Read The Times Australia

Daily Bulletin

Latest Murray-Darling squabble sheds light on the plan's flaws

  • Written by: Lin Crase, Professor of Economics and Head of School, University of South Australia

Tempers have flared once again over the long-term plan to return water to the Murray-Darling River and improve its health.

The Murray-Darling Basin Authority has released its report into the northern basin (in Queensland and New South Wales). The report finds that the plan, agreed in 2012, has already affected communities. It recommends that less water be returned to the river.

The plan aims to recover 2,750 gigalitres of water from human uses for the environment, but also allows for an extra 450GL to be recovered.

Federal Agriculture Minister Barnaby Joyce has signalled that returning the extra 450GL would be extremely difficult – which has outraged South Australian politicians at state and federal level. In response, Prime Minister Malcolm Turnbull has promised extra monitoring.

While it may seem like a political bunfight, the current argument sheds light on serious flaws in the management of the river.

Liquid gold

image Murray-Darling Basin Authority, CC BY The Murray-Darling Basin Plan originates in national water legislation developed as a response to the Millennium Drought. Since the plan was passed in 2012, rains have given breathing space for those seeking to massage the detail around rebalancing Australia’s most famous river system. The premise of the plan and the related Water Act is shifting water away from irrigation to the river to improve long-term sustainability. Leading up to and during the Millennium Drought, ecosystem health declined. Too much water was being taken from the river, and it seemed the states were too weak to deal with the politics of sharing water allowances. However, Joyce’s recent comments show that federal governments are equally susceptible to backsliding on commitments to securing water for the environment. Flaws in the plan The plan has two main flaws. First, the states and federal government are relying on a single planning instrument to miraculously optimise water-sharing for social, economic and environmental outcomes. Second, the only mechanism for achieving these outcomes is by adjusting the volume of water allocated to the environment. Various interests have exploited both of these weaknesses since the plan came into force. First, the requirement to blend multiple policy objectives into a single plan has provided an opportunity for disaffected parties to claim all manner of fallout. This has led to governments opting for high-cost reallocation mechanisms, such as providing infrastructure to farms in return for water for the environment. Simply buying entitlements from willing sellers would have been much more cost-effective and likely better in the long run. This remains the case. But buying back is now off the table, at least while the next round of expensive infrastructure-for-water swaps occurs. Second, focusing solely on the volume of water returned to the river is now being exploited by those who know that the environmental needs of riverine systems are more complex than simply “add more water”. Complexity means opportunity for some, and there are two groups at play here. One is the irrigation enthusiasts reluctant to transfer their water rights. In part, this is because they know if they hold out they can secure more benefits through subsidised on-farm infrastructure that can be capitalised into private assets. These forces are obviously more pronounced in the upstream states where irrigation is most developed – NSW and Victoria. The second group are environmental groups with particular agendas for which they have struggled to gain support. Turning wine into water Collectively, these groups have been active in persuading upstream states and some at the federal level that there are alternatives to simply taking water from irrigators and returning it to the environment. These alternatives have become known as “works and measures”. In simple terms, some infrastructure can be used to mimic environmental processes but with less water. For instance, a series of water regulators could be constructed on a riverside wetland to mimic natural flood events. The proponents of works and measures are primarily upstream and have sought to count these interventions as equivalent to water returned to the river – meaning they count towards state targets. Similarly, there are efforts to convert programs that reduce invasive species, such as carp, into an equivalent volume of water. In practice, the challenge of converting these programs into water is scientifically problematic. While the Water Act and the basin plan were always flawed because of their heavy focus on water volumes, the prospect of adding alternatives has simply created opportunities for more blurry metrics. There is also a real prospect that these measures are simply not equivalent. As an ecologist explained to me privately: “It’s like saying the environment is thirsty and offering a hamburger.” The hamburger may be welcome for some, but ultimately it won’t do the same as a drink of water. We need both water and non-water measures and it would be foolish to think the politically expedient hamburger is a perfect substitute for the politically sensitive water, as others have noted. The South Australian government has been keen to prevent backsliding by upstream states through these types of deals. Ideally, this would be out of concern for the status of the river system, but history shows that states, including South Australia, are equally keen to use the rivers for their own consumptive ambitions. Nonetheless, the South Australian government does have a point, even if it has been expressed recently with zeal. The lesson, of course, is that federal governments using the plan have found shifting water away from irrigation at least as difficult and costly as it is for the states.

Authors: Lin Crase, Professor of Economics and Head of School, University of South Australia

Read more http://theconversation.com/latest-murray-darling-squabble-sheds-light-on-the-plans-flaws-69484

Business News

The strategic rise of Bali as Australia’s next essential healthcare support hub

As Australian healthcare providers grapple with unprecedented operational bottlenecks, a new nearshore model is quietly transforming patient care delivery. Forward-thinking organisations,  including...

Daily Bulletin - avatar Daily Bulletin

Cost Savings and Benefits of Using Used Pallets in Logistics

In today’s competitive logistics and supply chain industry, businesses are constantly looking for ways to reduce operational costs without compromising efficiency and reliability. One of the most prac...

Daily Bulletin - avatar Daily Bulletin

How Fulfilment Services in Australia Help Businesses Scale Efficiently

The growth of e-commerce and modern retail has transformed customer expectations. Consumers now expect fast shipping, accurate order processing, and seamless delivery experiences regardless of where...

Daily Bulletin - avatar Daily Bulletin

Practical Ways Australian Workplaces Can Reduce Operating Costs

Reducing business costs doesn’t always mean cutting staff, shrinking services or making the workplace feel bare-bones. In many cases, the smarter savings are hiding in everyday operations: the light...

Daily Bulletin - avatar Daily Bulletin

Executive Recruitment Solutions That Help Organisations Secure Exceptional Leaders

Leadership has a direct impact on organisational performance, employee engagement, strategic growth, and long-term success. Businesses operating in increasingly competitive environments require experi...

Daily Bulletin - avatar Daily Bulletin

Why A WooCommerce Website Designer Matters For Online Growth

Running an online store today requires more than simply listing products and waiting for customers to arrive. Businesses need a website that is fast, reliable, easy to navigate, and designed to suppor...

Daily Bulletin - avatar Daily Bulletin

Turning Your Empty Tables into Revenue

The rise of AI demand tools in hospitality, the EatClub–CommBank partnership, and seven trends reshaping Australian dining  A growing number of Australian venues are turning to AI-powered demand mana...

Daily Bulletin - avatar Daily Bulletin

High-Impact Dental Marketing Strategies That Are Driving Real Practice Growth Today

The landscape of dental practice growth in Australia has shifted dramatically over recent years. Standard, broad-spectrum advertising campaigns no longer yield the return on investment they once did. ...

Daily Bulletin - avatar Daily Bulletin

How Telematics Helps Australian Companies Improve Productivity

Operating a commercial fleet in Australia is a uniquely demanding endeavour. Between the sprawling urban sprawl of cities like Sydney and Melbourne and the immense, unforgiving stretches of the Outb...

Daily Bulletin - avatar Daily Bulletin

The Daily Magazine

Lighting Shop in Perth: How The Right Lighting Can Transform Your Home And Business

The right lighting can completely change the look, feel, and functionality of any space. Whether it ...

Traffic Light System Solutions For Safer And More Efficient Traffic Management

Modern cities and growing communities rely heavily on effective traffic management to ensure safety...

Gold Migration Lawyers in Liquidation: How the Closure Affects Your ART Appeal

If your appeal was with Gold Migration Lawyers, a recent change to how the Tribunal decides cases ...

The pressure cooker: life in urban Australia in 2026

Australian cities have always been demanding. Long commutes, rising housing costs, busy schedules a...

What Actually Makes a Good Criminal Lawyer in Melbourne

Most people only think about this question once. That is usually too late. Most people charged wi...

Why Working With A Chatswood Tutor Can Improve Academic Performance

Academic expectations continue increasing for students across primary school, high school, and senio...

Is It Worth Getting Solar Panels in Melbourne?

The real question is not whether solar works in Melbourne. It works. The question is what it is co...

How A Diploma Of Project Management Builds Practical Skills For Modern Work Environments

Developing the ability to plan, execute, and deliver outcomes efficiently is a key requirement in to...

How to Choose the Right Football for Every Level

Choosing a football may seem straightforward, but the right option depends on who will be using it a...