FLINDERS FLINDERS RIVER WATER RIVER WATER DEVELOPMENDEVELOPMEN

T FORUMT FORUM

HUGHENDEN HUGHENDEN November 2008November 2008

Social & Social & Economic Economic Benefits Benefits

StudyStudy

Presentation by Presentation by W S (Bill) CummingsW S (Bill) Cummings

22

BILL CUMMINGSBILL CUMMINGS Cummings Economics –– economic aspects. Cummings Economics –– economic aspects.

JEFF BENJAMINJEFF BENJAMIN North Australia Water Strategies – water North Australia Water Strategies – water aspects.aspects.

JOHN O’HALLORAN – social aspectsJOHN O’HALLORAN – social aspects

STUDY TEAM

33

3.7 MEGALITRES A YEAR – 3.7 MEGALITRES A YEAR – SUBSTANTIAL CATCHMENT IN SUBSTANTIAL CATCHMENT IN STATE AND NATIONAL TERMS.STATE AND NATIONAL TERMS.

ONLY A SMALL FRACTION BEING ONLY A SMALL FRACTION BEING USED.USED.

FLINDERS RIVER

44

Expansion of small scale usage Expansion of small scale usage for irrigation.for irrigation. Including artesian, farm dams Including artesian, farm dams and small instream extraction.and small instream extraction.

RECENT YEARS:

TWO MAJOR SCHEMES PROPOSED:

MT BECKFORD – MT BECKFORD – HUGHENDEN.HUGHENDEN.O’CONNELL CR - RICHMOND.O’CONNELL CR - RICHMOND.

55

SMEC Report 2003. SMEC Report 2003. ““In Stream” dam.In Stream” dam.15km east of Hughenden.15km east of Hughenden.Report based on variation of SMEC with 30 - Report based on variation of SMEC with 30 - 35m high “in stream” embankment : 35m high “in stream” embankment : embankments to Mt Arthur and across Eight embankments to Mt Arthur and across Eight Mile Ck.Mile Ck.

MT BECKFORD:

O’CONNELL CREEK:Offstream storage. Flood harvest.Offstream storage. Flood harvest.Gravity diversion from river.Gravity diversion from river.5m sheet pile weir in the river and excavated 5m sheet pile weir in the river and excavated channel to storage.channel to storage.

66

CAPITAL COST & WATER DELIVERED

Mt Beckford O’Connell Ck Total

Water Impondment 110,000 ML 192,000 ML 302,000 ML

Water Yield 66,000 ML 55,500 ML 121,500 ML

Water Delivered 53,000 ML 44,400 ML 97,400 ML

Estimated Capital Cost $68 m $67 m $135 m

77

YIELD & MEAN ANNUAL FLOW

Mt Beckford

O’Connell Ck Total

Water Yield 66,000 ML 55,000 ML 121,500 ML

Mean Annual River Flow at Location

132,000 ML(Hughenden)

533,600 ML(Richmond)

533,600 ML(Richmond)

% Yield of Mean Annual Flow 50% 10% 23%

Mean Annual Runoff at Mouth 3,857,000 ML 3,857,000 ML 3,857,000 ML

% Yield of Mean Annual Runoff at Mouth 1.7% 1.4% 3.2%

88

EST. WORKFORCE STRUCTUREMcKinlay, Cloncurry, Richmond & Flinders Shires

Pastoral/Agricultural 1,200 25%

Mining & Mineral Processing 850 18%

Servicing East West Transport links, especially the Railway, say 400 8%

Tourism Services (accommodation, cafes, restaurants, some transport, retail, etc.), say 250 5%

Sub Total – Base Industries 2,700 56%

Support Services 2,100 44%

Total 4,800 100%

99

LONG-TERM POPULATION CHANGES

Census Count Est Res Pop’n

Flinders Richmond McKinlay Cloncurry Total Flinders Richmond McKinlay Cloncurry Total

1947 3310 1478 1633 6267 126881954 3293 1586 1647 10514 170401961 3953 1647 2134 4869 126031966 3716 1828 1701 3348 105931971 3019 1409 1582 3623 96331976 2575 1442 1468 4036 10821 2980 1460 1440 4010 98901981 2740 1383 1478 3647 9248 2730 1360 1490 3790 93701986 2801 1198 1446 3194 8639 2877 1230 1390 3210 87071991 2491 1108 1306 3375 8280 2666 1204 1219 3135 82241996 2232 1179 1443 3898 8752 2234 1129 1157 3193 77132001 2191 1051 1385 4828 9455 2090 1043 1134 3505 77722002 2072 1152 1070 3867 8161

Source : Australian Bureau of Statistics – Census & Other Data.Source : Australian Bureau of Statistics – Census & Other Data.

1010

THREATS TO RAILWAY THREATS TO RAILWAY EMPLOYMENT.EMPLOYMENT.

MINING, MAINLY FIFO.MINING, MAINLY FIFO. LIMITED OPPORTUNITIES LIMITED OPPORTUNITIES

TOURISM.TOURISM. MAJOR STIMULUS NEEDED.MAJOR STIMULUS NEEDED.

1111

Small but growing number of Small but growing number of local irrigators. local irrigators. Rail links to largest general Rail links to largest general cargo port, North Australia.cargo port, North Australia.Tropical agricultural Tropical agricultural technology improving.technology improving.

FACTORS FAVOURABLE TO IRRIGATION:

1212

AREA OF IRRIGATED CROPPING IN THE FITZROY BASIN, 2001

Isaac-Connor

Nogoa-Mackenzie-

CometFitzroy Dawson Callide Total

Ha Ha Ha Ha Ha Ha

Cotton 0 20,830 141 7,402 0 28,373Cereals 360 3,594 174 3,269 1,147 8,544Pastures 143 439 1,626 1,927 1,372 5,507Fruit 1 685 114 86 0 886Table grapes 0 293 24 4 0 321Vegetables a 0 94 575 222 12 903Sugar cane 322 0 0 53 0 375Other crops 1 1,920 93 1,323 356 3,693Total 828 27,855 2,746 14,285 2,887 48,601

aa for human consumption. for human consumption.Source : CIE 2001.Source : CIE 2001.

1313

ESTIMATED IMPACT OF IRRIGATION SCHEMESGross Value of Production

Cotton Cattle Fodder

Feedlotting Additional

(Half of Fodder)

Horticulture Total

Mt Beckford

Area 5,460 ha 2,730 ha N/a 910 ha 9,100 ha

GVP per ha $2,600 $10,000 N/a $40,000 N/a

Total GVP $14.200 m $27.300 m $23.200 m $36.400 m $101.100 m

O’Connell Cr

Area 4,620 ha 2,310 ha N/a 770 ha 7,700 ha

GVP per ha $2,600 $10,000 N/a $40,000 N/a

Total GVP $12.000 m $23.100 m $19.600 m $30.800 m $85.500 m

1414

OTHER SOURCES OF INCOME

COMMUNITY RECREATIONALCOMMUNITY RECREATIONAL TOURISM BENEFITS $10mTOURISM BENEFITS $10m

Dam Capacity Annual Expenditure Generated

Av Trip Length

Av Exp per Group

Bjelke Petersen (Murgon)

125,000 ML $3.1 m

} 240 } $390Boondooma (Proston)

212,000 ML $3.4 m

Fairbairn (Emerald) 1,440,000 ML $5.2 m 701 $1,250

Source : Press Statement – Q’ld Minister for Primary Source : Press Statement – Q’ld Minister for Primary Industries, 2004.Industries, 2004.

Estimated Expenditure by Recreation Fishers, Estimated Expenditure by Recreation Fishers, Dams South Burnett, Central Q’ld – 2003/04Dams South Burnett, Central Q’ld – 2003/04

1515

FLINDERS SHIREFLINDERS SHIRE+20% +20%

RICHMOND SHIRERICHMOND SHIRE+40%+40%

CONSTRUCTION PHASE

Workforce:

1616

IMPACTS ON AGRICULTURE

GVP2001

GVPScheme

Increase GVP

Empl2001

EmplScheme

Increase Empl

Mt Beckford $64 m $101 m +158% 360 600 +167%

O’Connell Creek $36 m $85 m +236% 200 430 +215%

Both Schemes

On Flinders & Richmond Shires Combined

$100 m $186 m +186% 560 1,030 +184%

On Flinders River Catchment Area $288 m $186 m +68% 1,173 1,030 +88%

1717

Workforce Current DirectIncrease

Flow-on

TotalIncrease

Ongoing Total

%Increase

Mt Beckford (Flinders) 1060 600 360 960 2020 +91%

O’Connell Ck(Richmond) 480 430 260 690 1170 +144%

Combined Mt Beckford & O’Connell Ck

1540 1030 620 1650 3190 +107%

1818

Population Current Additional Ongoing %Increase

Mt Beckford (Flinders) 2200 1730 3930 +79%

O’Connell Ck 1050 1240 2290 +118%

Combined Mt Beckford & O’Connell Ck

3250 2970 6220 +91%

1919

Populations declining Populations declining Incomes above state averageIncomes above state averageHousing costs lowerHousing costs lowerUnemployment lowUnemployment lowIndigenous Flinders 7% Richmond 3%Indigenous Flinders 7% Richmond 3%Average age 35Average age 35High Australian bornHigh Australian bornEducation levels lowerEducation levels lowerHigh proportion of managers and adminHigh proportion of managers and adminHigh proportion agriculture & transportHigh proportion agriculture & transport

SOCIAL STRUCTURE

2020

Small number of properties floodedSmall number of properties flooded Sites close to towns already existing Sites close to towns already existing

infrastructure & servicesinfrastructure & services Found very strong support in communitiesFound very strong support in communities Improved business viability, services, new Improved business viability, services, new

recreational benefitsrecreational benefits Consistent with community capacity Consistent with community capacity

building initiativesbuilding initiatives Indigenous organisations supportIndigenous organisations support

SOCIAL IMPACTS

2121

Social infrastructure (health, education, public safety, transport), capacity to absorb increase in population especially in terms of available buildings.

Lag time in government agency responses need to be addressed.

Address construction and seasonal worker fluctuation.

HUGHENDEN & RICHMOND

2222

LAND AND DWELLING PRICES LAND AND DWELLING PRICES LOW.LOW.

FLINDERS SEWERAGE UPGRADE FLINDERS SEWERAGE UPGRADE NEEDED OTHERWISE NO NEEDED OTHERWISE NO CONSTRAINTS TO EXPANSION.CONSTRAINTS TO EXPANSION.

PUBLIC HOUSING – TEMPORARY PUBLIC HOUSING – TEMPORARY ACCOMMODATION DURING ACCOMMODATION DURING CONSTRUCTION.CONSTRUCTION.

2323

Strong local job opportunities.

Existing local skills.

Vacant land and buildings.

Strategy for technical expertise & support for irrigators.

Report lists strategies – maximise benefits, minimise any negatives.

2424

NOT A GREAT DEAL IN BASIC SITUATION.NOT A GREAT DEAL IN BASIC SITUATION. INCREASED COSTS OF FUEL, INPUTS INCREASED COSTS OF FUEL, INPUTS

AND EXCHANGE RATE, BUT RECENT AND EXCHANGE RATE, BUT RECENT CHANGES.CHANGES.

FUEL PUMPING COSTS HIGHER.FUEL PUMPING COSTS HIGHER. BIOFUEL CROPS (?)BIOFUEL CROPS (?) SECOND CROPS (?)SECOND CROPS (?)

CHANGES SINCE THEN

www.cummings.net.au