Cairns water security funding is ‘constitutionally’ state government issue

A Cairns ratepayer is calling for the return of water infrastructure and delivery back to the state government – calling it a “constitutional right” beyond local council capability. Who owns Qld’s dams – interactive map.

The Copperlode Dam, also known as Lake Morris, is the City of Cairns' main water supply, spilling over into Freshwater Creek in the Redlynch Valley. Picture: Brendan Radke

A Cairns ratepayer is calling for the return of water infrastructure and delivery back to the state government – calling it a “constitutional right” beyond local council capability.

Mooroobool resident Bill Bates is among about 70,000 Cairns ratepayers staring down the barrel of an estimated $403 rates increase as the council forges ahead with construction of Stage 1 of the Water Security Project, expected to come online in 2026.

The $472m project funded through all tiers of government still requires an additional $87.5m from the federal government, to avoid local rates going up $403, over 15 years.

Initially costed at $248m, inflation was blamed for the blow out, with the state government in July 2024 increasing its stake from $107.5m to $195m and Cairns Regional Council’s calls for the additional $87.5m in federal funding, so far ignored.

The Copperlode Dam, also known as Lake Morris, is the City of Cairns' main water supply, spilling over into Freshwater Creek in the Redlynch Valley. Picture: Brendan Radke

Despite reports from both council and federal government representatives stating the parties were “working closely” towards a funding agreement, Mr Bates said ratepayers couldn’t afford to wait for relationship updates as they braced for increased hip pocket costs.

But he argued it should never have been the local government's responsibility to deliver, and now advocate for, new water infrastructure.

“In regional and North Queensland, we’re in the unique position where our dams are owned by the councils,” he said.

“If you go further south, of course they’re owned by Seqwater, so people in the greater southeast area don’t have to worry about thinking about getting dams built or water supplies, because it’s a complete state government responsibility. It comes out of the whole state budget.

“If you go back and look at the history of Copperlode Dam and Ross River Dam in Townsville, although they’re council owned, the money was provided by the state governments – so they fully funded the dams, but then turned ownership over to councils.”

Outside of South East Queensland, local councils are responsible for providing water services to households and businesses. Some of these councils own their own water supply infrastructure and are responsible for water supply planning for their region. Picture: Queensland Department of Water

Brisbane and Ipswich’s main water supply – Wivenhoe Dam – is owned by public operator Seqwater and Mr Bates argued delivering water was ultimately a state government responsibility.

“I think the whole point is water is constitutionally a state government issue and it should be forced back onto the state government.

“Just like in south east Queensland – it’s fine for them, for all the cost of water infrastructure to be shared by all the people in Queensland, but it’s not fine for people in central and north Queensland.

“We’ve got a serious disparity now between the constitutional requirements and how the south east operates and how we operate.”

Originally published as Cairns water security funding is ‘constitutionally’ state government issue