Basin buyout blockage: NSW and Victoria set to block Federal buyout bid

Victoria and NSW state governments are set to block the federal government from using “voluntary buybacks” to strip more water out of MDB communities for the environment.

Victoria and NSW state governments are set to block any bid by Federal Water Minister Tanya Plibersek to use “voluntary buybacks” to strip even more water out of Murray Darling Basin irrigation communities for the environment.

NSW and Victoria have already delivered the bulk of the 1990 gigalitres handed to the Commonwealth Environmental Water Holder under the Murray Darling Basin Plan.

But the Federal Government is after even more, with Ms Plibersek and her colleagues telling the media and Senate last week that “voluntary water buybacks are definitely on the table” as part of the Albanese Government’s strategy to recover another 450GL for South Australia.

The NSW Coalition Government has already drafted regulations that allow its Water Minister Kevin Anderson to direct WaterNSW to block federal buyouts on the basis of their social and economic impacts on the state’s irrigation communities.

NSW’s Access License Dealings Principles 2004 require WaterNSW to ensure water trades it approves are “maximising social and economic benefits to the community”.

Mr Anderson said NSW “has consistently opposed non-strategic water buybacks for the past decade because they can have a detrimental social and economic impact on regional communities.

“As Lands and Water Minister, I will continue to advocate strongly to oppose any move by the Federal Government to reintroduce non-strategic water buy backs.

“I have asked my Department to investigate what we can do to protect farmers, irrigators and regional communities from mandatory water buybacks.”

Victorian Water Minister Harriet Shing said the Andrews Government “does not support buybacks, (given) our regional communities have been dealing with the impacts from previous Commonwealth buybacks for over a decade.

“We will continue to work in the best interest of Victorians by allowing for improved environmental outcomes through on-ground works and delivering water by upgrading inefficient systems.”

“Victoria has confirmed its strong view to the federal minister, our NSW counterparts, and to stakeholders.

“We need to have a Ministerial Council (of federal and state water ministers) meeting as soon as possible to discuss and progress a range of outstanding issues, like the delivery for 450GL as a matter of urgency.”

The Basin Plan does not require the 450GL to be delivered in full, and the federal legislation upon which it was founded requires it only be delivered if it results in neutral or positive socio-economic outcomes.

The federal Water Act also does not allow buybacks for the 450 GL, which Ms Shing’s office said meant legislative change would be required to compel governments to deliver it in full or via buyback, which Victoria would oppose.