NSW Labor cracks on Murray Darling Basin water buybacks

A Labor win at the NSW state election is set to open up water markets to federal water buybacks — as a “last resort”.

The NSW Government’s long-held opposition to water buybacks is about to shift with predictions of a Labor win at the March 25 state election clearing the way for Federal Water Minister Tanya Plibersek to wade into markets.

The Liberal-Nationals Coalition Government has staunchly opposed federal buybacks in the Murray Darling Basin.

But the cracks are appearing in the NSW Labor Opposition’s resolve, with its water spokeswoman Rose Jackson saying water buybacks may be necessary, as “a matter of last resort”.

NSW Labor water spokeswoman Rose Jackson’s maiden speech to parliament thanked Federal Water Minister Tanya Plibersek, who she said had “steered me”.

Federal Water Minister Tanya Plibersek has already directed her Department of Climate Change, Energy, the Environment and Water bureaucrats to roll out a draft water recovery strategy before Christmas to buy the first parcel of 46GL, mainly to meet NSW shortfalls.

MDBA chief executive Andrew McConville told the National Rural Press Club last month the recovery of another 605GL in Sustainable Diversion Limit Adjustment Measures projects, meant a further shortfall of up to 315GL would have to met – again mainly out of NSW.

Ms Jackson, who has cited Ms Plibersek as a key mentor, said “the NSW Government had been slow and ineffective in ensuring our state meets its obligations under that plan, which has put regional communities in a difficult position“.

“The reality is because of this failure by the NSW Government we would like to see some flexibility from the Federal Government in supporting NSW to meet its goals.

“This flexibility should only be forthcoming if the NSW Government can show it is genuinely interested in doing this work to deliver on its promises under the Plan. We recognise the impact buybacks can have on local communities and think they should be a last resort.”

NSW Coalition Government Water Minister Kevin Anderson said he was not surprised Ms Jackson and her leader Chris Minns would support more water buybacks.

“Buybacks that have detrimental socio-economic impacts on regional communities should not be a last resort, they should be ruled out altogether,” Mr Anderson said.

NSW Water Minister Kevin Anderson (speaking) said “NSW Labor need to join their sensible counterparts in Victoria and oppose Federal Labor’s buybacks”.

“NSW is committed to the Murray Darling Basin Plan it must be done in a way that does not negatively impact regional communities.”

The last time Labor was in power it spent $2.36 billion stripping 1138 gigalitres from irrigation communities, eroding regional economies and jobs.