WATER ‘06 CONFERENCE1 March 2006 - Brisbane: WATER ‘06 CONFERENCE 1 March 2006 - Brisbane Ken Matthews Chairman and CEO National Water Commission


Outline: How does the NWI work? What’s happened since signature of the NWI? Themes emerging Future national issues in water management Water accounting Outline


How does the NWI work?: How does the NWI work? NWI drafted NWI signed NWC accredits Plans NWI Parties prepare Implementation Plans NWC established NCP signatories prepare NCP submissions NWC assesses progress against NCP commitments NWC reports to Australian Government Parties implement NWI commitments NWC reports to COAG NWC assesses parties’ implementation


How are NWI commitments being delivered?: State-specific commitments Commitments applicable to some parties (eg Southern MDB States) Commitments requiring a common or national approach (eg compatible water registries) Obligations on NWC (eg to monitor impacts of interstate trade) How are NWI commitments being delivered? States and Territories Groups of relevant states NRM Ministerial Council NWC


Roles for the NWC: Shepherd and custodian of the NWI Assessor of NWI progress Assessor of NCP progress Intellectual catalyst Advisor to COAG Advisor to Prime Minister Facilitator of national processes Roles for the NWC Driver of national water reform Collaboration Rigour


NWI Commitments requiring cooperation among the States: A national set of performance indicators for the NWI Nationally compatible water registries Nationally consistent policies on pricing and cost attribution Nationally consistent benchmarking of water delivery agencies Best practice guidelines on integrated urban water cycle management Nationally agreed priorities for knowledge and capacity building Compatible institutional and regulatory arrangements for water trade A series of nationally sponsored studies on future water trading MDB states to enable exchange rates or tagging for interstate trade NWI Commitments requiring cooperation among the States


Slide7: National guidelines for customers’ water accounts National benchmarking of jurisdictions’ water accounting National principles for environmental water accounting Improved national coordination of water data management systems Development of national water meter specs and data standards National guidelines for open water accounting and reporting Implementation of a “smart water mark” for household gardens National health and environmental guidelines for water sensitive urban design National guidelines for evaluating water sensitive urban developments NWI Commitments requiring cooperation among the States … continued


The National Water Initiative (NWI): Water Planning Water Regulation Water Markets The National Water Initiative (NWI)


Water Management Instruments: Water Planning Water Regulation Water Markets AGWF Investments Water Management Instruments


Outline: How does the NWI work? What’s happened since signature of the NWI? Themes emerging Future national issues in water management Water accounting Outline


What’s happened since signature of the NWI?: What’s happened since signature of the NWI? Jun 2004 Mar Aug 2004 Oct 2004 Dec 2004 Feb 2005 Apr 2005 Jun 2005 Aug 2005 Dec 2005 Oct 2005 Feb 2006 NWI signed at COAG 9 Oct – Federal Election 10 Mar – NWC Commissioners announced 2 Jun – Tasmania signs NWI NWI workplan endorsed by Natural Resources Ministers WA commits to sign NWI


What’s happened since signature of the NWI?: NCP Water Reform Assessment Framework released Guidance on NWI Implementation Plans released 19 Apr – Guidelines released and applications invited for WSA programme Design of Raising National Water Standards Programme approved by PM Tender awarded for NWC Baseline Assessment of Australia’s water resources 10 Mar – Appointment of NWC Commissioners What’s happened since signature of the NWI? NWC Stakeholder Forum


Progress with the Australian Government Water Fund: Progress with the Australian Government Water Fund Water Smart Australia No. of projects approved to date 12 No. of Qld projects announced to date 4 $ value of projects approved $866 million $ value of Qld projects approved $ 72.2 million AGWF contribution $364 million


Slide14: Water Smart Australia – some feature projects Macalister Irrigation District Mackay Wastewater Recycling Plant Gold Coast Pressure Reduction Mt Lofty Ranges Sustainable Water Resource Management Tasmanian Catchment Planning Progress with the Australian Government Water Fund … continued


Progress with the Australian Government Water Fund … continued: Progress with the Australian Government Water Fund … continued Raising National Water Standards Programme Purpose: practical assistance to improve water management in Australia Principles: advance water reform and the NWI national activities leadership from Australian Government leadership from NWC co-funding requirement


Outline: How does the NWI work? What’s happened since signature of the NWI? Themes emerging Future national issues in water management Water accounting Outline


Themes emerging: Significant effort is being made, especially in water planning and pricing reforms Some water trading is occurring despite incomplete trading arrangements in most states It remains critical to improve water planning as the foundation for confidence in water management Good and growing scientific understanding Genuine engagement with those affected Plenty yet to do under the NWI, eg: Water accounting Water interception Risk assignment for changes in water allocation Urban water reforms Themes emerging


Outline: How does the NWI work? What’s happened since signature of the NWI? Themes emerging Future national issues in water management Water accounting Outline


RNWS Strategic Investment Areas: Implementing the National Water Initiative Water accounting: investments in national systems, practices and standards for data collection, metering, monitoring and accounting of water, including hydrological modelling Emerging water markets: investments to improve the specification, registration and trading of titles, water pricing and service provision in water markets Water planning and management: investments to achieve more effective planning and management on the ground, including greater involvement by the community in water planning in rural / regional and metropolitan areas RNWS Strategic Investment Areas


RNWS Strategic Investment Areas: 2. Improving Integrated Water Management across Australia Irrigation and other rural water: investments to achieve more effective and efficient management of irrigation water, including irrigation system water and on-farm water, and other rural water Water-dependent ecosystems: investments to achieve more effective and efficient management of environmental water, including the conservation of high value water ecosystems Integrated urban water management: investments to achieve more effective and efficient approaches to urban water demand management and supply planning, including water sensitive urban design RNWS Strategic Investment Areas


RNWS Strategic Investment Areas: 3. Improving Knowledge and Understanding of Australia’s water resources Groundwater: investments to improve understanding and management of groundwater resources and their connectivity with surface water Northern rivers: investments to improve understanding and management of Northern tropical rivers National assessment of water resources: investments to improve understanding of water resources across Australia and increase national capacity to assess the use, availability and state of these resources over time RNWS Strategic Investment Areas


Seven Doubtful Claims about Water Management in Australia: That recycled sewage will never be acceptable for potable use in Australia That additional urban water supplies should not be sourced through market purchases from irrigators That additional water for the environment should be sourced from the market only after all alternatives have been exhausted That urban water use restrictions introduced during the drought should continue indefinitely into the future That any water not abstracted for consumptive use is necessarily doing good to the environment That uniform water quality and pricing should be maintained across all urban water users including industrial users That water and sewerage are natural monopolies and should therefore be provided by governments Seven Doubtful Claims about Water Management in Australia Propositions for discussion only. These ideas merit thorough public debate.


Private Sector Involvement: Infrastructure is a very live current policy issue Need to build water into the infrastructure debate No intrinsic reason why water should be a governments-only domain Australian Government clearly seeks more private sector involvement NWI investment security increased investment AGWF leverage - private sector welcome Fostering markets in water and more rational pricing Private Sector Involvement


Private Sector Involvement: A high level advisory roundtable will be convened by Malcolm Turnbull shortly Private Sector Involvement


Work Priorities for the NWC in 2006: Establish nationally compatible national water accounting systems Further clarify water access entitlements, including nationally consistent and clearer entitlements for urban and rural water Support the operation of effective water markets across jurisdictions Sponsor a clear shared understanding across Australia of sustainable levels of water extraction and sustainable water management Further enhance the irrigation industry’s efficiency and sustainability Develop nationally consistent approaches to urban water resource planning and management that Provide for effective community engagement Include robust assessment of options to expand water supplies Encourage recycling and reuse of water, including improving community understanding of water reuse options Work Priorities for the NWC in 2006


Outline: How does the NWI work? What’s happened since signature of the NWI? Themes emerging Future national issues in water management Water accounting Outline


Challenges for modern water management: Water Accounting Clear and accurate water accounting is central to knowing how much water there is, where it is, what it is being used for and who is using it Adequate measurement, monitoring and reporting systems are required to support public and investor confidence in water information Good resource management requires good knowledge of the resource Challenges for modern water management


Challenges for modern water management: Water Accounting …continued The NWI focuses on: developing architecture for national water accounting systems closing gaps in measurement and accounting systems and improving accuracy improving information sharing and reporting arrangements Achieved through projects (led by the NWI Committee): benchmarking water providers’ accounting and registry systems to identify best practice applying national accounting and reporting standards applying national metering and measurement standards developing nationally consistent approaches to the collection water-related data Challenges for modern water management


Imagining a Future: Australia: the first country to fully embrace recycling Australia: Israel on a large scale Australia: after 200 years, managing its droughts HEADLINE: “Australia – water conflicts resolved at last” HEADLINE: “Water trading transforms regional Australia” HEADLINE: “Shock finding by scientists – Australian river health improving” Imagining a Future


Slide30: www.nwc.gov.au