G-MW and Regional Groundwater Committee agree revised transfer fees
Goulburn-Murray Water (G-MW) is currently mailing letters to all groundwater users to detail changes to temporary groundwater transfer fees following consultation with its Regional Groundwater Committee last week.
According to G-MW Executive Manager Water Delivery Services Ian Moorhouse the new charges will reduce the cost incurred for lower-risk transfers, but at the same time protect the entitlements of other groundwater users and ensure any costs incurred in processing higher-risk transfers are not subsidised by other customers.
"Following consultation with our Regional Groundwater Committee we have adopted a risk-based approach with a fee structure that reflects the work required to process and approve temporary groundwater transfer applications. We will also refund fees already paid by customers since the fees came into effect, in line with the risk level of their application," said Mr Moorhouse.
Mr Moorhouse indicated that last year G-MW processed over 130 temporary groundwater transfer applications and under current conditions G-MW could expect to see at least 400 temporary groundwater transfer applications this season.
"With so much demand for groundwater resources it's essential that applications are appropriately assessed to protect the access of all users and the long term sustainability of the aquifer and its local environment," said Mr Moorhouse.
Low risk transfers
When licensed groundwater users transfer 2 ML or less; or the application is in a Water Supply Protection Area with a Groundwater Management Plan in place, and the volume of water to be transferred is less than or equal to licensed entitlement, the application is considered low risk and the cost to the applicant will be $220.
"For example current groundwater allocations range from 45% in Northern Campaspe to 70 percent for the Katunga Deep Lead. We have historical records to show how these bores perform at 100 percent so if these existing customers purchase additional groundwater up to 100 percent of their entitlement they will incur the flat $220 fee," said Mr Moorhouse.
Medium risk transfers
Where trades exceed 2 ML, or the application would increase the buyer's entitlement above 100 percent, or take place in an area where a Groundwater Management Plan is not in place, G-MW must investigate and assess the impact on neighbouring groundwater users and the environment. This requires a site inspection and assessment, and the additional work is reflected in the higher application fees. Medium risk transfers will incur a flat fee of $555.
High risk transfers
If the site inspection identifies local circumstances that may increase the risk to existing groundwater users or the environment, then the application will be assessed as high risk. Local circumstances may include being close to waterways or a large number of stock and domestic or irrigation bores.
"After the initial site inspection, we will notify customers if their application has been assessed as high risk," said Mr Moorhouse.
"Individuals undertaking high-risk transfers will need to provide additional information to address the risks. The additional fees reflect the costs we will incur in reviewing, assessing and verifying this information," said Mr Moorhouse.
The volume based charges apply in addition to the initial $555 fee, but apply cumulatively. For example, for a high risk transfer of 350 ML, the first 20 Ml will not incur an additional volume fee, the next 180 ML will incur $5.50/ML fee and then the remaining 150ML will incur a fee of $11/ML.
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Volume based charges for high risk transfers
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$555 + Volume of water traded
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Per ML fee
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0 - 20 ML
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0
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21 - 200 ML
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$5.50
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200 - 400 ML
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$11
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Above 400 ML
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$22
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Media Contact: Linda Nieuwenhuizen
Position: Manager Corporate Communications
Telephone: 03 5833 5776