On-farm rebate to secure water extended: $50m second-round revived

The 2289 Australian farmers who missed out on the first-round allocation of federal rebates to secure their water supplies will not be left out of pocket.

Water relief: Farmers across Australia have finally regained access to federal rebates of 25 per cent on the cost of installing stock troughs and other water infrastructure. PICTURE: ZOE PHILLIPS

Farmers have been given an extra year to soak up $50 million of Federal Government water security grants, to desilt dams, install stock troughs, pumps and bores, as well as irrigation systems for permanent plantings.

The first-round allocation, which was administered by state governments, delivered 7800 livestock and horticultural producers rebates of up to 25 per cent on their investments in on-farm emergency water infrastructure, capped at $25,000.

But 2289 farmers missed out, prompting the Federal Government to launch a second round allocation of $50 million last October, but on condition that this time state governments matched the amount.

Federal Water Minister Keith Pitt said the first round of the scheme had been poorly managed by the states, “especially by NSW”, which had 845 first round applicants who undertook works, but missed out on the rebate.

However forcing the states to match the federal contribution to ensure better administration of the scheme has simply led to delays in getting them to sign off on rolling out the second-round.

Victoria is yet to sign off, while NSW Agriculture Minister Adam Marshall only agreed to participate this month, after agreeing to contribute $15 million.

“The NSW Government will work closely with the Federal Government to ensure that those more than 800 farmers won’t be left out of pocket,” Mr Marshall said.

Mr Pitt said he was pleased NSW had finally signed on, along with South and Western Australia.

“I encourage the other states to hurry up and join in so their farmers can too have access to these drought busting grants,” he said.

However, the delay has forced the Federal Government to extend its original June 30 deadline on processing those who missed out on the first round and will accept new applications until the middle of next year.

MORE

ALL EYES ON WHERE THE FLOODS WILL FLOW

WATER TRADE NEEDS OVERSIGHT — ACCC