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BARWON-DARLING WATER

29th March 2019

Mr Bryce Wilde

Executive Director

Natural Resources Commission

Level 6, 52 Martin Place

Sydney NSW 2001

Dear Mr Wilde

Review of the Barwon-Darling Unregulated and Alluvial Water Sharing Plan 2012

Thanks for the opportunity to make a submission to this review.

We are keen to have input to the relevant issues, and many of these are covered in the attached

document, “Barwon-Darling 101 – Understanding the unregulated Barwon-Darling River and

its water users”, which we have recently updated.

However, there are several issues we wish to highlight, as follows:

Confusing number of concurrent reviews

Firstly, we are concerned that the review has been brought forward at a difficult time when

other reviews are being held simultaneously. Our water sharing plan is currently being

reviewed by the Barwon-Darling Stakeholder Advisory Panel (SAP), and the NSW Water

Reform Taskforce is also working on issues relating broadly, and specifically, to the Barwon-

Darling Water Sharing Plan (BDWSP).

We fear that several reviews running simultaneously could confuse and prejudice the outcomes

for water users on the Barwon-Darling.

Our plan appears to be blamed for Menindee fish deaths – will the review be fair?

Secondly, we are concerned that this review is being held in a very difficult political

environment of a deep and sustained drought throughout the northern basin, including long

periods of no flow and low flows in most northern basin rivers, and the consequent disaster for

many water users along and below the Barwon-Darling, including the infamous fish kills at

Menindee Lakes.

We are very concerned that the plan we operate under, has been so publicly associated with the

fish kills at Menindee, rather than approaching this review in a balanced way.

The Commission says on its website that “this review has been brought forward because of the

recent fish kills in the Darling River and high public interest in the way that this (Barwon-

Darling) water sharing plan is operating”.

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It appears that the publicly available material on the NRC website may influence submissions

to the inquiry and influence consideration of matters raised. There is a lot of anger, confusion,

political mischief and misinformation surrounding the fish kills and suddenly we have been

publicly thrown into this crucible of public opinion as possible suspects.

Barwon-Darling irrigators have not been able to pump water for over 12 months, our members

have given up water when it has been available, and we are not responsible for the rate of

release of water from Menindee Lakes or climatic factors that led to deoxygenation of the river

at Menindee. We too are victims of the drought, and we do not want to be treated as scapegoats

for the fish deaths at Menindee; or for the drought and lack of tributary inflows generally.

We are justifiably concerned that this review puts an unfair focus on the Barwon-Darling in

relation to these matters, and we would like the opportunity to review all the ministerial or

departmental paperwork that has triggered this review before we finalise all our submissions.

It is not unusual for the small irrigation industry on the Barwon-Darling to cop the blame for

accumulated hydrological and other impacts that are created throughout the total northern

basin, and in the Lower Darling

This subject was addressed recently in the “Independent Assessment of the 2018-19 Fish

Deaths in the Lower Darling” prepared by Professor Rob Vertessy and his independent panel.

The following is acknowledged on page 26 of the Interim Report: “Extractions in the Barwon–Darling have been found to represent a small proportion of tributary

system inflows, even when inflows are small such as in 2017-18 (Figure 10). The analysis of

extractions, mid-system flows, and tributary inflows into the Barwon–Darling suggests that the majority of impacts from extractions on Menindee inflows, and therefore Menindee Lake volumes, are from

tributaries above the Barwon–Darling and not the Barwon–Darling itself”.

With this happy analysis of Barwon-Darling impacts, we wonder why the focus has been

thrown on the Barwon-Darling Water Sharing Plan and Barwon Darling water users?

In any case, the review puts an unfair focus on the Barwon-Darling specifically at a difficult

time. We therefore trust that the outcome of any review will not prejudice planning outcomes

that affect our members unfairly.

This is an important point as Barwon-Darling water users often cop criticism for flow impacts

because impacts are often observed in the Barwon-Darling, but are certainly not due to

irrigation activity in the Barwon-Darling. Hence, Barwon-Darling water users should not be

singled out for unfair commentary for the the cumulative impact of diversions in the north.

Protection for the Environment

The Barwon Darling Water Sharing Plan 2012 sets out to find a balance in providing water for

the environment and water for consumptive purposes, including irrigation.

To this end, the Barwon-Darling Water Sharing Plan, provides a high degree of protection to

the environment, given it protects on average 94% of annual flows, allowing just 189Gl of

extraction attached to irrigation licences and held environmental water (HEW) licences.

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We understand that here is no other major river in the NSW portion of the Murray-Darling

Basin that has that degree of protection for the environment (aside from the Paroo River that

has no development ay all).

Our members believe that a major focus of this review should be to find a way to allow water

entitlement holders to take their plan limits (when flows are available), rather than attempting

to reduce allowed plan irrigation limits any further.

In the six years since the Barwon Darling Water Sharing Plan was introduced (October 2012)

average use to date has been well the expected long-term average use of just 111,000 per

annum. If you throw in the current water year where there have been virtually no extrations at

all, the average figure is much less.

Our figures have been sourced from the NSW Water Registry data for the Barwon –Darling,

and we concede that six years is a very short period for averages, given the extremes of water

availability on the Barwon-Darling.

The point is well made though, that irrigators on the Barwon-Darling are using much less than

the long-term SDL/Cap/Plan limit average of 189Gl.

This underuse on the Barwon-Darling is further highlighted by the cumulative cap credits for

the Barwon-Darling/Lower Darling being 635Gl. That simply means that over the period since

the introduction of the Barwon-Darling Cap Management Plan in 2007, cumulative extractions

are lower than cap limits by 635Gl.

Scope of the NRC Review This submission represents the views of the members of Barwon-Darling Water Inc in response

to the review of the Barwon-Darling Unregulated and Alluvial Water Sources 2012.

It appears that the Minister, in his letter that now appears on the NRC website, has linked the

Barwon-Darling Water Sharing Plan 2012 with the recent fish kill events at Menindee and the

Lower Darling.

Under section 43A of the Water Management Act 2000, we believe that the Natural Resources

Commission (NRC) has a statutory obligation to review all water sharing plans prior to their

conclusion and make recommendations as to whether changes are required. Water sharing

plans contribute to environmental, social and economic outcomes for each region and set out

rules for sharing water to balance the needs of all users, including the environment.

We understand that an NRC review is normally conducted just prior to a plan ceasing, to

inform the Minister whether to renew the plan or make amendments. The Barwon Darling

Water Sharing Plan is a ten-year plan that ceases some years from now – in 2022.

It appears that, given the publicity around the Menindee Fish kills and “high public interest in

how the Barwon Darling Water Sharing Plan is operating” the NRC review has been brought

forward by three (3) years.

We also understand that the review will focus on:

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the extent to which water sharing provisions in the plan have contributed to the

achievement of, or the failure to achieve, environmental, social and economic outcomes;

identifying whether changes to these provisions are warranted; and

Water source connectivity in recognition of the connected nature of the waterways of the

northern Basin.

Again, we wish to express our concern that water users on the Barwon-Darling are being

unfairly targeted because of drought, and management issues in Menindee Lakes and the

Lower Darling. We warn against any biased or prejudicial outcomes of the review based on

this unfair “blame game”.

Our comments on the Barwon-Darling Water Sharing Plan 2012

Much of the material we wish to submit is covered in the attached document – “Barwon-

Darling 101”. However, there are some issues we wish to highlight here.

We believe that, under the long term scenarios anticipated by modelling scenarios underlying

the plan, the BDWSP goes a long way to meeting its objectives, and that it does align with the

objectives of the Water Management Act 2000.

But there could be more focus on plan implementation issues that would contribute to better

social and economic outcomes.

We are disappointed that during the early implementation phase there was little departmental

and regulatory attention to detail. Despite our constant representations – in the five years

following the making of the plan there were four issues that were neglected or forgotten:

1. The Individual Daily Extraction Limits (IDELs) which were supported by all

stakeholders) were not implemented. We now have a mess to clean up;

2. The various department involved in compliance dropped the ball, and did not continue

with the metering, measurement and compliance activities of previous years;

3. The promised work on recalibration of the Barwon-Darling meters from the old Time &

Event meters to modern volumetric meters. This work has still not been commenced

even though it is critical to complete the Barwon-Darling cap model; and

4. There was little public explanation of the plan when it was first legislated. Government

was silent about the few changes under the Plan and changed operations under the new

Water Management Act 2000. This problem continues today.

With the proper implementation of these elements, the BDWSP can better contribute to

environmental outcomes (through the IDELs), to the social and economic outcomes (the pump

recalibration issue) and social wellbeing is always supported by community information

programs that explain element of plans to manage water and other natural resources.

The metering and compliance issues are now being cleaned up by the new metering policy and

the creation of NRAR, but a lot of heartache in industry and government could have been

avoided if the money collected from our members for metering and compliance had been

devoted to continuing the robust system, we had pre-2009.

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Better public explanation of the BDWSP 2012 would have also avoided some of the

misinformation being promoted today.

Over many years, there have been several important reforms on the Barwon-Darling that have

been guided by the principles of ecologically sustainable development, and these reforms have

sought to protect, enhance and restore this water source and associated ecology, biodiversity

and water quality.

These things have been achieved by several controls already in the plan, including the

protection of low and very low flows by the commence to access rules that provide for

threshold flows before pumps can be activated, and the long-term average annual extraction

limit set by the Plan. It is also important to note that the Barwon-Darling Cap Management

Strategy remains in place as a control on long term extraction.

Most of these reforms captured in the BDWSP are part of previous reforms such as the

environmental flow package and the Barwon-Darling Cap Management Strategy.

The Barwon-Darling Unregulated River Water Sharing Plan 2012 is the first water sharing

plan for the Barwon-Darling, and it commenced after consultation with all stakeholders,

including Barwon-Darling Water (representing water users), indigenous groups, environmental

groups, various state agencies including fisheries & environment, and local government.

The plan provides the legal basis for water sharing on the Barwon-Darling. It integrates the

Environmental Flow Rules and Cap Management Rules. Under the Water Management Act

2000, this sharing plan protects the water source and its dependent ecosystems and protects

basic landholder rights. Sharing or taking of water under any other right must not prejudice

these rights. Water sharing rules in the plan include:

Environmental water rules – the share of water (94%) reserved for the environment;

Long-term average annual extraction limits to prevent growth in use;

Access rules – to determine when extraction is allowed (above set flow rates); and

Dealing rules, which govern water trade.

The health of the Barwon-Darling depends on floods, medium and high flows, low flows and

dry spells. Scientists say these wetting and drying cycles are important for river health. The

flow rules are designed to protect the full range of flows that are critical to river health.

In a review leading up to the plan’s adoption, the NSW Government’s Interagency Regional

Panel and NSW Office of Water noted in their recommendations that:

“A review of environmental monitoring and associated research of the flow access thresholds

adopted in 2000/01 revealed that these thresholds have and will continue to deliver in-stream

environmental benefits for the Barwon-Darling River.”

And recent hydrological and other reports recently provided to the Barwon-Darling

Stakeholder Advisory Panel (SAP) have found no concerns in relation to how the plan is

operating to address environmental concerns.

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Several issues have been addressed by these reports, including A class access, options for the

300% annual take limit (when flows are available), end-of-system flow analysis, and pumping

thresholds – and all these issues have been ticked off as not having the undue environmental

impact that others imagine.

The current water sharing plan establishes five flow classes - very low flows, low flows, A

class flows, B class flows, and C class flows - to protect the range of flows.

All irrigation licences in the Barwon Darling are subject to “start and cease to take” rules that

are based on these flow classes. These rules do not apply to licences for town water supplies or

basic landholder right (stock & domestic).

With the introduction of Sustainable Diversion Limits (SDLs) for the Murray-Darling Basin

Plan, the Barwon Darling irrigation SDL was set at the average annual long-term cap of 189GL

(previously 523GL) less another 6GL local reduction under the Basin Plan. So far, the SDL

reduction has been 32.6GL – more than 5 times the original reduction target.

As the recent Interim Report into Fish Deaths at Menindee by Professor Rob Vertessy notes:

“Extractions in the Barwon–Darling have been found to represent a small proportion of tributary

system inflows, even when inflows are small such as in 2017-18 (Figure 10). The analysis of

extractions, mid-system flows, and tributary inflows into the Barwon–Darling suggests that the majority of impacts from extractions on Menindee inflows, and therefore Menindee Lake volumes, are from

tributaries above the Barwon–Darling and not the Barwon–Darling itself”.

This fact is underlined in the Barwon-Darling Water Sharing Plan 2012 – the proportion of

water diverted for productive use is quite small, and the long-term commitment to water for the

environment is quite large – planned environmental water is said to be 94%, as follows:

Extract from Barwon-Darling Unregulated Water Sharing Plan: Water Sharing Plan for the Barwon-Darling Unregulated and Alluvial Water Sources 2012 Current version for 1 January 2015 to date (accessed 24 July 2017 at 12:41) Part 4 Clause 17 17 Establishment and maintenance of planned environmental water (b) it is the long-term average annual commitment of water as planned environmental water in: (i) the Barwon-Darling Unregulated River Water Source that results from the application of the long-term average annual extraction limit and compliance rules as specified in Division 1 of Part 6 of this Plan and the available water determination rules as specified in Division 2 of Part 6 of this Plan, Note: At the commencement of this Plan the long-term average annual commitment of water to the environment in the Barwon-Darling Unregulated River Water Source has been estimated to be 2,607 gigalitres per year made using the Barwon-Darling IQQM with system file LT92_30.sqq. This equates to approximately 94% of the long-term average annual flow in this water source.

Some say that this is based on averages and that there are some outlier years of inflows that

skew the result.

However, in its report “Water resource assessments for without-development and baseline

conditions – supporting information for the preparation of proposed Basin Plan 2011”, the

MDBA notes on page 26 that:

“The Barwon–Darling system gets contributions from various tributaries, which have a gauging station

near their confluence with the Barwon–Darling system. However, during flood events significant

volumes of water can bypass these gauges and are then only measured at the gauging stations on the

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Barwon–Darling system. The volume of water that bypasses these tributary gauges can comprise a

significant proportion of total Barwon–Darling inflows during high flow periods.

And even more importantly:

“The baseline inflows into the Barwon–Darling system are affected by developments in all upstream

river valleys; therefore, reductions in end-of-system flows are due to the combined effect of upstream valley developments and developments in the Barwon–Darling system itself. Under baseline conditions,

diversions in the Barwon–Darling system are 7% of its inflows. (our emphasis).

The MDBA figures on the light impact of diversions in the Barwon-Darling are very similar to those

provided in the Barwon Darling Water Sharing Plan.

It is also interesting to note that the major tributaries of this major river all divert significantly more, in

percentage of inflows, than is diverted in the Barwon Darling itself, further underling observations in

the Vertessy Fish Death Report.

The corresponding figures for each major tributary are – Culgoa-Balonne 42% of inflows diverted,

Moonie (22%), Border River (20%), Gwydir (32%), Namoi (14%), and Macquarie (14%). In the

southern area the Murray diverts 25% of inflows, the Lachlan (20%) and the Murrumbidgee 42%.

NRC advice to the Minister re the Barwon Darling WSP

Because of the facts included in this submission, we respectfully request that Natural

Resources Commission advise the Minister that:

1. Barwon-Darling water users have a very light impact on flows in the Barwon-Darling, with

the greatest impact of flows arising from drought, and from cumulative diversions in the

various tributaries of the Barwon-Darling;

2. The current Barwon-Darling Water Sharing Plan reflects and complements the episodic

nature of this large unregulated system;

3. In recent years a lack of flows caused by drought has restricted water availability. Drought

has been the biggest hurdle in realising the environmental, economic and social objectives

of the Barwon-Darling Water Sharing Plan.

4. A lack of available water has had the effect of constraining the Barwon Darling Water

Sharing Plan; and thus, the plan has not reached its potential in any objective. Given the

long-term nature of the planning and modelling that underlies the plan, and the current

extraordinary dry period, this is not surprising. By comparison, in the three years prior to

the plan coming into force (2009/10, 2010/11 and 2011/12) the plan would have met all its

objectives as there were large volumes of water flowing down the system to meet all

environmental, economic and social needs, and connectivity was not a problem;

5. The recent lack of inflows to the Barwon-Darling, due to drought, is the major cause of

lack of connectivity within the Barwon-Darling and restricts connectivity with the upstream

tributaries and downstream to Menindee Lakes and the Lower Darling. Recent drought

reports from WaterNSW regarding streamflow and inflows to northern basin dams confirm

this lack of flow and resultant lack of connectivity;

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6. Irrigation diversions are significantly below cap levels, SDL limits and limits set out in the

Barwon Darling Water Sharing Plan;

7. Over the past 20 years, water available for irrigation diversions on the Barwon-Darling has

continually declined. Claims that the Barwon-Darling Water Sharing Plan 2012 has

allowed irrigation farmers to use more water are demonstrably untrue. Due to drought and

constant reforms, irrigation farmers now have less water than ever before.

8. There is a need for public information about water sharing plans, including the Barwon-

Darling Water Sharing Plan 2012. For unknown reasons there is a lack of understanding of

the Barwon-Darling Water Sharing Plan, and how it works – especially downstream of the

Barwon-Darling. This lack of understanding – which appears to be malicious in intent and

politically motivated, has serious impacts on irrigator families and irrigation-dependent

communities, including mental health issues and social isolation. Sometimes these impacts

are a result of direct bullying, public vilification of farmers and vilification by media.

Community education programs are needed to promote community confidence in the

planning process, to explain the impacts of climatic extremes like drought, and to avoid

uninformed pressure groups calling for ill-considered policy decisions that can have severe

social and economic impacts on rural communities.

These and other matters are discussed further in the attached paper.

Yours sincerely

for Barwon-Darling Water Inc

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BARWON-DARLING WATER

March 2019

Barwon-Darling 101

- Understanding the unregulated Barwon-Darling River and its water users

Introduction

The first thing that needs to be acknowledged about water use on the Barwon-Darling River is

the very small impact that irrigation diversions within the Barwon-Darling system have on

flows within the Barwon-Darling.

The main impacts on flows in the Barwon-Darling are due to dams and diversions in the

tributaries, which also contribute the lions share of water to the Barwon-Darling under natural

conditions.

This fact is attested to by the most recent scientific and hydrological report looking at impacts

in the northern basin – in the “Independent Assessment of the 2018-19 Fish Deaths in the

Lower Darling” prepared by Professor Rob Vertessy and his independent panel.

The following is acknowledged on page 26 of the Interim Report:

“Extractions in the Barwon–Darling have been found to represent a small proportion of tributary

system inflows, even when inflows are small such as in 2017-18 (Figure 10). The analysis of extractions, mid-system flows, and tributary inflows into the Barwon–Darling suggests that the majority

of impacts from extractions on Menindee inflows, and therefore Menindee Lake volumes, are from

tributaries above the Barwon–Darling and not the Barwon–Darling itself”.

This is an important point as Barwon-Darling water users often cop criticism for flow impacts

because these impacts occur on the Barwon-Darling

But looking at the facts, these flow impacts are not due to irrigation activity in the Barwon-

Darling. Hence, Barwon-Darling water users should not be singled out for unfair commentary

for the the cumulative impact of diversions on the tributaries.

It is not unusual for others to blame Barwon-Darling water users for impacts in the Barwon-

Darling, when these flow-related impacts are the result of diversions in upstream tributaries.

This is not a criticism of upstream diversions, but rather a statement of fact. The footprint of

Barwon-Darling irrigators and other water users is very light in the total scheme of

environmental impoacts in the Barwon-Darling River system.

And the Barwon-Darling Water Sharing plan 2012 reflects this fact, and ensures that the

environment and downstream users are not unfairly impacted by instream diversions.

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Barwon-Darling Water

Members of Barwon-Darling Water Inc have been involved in the water reform process,

especially in relation to the unregulated Barwon-Darling River, for many years.

Barwon-Darling Water is an independent, apolitical body funded by its members. It was set up

to provide advice on the Barwon-Darling River to members and decision-makers, to assist with

policy development, and to advocate on behalf of the interests of its members.

Our membership is made up of local water user groups – including local government, irrigators

and riparian users. We seek to represent all licence holders and water users on the Barwon-

Darling – from Mungindi on the Queensland border to the Menindee Lakes.

Barwon-Darling Water has been deeply involved in water management activities and water

reforms on the Barwon-Darling River over the past few decades. This work has included:

1. Co-operating with other stakeholders to create a set of environmental flow rules for the

Barwon-Darling (through the first Barwon-Darling River Management Committee)

2. Assisting in development of the Barwon-Darling Cap Management Strategy of 2007;

3. Representation in development of the Barwon-Darling Water Sharing Plan 2012;

4. Working with DoI Water on development of the Floodplain Harvesting Strategy; and

5. Working as part of the Stakeholder Advisory Panel on development of the Barwon-Darling

Water Resource Plan 2019.

We have also been involved in discussions regarding the Murray-Darling Basin Plan since the

plan was launched in early 2007.

Barwon-Darling Water is a member of NSW Irrigators Council and the National Irrigators

Council and has strong connections with other valley and industry groups including the

Northern Irrigators Group and Cotton Australia.

The value of irrigation industries on the Barwon-Darling

Since the mid-1960’s the irrigation industry – including the cotton and horticultural industries

have brought an enormous degree of social and economic value to communities along the

Barwon-Darling.

This economic activity and jobs provided by cotton in non-drought times has seen communities

benefit that have been hit by a turn down in the pastoral industry, withdrawal of government

services from smaller towns and loss of population.

For example, in 2001 Hasall & Associates carried out a study on the value of the cotton

industry in the Bourke area. The study found that, on average, cotton was responsible for 700

full time jobs in Bourke and $70m of agricultural output.

This output is doubled when you take account of the rest of the Barwon-Darling irrigation

industry on the Barwon River, from Mungindi to Brewarrina.

Through water buybacks, water reform generally and drought, this figure is much lower today,

but these facts underline the enormous positive social and economic benefiit of the cotton

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industry to small, struggling outback communties. The cotton farms, cotton gins and related

industries and commerce have served to strengthen the Bourke community – and this applies to

other towns on the Barwon-Darling like Mungindi and Walgett.

The small town of Collarenebri – just east of Walgett – is a good example of what happens

when you take water away from a rural community. When all of the water was purchased from

Colly Farms under the Basin plan buybacks, the town’s economy and population declined

dramatically.

This is all documented in the MDBA Northern Basin Review, which makes sobering reading.

The same thing happened at Bourke when the water from Toorale station was purchased. The

owners received a pyment for the water and were compensated, but the Bourke community

continues to suffer the losses in jobs, contract work and commerical activity. The local council

also lost rate revenue. It is difficult to compensate a community for the loss of jobs and

prosperity when productive water is taken away.

Regulation of water diversions through the water sharing plan

The Barwon-Darling is an unregulated river in the sense that it does not have a headwater dam

from which to regulate the downstream flows.

But irrigation on the river is highly regulated by volumetric limits, cease to pump thresholds,

access licences & works approvals, a cap on diversions, and environmental flow rules. All

these elements of regulation are a captured in the Barwon-Darling Water Sharing Plan 2012.

Our members believe that all stakeholders, and the Australian community, must be able to have

confidence in the management of our water resources. There should be a sustainable balance

between water that is diverted from our rivers, and the water left in the rivers.

Additionally, diversions should be overseen by a robust metering, monitoring and compliance

system, and all stakeholders should have to abide by the rules.

Over many years, and through many reforms, Barwon Darling Water has argued for a balanced

outcome to ensure the various flow, cap, river and basin plans are fair and workable for all

stakeholders, including the environment. Our members have worked tirelessly with other

groups to assist in development and implementation of various plans, including the Basin Plan.

Barwon Darling Water and its members have always sought balance between environmental

outcomes and the social & economic health of our communities. We are committed to a viable,

productive irrigated agriculture industry that relies on a healthy river.

We have shown a willingness to work with all Governments & stakeholders, to implement the

Basin Plan. We were assured at various times that there would be no more negative impacts on

our communities through implementation of the Basin Plan. This has not happened on the

Barwon Darling where impacts have been much greater than promised.

However, we have continued to engage with NSW and the Commonwealth; assisting with the

implementation of the Basin Plan. We have put our case; we have challenged unfairness at

times; and we have asked for improvements and argued our case.

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Compliance issues

It is not surprising that there have been some problems with the current metering, monitoring

and reporting regime on the Barwon-Darling. Barwon Darling Water has been bringing these

issues to the attention of the NSW Government for more than a decade.

We have a file of correspondence on this issue, and as recently as 2017 were refused an

effective fulltime meter reading service on the Barwon-Darling.

Irrigators on the Barwon-Darling have excellent systems that measure water diversion and use,

and NSW has established compliance systems that now appear to be quite robust. Barwon-

Darling Water Inc has always supported a strong compliance system; and we have addressed

the historical background to metering and monitoring in this submission.

The Barwon Darling River

Before we focus on the issues at hand on the Barwon Darling River, we believe it is important

to know a little about the significance of the river and recent water reforms.

The Barwon Darling River is part of Australian folklore. It is an important part of Aboriginal

legend; the early poets such as Lawson, Ogilvie and Frank Brown wrote about it, and many of

today’s songwriters sing about the Darling and its tributaries.

It is home to several local Aboriginal nations; it was a magnet for the early white explorers; a

highway for our early wool clip and town supplies; a lifeline in times of drought; a place of

deep cultural and historical significance; a beautiful recreational resource for river

communities; and a refuge for wildlife during periods of climatic stress.

The Barwon-Darling is a national icon – a unique, but typical Australian River. It has a rugged

beauty and is robust but sensitive, supporting a large ecological community as well as a

diversity of social, cultural and economic interests.

The Barwon-Darling River includes the Barwon River from Mungindi weir on the Queensland

border to the confluence with the Culgoa River. From this point, the Darling River runs down

to the Menindee Lakes. Major tributaries (which also form part of the Barwon-Darling) are the

Paroo, Warrego, Culgoa-Balonne, Moonie, Weir, Macintyre, Gwydir, Namoi, Castlereagh-

Macquarie and Bogan Rivers.

Our Barwon Darling communities have always expressed the need to maintain a healthy river

while utilising the river’s water resources for social, cultural and economic well-being. We all

want to see the maintenance of:

Native fish, flora and fauna

Town water supplies

The cultural significance of the river

Recreational access to the river

The beauty of the river for locals, and as a tourist attraction

The pastoral and irrigation industries of the river region; and

Economic development and healthy working communities.

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Finding a balance for all these values and interests is the job of the Barwon-Darling Water

Sharing Plan and is sometimes a difficult balancing act. However, we must continue to find an

acceptable balance as circumstances change.

Too much economic development – both upstream and within the Barwon Darling – will affect

the riverine environment. On the other hand, returning too much productive water to the

environment will, severely affect the fragile regional economies of irrigation-dependent

communities in this remote and arid part of New South Wales.

Barwon Darling Water has been a big part of the discussion in trying to find this balance over

many years. We have worked with successive governments and various stakeholder to

implement the major water reforms on the Barwon-Darling since the early 1990’s.

History of water management in the Barwon-Darling

There are 4 key elements to the recent history of water management in the Barwon-Darling:

1. Development of the North West Interim Flow Management Plan 1992 to better manage

unregulated flows to protect water quality and fish passage, without significantly impacting

on water users. This plan established target flows at key locations, priorities for river health

and riparian flows, a framework for sharing flows between irrigators, better management of

diversions and improved monitoring & research. The plan included targets for riparian

flows, algal suppression, and fish migration.

2. Adoption of Barwon Darling Environmental Flow Rules: following the COAG water

reforms 1994, NSW introduced water quality & river flow objectives and embargoes on

new licences to meet an agreed cap on Basin water extractions. In 1995 NSW established

an independent Scientific Panel to assess the instream health of the Barwon-Darling River

to identify flows required to reverse environmental deterioration, to assess low flow

environmental water needs, and improve understanding of river ecology. NSW established

a Barwon-Darling River Management Committee – including reps from Barwon-Darling

Water, government agencies, environmental and other community stakeholders – to advise

on flow rules based on the findings of the Scientific Panel. The Committee’s advice on

environmental flow rules of April 1998 was adopted by the NSW Government. These rules

lifted the threshold pumping levels along the Barwon-Darling substantially above previous

levels. For example, the B Class pumping threshold at Bourke was raised from 390

megs/day to 1,250 megs/day. These rules were adopted in 1999/2000 and are included in

the Barwon-Darling Water Sharing Plan of 2012.

3. Introduction of a Cap Management Strategy on diversions from the Barwon-Darling

River to place a cap on long term water diversions and further protect the environment and

downstream users. This cap on diversions was developed by the NSW Government and

various stakeholders. The final plan was documented in a “Heads of Agreement” (HOA)

between the NSW Minister and various stakeholders. This HOA is mentioned in the

documents appended to the original water sharing plan. The cap management rules

included a reduction of licensed entitlements by 65%, plus new carryover and trading rules

and concessional conversions. The Cap Management Strategy, adopted in 2007, was also

included in the Barwon-Darling Water Sharing Plan of 2012.

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4. Barwon-Darling Unregulated River Water Sharing Plan 2012 – this first water sharing

plan for the Barwon-Darling, commenced after consultation with all stakeholders,

including Barwon-Darling Water, Indigenous Groups, Environmental Groups, various state

agencies including Fisheries & Environment, and Local Government. The plan provides the

legal basis for water sharing on the Barwon-Darling. It integrates the Environmental Flow

Rules and Cap Management Rules. Under the Water Management Act 2000, this sharing

plan protects the water source and its dependent ecosystems and must protect basic

landholder rights. Sharing or taking of water under any other right must not prejudice these

rights. Water sharing rules in the plan include:

Environmental water rules – the share of water (94%) reserved for the environment;

Long-term average annual extraction limits to prevent growth in use;

Access rules – to determine when extraction is allowed (above set flow rates); and

Dealing rules, which govern water trade.

Extract from Barwon-Darling Unregulated Water Sharing Plan: Water Sharing Plan for the Barwon-Darling Unregulated and Alluvial Water Sources 2012 Current version for 1 January 2015 to date (accessed 24 July 2017 at 12:41) Part 4 Clause 17 17 Establishment and maintenance of planned environmental water (b) it is the long-term average annual commitment of water as planned environmental water in: (i) the Barwon-Darling Unregulated River Water Source that results from the application of the long-term average annual extraction limit and compliance rules as specified in Division 1 of Part 6 of this Plan and the available water determination rules as specified in Division 2 of Part 6 of this Plan, Note: At the commencement of this Plan the long-term average annual commitment of water to the environment in the Barwon-Darling Unregulated River Water Source has been estimated to be 2,607 gigalitres per year made using the Barwon-Darling IQQM with system file LT92_30.sqq. This equates to approximately 94% of the long-term average annual flow in this water source.

The health of the Barwon-Darling depends on floods, medium and high flows, low flows and

dry spells. Scientists say these wetting and drying cycles are important for river health. The

environmental flow rules are designed to protect the full range of flows that are critical to river

health.

The current water sharing plan establishes five flow classes - very low flows, low flows, A

class flows, B class flows, and C class flows - to protect the range of flows.

All irrigation licences in the Barwon Darling are subject to “start and cease to take” rules that

are based on these flow classes. These rules do not apply to licences for town water supplies or

basic landholder right (stock & domestic).

With the introduction of Sustainable Diversion Limits (SDLs) for the Murray-Darling Basin

Plan, the Barwon Darling irrigation SDL was set at the average annual long-term cap of 189GL

(previously 523GL) less another 6GL local reduction under the Basin Plan. So far, the SDL

reduction has been 32.6GL – more than 5 times the original reduction target.

The Barwon Darling Unregulated Water Sharing Plan is the primary water access regulation

document currently operating on the Barwon Darling River. The plan and a summary sheet of

the plan rules are both available at http://www.water.nsw.gov.au/water-management/water-

sharing-plans/plans-commenced/water-source/bdua

Unregulated Barwon-Darling River

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The Barwon-Darling is the only large unregulated system in the Northern NSW portion of the

Murray-Darling Basin. The term unregulated refers to the fact that the Barwon-Darling has no

headwater dam to capture and release “regulated” water down the river.

Irrigators are subject to similar “rules-based” regulation of their operations as in other valleys.

This includes a licensing and compliance system, regulation by the environmental flow

thresholds (access conditions) and regulation by licence volumes (annual cap and SDL).

Irrigators on the Barwon-Darling build their own off-river storages to allows diversions to be

maximised in the higher flow range where there is least impact. Most water is pumped into

these storages during the high flow range so that water is available on-farm when the river is

running at lower, more environmentally sensitive levels.

The irrigation industry on the Barwon-Darling has been metered for decades – firstly with

Time & Event meters and then with the introduction of MACE volumetric meters.

These MACE meters originally installed by the NSW Water Department at total cost to

irrigators, with the intention of calibrating meter readings along the Barwon-Darling, so that

the Barwon Darling Cap model could be finally calibrated with updated data. Although this

work began in 2002 with the support of our members, it has never been completed, and the

NSW department has never completed the work.

Summary of losses to the irrigation sector under water reforms

Since the mid 1990’s there have been many reforms and changes to rules that have hurt the

irrigation sector in the Barwon-Darling:

the Barwon-Darling River Management Committee work estimated that changing the flow

thresholds was an effective cut of approx 10% in irrigation access in the BD;

The Barwon Darling Cap Management Strategy reduced licensed entitlements on the river

by a massive reduction 65% - 523GL to 189GL;

Recent buybacks of 5 times the targeted Basin Plan figure (6GL to 32.6GL) has inhibited

opportunities for farmers who have lost most of their water in the cap exercise to buy back

to their previous active levels;

Water trade has been restricted by this over-reach in Basin Plan buy back – so much so that

it is a real restriction on trade;

Under the Water Sharing Plan 2012, B class irrigators lost the opportunity to use the

“nothwithstanding” provisions previously attached to their licences, whereby access could

be granted in a tight crop situation if rain has fallen and flows are already in the system.

Approx 140GL has been lost in pumping embargoes in recent years.

These losses have all had devastating social and economic impacts on our local communities.

Since 2012 irrigation has decreased on the Barwon Darling.

MDBA figures since then, show that irrigation diversions on Barwon-Darling have been below

cap in every year, and have averaged 111GL in diversions.

Diversions on the Barwon Darling are very low compared with large flows

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According to the legal instrument that governs water sharing on the Barwon-Darling (the

Barwon Darling Water Sharing Plan) 94% of the long-term average annual flow is reserved for

the environment (see part 4, Clause 17 of the plan). This is confirmed by departmental models.

The remaining 6% is made up of diversions for irrigation, town water supplies, stock &

domestic use and industrial use. This was the situation before the Basin Plan.

Since the beginning of the Basin Plan the Commonwealth government has acquired 32.6GL of

the total 189GL of irrigation entitlement. This will increase the percentage of water reserved

for the environment to about 95%.

These figures are like those figures published by the Murray Darling Basin Authority. The

MDBA says average annual flows through Bourke are 3500GL and the Baseline Development

Limit was 198GL (94% of average flow).

The Barwon-Darling is an episodic, ephemeral, largely-unregulated river which runs very low

and very high flows.

It is either feast or famine, and the irrigation industry has had to adapt by building large off-

river storages to allow the bulk of diversions to be maximised in the higher flow ranges where

there is least impact on the river and downstream users.

The variance in flows is enormous – flows at Bourke vary from zero to 500,000 Ml/day.

Published MDBA figures show that Barwon-Darling diversions account for .5% of all flows in

the Basin and less than 2% of total Basin diversions.

When full, the Menindee Lakes evaporates more than twice the Barwon-Darling cap in 12

months.

Licensing regime

All irrigators must hold one or more Water Access Licences (WAL).

The WAL sets out the number of shares the entitlement holder has in the available water. The

NSW Government determines the amount of water entitlement that can apply to that share on

an annual basis. Normally each share is allocated one megalitre. Under the Water Sharing Plan

there are 189,000 shares.

Water can be diverted only when legislated flow conditions have been reached. The river must

be flowing at certain height thresholds before pumping begins.

These Environment Flow Rules are set out in a rule summary in the plan. Irrigation license

holders must cease pumping when the flow at a gauge is equal to or less than the flow rate

specified for each category of water access licences in the respective zone.

These “flows” are expressed as a flow in megalitres per day through two sets of nominated

river gauges – one upstream of the WAL holder’s access point, and one downstream.

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For example – a B Class WAL holder in the Culgoa River to Bourke management zone can

only pump when the upstream Warraweena gauge is reading flow of more than 1330 Ml/day

and the downstream Bourke gauge is flowing at more than 1250 Ml/day.

For “A” Class WAL holders, the relevant flow rates are 460Ml/day and 400Ml/day, and C

Class holder’s thresholds are 1330Ml/day and 11,000Ml/day.

There are currently approx 210 water access licences on the Barwon-Darling, made up of the

following classes and volumes:

A Class 9,856 shares 113 licences

B Class 131,069 shares 81 licences

C Class 45,746 shares 16 licences

The following shares have been bought back by government under the basin plan (not sure of

the benchmark date as more than 32GL has been purchased.

A Class: 262 shares

B Class: 16,111 shares

C Class: 12,498 shares

This leaves the following shares in productive use:

A Class: 9,594 shares

B Class: 116,958 shares

C Class: 33,248 shares

As can be seen in the rule summary, “A” class water is of higher security but is restricted in

volume; as it can be extracted when river flows are at a lower level compared to “B” & “C”

class licenses. Similarly, C Class licences have a higher “threshold” than B Class licences.

There is also a volumetric limit that applies to each licence.

Under the cap strategy, licensees can “carryover” unused water from any year to future years.

This reflects the episodic nature of the river and recognises that some years will have huge

flows while others will be low flow. In this way diversions are managed into higher flow

events which is better for the environment.

Total extractions are governed by the fact that NSW only credits the cap figure to each WAL

annually, meaning that, even with carryover – the long-term average extraction cannot exceed

the cap limit, the plan limit or the sustainable diversion limit.

To reach these limits on a long-term basis, the Barwon-Darling would have to retain the

original Baseline Diversion Limit and have a perfect water trading system that utilises every

megalitre of licensed water. Both scenarios are impossible.

Protection of Environmental Flows

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Our organisation supports the work currently underway to protect held environmental water in

the Barwon-Darling, and we are unaware of any occasion when environmental water has been

diverted by irrigators on the Barwon Darling.

The most recent flows on the Barwon-Darling have been protected by embargoes (section 324

orders) to ensure that water gets down lower reaches of the river for critical water human water

needs. We have supported these embargoes, but we point out that rather than environmental

water being used for irrigation. These case studies show exactly the opposite – in drought

irrigation access us given up for environmental and other reasons.

Under the legal instruments governing access on the Barwon-Darling – the Water Sharing Plan

and the Water Management Act 2000, irrigators on the Barwon-Darling are restricted by

pumping thresholds and licensed volumes.

Protection of environmental flows on the Barwon-Darling River is already addressed by the

Environmental Flow Rules that are assured by the start and cease-to-pump rules and by

volumetric limits on all licences.

Any further protection of purchased environmental flows in the Barwon-Darling is being

examined by a Barwon-Darling Stakeholder Advisory Committee which is currently

considering the new Barwon Darling River Water Resource Plan. “Shepherding” Trials have

already been held on the Barwon-Darling with the co-operation of Barwon-Darling Water.

Some of the principles of implementation of the Basin Plan and making of the Water Resource

Plans are that:

1. there will be no net reduction in planned environmental water and

2. there is to be no adverse 3rd party impacts on WAL holders; and

3. licences purchased by the environment will retain their original characteristics.

The first principle is not a problem as the environment’s share of average annual flows on the

Barwon-Darling has been permanently increased by 32.6GL and the consumptive pool has

been decreased by the same number. The SDL is now well below the cap of 189GL.

Protection of environmental flows from the public dams in the headwaters of the tributaries,

and extra flows from “held environmental water” (HEW) in the Barwon-Darling can be an

issue because this water can be piggybacked on, or shandied with, ordinary unregulated flows.

It will also cross over the boundaries of different water sources and plan areas.

The separation of environmental components for protection will ultimately require the

implementation of daily event management in the Barwon-Darling – at some cost and effort.

The environmental flow rules and the volumetric limits means that over the long-term, total

allowable take cannot be exceeded, and the total environmental flow is preserved.

Shepherding of very low flows is already in place with the EFR’s and can be extended to HEW

flows at the lower flow levels by use of IDELs (Individual Daily Extraction Limits) that are

already provided for in the plan. The IDELs can be used to manage daily take and allow any

purchased environmental water to flow through.

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The protection of environmental flows is already being addressed in the WRP process, and by

NSW under the Water Reform Taskforce work.

We would encourage these reviews to be wary of recommendations that amend the access rules

of water licence holders as this will trigger significant negative third-party impacts on the

rights of licence holders and lead to social and economic impacts in our communities.

ENDS HERE....