Agriculture
14 July, 2024
Buybacks start: Irrigators hold crisis talks on water
MAJOR Loddon irrigators were meeting in Boort on Wednesday morning as the Federal Government starts its water entitlement buyback of 70 gigalitres. Farmers started receiving text messages and emails on the tender buyback offer from the Government...
MAJOR Loddon irrigators were meeting in Boort on Wednesdaymorning as the Federal Government starts its water entitlement buyback of 70 gigalitres.
Farmers started receiving text messages and emails on the tender buyback offer from the Government within hours last Thursday’s announcement
The meeting was expected to discuss the impact reduced entitlements will have on Loddon rural enterprises and communities and price volatility across the Murray Darling basin in future drought years.
From a peak available water right of 233,000 megalitres, farmers in the Boort and Pyramid Hill districts have access to only 110,000 megalitres.
Local farmers say they have already implemented water-saving efficiencies and fear further loss of water entitlements will hit agricultural productivity and increase commodity prices.
Loddon Shire’s Boort Ward councillor Neil Beattie said temporary water right purchases in dry times would become unaffordable for farmers.
Not-for-profit water broker Water Partners says it will be irrigators who lose water under the Government’s plan to divert more water for environmental flows. General manager Donna Mulcahy expects a shortfall of water for farmers will be created with concerns for the dairy industry.
“The age demographic in the dairy sector is high. If people have to pay high prices for land and water is not attached, it will be another detrimental effect on dairy, realistically making it harder to go into the sector,” she said.
Ms Mulcahy said buybacks were to have had a socio-economic test applied.
“But that’s been somewhat reduced in the legislation,” she said. “I don’t how some communities and industries will survive.”
Water industry veteran and broker Lawrence Cameron, of Boort, said the scale of agricultural operations might need to expand, placing more pressure on country communities.
“Many are already struggling to get players for their sporting teams. Buybacks will have a big impact not only on irrigators but communities as well,” Mr Cameron said.
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