Monday 15 July 2019

The national scandal that is the Murray-Darling Basin continues unabated


On the morning of Friday 12 July 2019 NSW Water's real-time records showed that much of the Murray-Darling Basin river systems where they pass through New South Wales are still recording less than 20 per cent water flows, with some sections of the Darling River still regularly recording zero flows and water levels as low as 0.16 of a metre.  

Water sustainability and environmental water flows have been in crisis for decades within the Basin and no solution is in sight.

Here is a snapshot of the latest information........

ABC News, 7 July 2019:

Australian taxpayers have given a huge corporation more than $40 million, enabling it to expand irrigation in the Murray-Darling Basin under an environmental scheme that has been labelled a national disgrace.

Four Corners can reveal that more than $4 billion in Commonwealth funds has been handed over to irrigators, which has allowed them to expand their operations and use more water under the $5.6 billion water infrastructure scheme — the centrepiece of Australia's $13 billion Murray-Darling Basin Plan.

The scheme is intended to recover water for the rivers by giving farmers money to build water-saving infrastructure, in return for some of their water rights.

Some of the beneficiaries of the scheme are partly foreign-owned corporations that have used the money to transform vast tracts of land along the threatened river system, planting thirsty cotton and nut fields.

One of the biggest operators is Webster Limited, a publicly traded company that produces 90 per cent of Australia's walnuts and is 19.5 per cent owned by Canadian pension fund PSP.

Webster has received $41 million from the water infrastructure scheme to grow its empire in the Murrumbidgee Valley, in south-west New South Wales, where it has bought hundreds of square kilometres of land.

The funding covers more than half of an ambitious $78 million capital works program by Webster Limited to build dams to store more than 30 billion extra litres of water and irrigate an extra 81 square kilometres of land, developing much of it into prime, irrigated cotton country.

Maryanne Slattery, a former director at the Murray-Darling Basin Authority, says it is horrifying that a scheme designed to help the environment is allowing irrigators to use more water.

"That program was supposed to reduce the amount of water that was going to irrigation, when it's actually increased the opportunities for irrigation … all subsidised by taxpayers," she said…...

Read full article here.

ABC Four Corners8 July 2019:

Taxpayer dollars, secretive deals and the lucrative business of water.

"It's a national scandal." Water economist

Two years on from the Four Corners investigation into water theft in the Murray-Darling Basin that sparked a royal commission, the program returns to the river system to investigate new concerns about how the plan to rescue it is being carried out.

"How extravagant is this scheme?... I'd just call it a rort." Lawyer

On Monday Four Corners investigates whether the contentious plan has become a colossal waste of taxpayers' money.

"The Murray-Darling Basin Plan is a triple bottom line fail. It's a fail for communities, it's a fail for the economy and it's absolutely a fail for the environment." Business owner

The river system is the lifeblood of Australian agriculture but right now it's in crisis. It's experiencing one of the worst droughts on record, and with mass fish deaths capturing the headlines and farmers struggling to survive, many are saying the scheme is failing to deliver.

"I would characterise it as pink batts for farmers, or pink batts for earth movers. It all had to happen in a short space of time." Contractor

Billions of taxpayers' dollars are being poured into grants handed to irrigators in an attempt to save more water. Four Corners investigates exactly how the money is being spent.

"I'm a taxpayer. I don't agree with the scheme. I think it's actually too expensive." Farmer

Some irrigators say this is a once in a lifetime opportunity to transform their businesses.

"With a bold initiative, having the basin plan and the government investing in irrigated agriculture, you get an opportunity to basically reset... for the next 50 years." Irrigation CEO

Others question who is actually gaining the most from the generous scheme.

"We're degrading the rivers at the same time as we're handing out money to a few individuals to realise huge economic gains at public cost." Ecologist

For those with access to water, there are lucrative sales to be made. Water prices have hit record highs turning it into liquid gold.

"Anyone can come in and buy water. You don't even have to be a farmer...You're going to make money out of it, and that's what a lot of people are doing, unfortunately." Farmer

Others worry that the scheme is encouraging the planting of crops even thirstier than cotton, creating a potential time bomb.

"There's been an explosion in the production of nuts in the Murrumbidgee, and more broadly in the Murray-Darling Basin...This may well be a time bomb." Former water official

Four Corners investigates how the scheme is being regulated and whether water users and the authorities responsible are being properly held to account.

"We're talking about billions of dollars in taxpayers' money on a scheme that many, many capable and reliable scientists have said, this isn't going to work." Lawyer

Transcript of Four Corners 8 July 2019 episode Cash Splash is here.

Abc.net.au, 9 July 2019:

Two years on from Pumped, the Four Corners investigation into water theft in the Murray-Darling Basin that sparked a royal commission, Monday night’s report Cash Splash investigated new concerns about how the plan to rescue the fragile and vitally important river system is being carried out, probing the infrastructure grants scheme which is now the centrepiece of the $13 billion Murray-Darling Basin Plan.

The investigation revealed tens of millions of dollars intended to restore the Murray-Darling Basin is helping big businesses expand irrigation and access huge volumes of water that would have flowed into communities and habitats downstream.

The aim of the story was to speak with people who have first-hand evidence of how the grants scheme is operating. It drew on a wide cross-section of the community affected by the scheme, including farmers and irrigators who have received the funding or been involved in its expenditure, scientists and economists who have gathered and analysed data on its effects, community leaders, former government officials and current and former Murrumbidgee Irrigation staff.

The interviewees on the program were:

Julie and Glen Andreazza, NSW Farmers of the Year
Brett Jones, CEO, Murrumbidgee Irrigation
Anthony Kidman, former Murrumbidgee Irrigation Project Manager
David Papps, former Commonwealth Environmental Water Holder
Professor Richard Kingsford, Ecologist, UNSW
Richard Beasley SC, Former Senior Counsel Assisting the SA Royal Commission into the MDBP
Prof Sarah Wheeler, Water Economist, University of Adelaide
John Kerrigan, Earthmover and now irrigator and recipient of infrastructure grants
Maryanne Slattery, former Director of Environmental Water at the MDBA and now senior Water Researcher, Australia Institute
Kelvin and Glen Baxter, farmers
Prof Quentin Grafton, UNESCO Chair in Water Economics, ANU
Paul Pierotti, Vice President of the Griffith Business Chamber
Tony Onley, Business Development Coordinator, Murrumbidgee Irrigation
Emma Carmody, Senior Solicitor, Environmental Defender’s Office
Matthew Ireson, Grazier

Four Corners requested an interview with Environment Minister Sussan Ley, who is responsible for the Commonwealth Environmental Water Office and is the Member for Farrer, which includes the Murrumbidgee Valley where the story was filmed.


Minister Ley declined to be interviewed and her spokesperson told Four Corners no-one from the government would comment for the story.

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