nwc presentation to acedp river health and e flows 23 nov 2009

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Page 1: Nwc presentation to acedp river health and e flows 23 nov 2009

Water Reform in Australia

23 November 2009

Page 2: Nwc presentation to acedp river health and e flows 23 nov 2009

Outline1. The NWC

2. The NWI

Page 3: Nwc presentation to acedp river health and e flows 23 nov 2009

NORTHERN TERRITORY

QUEENSLAND

WESTERN AUSTRALIA

SOUTH AUSTRALIA

NEW SOUTH WALES

VICTORIA A.C.T AUSTRALIAN CAPITAL TERRITORY

TASMANIA MURRAY-DARLING BASIN

Water is mainly a State responsibility

Transboundary issues–especially in the Murray-Darling Basin

Federal Government involved in coordination, funding, and MDB planning

A Federal System

Page 4: Nwc presentation to acedp river health and e flows 23 nov 2009

Source: WA Water Corporation.

Annual inflows to Perth Dams

0

100

200

300

400

500

600

700

800

900

1000

19

11

19

13

19

15

19

17

19

19

19

21

19

23

19

25

19

27

19

29

19

31

19

33

19

35

19

37

19

39

19

41

19

43

19

45

19

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19

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19

55

19

57

19

59

19

61

19

63

19

65

19

67

19

69

19

71

19

73

19

75

19

77

19

79

19

81

19

83

19

85

19

87

19

89

19

91

19

93

19

95

19

97

19

99

20

01

20

03

20

05

20

07

20

09

To

tal A

nn

ua

l* In

flo

w t

o P

ert

h D

am

s**

(G

L)

Annual Total

1911-1974 av (338 GL)

1975 - 1996 av (177 GL)

2001-08 av (81.8 GL)

Notes: - A year is taken as May to April

- 2009/10 inflow to 21st October 2009

2009

(124.1 GL)

Page 5: Nwc presentation to acedp river health and e flows 23 nov 2009

The National Water Commission –

Roles1. Advance the COAG National Water

Initiative

2. Advise on, and administer, the

Australian Government Water Fund

Drive National Water Reform

Page 6: Nwc presentation to acedp river health and e flows 23 nov 2009

Australia‟s Reform Process

Commenced in 1994

- COAG Water Reform Framework

Renewed in 2004 with new 10 year COAG commitment

- National Water Initiative (NWI)

Objective:

“A nationally-compatible market, regulatory and planning

based system of managing surface and groundwater

resources for rural and urban use that optimises

economic, social and environmental outcomes”

Page 7: Nwc presentation to acedp river health and e flows 23 nov 2009

The National Water Initiative Define tradeable water entitlements

Require compatible registers of water entitlements and

standards for water accounting

Reduce barriers to interstate water trade

Assign risks of changes in water availability

Prepare water plans with provision for the environment

Improve pricing for water storage and delivery

Deal with over-allocated or stressed water systems

Deal with interceptions of water flows

Meet / manage urban water demand

Page 8: Nwc presentation to acedp river health and e flows 23 nov 2009

The National Water Initiative (NWI)

Water Planning

Water RegulationWater Markets

Page 9: Nwc presentation to acedp river health and e flows 23 nov 2009

Some Key Elements of Reform

Institutional

• separation of policy, service provider and regulator

• corporatising the provision of water services

― high level of transparency, accountability, benchmarking

performance

• devolution of responsibility to lowest possible level

Pricing

• volumetric, full cost recovery

Page 10: Nwc presentation to acedp river health and e flows 23 nov 2009

Some key elements of reform (cont)

Entitlements and planning

- clear entitlements including statutory provision for

environment

- transparent statutory based planning

Markets

- separation of water access entitlements from land

- opening up water trading

Page 11: Nwc presentation to acedp river health and e flows 23 nov 2009

Progress... Most states now have NWI consistent legislation and

planning processes

New Commonwealth Water Act and new governance

arrangements for the Murray-Darling Basin

Federal government investment – e.g. AU$12.9 billion

„Water for the Future‟ program

Water trading playing a key role in risk management, response to

drought and autonomous adjustment

Water is being recovered for the environment, including through

purchase on the market

Page 12: Nwc presentation to acedp river health and e flows 23 nov 2009

Progress...

Urban water supply augmentation recognising the need for a

less climate dependent portfolio (e.g. desalination, recycling)

Consumption-based pricing achieved in both rural and urban

systems

Independent economic regulation promoting transparency &

rigour in price setting in most jurisdictions

Water availability assessments under different climate change

scenarios

Page 13: Nwc presentation to acedp river health and e flows 23 nov 2009

Environmental flow Science + monitoring, reporting of

outcomes = adaptive management

Identify environmental assets

Ensure water sharing plans meet

environmental asset watering needs

Ensure security of environmental

water entitlements

Climate change – Resilience theory

Environmental water managers –

funding, skills, best practice, access

to data and science

Page 14: Nwc presentation to acedp river health and e flows 23 nov 2009

River and Wetland Health FARWH: Framework for the Assessment of

River and Wetland Health

Overarching framework allowing existing

jurisdictional programs to report nationally

Can be applied within and across jurisdictions

Six elements to assess River & Wetland

Health1. Hydrologic disturbance

2. Water quality and soils

3. Aquatic biota

4. Fringing zone

5. Physical form

6. Catchment disturbance

Page 15: Nwc presentation to acedp river health and e flows 23 nov 2009

Biota

Habitat

Catchment

Page 16: Nwc presentation to acedp river health and e flows 23 nov 2009

New institutional roles

Bureau of Meteorology (water data and accounting)

Australian Competition and Consumer Commission (water

market and charging rules)

New Murray-Darling Basin Authority (stronger role in Basin

planning)

Urban water reform (eg Queensland Water Commission, water

grid)

Page 17: Nwc presentation to acedp river health and e flows 23 nov 2009

More information

ww.nwc.gov.au

www.water.gov.au