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ountry News Co

Water Talk Reaching Australia ’s richest agricultural region

E 12-PAUG RE T r 2014 FEvA embe No

Lateral thinking Putting experience into practice at Finley — page 4

Changes urged to bring prices down — page 2 Stumps go back into the Broken — page 7 | New water trader makes profit — page 10

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PAGE 2—‘Water Talk’, November, 2014

water talk

Change water law says CEO ustralia is locking up A its water resources and pushing up the prices

of water, according to Kagome Australia chief executive John Brady.

Mr Brady is calling for reform in water markets to open up access to more water by irrigators, and to make the market more transparent. ‘‘There is no doubt in my mind that if Australia is to achieve the National Food Plan issued by the Federal Government in 2013, or the Food to Asia Action Plan issued by the Victorian Government in March 2014, our elected leaders will have to address the policy settings with regard to water, gas and logistics,’’ Mr Brady said in a speech delivered in August. ‘‘Access to irrigation water is the number one challenge to ensuring a

Tomato growers in the Goulburn Valley have been getting subsidies to cover the cost of rising water prices.

John Brady wants to see reforms which could bring down the price of water. competitive agribusiness sector,’’ he said. ‘‘The existing system is detracting from farmers in Regional Australia growing more produce. ‘‘To the uninitiated, it is

somewhat ironic; there has been significant rain in the catchments, and Lake Eildon is at 85 per cent of its total capacity, yet irrigation water is close to $100/Ml in the temporary market and $1520/Ml in the permanent market for High Reliability Water Shares in the Goulburn system.’’

Mr Brady said Kagome irrigated 100 per cent of its tomato crop by sub-surface drip tape and used 13 000 Ml of water annually. ‘‘Last year the company averaged $75/Ml, while the price when season 2012 opened was just $27/Ml. Ideally, I’d like to be

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investing in improving our capabilities and employing more local people, rather than paying a premium for irrigation water. ‘‘We understand that the Murray-Darling Basin Plan has returned water to the environment and that irrigation water is now subject to market forces.

But why are we locking up so much in Victoria via conservative carryover?

This results in dams spilling — some 1.5 million megalitres on the Murray system in 2013; we should be using that water for more productive purposes, he said. ‘‘We have a great

opportunity in Australia to better integrate traditional mixed farming with high value fruit and vegetable production at both farm and regional levels, and in ways that each sector complements the other. ‘‘This will provide better opportunities for agribusiness to maximise returns to land resources, water resources, and business capital. It will involve improved integration of rain-fed agriculture with irrigated farming at the enterprise level, and seamlessly link commodity production with value adding.’’

Mr Brady is calling on

political leaders to require state and federal appointed Environmental Water Holders to issue a public statement annually on a strategy for water which exceeds their environmental goals, make available to the open market each year that percentage of carry-over water held in the Water Spill Account that aligns with the risk of a spill as assessed by the water authority, and amend current legislation to ensure corporations which receive annual water allocations must allocate a minimum percentage of what they don’t intend using, to the open market.

Cost impacts planting ongala dairy farmer T Andrew Tyler reviews his feed strategy when

the water price climbs above about $100/Ml. ‘‘Given the storage levels in the dams at the moment, you have to ask why the prices are where they are,’’ he said. ‘‘It’s been a bit baffling to see where it is at the moment.’’

He believes one contributing factor is the lack of sellers early in the season, which has increased scarcity. ‘‘The people holding the water may be looking at the seasonal conditions drying off through the spring,’’ Mr Tyler said. ‘‘I’m looking at what paddocks I will continue to water through summer. It all comes back to the dollars per tonne of dry matter. ‘‘We’ll be dropping some permanent pasture paddocks out and putting them into summer crop. ‘‘If water was about $80, I’m much more gung ho.’’

Another Tongala farmer, Scott Fitzgerald, is also making some tough decisions about how much permanent pasture he can afford to water during summer.

His dairy business is in a development phase and he will be lasering some paddocks this season and was considering turning

Temporary water prices are affecting farm decisions on land use. some annuals into perennials. ‘‘That means purchasing more water and when you add the extra costs, you are committing to at least three seasons,’’ Mr Fitzgerald said. ‘‘With ground preparation and fertiliser you have to do the figures, and you can’t just base it off last year’s figures. When the average price is $45 more than last year and you’re buying 700 Ml, that starts to add up.’’

With the current temporary water price, Mr Fitzgerald may well decide to split his new ground into annuals and perennials for the moment. ‘‘The price does impact on decisions on renovating

pastures,’’ he said.

While the price impacts on his strategy, he is also concerned the price will impact on anyone trying to get into irrigation farming. ‘‘No way they can afford to purchase land and secure high reliability water in the same purchase. ‘‘So, if they are buying just the land and have to buy temporary water, it can be a big cost.’’

He also wonders if the modernisation of Goulburn Valley irrigation is generating a demand for more water. ‘‘Modernisation is making land more productive; more is being brought under irrigation.’’

‘Water Talk’, November, 2014—PAGE 3

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Commonwealth pays the same fees and charges for the holdings, receives the same annual allocations as equivalent entitlements, and operates within the same rules including the rules relating to carryover of water between years.

The Commonwealth Environmental Water Holder’s decision to enter the market corresponded with the introduction of robust governance arrangements including a trade framework, operating rules, procedures and protocols. These arrangements provide the necessary reassurance that the Commonwealth will buy and sell water allocations or entitlements in a responsible, fair, equitable, transparent and accountable manner.

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relatively small amount of water in the past season.

In the Peel Valley, earlier this year, there were seven trades resulting in the sale of 340 Ml to return $32 000.

State Water approved the last trade on April 10, 2014.

The parcel volume ranged from 20 Ml to 150 Ml, with a median volume of 30 Ml and a volume weighted average bid price of $95.82/Ml. Earlier, the Commonwealth Environmental Water Holder completed 16 trades in the Gwydir valley, resulting in the sale of 10 Gl for a return of

$3.217 million for the Murray-Darling environment.

State Water approved the last trade on February 4.

2014. The parcel volume ranged from 250 Ml to 1500 Ml, with a median volume of 500 Ml and a volume weighted average bid price of $321.74/Ml. The Commonwealth Environmental Water Holder said the portfolio was managed in accordance with the Water Act and Murray-Darling Basin Authority’s Environmental Water Plan.

The portfolio is also managed within the state government rules that apply to other equivalent entitlement holders (typically agricultural users). For example, the

Bay Watcher dictates closing times rather than estimating the water ’s travelling time.

Mr Flett said the primary reason for carrying over water was to meet foreseeable demand for environmental water.

Although there are no limits on what water the VEWH can buy, there are practical limits of its annual budget.

On the issue of the size of the water reserve, and its potential effect on the price of temporary water, Mr Flett said that was a policy issue he could not comment on.

Trades low for year he Commonwealth T Environmental Water Holder has only traded a

•

pe

environmental benefits, and in doing so, will assess and attempt to minimise any significant third party impacts. ‘‘In practice, this has resulted in us designing our trading strategies to sell smaller parcels over longer time periods.’’

In terms of carry-over for last year, the VEWH held 16 Gl of Murray River water, 26 Gl from the Goulburn system, 9 Gl from Campaspe and 2.6 Gl from the Loddon.

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of water but has sold comparatively little since it was established three years ago.

Chief executive Denis Flett has heard debate around the water holder’s size and potential effect on trading, but he points to the statistics and rather than engage in the debate, says the figures speak for themselves.

The VEWH held 295 Gl at the end of the 2013-14 year, with about 203 Gl of that water from northern Victoria.

In the 2012-13 year, the VEWH sold 14 000 Ml and last year did not sell any water.

Selling is usually done through a broker or a trading platform and the VEWH gives notices of its intention to sell on its website.

Last year the VEWH purchased 300 Ml to give the Loddon River a spring flush aimed at stimulating fish populations and bank revegetation.

Mr Flett said the overriding principle for the VEWH operations, and any trading of water, was to maximise environmental benefits. ‘‘That’s what we’re all about. It boils down to that.’’

Although there is no statutory obligation to minimise market impacts, the VEWH operates within the standard water trading rules which apply to all entitlement holders. ‘‘Recognising that the VEWH is a public authority, we have committed to an internal policy that we will trade allocation to maximise

PAGE 4—‘Water Talk’, November, 2014

water talk

Rebate falls 25% short SW farmers have called on the N Federal Government to give applicants for the emergency water

infrastructure rebate the extra 25 per cent contribution for which they are eligible.

The call comes following farmers in NSW receiving news from the Rural Assistance Authority, the body responsible for processing claims, that some people will not be receiving the full 75 per cent rebate they had budgeted for when undertaking works on their property.

NSW Farmers president Fiona Simson said while she understood the Federal Government had met its commitment with the funding it had provided, thousands of farmers had undertaken works and spent money on the understanding a 75 per cent rebate was available. ‘‘In some cases, farmers have borrowed money to undertake these works. ‘‘The highly successful scheme has attracted more applicants than was envisaged by both the state and federal governments. ‘‘Not only can farmers benefit from these works now, it will also help farmers prepare for drought in future years,’’ Ms Simson said.

NSW Farmers believes communications around the scheme had been poorly handled which had meant many farmers had acted on an expectation that they would receive a 75 per cent rebate (25 per cent from the Federal Government).

Peter Brunt says the T-L Irrigator’s ability to respond to the water requirements of crops can’t be matched by other types of irrigation.

Ian Brunt starts the T-L Irrigator, one of five he imported from the United States before becoming a dealer for the company this year.

Pictures: Cathy Walker

Walking the T-L talk fter 100 000 hours of A irrigating their own properties it’s fair to say

Finley cropping farmer Ian Brunt and his son Peter are experts when it comes to the United States-manufactured T-L Irrigator Systems range of lateral and centre-pivot machines.

It was because of that experience that they were invited last year by T-L to become a dealer for the company. It was a natural progression to complement their Eagle i Machinery business at Finley, where they are agents for (North Dakota-based) Kwik Klean grain cleaners and the new S3 Super Grouper product handler.

Ian imported the first T-L Irrigator into Australia in 1985.

He and his wife Kathy went to the US in 1984 specifically to find an irrigator; at a field days site they saw a range of brands and were given some local advice that led him to the Thom brothers in Hastings, Nebraska and T-L Irrigation.

Ian said: ‘‘I didn’t want an electric irrigator; the main priority is safety in everything we do.’’

Over the years he purchased several T-L models, which are powered by diesel engines, and kept in contact with the Nebraska business.

Now, the addition of the T-L agency has meant a rapid expansion for the company to a new purpose-built factory on Newell Hwy where plans are to include a mini irrigator to leave passers-by in no doubt about how the product works.

As sales manager for the products, Peter’s territory is wide and this year they have provided T-L systems to clients from Swan Hill to Holbrook.

Out at their Barton farm a few

T-L Irrigation dealers Peter and Ian Brunt provide advice and design lateral or centre-point systems based on their own on-farm experience. kilometres from Eagle i Machinery, Ian walks the talk.

There are five T-L Irrigators there, including one lateral that he turned on to show it in action towering over some lateplanted wheat.

Water is sourced through Murray Irrigation and from a bore. Crops on the 1800 ha aggregate of properties this year include canola, wheat, barley and rice — there is no livestock in the mix this year but the Brunts are considering buying sheep again.

Ian stressed safety and ease of operation with the giant lateral system — which in the case of the one he turned on, can water 160 ha. ‘‘We’ve made all the mistakes and gone through all the hassles. That’s how we know this system works so well,’’ Ian said.

The Eagle i Machinery name comes from Peter’s wife Carolyn who believes her

A step back in time shows (from left) Ian Brunt at T-L Irrigation with the company’s founders Dave and LeRoy Thom and Bob Frank in Nebraska in 1985. father-in-law (i for Ian) has an eagle eye for machinery and problem solving. ‘‘Dad’s got a keen eye for a machine that works well and is simple to operate; we’re interested in ease of management and low maintenance,’’ Peter said.

‘Water Talk’, November, 2014—PAGE 5

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PAGE 6—‘Water Talk’, November, 2014

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Prices harmonised t current prices, the A outlook for temporary water trade certainly has

the attention of irrigators.

To understand where the price might go it’s necessary to consider trading opportunities and the supply/demand outlook across the Southern Connected Basin. In this way it’s possible to show that allocations in the NSW Murray can have an effect on prices in SA. While trade from NSW to Victoria is currently restricted to relatively small volumes, trade is allowed from NSW to SA and from SA to Victoria.

As a result prices for temporary water, after adjusting for fees, are broadly similar across the Southern Connected Basin.

Prices have harmonised further as a result of the opening of trade from the Murrumbidgee to the NSW Murray.

As such, prices will be subject to supply and demand forces arising across the entire Southern Connected Basin. On the demand side, permanent croppers’ water usage will be relatively constant.

However, annual croppers are faced with a recurring decision about whether they use or sell their water. In

Land must make way for water ome farmers will S have to take a hit for the nation if proposed

Temporary water prices are similar on both sides of the Murray River. that respect, rice and cotton croppers have just worked through this decision and the high water prices at the time have caused some famers not to crop and instead sell their water.

This decision is now behind us and the ongoing drivers of allocation supply (at least until summer) will be the allocation announcements.

In Victoria allocations to HRWS are at 100 per cent and allocation to LRWS in any meaningful volume is unlikely in the short term.

As a result, the principal supply drivers will be allocations to the Murrumbidgee and NSW

Murray. As the outlook for the Murrumbidgee is for only limited increases (from current levels of 40 per cent to 48 per cent by February 1, 2015), it’s the forecast for the NSW Murray that is of interest.

In Victoria, if dam inflows remain below historical averages, the probability of a declaration of low risk of spill increases. This declaration would then result in more water being available for sale as water in spill accounts becomes available for use or trade. In addition, the possibility of allocations against Low Reliability Water Shares remains, although it would

be lower with decreased dam inflows. If allocations were made to Low Reliability Water Shares, this would also increase the supply of water available in the market.

In summary, it appears likely that markets will soften in the immediate aftermath of cropping decisions. If forthcoming allocations are lower than forecast, this could push prices up. Peak summer demand will support prices further whereas a low risk of spill declaration in Victoria could cause prices to soften.

— Ruralco water broker Andrew Martin

plans to build more dams are approved, Agriculture Minister Barnaby Joyce says.

The Federal Government has identified 27 potential sites for water infrastructure projects in its Agricultural Competitiveness Green Paper, which was released last week.

Six irrigation projects are earmarked for possible federal funding within the year in Tasmania and Victoria, while potential dams and water projects will be considered in Queensland, NSW, Western Australia, South Australia and the Northern Territory.

National Farmers’ Federation general policy manager Tony Mahar raised concerns over the ultimate cost to farmers in the proposed regions. ‘‘Who’s going to pay for them?’’ he said.

When asked if some farmers would have to take a hit for the country by selling up to make way for the water projects, Mr

Joyce said that was ‘‘always the case’’. ‘‘If a sacrifice needs to be made to build a dam, generally people are prepared to make it, as long as they get fairly compensated,’’ Mr Joyce said.

The paper also proposes changes to how farmers negotiate prices with supermarket giants.

One suggestion is the introduction of federal laws to make it easier for farmers to run a cooperative to increase their bargaining powers.

However, Australia’s major retailers expressed concern about the potential reform of competition policy.

Australian National Retail Association chief executive Anna McPhee said the government should be concerned about duplication with the Competition Policy Review announced this year.

The proposals will now be considered for the government’s White Paper, which is set for completion in 2015.

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‘Water Talk’, November, 2014—PAGE 7

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Snags benefit habitat ore than 250 snags M will be placed along 2 km of Broken Creek

downstream of Numurkah in the coming weeks.

Goulburn Broken Catchment Management Authority project manager Jim Castles said the project, funded by the Victorian Government using Recreational Fishing Licence fees, would improve recreational fishing in the creek by providing habitat for native fish such as Murray cod and golden perch (yellowbelly). ‘‘This area was historically de-snagged and dredged, so there is very little habitat for native fish,’’ Mr Castles said. ‘‘In-stream habitat mapping was carried out in the Broken Creek between Numurkah and Nathalia by scientists from the Arthur Rylah Institute to identify areas that had a low density of snags. ‘‘This mapping provided us with an excellent picture of the in-stream habitat in the Broken Creek in this section and allowed us to select areas where resnagging would have the greatest benefit for native fish populations and anglers.’’

He said snags provided

Snags will help improve habitat for native fish in Broken Creek. habitat for native fish and other animals such as tortoises and native water rats; native fish used them to shelter from fast currents and sunlight and take refuge from predation; native fish also used snags as feeding and spawning sites, and they were used as nursery areas for juvenile fish.

Mr Castles said the snags for the project were sourced from a number of locations across the catchment. ‘‘The majority of the grey

box and yellow box stumps were sourced from trees that had fallen during the recent Wunghnu fire,’’ he said. ‘‘Others were sourced from trees removed by nearby landholders and government agencies under permit.’’

The snags will be spread out over a 2 km stretch of the creek and will have little or no effect on water flow. ‘‘The snags will enhance native fish habitat, thereby

leading to a more resilient native fish community, which will result in huge benefits for recreational fishers in our region,’’ Mr Castles said. ‘‘An electrofishing survey will be carried out prior to the snags being placed in the creek to assess the native fish population in the area. ‘‘This will allow us to measure population increases within the Broken Creek in the future.’’

Charges studied of Australia’s A group key agricultural

industry organisations has met to examine the crippling costs of network charges on agricultural industries, which is undermining the viability of rural businesses and impacting on the prosperity of rural and regional communities.

Typically network charges represent about 50 per cent of farmers’ electricity bills, environmental charges 20 per cent, and electricity usage makes up less than 26 per cent. About four per cent is reflected in administration charges.

A taskforce established at the meeting reached unanimous agreement to call on the federal and state governments to take action to reform network charging regimes.

While it was acknowledged that the removal of the carbon tax would reduce the environment component of bills, real benefits would only be gained from genuine reform of network charges which continue to have a highly distorting effect on the energy

market in regional Australia.

In the communique, the taskforce identified a number of measures to be taken as part of a broader approach to removing distortions in the market and delivering a fairer system. These measures include: ■ closer examination of the Australian Energy Regulator (AER) network price determination process; ■ closer examination of performance of networks in relation to global benchmarks and actual service delivered; ■ approval of a rule by the Australian Energy Market Commission that would enable irrigators, and all farmers, who are large users of electricity, to be separately classified alongside business and households.

The taskforce proposed a package of measures designed to improve the energy productivity of Australian irrigated agriculture.

These measures include reform of network charging that would deliver in the order of a 30 per cent reduction in electricity prices.

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PAGE 8—‘Water Talk’, November, 2014

water talk

Backward flow for water ummer is coming and, S with it, dry conditions for many parts of

Australia. While it may be difficult to imagine for city dwellers, parts of regional Australia will likely face severe water shortages during the coming months.

During the past 10 years Australia’s water management has been focused by the National Water Initiative and overseen by the National Water Commission. This helped many of our towns and cities through the devastating millennium drought and beyond.

The 10-year assessment of the National Water Initiative released this week by the commission confirms the importance of the initiative for water reform.

But the National Water Commission will be wrapped up at the end of the year due to funding cuts

under the 2014 federal budget.

Agricultural green paper

Two weeks ago, a new Commonwealth water infrastructure ministerial working group, chaired by Agriculture Minister Barnaby Joyce, outlined its recommendations for water infrastructure projects as part of its Agricultural Competitiveness Green Paper.

The report is laden with dozens of dams and other major water infrastructure projects proposed for potential Commonwealth support. It states that such support would be dependant upon alignment with National Water Initiative principles.

However, without the National Water Commission, there is no obvious responsible body to make an independent

The world in which water is managed continues to change, says environmental engineer Stuart Khan. expert assessment on whether such principles have been adhered to.

Building a national water system

Streams and rivers transport water across great distances and feed groundwater aquifers underlying enormous areas such as the Great Artesian Basin. With the obvious exception of Tasmania, these surface water and groundwater systems rarely respect state and territory boundaries.

Australia’s constitution states specifically that: ‘‘The Commonwealth shall not, by any law or regulation of trade or commerce, abridge the right of a State or of the residents therein to the reasonable use of the waters of rivers for conservation or irrigation.’’

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prime minister John Howard was to oversee the development and signing of Australia’s National Water Initiative. This document was the first formalised agreement to work together to achieve national water management objectives following the initial 1994 Water reform agreement.

The initiative includes commitments to provide water for the environment, address over-allocation of rural supplies, register water rights, develop standards for water accounting, expand water trading, improve water supply pricing and manage urban water demands.

To guide the implementation of the initiative, Mr Howard established an independent statutory authority, the National Water Commission, in 2004. The commission was to provide independent, evidencebased advice to the Council of Australian Governments and the Australian government.

Throughout the past decade, the oversight of the National Water Commission has produced progress towards many of these goals.

Water trading capacity has improved agricultural productivity for many rural Australians.

Formal allocation of water to the environment has revived the long-term survival prospects for wetlands and other ecosystems.

Major urban water supplies have been bolstered. This has drastically reduced the likelihood of water restrictions being imposed for most Australians in the coming decades.

Drought-plagued areas of the United States, such as California, now point to Australia’s National Water Initiative as a successful example of co-operation to achieve more sustainable water management.

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But for all these successes, there remains much more to be achieved.

While our state capital cities have achieved high levels of water supply security, the same cannot be said for many of our regional towns and cities.

For example, many in NSW are likely to face severe water shortages before the end of summer.

Improvements in water efficiency and water conservation, as well as new water resources, will be required.

The Commonwealth Government and the National Water Commission played a key role in navigating the water sector through new extremes and supporting the economic viability of many towns and cities during the millennium drought.

Without the National Water Commission, there is now no clear avenue through which to drive and harness the benefits from national co-ordination in water reform.

Equal to the importance of managing water availability is the need to ensure safe drinking water.

There is evidence that many regional drinking water supply systems fall short when it comes to managing water quality, protecting public health risks and ensuring the efficient delivery of water and wastewater management.

But improvements are hindered by lack of a nationally co-ordinated strategy for safe drinking water quality management or a framework for driving greater efficiency.

Skills, training and infrastructure

There are plenty of other areas that a national water overseer could improve.

During the past decade, the commission has facilitated great gains in research and development efficiency by encouraging national collaboration among industry and research providers including the universities and the CSIRO. Without the commission, the research and development sector will lack a ‘‘line of sight’’ to embed new findings in practice and ensure Australia remains at the frontier of innovation in water.

Skills and training, such as those required for operating drinking water treatment plants, are poorly co-ordinated in Australia, largely to the detriment of regional towns and cities.

An organisation like the National Water Commission would be ideally placed to oversee the development of national skills co-ordination, including consideration of how large capital city water utilities could assist in the training of regional and rural suppliers.

Compared to the capital cities, regional water supply and wastewater facilities tend to be based on small systems with few economies of scale. Factors such as design and performance evaluation can be made more economic where national standards

are developed and accepted, thus setting clear achievable benchmarks for compliance.

The commission played a key role in developing guidelines for water recycling, providing safe and economic means to reuse wastewater and conserve freshwater.

Similarly Australia could do with national guidelines for coal seam gas and groundwater, and economic appraisal.

Our state capital cities each run highly profitable water supply utilities, which pay tidy annual dividends back to their state government owners. Sydney Water, for example, pays the NSW Government a dividend in the order of $300 million per year. This profitability arises from many factors including long-established major infrastructure and the large economies of scale that come with large highdensity populations.

But many Sydney residents also spend some time in regional Australia.

Most would presumably prefer to have the benefit of safe and reliable water supplies when they do.

It would make sense to consider crosssubsidisation of regional water supply funding using profits from capital city water supplies.

Profound reforms, more needed

In the past 10 years, the Australian water sector has been through the most profound reforms in our history. Indeed, they have had to navigate through new extremes in drought and flood and deal with the increasing risk from more complex water sources.

Without these, many towns and cities may have run dry.

But the world in which water is managed continues to change, and there is unfinished business from the National Water Initiative. Now is not the time to rest on our past achievements — the drivers may have changed but new issues can and will continue to emerge.

A loss of focus on the National Water Initiative would be an enormous lost opportunity for ongoing co-ordinated, co-operative water management in Australia.

— Stuart Khan Associate Professor in Environmental Engineering at UNSW Australia ● This article appeared in www.theconversation.com and is reproduced with permission.

‘Water Talk’, November, 2014—PAGE 9

water talk

River levels to fluctuate ommunities along the Murray River C between Echuca and Sunraysia have been reminded to consider adjusting

Loddon Vale Landcare group president Laurie Maxted and G-MW Loddon Valley customer service manager David Currie with a disused dethridge wheel.

Wheel protection oddon Valley farmers have found a L new way to protect the precious trees regenerating on their properties.

Thanks to a donation by Goulburn-Murray Water, members of Loddon Valley Landcare Group are using old dethridge wheels as tree guards.

Landcare group president Laurie Maxted said the old wheels were perfect protection for juvenile trees because they couldn’t be moved or broken by stock and pests. ‘‘We approached G-MW to see if it was possible to get the unused wheels to enhance the environmental aspects of our area and put them to good use as tree protection,’’ Mr Maxted said. ‘‘All farmers have trees coming up and if you don’t protect them, stock will eat them off. ‘‘It’s always better for trees to naturally regenerate . . . They’re tougher and you don’t have to water them constantly like

you do tube stock.’’

Mr Maxted said trees were important in the Loddon Valley area for many reasons — including habitat for native animals and shade for stock.

He said the lower water table and reduced salinity in the area also meant trees were regenerating in natural swamp land — which was another environmental benefit.

G-MW Loddon Valley customer service manager David Currie said the water corporation was only too happy to help the local Landcare group.

He said the wheels had been pulled out of channels and replaced with automated gates as G-MW’s $2 billion Connections Project was rolled out in the area. ‘‘G-MW knows how important the work of our local Landcare group is to the region and we were happy to help them out,’’ Mr Currie said.

their activities as river levels start to vary this week until December.

The changes are occurring as water enters the Murray from the Goulburn River following the release of two environmental water pulses from Lake Eildon.

The Murray-Darling Basin Authority said the first pulse had begun to enter the River Murray at Echuca.

As the water moves along the river, levels will rise and remain higher for three to four weeks, before receding.

If conditions remain dry, levels at Echuca could rise by about 0.5 m, to 87.4 m, and downstream of Torrumbarry Weir the river was forecast to reach a peak —about 4 m at the gauge — at the end of October.

The second pulse is expected to increase flows at Echuca in late November.

River users between the Echuca district and the upper reaches of the Mildura Weir pool need to be aware that levels will fluctuate noticeably during this period and should adjust their activities, pumps and moorings accordingly.

The authority said the environmental pulses would use Commonwealth Environmental Water Holder allocations to benefit fish spawning and vegetation on the Goulburn River, as well as supporting downstream watering actions throughout the mid Murray, lower Murray, Lower Lakes and the Coorong.

In addition to the environmental water, the pulses will also include delivery of some water traded from the Goulburn Valley to the Murray River.

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PAGE 10—‘Water Talk’, November, 2014

water talk

Proven profitable he Waterpool Trading T co-operative has ended its first full year with a $57 000 profit.

The business was set up about 18 months ago by a group of Goulburn Valley irrigation farmers who took over the previous Watermove pool trading system.

The co-operative’s annual report shows a total revenue of $658 000 for the year ended June 30, 2014, earned on 46 pooled exchanges.

A total of 69 112 Ml was traded, with an average price of $64.

The value of annual water trading transactions exceeded $16.9 million.

Chairman Terry Hehir was re-elected and new director Margot Henty from Cohuna joined the board.

Mr Hehir said a dividend was not being paid and the profit earned would be retained to grow the business. ‘‘The purpose of the business is not to create a profit, but this organisation does not deliver on its imperatives unless it is profitable. ‘‘The new trade room, for example, would not have been possible without a business delivering a profit. ‘‘We are in the second

year of a five-year plan and this trade room was part of it.’’

The annual general meeting coincided with the launch of Waterpool’s new 24/7 trading platform which will allow irrigators to buy and sell water without waiting for the weekly pool.

Mr Hehir said it was a change for Waterpool and the industry. ‘‘There is a mechanism now which gives far greater flexibility,’’ he said. ‘‘The pool model became absolutely trusted; the industry bench mark. ‘‘But the new trade room is a step change in that while it retains the integrity and transparency of the pool, every single trade of water that goes through Waterpool will continue to be logged for the whole irrigation community to be able to view — whether that’s the amount of water or the price.’’

Asked if the faster turnaround could influence buyer behaviour and price, Mr Hehir said Waterpool was predicated on its capacity to provide a benchmark for the industry. ‘‘It was an absolute consideration that it did not corrupt that mechanism. ‘‘We believe that by bringing greater trade into

Waterpool chairman Terry Hehir. The new trade room is part of Waterpool’s fiveyear plan. the Waterpool business with a unique mechanism to allow water to come from the trade room into the pool, it has the capacity to increase the volume of the pool. ‘‘When the critical mass of the pool becomes greater, the integrity of the figure that comes out of there each week is strengthened.’’

Waterpool had 693 members at the end of the past financial year.

The directors are Peter Fitzgerald, Doug Fehring, Peter Mulcahy, Hank Bruger, Terry Hehir and Margot Henty.

Survey Design Irrigation

Town planning and planning permit applications

From left, new business manager Julie Brack with administrators Alessandra Petrie and Karen Boyd.

Project comes to fruition lthough the Advance A Computing company has created many

software applications in different industries, this project was unique because of the multiple third parties involved.

Senior software developer Bryant Alford said the company’s people worked with DEPI and graphic designers, as well as integrating Waterpool’s existing customer management system. ‘‘This project is making use of the latest cloud technologies from Microsoft and is hosted on the Microsoft Azure platform in Australia.’’

A team from Advance Computing worked on the project for about 12

Advance Computing’s Bryant Alford looks over the new software with Waterpool’s Peter Lawford. months and set it running after testing with DEPI and Waterpool’s existing customer system.

Prior to the official launch on October 23, the system was also tested by some of Waterpool’s directors.

Advance Computing also upgraded Waterpool’s

whole website using Microsoft technology.

The company is a custom software development and IT support business employing 28 staff, with branches in Shepparton, Echuca and Bendigo.

Its three directors are Mark Schumann, Chris Motton and John Martin.

Choke trade restricted estrictions on water R trade from above the Barmah Choke to below

the choke came into effect on October 28, to protect delivery of downstream water Our professional team are able to assist in the preparation entitlements.

Trade downstream can and lodgement of planning applications with local councils only occur if upstream trade of the same or greater net volume has already Onleys also specialise in permits for: occurred.

Entitlement holders > Land development > Dwellings downstream of the choke can continue to trade > Subdivision > Earthworks allocations upstream. This will create more opportunities for downstream trading through the choke.

‘We are your complete land development professionals’ Murray-Darling Basin Authority’s River Management executive SHEPPARTON director David Dreverman said the restriction was to 5 Telford Drive, Shepparton prevent water trades from Phone: (03) 5821 7171 making additional demands on the channel capacity at Email: mail@onleys.com.au the choke. www.onleys.com.au ‘‘We’ve made this decision following an assessment of current SURVEY DESIGN IRRIGATION SURVEY DESIGN IRRIGATION SURVEY DESIGN IRRIG water resource and

operational conditions,’’ Mr Dreverman said. ‘‘At the moment it’s very dry and the dry conditions are forecast to continue — that means we’re probably heading into a period of high demand for water entitlements. ‘‘Furthermore, there are reasonable water allocations currently available and most water is stored in our major storages upstream of the choke, meaning there will be heavy demand on the channel. ‘‘There’s also no ability to draw on water from the Menindee Lakes. ‘‘So, to protect delivery of existing entitlements, it’s necessary to re-instate the trade restriction. ‘‘Water planning for summer is now relying on meeting downstream demands by drawing water from the Goulburn and Murrumbidgee rivers, and using the Mulwala Canal and its escapes to bypass the choke.’’

Water is available to be called from the Goulburn

and Murrumbidgee rivers as a result of earlier trades.

Mr Dreverman said the authority would continue to monitor the situation and if circumstances allowed, the restriction would be relaxed. ‘‘This restriction reduces the risk of excessive demands on the channel, but very high temperatures and hot wind causing excessive evaporation may still pose a risk.’’

The trade restriction across the Barmah Choke has been relaxed since the 2007-08 water year because the conditions in recent years have limited risks to channel capacity.

Trade in (permanent) water entitlements from above to below the choke remains restricted, in accordance with the rules of the basin governments’ Murray-Darling Basin Agreement.

Basin states will be working with the authority to track trades through the choke and determine trade opportunities.

‘Water Talk’, November, 2014—PAGE 11

water talk

Murrumbidgee Valley water trade halted eneral Water acting G deputy director Michael Bullen has

announced the closure of trades out of the Murrumbidgee Valley.

This step is necessary to manage the inter-valley trade (IVT) account that has seen more than 50 000 Ml traded out of the valley in just two weeks, causing the IVT to reach 150 000 Ml, which is well beyond its normal operating range. ‘‘This rate of trade-out is far in excess of the rate at

which the corresponding water can be physically delivered out of the valley,’’ Mr Bullen said. ‘‘Trade out of the Murrumbidgee Valley will only be re-opened once there is a degree of flexibility within the normal IVT account operating range of up to 100 000 Ml. ‘‘Allocation trade into the Murrumbidgee valley and within the valley is not affected. ‘‘It is important that trade water is delivered efficiently

‘

This rate of trade-out is far in excess of the rate at which the corresponding water can be physically delivered out of the valley

’

General Water acting deputy director Michael Bullen to ensure that there are no third-party impacts.’’

Mr Bullen also confirmed the re-introduction of the

trade restriction across the Barmah Choke in the Murray River by MurrayDarling Basin Authority. The

restriction had been relaxed since 2006-07.

The amount of downstream trade across the choke will be limited by the amount of trade moving upstream. ‘‘While trade can continue across the choke, it is limited to there being no net increase in trade from upstream to downstream across the Barmah Choke. ‘‘Applications for trade can be made as usual with State Water; however, it is important to note that the

Murray-Darling Basin Authority will manage the trade capacity on a day-today basis and ensure that the trade rules are adhered to by jurisdictions,’’ Mr Bullen said.

The re-introduction of the Barmah trade restriction is essential to protect delivery of existing entitlements. ➤ Additional information on Available Water Determinations can be found on the NSW Office of Water’s website at www.water.nsw.gov.au

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A plan is being developed to guide activities at Kow Swamp.

Plan is closer plan to guide how A Goulburn-Murray Water and other agencies

will manage activities on and around Kow Swamp is one step closer.

G-MW’s dams manager Martina Cusack said the comment period on the draft Kow Swamp Land and On-Water Management Plan closed on October 17. ‘‘We’ve been receiving feedback on the draft plan from the community and agencies over the past few months,’’ Ms Cusack said. ‘‘This input and the views and ideas shared at the community meeting held at Leitchville on October 8 with representatives from the local community, progress associations, landcare, landholders, service organisations, Field

and Game Australia, as well as a local councillor and G-MW, have proved invaluable.’’

Mr Cusack said meeting participants endorsed the proposed vision for Kow Swamp as ‘‘An actively managed storage servicing customer water supply demands and the cultural heritage, ecological and recreation needs of stakeholders’’. ‘‘The group felt there should be increased representation of community on the proposed implementation committee, identified the need for a section on birdlife to be included as a critical value of Kow Swamp and supported proposed actions to address issues associated with cultural

heritage, land management, water quality, healthy ecosystems and recreation and tourism.’’

Ms Cusack said the project reference group would update the draft plan

by October 29. It would then be available on the G-MW website for review before it was endorsed by the G-MW board. ‘‘Similar plans have been developed for other G-MW water storages and have been incredibly useful in helping prioritise activities, seek funding, keep agencies accountable and provide transparency around processes,’’ she said. ➤ For more details on Kow Swamp visit www. g-mwater.com.au

Transfer delivery under way elivery of inter-valley D transfer water from the Goulburn to the

Murray system started on October 25.

Goulburn-Murray Water’s River Operations manager Andrew Shields said the transfer would open up trading opportunities in the Murray system. ‘‘Allocation trade into the Murray system has been limited for most of this season as the 200 Gl trade limit had been reached.

About 70 Gl will be transferred to the end of November,’’ Mr Shields said.

Transfers from the Broken

system will also occur during this period.

Allocation trade out of the Broken system was introduced for the first time this season but has been restricted due to the 1.5 Gl limit being reached.

When the Broken intervalley transfers start, this will provide the opportunity to open up further trade opportunities for Broken system allocation holders.

Customers participating in the water trading market can monitor trade availability on the Water Register website at waterregister.vic.gov.au/

water-trading/allocationtrading G-MW provides information about releases at its Managing Water Storages web page which is updated daily at http:// www.g-mwater.com.au/ water-resources/ managing-water-storages The information includes a forecast for up to seven days of releases from storages. These forecasts may change due to rainfall and downstream flow requirements. ➤ If you have any queries about the river operations phone G-MW on 1800 013 357.

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PAGE 12—‘Water Talk’, November, 2014

WATERPOOL CO-OP TRADE LIVE 24/7 We have a brand new website with all the information you want about water.

The ever-popular Pooled Exchange is there but now with an added bonus of an online traderoom, which means you have double exposure in buying or selling allocation water.

Waterpool Co-op’s brand new website incorporating online traderoom is easy to navigate, a breeze to register and if you get stuck on anything we are here to help you.

“It’s great to trade with a farmer owned co-operative.”

Get online at www.waterpoolcoop.com.au and see it for yourself!

147 Fenaughty Street, Kyabram Ph: 03 5853 2333 Fax: 03 5853 2111 Email: admin@waterpoolcoop.com.au www.waterpoolcoop.com.au

Co-op