MEDIA RELEASE

Claims that reductions in diversions, proposed by the Murray-Darling Basin Authority in its guide to its Draft Basin Plan, will lead to the widespread implosion of Basin communities are not supported by the facts, according to a statement released today by environmental and public water rights advocacy group, Fair Water Use (Australia):

“In common with many Australians, Fair Water Use has been disappointed by the fear-mongering tactics of some sections of the irrigation lobby in response to the release of the Guide to the Draft Basin Plan.

Although impacts on Basin communities should not be under-rated, it must be remembered that irrigated agriculture represents only around 6% of the gross regional product of the Murray-Darling Basin.

It is also interesting to note that the tourism sector employs approximately twice the workforce required by the combined operations of agriculture, forestry, fishing and food product industries in the region. A revitalised river system would likely lead to a dramatic increase in visitor numbers and a major boost to employment in tourism-related industries.

With respect to concerns about collapse of productivity, records show that diversions for irrigation reduced from around 11,000 GL, in the pre-drought year of 2000-1, to approximately 4,500 GL in 2007-8.  Nonetheless, largely due to the adaptive capacity and improved efficiency of Basin farmers, the value of Basin-wide irrigated production in 2000-1 and 2007-8 was virtually identical in dollar terms in both these years, at slightly over 5 billion dollars.

In effect, allowing for inflation, a 6,500 GL (60%) reduction in diversions led to a decrease in the annual value of irrigated production of around 20%.

The MDBA is estimating that a 4,000 GL reduction in diversions will result in a 17% reduction in the value of irrigated production.  Far from down-playing the consequences of reduced water availability, based on this historical data the Authority appears to be overemphasising the likely regional economic impact of reduced diversions.

Australians must also consider that, under the “softer” 3,000 GL option detailed in the guide, many of the rivers in the Basin will remain in poor environmental health - at significant risk of ecological collapse.

An effective Basin Plan is not one which sacrifices the river system to appease those unwilling to accept the need for fundamental change.”

The group’s coordinator, Ian Douglas commented today, “Transition to sustainable use of the Murray-Darling river system places responsibility on governments to provide effective support for Basin communities to allow them to diversify, not to continue to promote the untenable exploitation of a vital natural resource.”

“Export markets must also expect to pay realistic prices for irrigated produce; prices which, at long last, factor-in the immense value of ecological services -  without which the irrigation industry could not operate in the Basin”, Dr Douglas added.