mmg.com.au

Covering the Goulburn and Murray valleys
FEBRUARY 8, 2012 4:06am

Dairy company joins buy-back opponents

Murray Goulburn wants water buybacks stopped.

By Geoff Adams

Dairy processor Murray Goulburn wants the Federal Government to cease water tender buybacks from irrigators and to first find water for the environment through environmental works and river operations.

The company has taken a similar stance to some farm and irrigator bodies, including the VFF.

Murray Goulburn’s shareholder relations general manger Robert Poole said under the draft Murray-Darling Basin Plan, about 1000Gl would still be required to meet the plan’s environmental targets after projects such as the second stage of Foodbowl Modernisation were taken into account.

‘‘This is equivalent to all the water utilised by the dairy industry each year in the basin,’’ Mr Poole said.

‘‘If a further 1000Gl was removed from the irrigation consumptive pool, then the dairy industry would struggle to grow significantly, impacting the economy and jobs in the region.

‘‘On the other hand, if water buybacks stop now , then the dairy industry in the Murray region is expected to recover and grow towards pre-drought levels.

‘‘Since 2004, irrigators have committed more than 2000Gl to governments to meet environmental needs, and MG believes this is a massive contribution and the government should now consolidate at these levels to prevent further damage to industries and communities.’’

Mr Poole said the basin governments now had about 9000Gl of water entitlements and non-diverted flows in the southern basin to meet environmental goals.

‘‘A 10 per cent improvement in how this environmental water is managed will allow the government to achieve the equivalent of the last 1000Gl identified in the draft plan,’’ he said.

‘‘MG supports the consistent call of all irrigation and industry groups to end rolling tenders and to meet environmental objectives through improvements in how environmental water is managed.’’

Mr Poole said the draft basin plan was disappointing given the commitments that were made after the first draft plan was widely criticised.

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