Developing the north s water resources Lisa Hansen

Transcription

1 Developing the north s water resources Lisa Hansen

2 Structure of Presentation Developing Northern Australia The National Water Infrastructure Development Fund Northern Australia Water Resource Assessments The Burdekin River Catchment Criteria for Capital Funding The National Water Initiative Townsville Cities Deal 2

3 Developing Northern Australia Developing northern Australia is a key priority for the Australian Government. This government is serious about building water infrastructure in northern Australia. The profitable, productive and sustainable development of northern Australia depends to a large degree on the availability of a secure supply of affordable water. 3

4 National Water Infrastructure Development Fund The key policy driver is the White Paper on Developing Northern Australia $500 million National Water Infrastructure Development Fund $60 million to support the detailed planning to inform water infrastructure investment decisions $440 million to co fund and accelerate the construction of water infrastructure Up to $210 million devoted to developing northern Australia 4

5 Northern Australia Commitments and Funding The Australian Government is providing over $40 million to fund 16 feasibility studies across northern Australia. This investment includes: CSIRO Northern Australia Water Resource Assessments ($15 million) ten studies in Queensland ($18 million) three in Western Australia ($1.4 million) one in the Northern Territory ($1 million) one in the Northern Territory and Western Australia ($5 million) $170 million under the capital component of the fund $130 million committed to co fund the construction of Rookwood Weir near Rockhampton 5

6 Northern Australia Land and 17 million hectares of land in the north above the Tropic of Capricorn with soils potentially suitable for agriculture. 2 million GL rainfall per annum highly variable significant evaporation losses Sheer volume of seasonally available water in the north creates opportunities for economic growth and development if water can be harvested, stored and managed efficiently and sustainably. 6

7 CSIRO Northern Australia Water Resource Assessments 1. Mitchell River Basin Queensland 2. Fitzroy River Basin Western Australia 3. Darwin Region Northern Territory (Finniss, Adelaide, Mary, Wildman River Basins) To underpin the northern Australia information base. Identify the best catchments, clarify the scale, nature and opportunities for water infrastructure and storage options in northern Australia to underpin economic development including new and expanded agriculture. 7

8 Northern Australia Water Resource Assessments Outcomes Develop credible, independent scientific and technical data to underpin the development of or update existing water resource plans. Provide states and territories with confidence and certainty to allocate water for consumptive use and the environment. Offer potential investors detailed and comprehensive information to underpin investment decisions and mitigate risks. Deliver a comprehensive evaluation of the feasibility, economic viability and sustainability of water and agricultural development opportunities. Ord River irrigation Expansion 8

9 The Burdekin River Catchment $7.5 million of feasibility studies under the fund are currently being undertaken across the Burdekin region, including: Burdekin Falls Dam Raising ($400,000) Burdekin Haughton Channel Capacity Upgrade ($1,915,000) Hells Gate Dam ($2.2 million) Urannah Dam ($3 million) 9

10 Townsville Cities Deal Signed by Australian Government, Queensland Government and Townsville City Council in December Roadmap for Townsville s future geared towards growing and strengthening its economy. Key commitment for all levels of government to work together to develop a strategic approach to Townsville s urban water security. Final report due September

11 National Water Infrastructure Loan Facility Loan Facility is open for business. Concessional loans at the lowest rate the Commonwealth can offer. Target is major water infrastructure projects over $100 million. Ensures that construction of water infrastructure will not be delayed because finance is difficult to attract. 11

12 Loan Facility Terms & Condition State and territory governments eligible. Minimum loan $50 million for projects greater than $100 million. Available now Must be fully repaid within 15 years Repayments interest only for construction period of up to 5years Maximum of up to 10 years to repay the principal Variable interest rate, reviewed every 6 months 12

13 Australian Government Criteria for Water Infrastructure Funding The Australian Government has set clear criteria for funding any proposed water infrastructure: economically viable, including a robust business case shovel ready, with all required regulatory and planning approvals in place meet commitments made by the Australian and state governments, including under the Reef 2050 Long Term Sustainability Plan water resources managed in accordance with the National Water Initiative 13

14 National Water Initiative Australian Government investments conditional upon implementation of NWI arrangements. NWI principles: projects are economically viable market based mechanisms to allocate new water user pays efficient functioning of water markets economic and efficient use of water NWI ultimately provides greater certainty around the water rights, responsibilities and likely water costs for users. 14

15 Thank You Proposed Rookwood Weir Site 15