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Overview of macro water plans

Minister's message

Macro water plans are one of the final components of the NSW Government's comprehensive overhaul of water management strategies in this state.

With the introduction of the Water Management Act 2000, water sharing plans have been developed for a range of rivers and groundwater systems across the state — covering about 80 per cent of our water resources. These plans will protect the health of our rivers, while also providing water users with the certainty that comes from permanent licences, as well as other trading opportunities.

Now, with the development of the macro water plans, almost all unregulated rivers and groundwater will be better managed, and our regional water resources will benefit from the NSW Government's reforms.

The surface water plans and groundwater plans will be placed on public exhibition, and I encourage all interested members of the public to make a submission on these before the final plans are completed.

Water is one of our most precious resources. Governments, users and communities need to work together to ensure we manage our water supplies in a way that provides environmental, social and economic benefits.

These three factors — the triple bottom line of decision–making — will be the basis for our final water plans, which will see New South Wales continue to be at the forefront of sustainable water management.

The Hon. Ian Macdonald MLC
Minister for Natural Resources

 

What is a macro water plan?

Macro water plans are water sharing plans which apply to a number of water sources across catchments or different types of aquifers. In July 2004, 31 water sharing plans commenced in New South Wales, bringing these water sources and some 80 per cent of the water extracted in New South Wales under the management and licensing provisions of the Water Management Act 2000.

The macro planning process is designed to develop broader­scale water sharing plans covering most of the remaining water sources in the state. They will be prepared as river catchment or groundwater system plans. They include up to 28 unregulated river1 plans and up to 12 groundwater plans and generally apply to catchments or aquifers where there is less intensive water use.

Macro water plans will be developed through a process involving technical assessments, classification and development of water sharing rules by seven regional panels and one Groundwater Panel.

In preparing macro water plans, the NSW Government is building on the knowledge gained from community consultation during the first round of water sharing plans. These macro water plans will use a more practical approach to assess the remaining subcatchments and will link to catchment and other land use plans.

Macro plans will be prepared by classifying subcatchments according to their social, economic and ecological values.

A standard set of water sharing rules can then be developed and extended across catchments with similar classifications.

Individual water sources that pose particular environmental or socioeconomic issues will also be considered, so that water sharing rules can be tailored to their special requirements.

Macro water plans will not include the greater Sydney metropolitan area or some other streams and aquifers, such as the Snowy River. Other water planning processes will deal with these areas.

Macro water plans are being developed under the Water Management Act 2000, which requires water sharing plans to:

  • share water between all water users and the environment
  • improve the health of our rivers
  • provide security of access for water users
  • meet the social and economic needs of regional communities
  • facilitate water trading

Plans must also take into account the State Water Management Outcomes Plan.

Macro water plans will also reflect the following priorities for access to water:

  1. the environmental health of rivers
  2. basic landholder rights — domestic and stock rights and native title rights
  3. town water and licensed domestic and stock use
  4. other extractive uses, including irrigation, farming, industry; Aboriginal cultural, education and research purposes (in certain rivers); mining and recreation (e.g. watering playing fields)

Macro water plans will set long­term annual extraction limits, and in some cases daily extraction limits, on the amount of water that can be taken. For unregulated rivers in the Murray—Darling Basin, the long­term annual extraction limit will also meet the cap limits set by the Murray—Darling Basin Ministerial Council for water extraction.

Towns will not need to change their existing licensing arrangements unless their current infrastructure (e.g. a dam) is unable to meet their water needs and requires upgrading. In this case, town water utilities will need to meet conditions specified in the macro water plans to ensure that there is enough water flowing to protect the environment. Utilities will also need to demonstrate that the Best–Practice Management of Water Supply and Sewerage Guidelines, published by the Minister for Utilities, are being implemented.

1 Regulated rivers are declared by the Minister for Natural Resources. They include those rivers with major storages which provide water mainly for irrigation. All other rivers are unregulated.

How are macro water plans being prepared?

Technical assessments and development of rules for the initial draft plans have been undertaken by regional panels of staff from the Department of Natural Resources, the Department of Environment and Conservation and the Department of Primary Industries. Catchment Management Authorities have also contributed to regional panels whose recommendations will form the basis of draft macro water plans.

Working in partnership with agencies, Catchment Management Authorities will ensure that draft plans are consistent with catchment action plans and provide progress updates to keep the community informed.

Groundwater plans will also be developed by a Groundwater Panel of staff from the Department of Natural Resources, the Department of Environment and Conservation and the Department of Primary Industries.

Groundwater plans will provide water for environmental protection. The remaining water — the 'sustainable yield' — will indicate what water is available for extraction. Ecosystems that are dependent on groundwater, such as some wetlands, will be protected as a priority.

Maps showing locations of macro water plans for unregulated river catchments and for groundwater are provided at the end of this brochure.

Recommendations from regional panels and the groundwater panel will form the basis of draft macro water plans that will be exhibited for comment in early 2006.

Catchment Management Authorities will actively involve the community in reviewing the draft plans and providing feedback.

More information on preparation of the plans will be available in manuals for surface water and groundwater.

How will the macro water plans link with the existing plans?

Water sources addressed in existing water sharing plans will be excluded from the macro water plans, and the two sets of plans will operate in parallel. Trading may be allowed between the existing unregulated water sharing plans and the macro plans where it is consistent with the rules of both plans.

When will the plans take effect?

The plans are expected to be completed by 1 July 2006 . The plans will progressively take effect following the conversion of licences from July 2007.

How can you contribute to the plans?

Consultations run by Catchment Management Authorities around the state will ensure opportunities to comment and provide feedback on the draft plans. All issues raised in submissions will be considered before plans are finalised.

For more technical information on the macro water plans, contact:

Setting rules for macro water plans

Water sharing rules will be developed for broad areas after subcatchments or aquifers have been classified on the basis of their social, economic and ecological values.

Where people or regional economies are highly dependent on water extraction, macro water plans will aim to affect those uses as little as possible. Where valuable ecosystems are dependent on stream flows or groundwater and are likely to be affected by extraction, plans will aim for more control of water extraction. Where both needs apply, they will be carefully balanced.

Existing management rules such as those adopted by current water user groups will also be taken into account. Where special conditions may apply, the Department of Natural Resources will work with water user groups and individual licence holders to achieve a practical and balanced outcome.

The table below is a simplified version of an actual, more detailed table used to develop water sharing rules for unregulated rivers. The intention is to balance the needs of the environment with social and economic needs.

Economic values such as the importance of irrigation to a community are shown across the top. Ecological values such as the importance of river water to threatened species of fish are shown down the left side.

In this example rules for a river with an important irrigation industry and very few ecological values would be applied from the bottom right box of the table. Rules for a river with high conservation values and little local irrigation would be applied from the top left box.

Low socioeconomic value Medium socioeconomic value High socioeconomic value
High instream values
 
Rules to protect instream values
Reduce entitlement via trading.
 
Rules to encourage extraction to shift from high environmental impact to lower impact.
Reduce entitlement via trading.
Rules to encourage extraction to shift from high environmental impact to lower impact (e.g. timing of extraction to allow first flush to pass).
Reduce entitlement via trading.
Medium instream values
Rules to encourage extraction to shift from high environmental impact to lower impact.
Encourage development through trading of water entitlements and allocations into management unit up to defined limits.
Rules to reduce impacts on important instream values.
Encourage development through trading of water entitlements and allocations into management unit up to defined limits.
Rules to encourage extraction to shift from high environmental impact to lower impact.
Rules to prevent net increase in entitlement via trading.
Low instream values
Stop any further degradation of instream values.
Encourage development through trading of water entitlements and allocations into management unit up to defined limits.
Stop any further degradation of instream values.
Encourage development through trading of water entitlements and allocations into management unit up to defined limits.
Rules to encourage extraction to shift from high hydrological stress to lower stress (i.e. moving extraction to less stressed parts of the flow regime provided there is no increase in environmental impacts).
Rules to prevent net increase in entitlement via trading.

The NSW Government water reforms

Providing for healthy waterways and groundwater and sustainable development

The rivers and aquifers of New South Wales provide life to unique environments and are fundamental to supporting healthy ecosystems and cultural values. They contribute to the vitality of many communities and provide a place for recreation. They also generate income through agriculture, fishing and tourism, support employment in rural areas, and support the supply of food and fibre for the state and for growing exports.

In a country with unreliable rainfall and long periods of drought, we need smart and innovative ways of managing water. To ensure that water is used sustainably for the future, the NSW Government has undertaken the biggest overhaul of water management in Australia 's history.

The introduction of the Water Management Act 2000 was the culmination of a series of reforms which heralded a new approach to water management in New South Wales , including the preparation of water sharing plans across the state. Water sharing plans are ten year plans which set rules for sharing water between the environment and water users. They provide for healthier rivers and water­dependent ecosystems, and introduce clearly defined entitlements to shares in the available water, separate from land ownership.

After consultation with regional communities, water sharing plans for most of the regulated rivers and some unregulated rivers and groundwater came into effect on 1 July 2004. These plans account for about 80 per cent of water extraction in the state and cover the most stressed water sources.

The Water Management Amendment Act 2004 further built on these reforms, to establish the rights of the environment and water users and a water market that encourages water conservation. With perpetual licences, farmers can plan and invest for the future with strong levels of certainty and security of access.

CMA contacts

For more information on consultation in your catchment, contact a Catchment Management Authority office
www.cma.nsw.gov.au

Disclaimer: While every reasonable effort has been made to ensure that this document is correct at the time of printing, the State of New South Wales, its agents and employees, disclaim any and all liability to any person in respect of anything or the consequences of anything done or omitted to be done in reliance upon the whole or any part of this document.