Wivenhoe Dam victims awarded $440m

Victims of Queensland’s Wivenhoe Dam disaster will be paid $440m in a landmark class action settlement a decade after the floods.

Water flows over the spillway at the Wivenhoe Dam. Picture: Supplied

Victims of Queensland’s Wivenhoe Dam disaster will be paid $440m in a landmark class action settlement a decade after the floods.

After long mediation negotiations, Queensland government and state-owned dam operator SunWater agreed on the sum, representing half the compensation owed to about 7000 victims.

But the legal battle is not over, with Wivenhoe owner and operator Seqwater pressing ahead with its appeal. While Seqwater operates Wivenhoe, SunWater and the government are also partially ­liable for the flood damage ­because they provided staff to help manage the dam during the flood crisis.

If Seqwater loses, the estimated total payout could be at least $880m, but litigation funder Omni Bridgeway and legal fees are expected to take a slice of at least $170m from the compensation pool.

Nearly 7000 flood victims and class-action members celebrated in late 2019, after the NSW ­Supreme Court found Wivenhoe Dam, outside Brisbane, had been managed negligently, and exacerbated the damage to thousands of homes and businesses.

SunWater and Seqwater both appealed, dragging out the legal stoush. The Palaszczuk government said it would accept the court’s decision.

The settlement is subject to approval by a court, which is ­expected to happen before Seqwater’s appeal is heard in May.

It is understood there is a provision in the state budget for the Queensland government’s share — 20 per cent of the $440m.

Maurice Blackburn principal Rebecca Gilsenan, who represented the victims in the class action, said the settlement came after a “long and arduous” legal battle for flood victims.

“It has now been 10 years since the Brisbane and Ipswich floods, so this settlement is a very welcome development that we hope will bring some much-needed closure to our clients, who have had to endure significant uncertainty and frustration while the defendants fought this case at every turn,” Ms Gilsenan said.

“Of course, complete closure can only happen for our clients when Seqwater also settles or Seqwater’s appeal is finalised. The class will continue to vigorously fight Seqwater’s appeal.”

A spokesman for Seqwater said: “Seqwater has formally ­advised the Supreme Court of NSW will appeal the January 2011 class-action judgment. Seqwater will not be making any further comments regarding the flood class-action judgment while the appeal process is under way.”

Liberal National Party opposition water spokeswoman Deb Frecklington said the decision would be “bittersweet” for flood victims, who were still waiting for closure.

“It’s disappointing these people had to fight so hard and for so long to get this relief,” she said.