18th Oct 2023, 11:39 AM – Representatives Water Amendment (Restoring Our Rivers) Bill 2023 - Consideration in Detail - Sustainable diversion limit adjustment mechanism (SDLAM) projects

The majority voted in favour of amendments (4) to (6), which means they will now become part of the bill. They were introduced by Indi MP Helen Haines (Independent).

What do the amendments do?

Dr Haines explained that:

Under the 2012 Basin Plan, basin states and the Commonwealth agreed to recover 2,750 gigalitres of water for the environment. To achieve this goal, the Basin Plan allows states to propose projects that will deliver an equivalent environmental outcome to buying back water licences without removing water from the consumptive pool. This is known as the sustainable diversion limit adjustment mechanism, and projects are referred to as sustainable diversion limit adjustment mechanism projects, or SDLAM projects. In total, the proposed SDLAM projects promise to deliver 605 gigalitres of equivalent environmental benefits, yet we're seeing delays. There are significant questions about whether the projects will deliver the promised benefits...

Independent and transparent scrutiny of these projects is absolutely necessary to ensure the Australian public and the environment are not being short-changed on taxpayer money for projects to return water to the basin. This scrutiny is the role of the Inspector-General of Water Compliance. The inspector-general must have appropriate powers to hold basin states accountable and to determine compliance with sustainable diversion limits and the promised outcomes of projects.

My amendments further strengthen the inspector-general's powers to make sure the states and projects are delivering. They enable the inspector to undertake an independent audit of the Murray-Darling Basin Authority's sustainable diversion limit, or SDL, calculations. These audits can be undertaken by the inspector-general or an independent person or body they appoint. SDLAM accounting, knowing what water is returned to the environment via supply or efficiency projects, should be done in a comprehensive, transparent and publicly accessible way that uses the best available science. This is to ensure that benefits for the environment are aligned with the targets of the Basin Plan.

Amendment text

(4) Schedule 2, item 49, page 24 (lines 9 to 13), omit the item.

(5) Schedule 2, page 24 (after line 13), after item 49, insert:

49A After subsection 7.27(1)

Insert:

(1A) The Inspector-General may:

(a) audit calculations made by the Authority for the purposes of Parts 2 and 4; or

(b) appoint or establish a person or body that is independent of the Authority to audit calculations made by the Authority for the purposes of Parts 2 and 4.

(6) Schedule 2, item 50, page 24 (line 15), after "Inspector-General", insert "(unless the Inspector-General is conducting the audit)".