New basin water compliance agency takes shape

FIVE months after the interim inspector-general of water compliance began in his new role, the Federal Government has introduced legislation to establish the agency he will run.

The Coalition Government introduced a Bill on Wednesday to establish the regulator, a body that will monitor and oversee water compliance across the Murray-Darling Basin.

Former NSW National Party leader Troy Grant, who was hand-picked to lead the yet-to-be-established agency last year, started in his role as interim inspector-general of water compliance in December.

The federal legislation will split the Murray-Darling Basin Authority by turning its compliance office into a separate agency, as recommended in a 2019 Productivity Commission report.

According to the report, the Murray-Darling Basin Authority was “an inherently conflicted entity and is perceived as such by stakeholders”, and a new body would restore stakeholder confidence in the Murray-Darling Basin Plan.

Minister for Resources, Water and Northern Australia Keith Pitt said the inspector-general was “all about ensuring strong and independent regulation of our largest water resource”.

“No one will be marking their own homework,” he said.

“Importantly, the Bill recognises that the states are the primary regulators of water in the Murray-Darling Basin, but where matters are not resolved, the Commonwealth now has the appropriate powers to step in,” Mr Pitt said.

“The Bill responds to concerns raised by stakeholders throughout the basin by creating new water theft and illegal water trading offences and penalties. These new offences and penalties will act as a significant deterrent.

“One of the inspector-general’s key priorities will be encouraging greater consistency in water management by establishing guidelines and standards for Commonwealth and state agencies to monitor water users across the basin.

“Water is essential for the health and wellbeing of the 2.2 million people who live and work in the Murray-Darling Basin.

“Water supports our national economy through agricultural earnings and tourism and is also essential to the basin’s natural environment.

“Australia’s first inspector-general of water compliance will be able to work across the whole basin to strengthen compliance, increase transparency, and improve trust.

“I look forward to the Bill being supported through Parliament.”

The first statutory inspector-general will be appointed in coming weeks.

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