited patiently for years for the capital funding.
“This is the first major dam to be built in Australia in more than 30 years,” he said.
“It is twice the size of Sydney Harbour and it will transform the Whitsundays and Isaac regions, delivering jobs, water security as well as export opportunities through … enhancement of the agriculture industry.
“While it’s a private project at the moment, once built, the dam will be handed back to the taxpayer.”
Mr Benjamin urged the state government to take the next step to complete the contracts that would allow federal funds to be released.
Bowen Collinsville Enterprise chairman Paul McLaughlin, who has helped lead the continued advocacy of the project, said locals were excited and it was “a boost of confidence” for the region.
“We know the importance of water infrastructure in our growing region and this investment will deliver jobs and opportunities that will continue to diversify existing industries and business in our area.”
The project is expected to deliver 1200 jobs during construction over three years and 650 ongoing roles.
The federal and state governments signed a bilateral agreement last month to progress the Urannah Dam project in what was described as “a significant step forward in delivering water security”.
Whitsunday Mayor Andrew Willcox, who is vying for the seat of Dawson at the impending federal election, said this was “the best dam news”.
“As a former farmer I know that water makes the magic happen,” he said “It’s an absolute game changer for Collinsville, Bowen and the Whitsundays and there’ll be flow-on benefits to Mackay.”
Whitsunday MP Amanda Camm said the project would bring immense opportunities and called for the state government to “ensure the necessary approvals are fast-tracked”.
“We can’t afford for water security in the north to be delayed any longer,” she said.
Capricornia MP Michelle Landry said she fought hard to secure the 50 per cent funding commitment from the Coalition government.
“I have fought hard for federal funding for Urannah Dam since 2013 and I’m overjoyed that 50 per cent of the construction costs will be funded by the Coalition Government,” Ms Landry said.
“The Coalition government knows just how vital water projects like Urannah Dam are for local industries, their workers and the communities that rely on them.”
Concerns had previously been raised that the dam would destroy habitat for a turtle species the late Steve Irwin discovered.
Environment Minister Sussan Ley said the dam would be scrutinised under national environmental laws.
This week she announced major reforms to this process had been funded in the upcoming budget, including streamlining approvals to allow state and territory governments to tick off on projects without the duplication of federal sign off.
“It will go through a staged assessment process,” Ms Ley told ABC radio.
“The proponents are right now preparing an environmental impact study.
“It will be considered by Queensland, then effectively they hand the report to us.
“We will consider matters of national environmental significance, the impact of the dam on world heritage places, on national heritage on migratory species and threatened species and so on.”
When she was asked if she would abandon the project if it didn’t stack up economically she said: “We’ll take one step at a time”.
Greens senator Sarah Hanson-Young slammed the funding, saying Mr Joyce had been “let loose with these boondoggle of a project”.
“This proposal, half a billion dollars, is actually all about helping expand the coal mining industry in the Bowen Basin,” she told the ABC.
“It’s not actually about helping water security for even farms or for towns or to help communities deal with the rising increase of extreme weather.
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Originally published as Urannah Dam to have flow-on benefits to Mackay and Bowen
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