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All Current and Past Media Releases
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Media Release - Department of Water and Energy Date: 3 June 2009 DETAILS OF WATER EMBARGO PLAN RELEASED The Department of Water and Energy today outlined the detail of the recent announcement by the NSW Government to embargo the sale of permanent water entitlements from NSW for the environment.
Deputy Director General, David Harriss said that NSW will continue to process permanent trades, including inter-state trades, for all other purposes such as for irrigation, industrial, town water supply, and Aboriginal cultural purposes.
“However, from 29 May 2009 NSW will not be processing any permanent water trades where the entitlements are being purchased for the environment.
“This includes water purchased by the Commonwealth and/or State Governments, non-Government Organisations, corporations or private individuals,’” he said.
Mr Harriss said that there are some exemptions to the embargo such as in cases where both parties signed the contract before the embargo date of 29 May 2009. However, in these cases the parties will have to formally advise the Minister, in writing, by 12 June 2009, to enable the sale to be processed. People who feel that they maybe in this position, are advised to seek advice from their local licensing officer in the first instance.
Other exemptions apply for:
• Water purchased to meet existing commitments under a funding agreement with the Commonwealth for NSW Rivers Environmental Restoration Program, • environmental entitlements created from water savings works where the water savings have been generated by investment in water supply infrastructure, • temporary trades for environmental purposes where there is an environmental watering plan that has been approved by the Minister for Water.
Mr Harriss said the decision to suspend any further sale of water was made following the announcement by the Commonwealth Government of the purchase of 240,000 megalitres (ML) licensed water entitlements from the Twynam Agricultural Group.
The Twynam sale means that 97 per cent of water buybacks under the Commonwealth scheme have come from NSW.
“The purchase highlighted that restrictions imposed by other states on the permanent trade of water entitlements were resulting in a disproportionate amount of water being taken out of regional communities and industries in NSW,” Mr Harriss said.
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Further information can be found on the Department of Water and Energy’s website at http://www.dwe.nsw.gov.au/water_trade/trade_embargo_faq.shtml or by contacting licensing staff of the Department of Water and Energy in the following offices:
• Deniliquin (03) 5898 3900 • Dubbo (02) 6884 2560 • Forbes (02) 6850 2800 • Leeton (02) 6953 0700 • Tamworth (02) 6701 9600
Key Facts
• From 29 May 2009 NSW will not be processing any permanent water trades where the entitlements are being purchased for the environment. This includes water purchased by the Commonwealth and/or State Governments, non-Government Organisations, corporations or private individuals. • This embargo exists indefinitely. • The embargo does not apply to; o environmental entitlements created from water savings works. o purchases required to meet existing commitments under the Funding Agreement with the Commonwealth for NSW Rivers Environmental Restoration Program are exempt. o Temporary (annual) trades of water allocation for environmental purposes are permitted where there is an environmental watering plan that has been approved, in writing, by the Minister for Water. o Deals made where the contract was signed before 29 May 2009
• NSW will continue to process permanent trades, including inter-state trades, for all other purposes such as for irrigation, industrial, town water supply, and Aboriginal cultural purposes. These trades will not be affected by the embargo on licence purchases for environmental purposes.
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