Murray–Darling Basin National
Partnership Agreement:
milestone assessments for
year ending 30 June 2014
© Commonwealth of Australia 2014
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ISBN: 978-1-922136-48-0
Murray–Darling Basin National Partnership Agreement: milestone assessments for year ending 30 June
2014
October 2014
Published by the National Water Commission
95 Northbourne Avenue
Canberra ACT 2600
Tel: 02 6102 6000
An appropriate citation for this publication is:
National Water Commission 2014, Murray–Darling Basin National Partnership Agreement: milestone
assessments for year ending 30 June 2014, NWC, Canberra.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
2
Letter of transmission from Commission Chair
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
3
Contents
Letter of transmission from Commission Chair
3
1
Background
6
1.1
Commission’s role
6
1.2
Assessment scope
7
1.3
Assessment approach
7
1.4
Additional information
7
2
Assessment for the Australian Capital Territory
8
2.1
Summary of findings
8
2.2
Bridging the gap
9
2.3
Implementation of the Constraints Management Strategy
9
2.4
Cooperation in environmental watering
10
2.5
Supply measures projects
10
3
Assessment for New South Wales
11
3.1
Summary of findings
11
3.2
Bridging the gap
12
3.3
Implementation of the Constraints Management Strategy
14
3.4
Cooperation in environmental watering
14
3.5
Supply measures projects
17
4
Assessment for Queensland
19
4.1
Summary of findings
19
4.2
Bridging the gap
20
4.3
Implementation of the Constraints Management Strategy
21
4.4
Cooperation in environmental watering
21
4.5
Supply measures projects
23
5
Assessment for South Australia
24
5.1
Summary of findings
24
5.2
Bridging the gap
25
5.3
Implementation of the Constraints Management Strategy
27
5.4
Cooperation in environmental watering
27
5.5
Supply measures projects
30
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
4
6
Assessment for Victoria
32
6.1
Summary of findings
32
6.2
Implementation of the Constraints Management Strategy
35
6.3
Cooperation in environmental watering
36
6.4
Supply measures projects
38
Appendix 1 Ministerial letter of referral
40
Appendix 2 Extract from the NPA outlining the Commission’s role
42
Appendix 3 Schedule A to the National Partnership Agreement on
Implementing Water Reform in the Murray–Darling Basin
43
Appendix 4 Statement of assurance transmission letters
46
Appendix 5 Assessment expectations
51
References
57
Abbreviations and acronyms
58
Tables
Table 2.1: Summary of findings for the Australian Capital Territory
8
Table 3.1: Summary of findings for New South Wales
11
Table 4.1: Summary of findings for Queensland
19
Table 5.1: Summary of findings for South Australia
24
Table 6.1: Summary of findings for Victoria
32
Table A5.1: Assessment expectations
51
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
5
1
Background
The Intergovernmental Agreement on Implementing Water Reform in the Murray–Darling Basin (IGA) is
an undertaking by the Australian Government and the Murray–Darling Basin state governments to build
on existing achievements by implementing the next tranche of water reforms to further improve the
Basin’s health and secure a future for its communities. Alongside the Water Act 2007 (Cwth), the IGA
furthers the objectives of the National Water Initiative (NWI) for the Murray–Darling Basin (NWI
paragraph 23).
Part 7 of the IGA commits the Australian Government to providing support to the Basin states via the
National Partnership Agreement on Implementing Water Reform in the Murray–Darling Basin (the NPA).
The NPA sets out in clause 10 that:
“The objectives and outcomes of this agreement will be achieved by the Parties fully implementing the
requirements of the Basin Plan and the Intergovernmental Agreement on Implementing Water Reform in
the Murray–Darling Basin, in particular by Basin states:
a)
enabling the Commonwealth to meet its commitment to ‘bridge the gap’ between baseline
diversion limits and SDLs [sustainable diversion limits], including by removing barriers to trade
that are inconsistent with the Basin Plan, processing water entitlement trade applications within
agreed timeframes, unbundling water entitlements from land where the benefits exceed the
costs, and agreeing to enable groundwater and overland flow recovery through market-based
approaches;
b)
cooperatively identifying and agreeing on initiatives to be considered by the Murray–Darling
Basin Authority under the Surface Water SDL adjustment mechanism;
c)
implementing the Basin Plan, including preparing Water Resource Plans consistent with Basin
Plan requirements to provide certainty for water users;
d)
ensuring the characteristics of licensed entitlements held for environmental use will not be
enhanced or diminished, relative to like entitlements held and used for other purposes, except
as otherwise agreed between the Commonwealth and the relevant state(s) to facilitate
improved environmental watering; and
e)
working collaboratively with the Commonwealth and each other in exercising their
environmental watering and planning responsibilities in accordance with the Basin Plan
Environmental Watering Plan, and have regard to the Basin annual environmental watering
priorities, as prepared by the Murray–Darling Basin Authority.”
Victoria signed the IGA on 5 June 2013, with the Australian Capital Territory and South Australia signing
on 6 and 27 June 2013 respectively. Queensland and New South Wales became signatories to the IGA
and an amended NPA in February 2014.
As part of their responsibilities under the NPA, each Basin state has committed to implementing the
agreement in accordance with milestones set out in the agreement, and reporting on milestone progress
through an annual ‘statement of assurance’.
1.1
Commission’s role
The National Water Commission was established under the National Water Commission Act 2004
(Cwth) to assist with the implementation of the national water reform agenda. It is an independent
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
6
statutory body that provides advice to the Council of Australian Governments and the Australian
Government on national water issues and improved management of Australia’s water resources.
The Commission has been tasked with assessing jurisdictional performance against milestones in the
NPA (see Appendix 1). Our role is described in clause 14 to the NPA: to ‘assess the Basin states’
annual progress reports in accordance with Part 4 – Performance Monitoring and Reporting’ (see
Appendix 2).
Using the statements of assurance and any supporting documentation provided by each participating
Basin state, we have assessed the states’ performance against the milestones set out in Schedule A to
the NPA (see Appendix 3).
This assessment report assists the Commonwealth Minister with portfolio responsibility for water in
relation to Basin state performance against milestones outlined in Schedule A for the 2013–14
assessment period, the extent to which they have been met and, where the state has not met a
performance milestone, any steps and activities that it took to meet the milestone.
The Minister will decide whether payment should be made to a Basin state under the NPA.
1.2
Assessment scope
Our assessments are limited to the actions listed in Schedule A of the NPA and do not include advice on
Murray–Darling Basin water reform policy. Our role in relation to the NPA is to assess performance only.
This assessment addresses milestone progress made by the Basin states during the assessment period
from 1 July 2013 to 30 June 2014. Where Basin state reform reports identified actions not yet complete,
we noted progress made on those actions during the assessment period.
1.3
Assessment approach
In conducting our assessment, we have engaged and consulted with Australian Government agencies,
including the Department of the Environment (DotE) and Murray–Darling Basin Authority (MDBA), as
well as the Basin states.
Each Basin state was required to provide a statement of assurance to the Commission (Appendix 4). To
facilitate a shared understanding of the assessment approach, we provided an assessment framework
outlining our expectations to each state before it prepared a statement of assurance (Appendix 5).
The information provided in the statements of assurance and publicly available material was compared
with our expectations and assessment criteria. Where milestones were not applicable to a Basin state
for this assessment period, they do not appear in our list of expectations in the relevant chapter.
DotE and state agencies were given an opportunity to comment and provide feedback before we
finalised the report.
1.4
Additional information
Department of the Environment
DotE has stated that, to the extent that the department and the Commonwealth Environmental Water
Office (CEWO) have access to information on particular milestones, no specific instances have been
identified in which milestone commitments were not met.
Murray–Darling Basin Authority
The MDBA has advised the Commission that it is unaware of any instances in which a Basin state has
not met commitments as outlined in Appendix 5 for the 2013–14 assessment period.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
7
2
Assessment for the Australian Capital Territory
2.1
Summary of findings
Findings for the Australian Capital Territory (ACT) are summarised below in the order they appear in the
agreement. Full findings and details of the assessment follow in subsequent sections of this chapter.
Table 2.1: Summary of findings for the Australian Capital Territory
1
National Partnership commitments
Assessment summary
Finding
6) The state has supported the
Commonwealth in bridging the gap

ACT did not introduce any
restrictions or suspensions on the
trading of water access
entitlements.
Commitment met

ACT entitlements in regulated
surface water systems1 are
consistent with the provisions of
NWI clauses 28–32.
7) Following publication of the
Constraints Management Strategy
by the MDBA, confirmation that
any actions taken by the state to
remove or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL adjustment
mechanism

Not applicable to the ACT.
Not applicable
8) The state has cooperated in
arrangements for Basin Plan
environmental watering

The characteristics of licensed
entitlements held for
environmental water use in the
ACT have not been enhanced or
diminished relative to like
entitlements held and used for
other purposes.
Commitment met
9) For New South Wales, Victoria
and South Australia only, the state
has provided a brief description of
supply measure projects for which
feasibility and business cases are
being developed for consideration
under the SDL adjustment
mechanism.

Not applicable to the ACT.
Not applicable
Regulated system means a surface water system in which water in a watercourse can be stored or
flow levels can be controlled, through the use of structures such as large dams or weirs.
Murray–Darling Basin National Partnership Agreement: milestone assessments
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2.2
Bridging the gap
Expectations
The Commission expected to see that the ACT had supported the Commonwealth in bridging the gap
and that the intent of the commitment had been met.
Specifically, we expected to see:



no restrictions were introduced on the trading of water access entitlements, except where
consistent with the Basin Plan water trading rules
no action has been taken to impede Commonwealth measures to acquire water for environmental
purposes, except where consistent with the Basin Plan water trading rules
regulated systems have entitlements that are consistent with the provisions of clauses 28–32 of the
NWI in the timeframe agreed in the IGA.
Findings

ACT did not introduce any restrictions or suspensions on the trading of water access
entitlements.

ACT entitlements in regulated surface water systems are consistent with the provisions of
NWI clauses 28–32.
Restrictions on trade
The ACT’s statement of assurance noted that, during the assessment period, it did not introduce any
restrictions or suspensions on the trading of water access entitlements (ACT Govt 2014).
Commonwealth measures to acquire water
The ACT stated in its statement of assurance that it did not take any action to impede Commonwealth
measures to acquire water for environmental purposes during 2013–14, and that the Commonwealth
had not sought to acquire water within the ACT during that time (ACT Govt 2014).
NWI-consistent entitlements
The ACT’s water access entitlements in regulated surface water systems are consistent with the
provisions of clauses 28–32 of the NWI (NWC 2014).
2.3
Implementation of the Constraints Management Strategy
The MDBA published the Constraints Management Strategy in November 2013. Schedule A requires
that, following publication of the strategy, any actions taken by a state to remove or address constraints
are to be consistent with the measures agreed through the inter-jurisdictional governance procedure for
the SDL adjustment mechanism.
The ACT is not directly involved in the Constraints Management Strategy, and so this milestone is not
applicable in 2013–14. Although the strategy does not apply to the ACT, the Territory supports the
strategy’s principles (ACT Govt 2014).
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
9
2.4
Cooperation in environmental watering
Expectations
The Commission expected to see that the ACT had cooperated in arrangements for Basin Plan
environmental watering and that the intent of the commitment had been met.
Specifically, the Commission expected to see that:

characteristics of licensed entitlements held for environmental use have not been enhanced or
diminished relative to like entitlements held and used for other purposes.
Findings
The ACT has met this commitment.

The characteristics of licensed entitlements held for environmental water use in the ACT have
not been enhanced or diminished relative to like entitlements held and used for other purposes.
Characteristics of licensed entitlements
The ACT has not taken any action to alter the characteristics of licensed entitlements held for
environmental use. The ACT’s statement of assurance confirmed that environmental watering from
streams occurs before water is diverted for consumptive use (ACT Govt 2014). The ACT has
implemented a legislatively-based system of water access entitlements with the characteristics required
under the NWI. The Environmental flow guidelines are a disallowable instrument under ACT legislation
and were revised and reissued in April 2013.
2.5
Supply measures projects
The provision of descriptions of supply measure projects for which feasibility and business cases are
being developed for consideration under the SDL adjustment mechanism is applicable to New South
Wales, Victoria and South Australia only. Therefore, this milestone is not applicable to the ACT.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
10
3
Assessment for New South Wales
3.1
Summary of findings
Findings for New South Wales are summarised below in the order they appear in the agreement. Full
findings and details of the assessment follow in subsequent sections of this chapter.
Table 3.1: Summary of findings for New South Wales
National Partnership commitments
Assessment summary
Finding
6) The state has supported the
Commonwealth in bridging the gap

New South Wales did not
introduce any additional
restrictions or suspensions on the
trading of water access
entitlements during the
assessment period.
Commitment met

It did not take any action to
impede Commonwealth measures
to acquire water for environmental
purposes during the assessment
period.

Applications for water entitlement
and allocation trades were
processed consistent with the
agreed service standards for trade
processing times.

New South Wales entitlements in
regulated surface water systems2
are consistent with the provisions
of NWI clauses 28–32.
7) Following publication of the
Constraints Management Strategy
by the MDBA, confirmation that
any actions taken by the state to
remove or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL adjustment
mechanism
8) The state has cooperated in
arrangements for Basin Plan
environmental watering
2


New South Wales has supported
development and implementation
of the Constraints Management
Strategy.
Commitment met
New South Wales did not
enhance or diminish licence
entitlements held for
Commitment met
Regulated system means a surface water system in which water in a watercourse can be stored or
flow levels can be controlled, through the use of structures such as large dams or weirs.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
11
National Partnership commitments
Assessment summary
Finding
environmental use relative to like
entitlements held and used for
other purposes during 2013–14.
9) For New South Wales, Victoria
and South Australia only, the state
has provided a brief description of
supply measure projects for which
feasibility and business cases are
being developed for consideration
under the SDL adjustment
mechanism.
3.2

New South Wales has supported
measures to facilitate the use of
environmental water.

New South Wales provided its
annual environmental watering
priorities for 2014–15, consistent
with the Basin Plan, to the MDBA
in May 2014.

New South Wales consistently
applied the Basin Plan’s Principles
to be applied in environmental
watering during 2013–14.

Environmental watering has
occurred with regard to the views
of local communities and persons
materially affected by the
management of environmental
water.

New South Wales has provided a
brief description of supply
measure projects.
Commitment met
Bridging the gap
Expectations
The Commission expected to see that New South Wales had supported the Commonwealth in bridging
the gap and that the intent of the commitment had been met.
Specifically, we expected to see:




after the Basin Plan water trading rules come into effect, the removal of volumetric or other barriers
to permanent trade out of water irrigation areas that are inconsistent with the Basin Plan water
trading rules
no restrictions were introduced on the trading of water access entitlements, except where
consistent with the Basin Plan water trading rules
no action has been taken to impede Commonwealth measures to acquire water for environmental
purposes, except where consistent with the Basin Plan water trading rules
applications for water entitlement and allocation trades to which the Commonwealth was a party
were processed consistent with the agreed service standards for trade processing times for state
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
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
approval agencies, supported by a list of trades undertaken and the times taken to process those
trades
regulated systems have entitlements that are consistent with the provisions of clauses 28–32 of the
NWI in the timeframe agreed in the IGA.
Findings
New South Wales has met this commitment.

New South Wales did not introduce any additional restrictions or suspensions on the trading of
water access entitlements during the assessment period.

It did not take any action to impede Commonwealth measures to acquire water for
environmental purposes during the assessment period.

Applications for water entitlement and allocation trades were processed consistent with the
agreed service standards for trade processing times.

New South Wales entitlements in regulated surface water systems are consistent with the
provisions of NWI clauses 28–32.
Removal of barriers
As the Basin Plan water trading rules did not come into effect until 1 July 2014, no assessment is
required in 2013–14. Within this context, New South Wales has made progress in the removal of
barriers to trade through the repeal of the three per cent limit on buybacks for environmental purposes.
Restrictions on trade
New South Wales’ statement of assurance confirmed that a limit on buybacks for environmental
purposes was in place during part of the assessment period, but the order was repealed on 24 February
2014 consistent with New South Wales’ agreement to sign the IGA and NPA (NSW Govt 2014).
Specifically in relation to the Basin Plan water trading rules, these did not take effect until 1 July 2014
and so are not considered in this assessment.
Commonwealth measures to acquire water
As noted above, New South Wales confirmed in its statement of assurance that a limit on buybacks for
environmental purposes was in place during part of the 2013–14 assessment period. Although the limit
was initially established to impede Commonwealth measures to acquire water for environmental
purposes, it was subsequently repealed by the New South Wales Minister on 24 February 2014.
Processing times for trades
Summary information provided in the statement of assurance shows that New South Wales met the
agreed service standards for water trades to which the Commonwealth was a party (NSW Govt 2014).
This is supported by publicly available data for the 2013–14 water year at New South Wales’ online
Water Register3.
3
http://www.water.nsw.gov.au/Water-licensing/Registers/default.aspx
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
13
NWI-consistent entitlements
New South Wales’ statement of assurance noted that all water access entitlements in the Murray–
Darling Basin are subject to water sharing plans and are consistent with the provisions of clauses 28–32
of the NWI (NSW Govt 2014; also see NWC 2014).
3.3
Implementation of the Constraints Management Strategy
Expectations
The Commission expected to see that New South Wales had supported development and
implementation of the Constraints Management Strategy and that the intent of the commitment had been
met.
The MDBA published the Constraints Management Strategy in November 2013.
Schedule A requires that, following publication of the strategy, any actions taken by the state to remove
or address constraints are to be consistent with the measures agreed through the inter-jurisdictional
governance procedure for the SDL adjustment mechanism.
Findings
New South Wales has met this commitment.

New South Wales has supported development and implementation of the Constraints Management
Strategy.
New South Wales’ statement of assurance noted cooperation that has occurred in the development of
the Constraints Management Strategy through the provision of information, attending meetings and
supporting discussions with stakeholders (NSW Govt 2014). In addition, New South Wales has
highlighted assistance provided to the MDBA in progressing a constraints trial in the Murray River (NSW
Govt 2014).
3.4
Cooperation in environmental watering
Expectations
The Commission expected to see that New South Wales had cooperated in arrangements for Basin Plan
environmental watering and that the intent of the commitment had been met.
Specifically, the Commission expected to see that:



characteristics of licensed entitlements held for environmental use have not been enhanced or
diminished relative to like entitlements held and used for other purposes
where feasible and agreed by New South Wales, and where associated third-party impacts have
been considered, measures have been implemented to facilitate the use of environmental water by
protecting environmental water in-stream and on land through:
- the delivery of held environmental water in-stream though arrangements such as
water shepherding to facilitate environmental flows
- further use of environmental water at multiple locations along the river, such as
through return-flow provisions
the MDBA has been provided with annual environmental watering priorities consistent with the
Basin Plan
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
14



the management and delivery of planned and held environmental water is consistent with the Basin
Plan, including:
- the Environmental Watering Plan’s Principles to be applied to environmental watering
- providing a statement of reasons to the MDBA for any environmental watering that
was not in accordance with the Basin annual environmental watering priorities
environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water
12 months after the MDBA has made the Basin-wide Environmental Watering Strategy (due in
2014), or within another timeframe agreed between the MDBA and New South Wales, long-term
environmental watering plans for surface water resource plan areas have been developed
consistent with the requirements of the Basin Plan (i.e. by 2015).
Findings
New South Wales has met this commitment.

New South Wales did not enhance or diminish licence entitlements held for environmental use
relative to like entitlements held and used for other purposes during 2013–14.

New South Wales has supported measures to facilitate the use of environmental water.

New South Wales provided its annual environmental watering priorities for 2014–15, consistent
with the Basin Plan, to the MDBA in May 2014.

New South Wales consistently applied the Basin Plan’s Principles to be applied in environmental
watering to the delivery of planned and held environmental water during 2013–14.

Environmental watering has occurred with regard to the views of local communities and persons
materially affected by the management of environmental water.
Characteristics of licensed entitlements
New South Wales’ statement of assurance confirmed that characteristics of licence entitlements held for
environmental use were not enhanced or diminished relative to like entitlements held and used for other
purposes during 2013–14 (NSW Govt 2014). No relevant amendments were made to New South Wales
legislation or subordinate legislation during the assessment period to result in changes to the
characteristics of water held for environmental purposes.
Measures implemented to facilitate the use of environmental water
New South Wales’ statement of assurance noted that as part of the Nimmie-Caira enhanced
environmental water delivery project, an agreement for the Protection and Re-use of Commonwealth
Environmental Water held in the Murrumbidgee Catchment was finalised and agreed by the Australian
and New South Wales governments on 20 June 2014. The agreement involves further work to assess
and develop a mechanism to protect and re-use environmental water through the Nimmie-Caira system
and downstream by August 2015.
Further information on the Nimmie-Caira System Enhanced Environmental Water Delivery State Priority
Project and the associated agreement is publicly available on the DotE website4.
4
http://www.environment.gov.au/resource/water-management-partnership-agreement-commonwealthaustralia-and-state-new-south-wales
Murray–Darling Basin National Partnership Agreement: milestone assessments
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Annual environmental watering priorities
Consistent with this requirement, New South Wales submitted its annual environmental watering
priorities for 2014–15 to the MDBA in May 2014 (NSW Govt 2014). The following annual watering
priorities are available on the website of the New South Wales Office of Environment and Heritage
(OEH) in the ‘Managing environmental water’ section5:





Gwydir
Macquarie
Lachlan
Murrumbidgee
Murray and Lower Darling.
New South Wales has outlined in its statement of assurance that the annual environmental watering
priorities for 2014–15 submitted to the MDBA were derived from annual environmental watering plans
which have been developed by the OEH in collaboration with environmental water advisory groups
(EWAGs) (NSW Govt 2014).
Management and delivery of environmental water consistent with Basin Plan
New South Wales’ statement of assurance provided a summary table that details the deliveries of both
planned and held environmental water in the state during the 2013–14 assessment period.
Planned environmental water in New South Wales is an element of the state’s existing statutory water
sharing plans and within this context New South Wales confirmed that all environmental watering events
have been consistently undertaken in line with the Basin Plan’s Principles to be applied in environmental
watering (NSW Govt 2014).
As detailed in New South Wales’ statement of assurance, held environmental water has also contributed
to environmental watering events in New South Wales during 2013–14 and has occurred in
collaboration with Commonwealth agencies. Additional information on the environmental watering
events undertaken in 2013–14 is provided by the MDBA’s Basin environmental watering outlook for
2014–15 report, including descriptions of ecological responses recorded in the Gwydir, Macquarie and
Lachlan systems (MDBA 2014).
Publicly available information from the Commonwealth Environmental Water Holder (CEWH) and OEH
websites also confirms that collaborative environmental watering, involving both planned and held
environmental water, occurred in New South Wales during 2013–14 and was broadly consistent with the
2013–14 Basin annual environmental watering priorities. For example, the DotE website provides
information on watering in the Northern6 and Southern7 Murray–Darling Basin, and the OEH has specific
information on systems such as the Macquarie Valley8.
Consultation on environmental watering
New South Wales’ statement of assurance noted that all approvals for environmental water releases are
required to demonstrate adequate community consultation and communication, including notification to
See section entitled ‘Planning framework for environmental water’
‘http://www.environment.nsw.gov.au/environmentalwater/watermanagementplanning.htm
6 http://www.environment.gov.au/topics/water/commonwealth-environmental-water-office/northerncatchments
7
http://www.environment.gov.au/topics/water/commonwealth-environmental-water-office/southerncatchments
8 http://www.environment.nsw.gov.au/environmentalwater/envwatermacquarieupdate.htm
5
Murray–Darling Basin National Partnership Agreement: milestone assessments
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all affected landholders. All events have been endorsed by EWAGs and decisions to approve
environmental watering events are based on demonstration of local community support for the event
(NSW Govt 2014).
The process for determining the views of local communities and persons affected by environmental
watering events includes:






mapping and modelling of events to identify possible impacted third-party landholders
consultation and affirmation from possible impacted third-party landholders to proceed with the
event
notification to all other adjacent landholders by email, SMS, or in person
where practical, formation of an event-specific advisory group
media releases to the catchment community about the event where there is community interest
to do so
evaluation following the event through the EWAG or other event consultative mechanisms
(NSW Govt 2014).
At present there are three statutory EWAGs9:



Gwydir Environmental Contingency Allowance Operations Advisory Committee
Macquarie and Cudgegong Environmental Flow Reference Group
Murrumbidgee Environmental Water Allowance Reference Group
and two non-statutory EWAGs:


Lachlan Riverine Working Group
Murray Lower Darling Environmental Water Advisory Group
Long-term environmental watering plans for surface water resource plan areas
Schedule A requires that 12 months after the MDBA has made the Basin-wide Environmental Watering
Strategy, or within another timeframe agreed between the MDBA and New South Wales, long-term
environmental watering plans for surface water resource plan areas are developed consistent with the
requirements of the Basin Plan.
The draft Basin-wide Environmental Watering Strategy was released in August 2014 but has not been
finalised yet, so there is no assessment for this year.
3.5
Supply measures projects
Expectations
For New South Wales, Victoria and South Australia only, the Commission expected to see that New
South Wales had provided the Commonwealth with a brief description of supply measure projects for
which feasibility and business cases are being developed for consideration under the SDL adjustment
mechanism.
See section entitled ‘Environmental water advisory groups’
http://www.environment.nsw.gov.au/environmentalwater/WaterAdvisoryGroups.htm
9
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Findings
New South Wales has met this commitment.

New South Wales has provided the Commonwealth with a brief description of supply measure
projects for which feasibility and business cases are being developed for consideration under
the SDL adjustment mechanism.
New South Wales’ statement of assurance noted that descriptions of potential supply measure projects
were provided to the Sustainable Diversion Limit Adjustment Advisory Committee in March and updated
in May 2014. The Commission was also provided with a list of projects as supporting information to New
South Wales’ statement of assurance.
A summary of SDL adjustment project proposals that have been agreed by the Committee to proceed to
business case development is publicly available on the MDBA's website 10. New South Wales is
finalising a number of feasibility assessments for additional proposals.
10
http://www.mdba.gov.au/what-we-do/water-planning/sdl/proposals
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4
Assessment for Queensland
4.1
Summary of findings
Findings for Queensland are summarised below in the order they appear in the agreement. Full findings
and details of the assessment follow in subsequent sections of this chapter.
Table 4.1: Summary of findings for Queensland
National Partnership commitments
Assessment summary
Finding
6) The state has supported the
Commonwealth in bridging the gap

Queensland did not introduce any
restrictions or suspensions on the
trading of water access
entitlements.
Commitment met

Queensland did not take any
action to impede Commonwealth
measures to acquire water for
environmental purposes.

Applications for water entitlement
and allocation trades were
processed consistent with the
agreed service standards for trade
processing times.

Queensland entitlements in
supplemented (regulated) surface
water systems11 are consistent
with the provisions of NWI clauses
28–32.
7) Following publication of the
Constraints Management Strategy
by the MDBA, confirmation that
any actions taken by the state to
remove or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL adjustment
mechanism

Not applicable to Queensland.
Not applicable
8) The state has cooperated in
arrangements for Basin Plan
environmental watering

Queensland did not enhance or
diminish licence entitlements held
for environmental use relative to
like entitlements held and used for
other purposes during 2013–14.
Commitment met
11
Regulated system means a surface water system in which water in a watercourse can be stored or
flow levels can be controlled, through the use of structures such as large dams or weirs.
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National Partnership commitments
9) For New South Wales, Victoria
and South Australia only, the state
has provided a brief description of
supply measure projects for which
feasibility and business cases are
being developed for consideration
under the SDL adjustment
mechanism.
4.2
Assessment summary

Queensland provided its annual
environmental watering priorities
for 2014–15, consistent with the
Basin Plan, to the MDBA on
26 May 2014.

Queensland consistently applied
the Basin Plan’s Principles to be
applied in environmental watering
during 2013–14.

Environmental watering has
occurred with regard to the views
of local communities and persons
materially affected by the
management of environmental
water.

Not applicable to Queensland.
Finding
Not applicable
Bridging the gap
Expectations
The Commission expected to see that Queensland had supported the Commonwealth in bridging the
gap and that the intent of the commitment had been met.
Specifically, we expected to see:




no restrictions were introduced on the trading of water access entitlements, except where
consistent with the Basin Plan water trading rules
no action has been taken to impede Commonwealth measures to acquire water for environmental
purposes, except where consistent with the Basin Plan water trading rules
applications for water entitlement and allocation trades to which the Commonwealth was a party
were processed consistent with the agreed service standards for trade processing times for state
approval agencies, supported by a list of trades undertaken and the times taken to process those
trades
regulated systems have entitlements that are consistent with the provisions of clauses 28–32 of the
NWI in the timeframe agreed in the IGA.
Findings
Queensland has met this commitment.

Queensland did not introduce any restrictions or suspensions on the trading of water access
entitlements.
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20

It did not take any action to impede Commonwealth measures to acquire water for
environmental purposes.

Applications for water entitlement and allocation trades were processed consistent with the
agreed service standards for trade processing times.

Queensland entitlements in supplemented (regulated) surface water systems are consistent with
the provisions of NWI clauses 28–32.
Restrictions on trade
Although Queensland has recently made several amendments to water-related legislation, its statement
of assurance confirmed it had not introduced any restrictions or suspensions on the trade of water
access entitlements during 2013–14 (Qld Govt 2014).
Commonwealth measures to acquire water
Queensland confirmed in its statement of assurance that it did not take any action to impede
Commonwealth measures to acquire water for environmental purposes during 2013–14
(Qld Govt 2014).
Processing times for trades
Queensland stated it had met the agreed processing times for each water entitlement and allocation
trade to which the Commonwealth was a party, completed during the reporting period. Queensland
reported that 100 per cent of the trades were processed within 10 days for this period and provided the
processing times for trades completed during 2013–14 (Qld Govt 2014).
NWI-consistent entitlements
Trading has been facilitated in all regulated (supplemented) water supply schemes in Queensland and
the specification of entitlements in these areas is consistent with the provisions of clauses 28–32 of the
NWI (Qld Govt 2014).
4.3
Implementation of the Constraints Management Strategy
The MDBA published the Constraints Management Strategy in November 2013. Schedule A requires
that, following publication of the strategy, any actions taken by a state to remove or address constraints
are to be consistent with the measures agreed through the inter-jurisdictional governance procedure for
the SDL adjustment mechanism.
Queensland’s statement of assurance noted that the interim findings and priority actions in the
Constraints Management Strategy do not identify any key focus areas of physical constraints in
Queensland, and therefore no action has been required by Queensland for the SDL adjustment
mechanism. As such this milestone is not applicable to Queensland in 2013–14.
4.4
Cooperation in environmental watering
Expectations
The Commission expected to see that Queensland had supported the Commonwealth in bridging the
gap and that the intent of the commitment had been met.
Specifically, the Commission expected to see that:

characteristics of licensed entitlements held for environmental use have not been enhanced or
diminished relative to like entitlements held and used for other purposes
Murray–Darling Basin National Partnership Agreement: milestone assessments
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



the MDBA has been provided with annual environmental watering priorities consistent with the
Basin Plan
the management and delivery of planned and held environmental water is consistent with the Basin
Plan, including:
- the Environmental Watering Plan’s Principles to be applied to environmental watering
- providing a statement of reasons to the MDBA for any environmental watering that
was not in accordance with the Basin annual environmental watering priorities
environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water
12 months after the MDBA has made the Basin-wide Environmental Watering Strategy (due in
2014), or within another timeframe agreed between the MDBA and Queensland, long-term
environmental watering plans for surface water resource plan areas are developed consistent with
the requirements of the Basin Plan (i.e. by 2015).
Findings
Queensland has met this commitment.

Queensland did not enhance or diminish licence entitlements held for environmental use relative
to like entitlements held and used for other purposes during 2013–14.

Queensland provided its annual environmental watering priorities for 2014–15, consistent with
the Basin Plan, to the MDBA on 26 May 2014.

Queensland consistently applied the Basin Plan’s Principles to be applied in environmental
watering during 2013–14.

Environmental watering has occurred with regard to the views of local communities and persons
materially affected by the management of environmental water.
Characteristics of licensed entitlements
Queensland’s statement of assurance confirmed that characteristics of licence entitlements held for
environmental use were not enhanced or diminished relative to like entitlements held and used for other
purposes during 2013–14 (Qld Govt 2014).
Although amendments were made to Queensland’s Water Act 2000 during the assessment period,
Queensland indicated that the amendments did not result in any changes to the characteristics of water
held for environmental purposes (Qld Govt 2014).
Annual environmental watering priorities
Consistent with this requirement, Queensland submitted its annual environmental watering priorities for
2014–15 to the MDBA on 26 May 2014 (Qld Govt 2014). The annual watering priorities are available on
the Queensland Government’s website in the Queensland Murray–Darling Basin section12.
Management and delivery of environmental water consistent with Basin Plan
Queensland’s statement of assurance noted that it managed and delivered both planned and held
environmental water in the Queensland Murray–Darling Basin consistent with the Basin annual
environmental watering priorities, particularly for enhancing and protecting refuge habitat.
12
See the section entitled ‘Managing environmental water’ at
http://www.dnrm.qld.gov.au/water/catchments-planning/qmdb/managing-environmental-water.
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Publicly available information relating to held environmental water from the CEWH website also
confirmed that environmental water deliveries that occurred in Queensland during 2013–14 were
broadly consistent with the Basin annual environmental watering priorities13.
Additional information on the management of held environmental water in 2013–14 is provided by the
MDBA’s Basin environmental watering outlook for 2014–15 report, including an explanation of the dry
conditions in the Condamine-Balonne which precluded any opportunities to support bird breeding events
(MDBA 2014).
Specifically in regard to planned environmental water, Queensland stated that strategies and rules in the
relevant state-based water resource plans (WRPs) and resource operations plans (ROPs) provided for
the protection of environmental water in-stream and for overland flow (Qld Govt 2014).
Consultation on environmental watering
Queensland’s statement of assurance maintained that environmental watering was undertaken in
accordance with state-based WRPs and ROPs (Queensland Govt 2014). Queensland has stated that, in
developing these plans, extensive stakeholder consultation was undertaken. Stakeholder groups listed
as being included in the development of WRPs and ROPs include:




water users
water infrastructure operators
relevant interest groups
other jurisdictions.
Community consultation reports are publicly available on the website of the Department of Natural
Resources and Mines (e.g. Condamine-Balonne14).
Queensland also noted that it consulted directly with the CEWO, New South Wales Government and the
MDBA in preparing its annual environmental watering priorities for 2014–15 (Qld Govt 2014).
Long-term environmental watering plans for surface water resource plan areas
Schedule A requires that 12 months after the MDBA has made the Basin-wide Environmental Watering
Strategy, or within another timeframe agreed between the MDBA and Queensland, long-term
environmental watering plans for surface water resource plan areas are developed consistent with the
requirements of the Basin Plan.
The draft Basin-wide Environmental Watering Strategy was released in August 2014 but has not been
finalised yet, so there is no assessment for this year.
4.5
Supply measures projects
The provision of descriptions of supply measure projects for which feasibility and business cases are
being developed for consideration under the SDL adjustment mechanism is applicable to New South
Wales, Victoria and South Australia only. Therefore, this milestone is not applicable to Queensland.
13
http://www.environment.gov.au/topics/water/commonwealth-environmental-water-office/northerncatchments
14 http://www.dnrm.qld.gov.au/__data/assets/pdf_file/0020/196211/condamine-balonne-ropconsultation.pdf
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5
Assessment for South Australia
5.1
Summary of findings
Findings for South Australia are summarised below in the order they appear in the agreement. Full
findings and details of the assessment follow in subsequent sections of this chapter.
Table 5.1: Summary of findings for South Australia
National Partnership commitments
Assessment summary
Finding
6) The state has supported the
Commonwealth in bridging the gap

South Australia did not introduce
any restrictions or suspensions on
the trading of water access
entitlements.
Commitment met

It did not take any action to
impede Commonwealth measures
to acquire water for environmental
purposes.

Applications for water entitlement
and allocation trades were
processed consistent with the
agreed service standards for trade
processing times.

The River Murray Prescribed
Water Course is the only
regulated surface water system15
within the South Australian
Murray–Darling Basin. Water
access entitlements for this
system are consistent with
clauses 28–32 of the NWI.
7) Following publication of the
Constraints Management Strategy
by the MDBA, confirmation that
any actions taken by the state to
remove or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL adjustment
mechanism

South Australia has supported
development and implementation
of the Constraints Management
Strategy.
Commitment met
8) The state has cooperated in
arrangements for Basin Plan

South Australia did not enhance or
diminish licence entitlements held
Commitment met
15
Regulated system means a surface water system in which water in a watercourse can be stored or
flow levels can be controlled, through the use of structures such as large dams or weirs.
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National Partnership commitments
Assessment summary
environmental watering
9) For New South Wales, Victoria
and South Australia only, the state
has provided a brief description of
supply measure projects for which
feasibility and business cases are
being developed for consideration
under the SDL adjustment
mechanism.
5.2
Finding
for environmental use relative to
like entitlements held and used for
other purposes during 2013–14.

South Australia provided its
annual environmental watering
priorities for 2014–15, consistent
with the Basin Plan, to the MDBA
in May 2014.

South Australia consistently
applied the Basin Plan’s Principles
to be applied in environmental
watering during 2013–14.

Environmental watering in
regulated catchments has
occurred with regard to the views
of local communities and persons
materially affected by the
management of environmental
water.

South Australia has provided the
Commonwealth with a brief
description of supply measure
projects for which feasibility and
business cases are being
developed for consideration under
the SDL adjustment mechanism.
Commitment met
Bridging the gap
Expectations
The Commission expected to see that South Australia had supported the Commonwealth in bridging the
gap and that the intent of the commitment had been met.
Specifically, we expected to see:




no restrictions were introduced on the trading of water access entitlements, except where
consistent with the Basin Plan water trading rules
no action has been taken to impede Commonwealth measures to acquire water for environmental
purposes, except where consistent with the Basin Plan water trading rules
applications for water entitlement and allocation trades to which the Commonwealth was a party
were processed consistent with the agreed service standards for trade processing times for state
approval agencies, supported by a list of trades undertaken and the times taken to process those
trades
regulated systems have entitlements that are consistent with the provisions of clauses 28–32 of the
NWI in the timeframe agreed in the IGA.
Murray–Darling Basin National Partnership Agreement: milestone assessments
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Findings
South Australia has met this commitment.

South Australia did not introduce any restrictions or suspensions on the trading of water access
entitlements.

It did not take any action to impede Commonwealth measures to acquire water for
environmental purposes.

Applications for water entitlement and allocation trades were processed consistent with the
agreed service standards for trade processing times.

The River Murray Prescribed Water Course is the only regulated surface water system within
the South Australian Murray–Darling Basin. Water access entitlements for this system are
consistent with clauses 28–32 of the NWI.
Restrictions on trade
South Australia stated that in 2013–14 it did not introduce any restrictions or suspensions on the trade of
water access entitlements (SA Govt 2014).
Commonwealth measures to acquire water
South Australia confirmed in its statement of assurance that it did not take any action to impede
Commonwealth measures to acquire water for environmental purposes during 2013–14 (SA Govt 2014).
Processing times for trades
South Australia stated that it had met the agreed processing times for each water entitlement and
allocation trade to which the Commonwealth was a party during the reporting period (SA Govt 2014).
South Australia noted seven cases where there was a delay in gaining consent from the interested
party. As this period of time is ordinarily counted as being out of South Australia’s control, these cases
are subtracted and South Australia is considered 100 per cent compliant with the required standard.
These findings are supported by data publicly available from South Australia’s water trade reporting
website16.
NWI-consistent entitlements
The River Murray Prescribed Water Course is the only regulated surface water system within the South
Australian Murray–Darling Basin. Water access entitlements for this system have been unbundled in line
with clauses 28–32 of the NWI since 2009 (SA Govt 2014; also see NWC 2014).
16
https://www.waterconnect.sa.gov.au/Systems/WTR/Pages/default.aspx
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5.3
Implementation of the Constraints Management Strategy
Expectations
The Commission expected to see that South Australia had supported development and implementation
of the Constraints Management Strategy and that the intent of the commitment had been met.
The MDBA published the Constraints Management Strategy in November 2013.
Schedule A requires that, following publication of the strategy, any actions taken by the state to remove
or address constraints are to be consistent with the measures agreed through the inter-jurisdictional
governance procedure for the SDL adjustment mechanism.
Findings
South Australia has met this commitment.

South Australia has supported development and implementation of the Constraints Management
Strategy.
South Australia’s statement of assurance noted that it had cooperated with the MDBA to better
understand the implications of more frequent delivery of high to medium River Murray flows and that this
had included inundation modelling, identification of potential third-party impacts and consideration of
mitigation options (SA Govt 2014).
5.4
Cooperation in environmental watering
Expectations
The Commission expected to see that South Australia had cooperated in arrangements for Basin Plan
environmental watering and that the intent of the commitment had been met.
Specifically, the Commission expected to see that:





characteristics of licensed entitlements held for environmental use have not been enhanced or
diminished relative to like entitlements held and used for other purposes
the MDBA has been provided with annual environmental watering priorities consistent with the
Basin Plan
the management and delivery of planned and held environmental water is consistent with the Basin
Plan, including:
- the Environmental Watering Plan’s Principles to be applied to environmental watering
- providing a statement of reasons to the MDBA for any environmental watering that
was not in accordance with the Basin annual environmental watering priorities
environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water
12 months after the MDBA has made the Basin-wide Environmental Watering Strategy (due in
2014), or within another timeframe agreed between the MDBA and South Australia, long-term
environmental watering plans for surface water resource plan areas are developed consistent with
the requirements of the Basin Plan (i.e. by 2015).
Findings
South Australia has met this commitment.

South Australia did not enhance or diminish licence entitlements held for environmental use
Murray–Darling Basin National Partnership Agreement: milestone assessments
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27
relative to like entitlements held and used for other purposes during 2013–14.

South Australia submitted its annual watering priorities for the River Murray, SA Murray Region
and Eastern Mount Lofty Ranges water resource plan areas to the MDBA on 31 May 2014.

South Australia consistently applied the Basin Plan’s Principles to be applied in environmental
watering to environmental water received from CEWH, The Living Murray (TLM) program and
South Australian holdings during 2013–14.

Environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water.
Characteristics of licensed entitlements
South Australia’s statement of assurance noted that characteristics of licence entitlements held for
environmental use were not enhanced or diminished relative to like entitlements held and used for other
purposes during 2013–14 (SA Govt 2014).
Annual environmental watering priorities
South Australia’s statement of assurance confirmed that the MDBA was provided with annual
environmental watering priorities, consistent with the Basin Plan, by 31 May 2014 (SA Govt 2014). The
2014–15 annual watering priorities for the River Murray, SA Murray Region and the Eastern Mount Lofty
Ranges water resource plan areas have been made publicly available17.
Management and delivery of environmental water consistent with Basin Plan
South Australia confirmed in its statement of assurance that management and delivery of both planned
and held environmental water was undertaken consistent with the Principles to be applied in
environmental watering (SA Govt 2014). More detail is provided on environmental water management
arrangements for each region below:
River Murray
Each year South Australia prepares the Annual Environmental Watering Plan for the South Australian
River Murray to guide planned and held environmental water delivery to the state. It documents the
agreed program for environmental water delivery along the River Murray in South Australia, including
the Lower Lakes, Coorong and Murray Mouth.
Held environmental water is available from four sources – the CEWH, TLM, the South Australian
Government and non-government organisations. The cooperative arrangements with the MDBA and the
CEWH for the delivery of held environmental water have been described in previous annual plans (e.g.
DEWNR 2013). In 2013–14, the CEWH and TLM together provided more than 700 GL for the River
Murray in South Australia (DEWNR 2014). Additional information on these watering events was
provided by the MDBA’s Basin environmental watering outlook for 2014–15 report, including
descriptions of ecological responses recorded in the Lower Murray River (MDBA 2014).
The Water Allocation Plan (WAP) for the River Murray Prescribed Watercourse guides the management
and allocation of water. Under the Murray-Darling Basin Agreement and the WAP, no provisions exist
for the allocation and use of unregulated flows for non-environmental consumptive purposes.
Approximately 200 GL of Class 9 water is also available under the WAP for wetland use, some of which
is allocated as held environmental water and some of which is used by non-managed, pool-connected
17
http://www.environment.sa.gov.au/managing-natural-resources/river-murray/river-restoration-andenvironmental-water
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wetlands via evaporation during normal river operations and is not available for other use (DEWNR
2014).
Eastern Mount Lofty Ranges
There is no held environmental water in the Eastern Mount Lofty Ranges Water Resource Plan area.
Rather, the management of water for the environment occurs primarily through planned environmental
water. South Australia advised in its statement of assurance that the diffuse, widely distributed nature of
the environmental assets and water capture means that the most useful and practical approach to
providing water to the environment is to set water-taking limits and rules that result in a flow pattern that
provides an adequate environmental water regime over space and time. These rules are set through the
Eastern Mount Lofty Ranges WAP which came into effect on 17 December 2013. The plan has been
listed as a transitional water resource plan under the Water Act 2007 (Cwth). South Australia advised
that it will review this WAP as part of developing a water resource plan to ensure that its provisions are
consistent with the Basin Plan, including the Environmental Watering Plan (SA Govt 2014).
SA Murray Region
South Australia advised that there are several water resources in the SA Murray Region which have no
WAP in place, and that no active management of planned or held environmental water occurs in this
region. South Australia also advised that the Basin Plan Environmental Watering Plan will be considered
as part of the development of a water resource plan for this area (SA Govt 2014).
Consultation on environmental watering
The River Murray Prescribed Water Course is the only regulated surface water system within the South
Australia Murray–Darling Basin. The 2013–14 Annual Environmental Watering Plan for the South
Australian River Murray set out the environmental water requirements for 2013–14 under a range of
climatic scenarios, including the timing, volumes and priorities for environmental watering
(DEWNR 2013).
The South Australian statement of assurance described consultation undertaken on the annual
Environmental Watering Plan, including with local communities through:
•
the South Australian Murray–Darling Basin Natural Resources Management Board, including the
River Murray Advisory Committee
•
local action planning groups through the Community Action for the Rural Environment committee
•
the Community Advisory Panel for the Coorong, Lower Lakes and Murray Mouth
•
the Nature Foundation SA
•
the Ngarrindjeri Regional Authority, including the Mannum Aboriginal Community Association
Incorporated
•
the First Peoples of the River Murray and Mallee Region.
The South Australian Murray–Darling Basin Natural Resources Management Board, the River Murray
Advisory Committee and the Community Advisory Panel for the Coorong, Lower Lakes and Murray
Mouth include members who are landholders in the River Murray system and who represent the
interests of people materially affected by water management issues, including the delivery of
environmental water (SA Govt 2014).
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Evidence of consultation with local communities and persons materially affected by the management of
environmental water was found on a range of websites including those of the Community Advisory
Panel for the Coorong, Lower Lakes and Murray Mouth18 and the MDBA.
South Australia advised that it is doing further work to identify the landholders who could be affected by
high-flow events in the future through a high-flows augmentation project and by working with the MDBA
on the development of the Constraints Management Strategy (SA Govt 2014).
South Australia advised that during 2013–14, in addition to consultations on the annual plan, it also
worked collaboratively with non-government organisations, local action committees, community groups
and landholders on environmental water delivery and site management issues. Examples included:
•
working with the Nature Foundation SA to identify suitable sites for the delivery of environmental
water that is managed on behalf of the CEWH
•
working with local action planning committees to undertake community monitoring of 30 managed
wetlands
•
working with landholders on the protection and restoration of wetlands on private land, including the
installation of flow-management structures and weed control (SA Govt 2014).
Long-term environmental watering plans for surface water resource plan areas
Schedule A requires that 12 months after the MDBA has made the Basin-wide Environmental Watering
Strategy, or within another timeframe agreed between the MDBA and South Australia, long-term
environmental watering plans for surface water resource plan areas are developed consistent with the
requirements of the Basin Plan.
The draft Basin-wide Environmental Watering Strategy was released in August 2014 but has not been
finalised yet, so there is no assessment for this year.
5.5
Supply measures projects
Expectations
For New South Wales, Victoria and South Australia only, the Commission expected to see that South
Australia had provided the Commonwealth with a brief description of supply measure projects for which
feasibility and business cases are being developed for consideration under the SDL adjustment
mechanism.
Findings
South Australia has met this commitment.

South Australia has provided the Commonwealth with a brief description of supply measure
projects for which feasibility and business cases are being developed for consideration under
the SDL adjustment mechanism.
Chowilla Floodplain Regulator
This is a pre-existing project under TLM. It involves the construction of a major environmental regulator
on Chowilla Creek and a range of complementary works. South Australia anticipates that the regulator
18
http://lakeshub.com/wp-content/uploads/2013/08/CAP-communique-No8-April-2013.pdf
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will allow the management of flows to enable flooding across the floodplain under relatively low riverflow conditions (SA Govt 2014).
The project is now being examined as a supply measure under the SDL adjustment mechanism. South
Australia’s statement of assurance noted that the project has been approved as part of the Phase 1
feasibility assessment process. Further work is being undertaken by South Australia for subsequent
phases of assessment as outlined in the inter-jurisdictional governance procedure for the SDL
adjustment mechanism.
Riverine Recovery Project
South Australia anticipates this project has potential to generate wetland evaporative savings through a
range of activities that restore wetlands along the South Australian Murray River, including reintroducing
wetting and drying cycles, with the aim of achieving improved wetland habitats and water quality (SA
Govt 2014).
The feasibility study was approved on 11 December 2013 and a business case is under development 19.
19
http://www.mdba.gov.au/what-we-do/water-planning/sdl/proposals/south-australia
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6
Assessment for Victoria
6.1
Summary of findings
Findings for Victoria are summarised below in the order they appear in the agreement. Full findings and
details of the assessment follow in subsequent sections of this chapter.
Table 6.1: Summary of findings for Victoria
National Partnership commitments
Assessment summary
Finding
6) The state has supported the
Commonwealth in bridging the gap

Victoria did not introduce any
restrictions or suspensions on the
trading of water access
entitlements.
Commitment met

It did not take any action to
impede Commonwealth measures
to acquire water for environmental
purposes.

Applications for water entitlement
and allocation trades were
processed consistent with the
agreed service standards for trade
processing times.

Victorian entitlements in regulated
surface water systems20 are
largely consistent with the
provisions of NWI clauses 28–32,
with two exceptions (detailed
below).
7) Following publication of the
Constraints Management Strategy
by the MDBA, confirmation that
any actions taken by the state to
remove or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL adjustment
mechanism
8) The state has cooperated in
arrangements for Basin Plan
environmental watering
20


Victoria has supported
development and implementation
of the Constraints Management
Strategy.
Commitment met
The characteristics of licensed
entitlements held for
environmental water use in
Commitment met
Regulated system means a surface water system in which water in a watercourse can be stored or
flow levels can be controlled, through the use of structures such as large dams or weirs.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
32
National Partnership commitments
Assessment summary
Finding
Victoria have not been enhanced
or diminished relative to like
entitlements held and used for
other purposes.
9) For New South Wales, Victoria
and South Australia only, the state
has provided a brief description of
supply measure projects for which
feasibility and business cases are
being developed for consideration
under the SDL adjustment
mechanism.

Victoria has implemented
measures to facilitate the use of
environmental water.

Victoria has provided annual
environmental watering priorities,
consistent with the Basin Plan, to
the MDBA.

Victoria consistently applied the
Basin Plan’s Principles to be
applied in environmental watering
to environmental water received
from the CEWH, TLM and
Victorian holdings during 2013–
14.

Environmental watering in
regulated catchments has
occurred with regard to the views
of local communities and persons
materially affected by the
management of environmental
water.

Victoria has provided the
Commonwealth with a brief
description of supply measure
projects for which feasibility and
business cases are being
developed for consideration under
the SDL adjustment mechanism.
Commitment met
Expectations
The Commission expected to see that Victoria had supported the Commonwealth in bridging the gap and
that the intent of the commitment had been met.
Specifically, we expected to see:




after the Basin Plan water trading rules come into effect, the removal of volumetric or other barriers
to permanent trade out of water irrigation areas that are inconsistent with the Basin Plan water
trading rules
no restrictions were introduced on the trading of water access entitlements, except where
consistent with the Basin Plan water trading rules
no action has been taken to impede Commonwealth measures to acquire water for environmental
purposes, except where consistent with the Basin Plan water trading rules
applications for water entitlement and allocation trades to which the Commonwealth was a party
were processed consistent with the agreed service standards for trade processing times for state
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
33
approval agencies, supported by a list of trades undertaken and the times taken to process those
trades

regulated systems have entitlements that are consistent with the provisions of clauses 28–32 of the
NWI in the timeframe agreed in the IGA.
Findings
Victoria has met this commitment.

Victoria did not introduce any restrictions or suspensions on the trading of water access
entitlements.

It did not take any action to impede Commonwealth measures to acquire water for
environmental purposes.

Applications for water entitlement and allocation trades were processed consistent with the
agreed service standards for trade processing times.

Victorian entitlements in regulated surface water systems are largely consistent with the
provisions of clauses 28–32 of the NWI, with the exception of the Coliban and Wimmera
systems.
Removal of barriers
As the Basin Plan water trading rules did not take effect until 1 July 2014, no assessment is required in
2013–14. Within this context, Victoria has made progress towards consistency with the Basin Plan
water trading rules through the amendment of two Victorian trading rules, as follows:


The four per cent limit on trade out of irrigation areas: this limit was removed by a Ministerial
Order changing the Trading Rules for Declared Systems and came into effect on 1 July 2014.
The requirement that a buyer of allocation, or a receiver of a limited-term transfer of a water
share, be a landholder: this requirement was included in the Water Act 1989 (Vic) and the
Trading Rules for Declared Systems, and was also built into the Water Register architecture. A
Bill to amend the Act was passed by State Parliament on 3 April 2014 and a Ministerial Order
changing the Trading Rules for Declared Systems came into effect on 1 July 2014. The new
trading rules remove the requirement that the buyer must be the owner or occupier of land. The
Water Register was changed on 1 July 2014 (Vic. Govt 2014).
Further information is available at: http://waterregister.vic.gov.au/about/news/168-changes-to-victorianwater-trading-rules.
Restrictions on trade
Victoria’s statement of assurance noted that, during the assessment period, it did not introduce any
restrictions or suspensions on the trading of water access entitlements (Vic. Govt 2014).
Commonwealth measures to acquire water
During the assessment period, Victoria has not taken any action to impede Commonwealth measures to
acquire water for environmental purposes (Vic. Govt 2014).
Processing times for trades
Victoria provided the processing times for water entitlement and allocation trades completed during
2013–14 to which the Commonwealth was a party and this demonstrated that the standards for trade
processing times had been met. Victoria recorded 100 per cent compliance against the service
standards for allocation trades from 1 July 2013 to 30 June 2014 (Vic. Govt 2014). For water share
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
34
transfers between 1 July 2013 and 30 June 2014, Victoria also met the service standards
(Vic. Govt 2014).
NWI-consistent entitlements
Victorian entitlements in regulated surface water systems are largely consistent with the provisions of
clauses 28–32 of the NWI, with the exception of the Coliban and Wimmera systems. Victoria’s
statement of assurance lists the Murray, Ovens, Goulburn, Broken, Campaspe and Loddon regulated
surface water systems as consistent with the provisions.
In regard to the Coliban and Wimmera systems, Victoria’s statement of assurance noted that the
specification of entitlements for consistency with NWI clauses 28 to 32 has not been undertaken to date
and further work is occurring within these systems as described below. In view of the reconfiguration in
the Coliban and the review in the Wimmera, and given the timeframe agreed in the IGA for specification
of entitlements (i.e. within three years of the agreement), the Commission has assessed this
commitment as being met for 2013-14.
Coliban - In the Coliban system, entitlements are held by individuals and companies in the form of takeand-use licences under section 51 of the Water Act 1989 (Vic). The licences are tradeable. The Coliban
regulated water system is relatively small and isolated. It is currently being remodelled, including the
installation of a pipeline and decommissioning of other assets (Vic. Govt 2014). There is no current plan
to unbundle entitlements due to the small volume of existing licences and the likelihood of further
significant reconfiguration work (Vic. Govt 2014).
Wimmera - The Wimmera system mainly supplies small customers of Grampians Wimmera Mallee
Water, which holds the primary rights on behalf of its customers (Vic. Govt 2014). Customers have the
ability to trade within the existing supply system. The entitlement structure in the Wimmera system is
undergoing a review that will include an assessment of whether the benefits of unbundling exceed its
costs. Further information on the entitlement review is publicly available from the Grampians Wimmera
Mallee Water website21.
6.2
Implementation of the Constraints Management Strategy
Expectations
The Commission expected to see that Victoria had supported development and implementation of the
Constraints Management Strategy and that the intent of the commitment had been met.
The MDBA published the Constraints Management Strategy in November 2013.
Schedule A requires that, following publication of the strategy, any actions taken by Victoria to remove
or address constraints are to be consistent with the measures agreed through the inter-jurisdictional
governance procedure for the SDL adjustment mechanism.
Findings
Victoria has met this commitment.

21
Victoria has supported development and implementation of the Constraints Management
Strategy.
http://www.gwmwater.org.au/customers/publications/reports-and-policies/cat_view/116-reports-andpolicies
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
35
Victoria’s statement of assurance noted that work has been undertaken to provide support to its
communities to contribute to the finalisation of the Constraints Management Strategy, and with other
Basin governments and the MDBA to progress constraints measures under the SDL adjustment
mechanism (Vic. Govt 2014).
6.3
Cooperation in environmental watering
Expectations
The Commission expected to see that Victoria had cooperated in arrangements for Basin Plan
environmental watering and that the intent of the commitment had been met.
Specifically, the Commission expected to see that:






characteristics of licensed entitlements held for environmental use have not been enhanced or
diminished relative to like entitlements held and used for other purposes
where feasible and agreed by Victoria, and where associated third-party impacts have been
considered, measures have been implemented to facilitate the use of environmental water by
protecting environmental water in-stream and on land through:
- the delivery of held environmental water in-stream though arrangements such as
water shepherding to facilitate environmental flows
- further use of environmental water at multiple locations along the river, such as
through return-flow provisions
the MDBA has been provided with annual environmental watering priorities consistent with the
Basin Plan
the management and delivery of planned and held environmental water is consistent with the Basin
Plan, including:
- the Environmental Watering Plan’s Principles to be applied to environmental watering
- providing a statement of reasons to the MDBA for any environmental watering that
was not in accordance with the Basin annual environmental watering priorities
environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water
12 months after the MDBA has made the Basin-wide Environmental Watering Strategy (due in
2014), or within another timeframe agreed between the MDBA and Victoria, long-term
environmental watering plans for surface water resource plan areas are developed consistent with
the requirements of the Basin Plan (i.e. by 2015).
Findings
Victoria has met this commitment.

The characteristics of licensed entitlements held for environmental water use in Victoria have not
been enhanced or diminished relative to like entitlements held and used for other purposes.

Victoria has provided annual environmental watering priorities, consistent with the Basin Plan, to
the MDBA.

Victoria consistently applied the Basin Plan’s Principles to be applied in environmental watering
to environmental water received from the CEWH, TLM and Victorian holdings during 2013–14.

Environmental watering in regulated catchments has occurred with regard to the views of local
communities and persons materially affected by the management of environmental water.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
36
Characteristics of licensed entitlements
During 2013–14, Victoria did not take any action to alter the characteristics of licensed entitlements held
for environmental use (Vic. Govt 2014). Victoria’s statement of assurance confirmed that characteristics
of licence entitlements held for environmental water use were not enhanced or diminished relative to like
entitlements held and used for other purposes during the assessment period.
Measures implemented to facilitate the use of environmental water
Schedule A requires that – where feasible and agreed by Victoria, and where associated third-party
impacts have been considered – measures will be implemented to facilitate the use of environmental
water by protecting environmental water in-stream and on land through:
•
the delivery of held environmental water in-stream though arrangements such as water shepherding
to facilitate environmental flows
•
further use of environmental water at multiple locations along the river, such as through return-flow
provisions.
As no agreement has been made, there is no assessment in 2014.
Within this context, Victorian, Commonwealth and TLM environmental water is generally delivered
through entitlements held by the Victorian Environmental Water Holder (VEWH). Victoria’s statement of
assurance noted that where these entitlements include conditions allowing access to return flows,
Commonwealth and TLM water is eligible for re-use, provided the minimum requirements in the
entitlement provisions to prevent third-party impacts are met (Vic. Govt 2014).
Victoria advised that 437,293 ML of water was re-credited from return flows for use downstream in the
northern Victorian systems during the season. Of this, 108,308 ML was re-used within Victoria at sites
such as Gunbower Creek and Hattah Lakes. The remaining 328,985 ML was traded from VEWH
accounts to South Australia for re-use in the South Australian Murray system (e.g. Lower Lakes, Coorong
and Murray Mouth). Of the return flows traded, 304,069 ML was Commonwealth environmental water,
17,916 ML TLM and 7000 ML VEWH (Vic. Govt 2014).
Annual environmental watering priorities
Victoria’s statement of assurance confirmed that the MDBA was provided with annual environmental
watering priorities, consistent with the Basin Plan, on 30 May 2014 (Vic. Govt 2014). The 2014–15
seasonal watering plan of the VEWH has also been made publicly available on its website
(VEWH 2014)22.
Management and delivery of environmental water consistent with Basin Plan
Victoria maintained in its statement of assurance that management and delivery of planned and held
environmental water has been undertaken consistent with the Principles to be applied in environmental
watering (Vic. Govt 2014). Further, the management and delivery of held and planned environmental
water in northern Victoria was undertaken in a manner consistent with the Basin Plan and with the
2013–14 annual environmental watering priorities under the Victorian Water Entitlement Framework.
In particular, planned environmental water was managed and delivered consistent with the Basin Plan
via rules and obligations tied to Bulk Entitlements (Vic. Govt 2014).
Held environmental water is managed by the VEWH in collaboration with Commonwealth agencies,
such as the CEWH. Publicly available information from the VEWH’s website confirms that environmental
watering that occurred during 2013–14 was broadly consistent with the Victorian Seasonal Watering
22
www.vewh.gov.au.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
37
Plan and with the 2013–14 Basin annual environmental watering priorities (see Watering Updates –
editions 12, 13 and 14 at http://www.vewh.vic.gov.au/news-and-resources/resource-library/wateringupdate).
Additional information on the environmental watering events undertaken in 2013–14 is also provided by
the MDBA’s Basin environmental watering outlook for 2014–15 report, including descriptions of
ecological responses recorded in the Barmah Forest and Goulburn River (MDBA 2014).
Consultation on environmental watering
Victoria’s statement of assurance noted the community engagement undertaken during development of
the 2014–15 annual watering priorities. This occurred through the environmental water advisory groups
of various northern Victorian catchment management authorities and other community meetings on
seasonal watering proposals (Vic. Govt 2014). These seasonal watering proposals form the basis of the
VEWH's seasonal watering plan which includes annual watering priorities (VEWH 2014). The VEWH’s
seasonal watering plan also details the key stakeholders consulted in the development of environmental
watering priorities (e.g. Goulburn Broken Catchment Management Authority; Yorta Yorta Nation
Aboriginal Corporation).
Victoria noted that it has now transitioned to the Victorian Waterway Management Strategy and
associated Regional Waterway Strategies. Through these long-term strategies, local communities are
engaged on the priority waterway sites and values to be targeted for investment and the priority
management activities that are subsequently identified, including where possible, environmental
watering (Vic. Govt 2014).
Long-term environmental watering plans for surface water resource plan areas
Schedule A requires that 12 months after the MDBA has made the Basin-wide Environmental Watering
Strategy, or within another timeframe agreed between the authority and Victoria, long-term
environmental watering plans for surface water resource plan areas are developed consistent with the
requirements of the Basin Plan.
The draft Basin-wide Environmental Watering Strategy was released in August 2014 but has not been
finalised yet, so there is no assessment for this year.
6.4
Supply measures projects
Expectations
For New South Wales, Victoria and South Australia only, the Commission expected to see that Victoria
had provided the Commonwealth with a brief description of supply measure projects for which feasibility
and business cases are being developed for consideration under the SDL adjustment mechanism.
Findings
Victoria has met this commitment.

Victoria has provided the Commonwealth with a brief description of supply measure projects for
which feasibility and business cases are being developed for consideration under the SDL
adjustment mechanism.
Victoria’s statement of assurance noted that proposals for structural works supply measure projects
were submitted to the Phase 1 assessment process under the SDL adjustment mechanism and have
successfully moved to Phase 2 (Vic. Govt 2014). Business cases for the Phase 2 assessment process
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
38
are being finalised for submission by the due date of 31 December 2014. A summary of each of the
proposals is publicly available on the MDBA's website23. Victoria also advised that supply measures
identified as potential rule or policy change projects continue to be progressed in accordance with the
timetable outlined in Schedule 1 of the IGA.
23
http://www.mdba.gov.au/what-we-do/water-planning/sdl/proposals.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
39
Appendix 1 Ministerial letter of referral
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
40
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
41
Appendix 2 Extract from the NPA outlining the
Commission’s role
19.
20.
The Head of the Basin State water agency will submit the first annual Statement of Assurance to the
NWC (the Assessor) by 28 February 2014, covering the period of the 2012–13 financial year. For every
assessment period thereafter, the Head of the Basin State water agency will submit an annual
Statement of Assurance to the NWC by 31 August (or the first working day thereafter).
The Statement of Assurance will:
(a)
state which milestones applicable to that reporting year have been achieved, as outlined in Schedule A;
and
(b)
state which milestones applicable to that reporting year have not been achieved, as outlined in Schedule
A, and the reason/s for non-achievement, and any steps and activities that were undertaken by the
Basin State in an effort to meet the milestone; and
(c)
(d)
state which milestones identified as not achieved in preceding years have been achieved; and
be accompanied by any additional supporting documentation relating to Milestones 2 to 9 in Schedule A
that a state deems to be relevant to meeting a milestone; and
be accompanied by a brief description of supply measure projects for which feasibility and business
cases are being developed for consideration under the SDL adjustment mechanism, as referred to in
Schedule A. This only applies to New South Wales, Victoria and South Australia for the statements of
assurance submitted in 2013, 2014 and 2015.
In relation to the initial (2013–14) contribution for supply measures, by 28 February 2014, New South
Wales, Victoria and South Australia will provide to the Commonwealth Department with responsibility for
water a brief description of supply measure projects in that State for which feasibility and business cases
are being developed for consideration under the SDL adjustment mechanism (the report), consistent
with Milestone 1 in Schedule A. Payment will only be made on the acceptance by the Commonwealth
Minister with portfolio responsibility for water of a report the Minister considers to be satisfactory.
(e)
21.
22.
(a)
(b)
23.
24.
Using the Statement of Assurance and any supporting documentation, the Assessor will conduct an
assessment of each Basin State’s performance against the milestones set out in Schedule A. The
Assessor’s performance assessment reports will indicate:
whether the Basin State has met the performance milestones outlined in Schedule A for the applicable
reporting year, and the extent to which they have been met; and
where a Basin State has not met a performance milestone, any steps and activities that were undertaken
by the Basin State to meet the milestone.
In consultation with the Commonwealth Department with portfolio responsibility for water, the Assessor
may make one formal request for a Basin State to provide additional information to help inform their
annual assessment report.
The Assessor will provide its annual assessment report on each Basin State’s performance against
milestones to the Commonwealth Minister with portfolio responsibility for water, by 31 October, or the
first working day thereafter. The Assessor will then provide a copy to the relevant Basin State 24.
25.
The Commonwealth Minister with portfolio responsibility for water will authorise, based upon the funding
and performance reporting arrangements set out in this Agreement, whether payment should be made to
a Basin State having regard to that Basin State’s assessment report and completion of its milestones
and, in the circumstance of any adverse finding assessed by the Commonwealth as being not material to
that state’s cooperation with the reforms.
26.
In consultation with the Commonwealth Department with portfolio responsibility for water, following a
decision by the Commonwealth Minister with portfolio responsibility for water and release of the report to
the Basin State, the Assessor will publish a copy of each Basin State’s annual assessment report on its
website.
24
In the case of 2012–13 Assessment Reports for New South Wales and Queensland, these will be provided
by the Assessor by 30 April 2014.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
42
Appendix 3 Schedule A to the National Partnership
Agreement on Implementing Water Reform in the
Murray–Darling Basin
The Parties agree to meet the performance milestones set out in Schedule A – Table A.
Schedule A – Table A: Performance Milestones
Date due
Milestones
Proportion
of annual
payment
2013–14 only
By 28
February
2014 (or
first
working
day
thereafter)
1. For New South Wales, Victoria and South Australia only, the State has provided a
brief description of supply measure projects for which feasibility and business cases are
being developed for consideration under the SDL adjustment mechanism.
100% of
Payment 1
for 2013–
14 (Table 1
refers)
2013–14 only
By 28
February
2014 (or
first
working
day
thereafter)
2. The State has supported the Commonwealth in Bridging the Gap, as measured by:
(a) confirmation that no restrictions were introduced on the trade of water access
entitlement, except where consistent with the Basin Plan water trading rules;
and
(b) confirmation that no action has been taken to impede Commonwealth
measures to acquire water for environmental purposes; and
(c) confirmation that applications for water entitlement and allocation trades, to
which the Commonwealth is a party, were processed consistent with the
agreed service standards relating to trade processing times for State approval
agencies; and
(d) specification of entitlements in regulated surface water systems, consistent
with clauses 28 to 32 of the National Water Initiative in the timeframe agreed in
the IGA, unless where otherwise agreed; and
100% of
Payment 2
for 2013–
14 (Table 1
refers)
3. Following publication of the Constraints Management Strategy by the Authority,
confirmation that any actions taken by the state to remove or address constraints are
consistent with the measures agreed through the inter-jurisdictional governance
procedure for the SDL adjustment mechanism; and
4. The State has cooperated in arrangements for Basin Plan environmental watering, as
measured by:
(a) Except as otherwise agreed between the Commonwealth and the relevant
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
43
Date due
Milestones
(b)
(c)
(d)
(e)
(f)
Proportion
of annual
payment
State(s) to facilitate improved environmental watering, confirmation that the
characteristics of licensed entitlements held for environmental use have not
been enhanced or diminished relative to like entitlements held and used for
other purposes; and
Where feasible and agreed by the relevant Basin State, and where associated
third party impacts have been considered, confirmation that measures have
been implemented to facilitate the use of environmental water by protecting
environmental water in-stream and on land through:

(i) the delivery of held environmental water in-stream though arrangements
such as water shepherding to facilitate environmental flows; and

(ii) further use of environmental water at multiple locations along the river,
such as through return flow provisions; and
confirmation that the Authority has been provided with annual environmental
watering priorities, consistent with the Basin Plan; and
confirmation that the management and delivery of planned and held
environmental water is consistent with the Basin Plan; including:
a. the environmental watering plan’s Principles to be applied to
environmental watering; and
b. that a statement of reasons has been provided to the Authority for any
environmental watering undertaken that was not in accordance with
the Basin annual environmental watering priorities; and
confirmation that environmental watering in regulated catchments has occurred
having regard to the views of local communities and persons materially
affected by the management of environmental water; and
12 months after the Authority has made the Basin-wide Environmental
Watering Strategy, or within another timeframe agreed between the Authority
and Basin State, confirmation that long-term environmental watering plans for
surface water resource plan areas have been developed consistent with the
requirements of the Basin Plan; and
5. For New South Wales, Victoria and South Australia only, the State has provided a
brief description of supply measure projects for which feasibility and business cases are
being developed for consideration under the SDL adjustment mechanism.
2014–15 to 2019–20
By 31
August
2014,
2015,
2016,
2017,
2018 and
2019 (or
first
working
day
6. The State has supported the Commonwealth in Bridging the Gap, as measured by:
100%
(a) after the Basin Plan Trade Rules come into effect, confirmation of the removal
of volumetric or other barriers to permanent trade out of water irrigation areas
that are inconsistent with the Basin Plan water trading rules; and
(b) confirmation that no restrictions were introduced on the trade of water access
entitlements, except where consistent with the Basin Plan water trading rules;
and
(c) confirmation that no action has been taken to impede Commonwealth
measures to acquire water for environmental purposes, except where
consistent with the Basin Plan water trading rules; and
(d) confirmation that applications for water entitlement and allocation trades, to
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
44
Date due
thereafter)
Milestones
Proportion
of annual
payment
which the Commonwealth is a party, were processed consistent with the
agreed service standards relating to trade processing times for State approval
agencies; and
(e) specification of entitlements in regulated surface water systems, consistent
with clauses 28 to 32 of the National Water Initiative in the timeframe agreed in
the IGA, unless where otherwise agreed; and
7. Following publication of the Constraints Management Strategy by the Authority,
confirmation that any actions taken by the state to remove or address constraints are
consistent with the measures agreed through the inter-jurisdictional governance
procedure for the SDL adjustment mechanism.
8. The State has cooperated in arrangements for Basin Plan environmental watering, as
measured by:
(a) Except as otherwise agreed between the Commonwealth and the relevant
State(s) to facilitate improved environmental watering, confirmation that the
characteristics of licensed entitlements held for environmental use have not
been enhanced or diminished relative to like entitlements held and used for
other purposes
(b) Where feasible and agreed by the relevant Basin State, and where associated
third party impacts have been considered, confirmation that measures have
been implemented to facilitate the use of environmental water by protecting
environmental water in-stream and on land through:

(i) the delivery of held environmental water in-stream though arrangements
such as water shepherding to facilitate environmental flows; and

(ii) further use of environmental water at multiple locations along the river,
such as through return flow provisions; and
(c) confirmation that the Authority has been provided with annual environmental
watering priorities, consistent with the Basin Plan; and
(d) confirmation that the management and delivery of planned and held
environmental water is consistent with the Basin Plan; including:
a. the environmental watering plan’s Principles to be applied to
environmental watering; and
b. that a statement of reasons has been provided to the Authority for any
environmental watering undertaken that was not in accordance with
the Basin annual environmental watering priorities; and
(e) confirmation that environmental watering in regulated catchments has occurred
having regard to the views of local communities and persons materially
affected by the management of environmental water; and
(f) 12 months after the Authority has made the Basin-wide Environmental
Watering Strategy, or within another timeframe agreed between the Authority
and Basin State, confirmation that long-term environmental watering plans for
surface water resource plan areas have been developed consistent with the
requirements of the Basin Plan.
9. For New South Wales, Victoria and South Australia only, and for 2014–15 and 2015–
16 only, the State has provided a brief description of supply measure projects for which
feasibility and business cases are being developed for consideration under the SDL
adjustment mechanism.
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
45
Appendix 4 Statement of assurance transmission
letters
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
46
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
47
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
48
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
49
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
50
Appendix 5 Assessment expectations
Table A5.1 outlines the Commission’s expectations for statements of assurance provided by Basin
states, and identifies verification sources (where sought).
Table A5.1: Assessment expectations
National Partnership
commitments
Expectations
Third-party sources of
verification information for
Commission’s assessment
(a) Basin Trade Rules do not
come into effect until 1 July
2014
No assessment in 2013–14
6) The state has supported the
Commonwealth in bridging the
gap, as measured by:
(a) after the Basin Plan Trade
Rules come into effect,
confirmation of the
removal of volumetric or
other barriers to
permanent trade out of
water irrigation areas that
are inconsistent with the
Basin Plan water trading
rules
(b) confirmation that no
restrictions were
introduced on the trading
of water access
entitlement, except where
consistent with the Basin
Plan water trading rules
(b) Statement by state that
action has not occurred
Sources include trade working
group, media releases, state
agencies’ websites and
gazettes. Confirming sources:
DotE, CEWH and the MDBAa
(c) confirmation that no action
has been taken to impede
Commonwealth measures
to acquire water for
environmental purposes,
except where consistent
with the Basin Plan water
trading rules
(c) Statement by state that
action has not occurred
Confirming source: DotE
(d) confirmation that
applications for water
entitlement and allocation
trades to which the
Commonwealth was a
party were processed
consistent with the agreed
service standards for trade
processing times for state
approval agencies
(d) Statement by state that
service standards have been
adhered to, supported by a
list of trades and the times
taken to process those
trades
Confirming sources: DotE and
CEWH
Murray–Darling Basin National Partnership Agreement: milestone assessments
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51
(e) specification of
entitlements in regulated
surface water systems,
consistent with clauses 28
to 32 of the NWI in the
timeframe agreed in the
IGAb, unless where
otherwise agreed
7) Following publication of the
Constraints Management
Strategy by the MDBA,
confirmation that any actions
taken by the state to remove
or address constraints are
consistent with the measures
agreed through the interjurisdictional governance
procedure for the SDL
adjustment mechanism
(e) Provision by state of a list of
systems where this applies,
accompanied by a statement
that identifies which of those
regulated systems have
entitlements that are
consistent with the
provisions of clauses 28–32
of the NWI
States supply a statement about
what work or actions they have
done on constraints since
publishing of the CMS in
November 2013 and whether it
is consistent with the
‘Intergovernmental Agreement
on Implementing Water Reform
in the Murray–Darling Basin’
Review by NWC of entitlement
characteristics in areas
nominated by the state as being
consistent with the NWIc
Confirming sources: MDBA,
DotE and CEWH.
8) The state has cooperated in
arrangements for Basin Plan
environmental watering, as
measured by:
(a) Except as otherwise
agreed between the
Commonwealth and the
relevant state to facilitate
improved environmental
watering, confirmation that
the characteristics of
licensed entitlements held
for environmental use
have not been enhanced
or diminished relative to
like entitlements held and
used for other purposes
(a) Statement by state that
action has not occurred
(b) Where feasible and agreed
by the relevant Basin
state, and where
associated third-party
impacts have been
considered, confirmation
that measures have been
implemented to facilitate
the use of environmental
water by protecting
environmental water instream and on land
through:
(b) For New South Wales only Statement re: the
‘Agreement for the
Protection and Re-Use of
Commonwealth
Environmental Water held in
the Murrumbidgee
Catchment’
Sources include announcements
by jurisdiction ministers, media
releases, jurisdictional websites
and gazettes. Not necessarily
public information.
Confirming source: DotE and
CEWH
Confirming source: CEWH
(i) the delivery of held
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environmental water instream though
arrangements such as
water shepherding to
facilitate environmental
flows
(ii) further use of
environmental water at
multiple locations along
the river, such as
through return flow
provisions
(c) confirmation that the
MDBA has been provided
with annual environmental
watering priorities,
consistent with the Basin
Plan
(c) Statement by state that
annual environmental watering
priorities have been provided,
supported by copy of priorities
provided if not public, or link to
location if public.
Jurisdictional websites and the
MDBA website
(d) confirmation that the
management and delivery
of planned and held
environmental water is
consistent with the Basin
Plan; including:
(d) The Basin Plan requires this
to be reported to the MDBA
by 1 October for the prior
watering year under
clauses 13.14 and 8.44 of
the Basin Plan.
This information may be
published on jurisdiction
websites.
(a) the Environmental
Watering Plan’s
Principles to be applied
to environmental
watering
(b) that a statement of
reasons has been
provided to the MDBA
for any environmental
watering that was not
in accordance with the
annual Basin
environmental watering
priorities
(e) confirmation that
environmental watering in
regulated catchments has
occurred having regard to
the views of local
communities and persons
materially affected by the
management of
environmental water
Confirming sources: DotE and
MDBA if not public
Confirming sources: DotE and
MDBA if not public.
Where a report to the MDBA has
not yet been made, a statement
by the state that confirms that
the management and delivery of
planned and held environmental
water were consistent with the
Basin Plan and outlines reasons
for inconsistencies.
Where a report has been
provided to the MDBA, a
statement by the state that
confirms that the management
and delivery of planned and held
environmental water was
consistent with the Basin Plan,
with a copy of the material
provided either linked to or
attached.d
(e) Statement by the state that:

identifies all environmental
watering events (including
CEWH-held water)
undertaken during the year

outlines the process for
determining the views of
local communities and
persons materially affected
Murray–Darling Basin National Partnership Agreement: milestone assessments
for year ending 30 June 2014
Confirming sources: DotE
(drawing on material from
CEWH) and the MDBA on
coordinated planning, delivery
and monitoring of watering
events undertaken in
conjunction with states.
This information may form part
of reporting provided to the
53
by the management of
environmental water, and
how those were considered
in undertaking watering.e
(f) 12 months after the MDBA
has made the Basin-wide
Environmental Watering
Strategy, or within another
timeframe agreed between
the MDBA and a Basin
state, confirmation that
long-term environmental
watering plans for surface
water resource plan areas
have been developed
consistent with the
requirements of the Basin
Plan
9) For New South Wales, Victoria
and South Australia only, and
for 2014–15 and 2015–16
only, the State has provided a
brief description of supply
measure projects for which
feasibility and business cases
are being developed for
consideration under the SDL
adjustment mechanism.
MDBA under (d), and so may
also be published on jurisdiction
websites.
(f) Not assessable in 2014
No assessment in 2014
Confirmed by the state and copy
provided.
Confirming source: DotE
Notes
a While the trading rules do not take effect until July 2014, this is still assessable to the extent that rules
may be introduced before then that will be inconsistent with the trade rules once they take effect.
b See clause 3.4 (d) of the IGA. Parties must, in regulated surface water systems, specify entitlements
consistent with clauses 28 to 32 of the NWI within three years of the agreement, unless otherwise
agreed.
c Extract from the NWI:
28.
The consumptive use of water will require a water access entitlement, separate from land, to
be described as a perpetual or open-ended share of the consumptive pool of a specified water
resource, as determined by the relevant water plan (paragraphs 36 to 40 refer), subject to the
provisions at paragraph 33.
29.
The allocation of water to a water access entitlement will be made consistent with a water plan
(paragraph 36 refers).
30.
Regulatory approvals enabling water use at a particular site for a particular purpose will be
specified separately to the water access entitlement, consistent with the principles set out in
Schedule D.
31.
Water access entitlements will:
i)
specify the essential characteristics of the water product;
ii)
be exclusive;
iii)
be able to be traded, given, bequeathed or leased;
iv)
be able to be subdivided or amalgamated;
v)
be mortgageable (and in this respect have similar status as freehold land when used as
collateral for accessing finance);
vi)
be enforceable and enforced; and
vii)
be recorded in publicly-accessible reliable water registers that foster public confidence
and state unambiguously who owns the entitlement, and the nature of any
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encumbrances on it (paragraph 59 refers).
Water access entitlements will also:
i)
clearly indicate the responsibilities and obligations of the entitlement holder consistent
with the water plan relevant to the source of the water;
ii)
only be able to be cancelled at Ministerial and agency discretion where the
responsibilities and obligations of the entitlement holder have clearly been breached;
iii)
be able to be varied, for example to change extraction conditions, where mutually
agreed between the government and the entitlement holder; and
iv)
be subject to any provisions relating to access of water during emergencies, as
specified by legislation in each jurisdiction.
Extract from NWI Schedule A: Timeline for implementation of key actions
32.
Key actions

Water access entitlements to
be defined and implemented
d
Date
IGA paragraphs
Responsibility
immediate
28–34
States
Extract from the Basin Plan:
8.44 Reporting required where Basin annual environmental watering priorities not followed
(1)
If a person undertakes environmental watering other than in accordance with the Basin
annual environmental watering priorities, that person must give to the Authority a
statement of reasons why environmental watering has not been undertaken in
accordance with the Basin annual environmental watering priorities.
Note: See section 25D of the Acts Interpretation Act 1901 for content required in a statement of
reasons.
(2)
The person must give the statement to the Authority as soon as practicable, but in any
event within 4 months after the end of the water accounting period in which the
environmental watering was undertaken.
Note: This aligns with the period by which an annual report must be produced on the
implementation of the environmental management framework. See section 13.14 and item 10 of
the table in Schedule 12.
13.14 Reporting requirements for Basin States, the Department etc.
(1)
For each matter listed in Schedule 12, each reporter listed for the matter must, for each
reporting period and by the reporting day, produce a report (including data) on the
matter as at the end of the reporting period.
(2)
If the reporter is not the Authority, the reporter must, by the reporting day, give the
report to the Authority.
Note: The Authority is required to publish copies of all reports: see section 13.22.
Extract from Schedule 12 of the Basin Plan:
Item
Matter
Reporter
Category
Chapter
Environmental watering plan
e
7
The achievement of environmental
outcomes at a Basin scale, by reference
to the targets in Schedule 7.
Authority, CEWH
5 yearly
Chapter 8
8
The achievement of environmental
outcomes at an asset scale.
Basin States
5 yearly
Chapter 8
9
The identification of environmental water
and the monitoring of its use.
Basin States,
CEWH, Authority
Annual, subject to
s13.15
Chapter 8
10
The implementation of the environmental
management framework (Part 4 of
Chapter 8).
Basin States,
CEWH, Authority
Annual, subject to
s13.15
Chapter 8
Extracts from the IGA:
5.1
The Parties agree that their environmental water holders and managers will work
collaboratively, in close consultation and where appropriate by agreement, in exercising their
responsibilities in accordance with the Basin Plan Environmental Watering Plan, and have
regard to the Basin annual environmental watering priorities, as prepared by the MDBA.
8.2
The Parties agree to use existing Basin State frameworks and community based networks,
including indigenous community networks, and other mechanisms as required to draw on
expertise in the management of environmental water.
8.3
The Parties agree to build on these existing arrangements in order to strengthen the
involvement of local communities in the implementation of the Basin Plan and associated
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water reform. In determining the necessity and appropriateness of changes, the Parties will
consider the relevant requirements of participation in Basin environmental watering planning
processes, and mechanisms to support transparency and accountability.
Murray–Darling Basin National Partnership Agreement: milestone assessments
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References
ACT Govt (Australian Capital Territory Government) 2014, ACT – Statement of assurance 2013–14,
ACT Government, Canberra.
DEWNR (Department of Environment, Water and Natural Resources) 2013, 2013–14 Annual
Environmental Watering Plan for the South Australian River Murray, Adelaide.
DEWNR 2014, 2014–15 Annual Environmental Watering Plan for the South Australian River Murray,
Adelaide.
MDBA (Murray–Darling Basin Authority) 2014, Basin environmental watering outlook for 2014–15,
MDBA, Canberra.
NSW Govt (New South Wales Government) 2014, NSW Statement of Assurance for the year 2013–14
against performance milestones in Schedule A of the NPA on implementing water reform in the Murray–
Darling Basin, New South Wales Government, Sydney.
NWC (National Water Commission) 2014, National Water Planning Report Card 2013, NWC, Canberra.
Qld Govt (Queensland Government) 2014, Queensland Statement of Assurance 2014–15, Queenland
Government, Brisbane.
SA Govt (South Australian Government) 2014, National Partnership Agreement on Implementing Water
Reform in the Murray–Darling Basin. 2014 Statement of Assurance – South Australia, South Australian
Government, Adelaide.
VEWH (Victorian Environmental Water Holder) 2014, Seasonal Watering Plan 2014–15, VEWH,
Melbourne.
Vic. Govt (Victorian Government) 2014, 2013–14 Statement of Assurance: National Partnership
Agreement on Implementing Water Reform in the Murray–Darling Basin, Victorian Government,
Melbourne.
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Abbreviations and acronyms
ACT
Australian Capital Territory
CEWH
Commonwealth Environmental Water Holder
DotE
Department of the Environment
IGA
Intergovernmental Agreement on Implementing Water Reform in the
Murray–Darling Basin
MDBA
Murray–Darling Basin Authority
NPA
National Partnership Agreement on Implementing Water Reform in the
Murray–Darling Basin
NWI
National Water Initiative
ROP
resource operations plan
SDL
sustainable diversion limit
WRP
water resource plan
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