WATER SECURITY

Mr WILLIAMS (MacKillop) (15:09): Why is the Minister for Water Security sending out conflicting messages about the government's involvement in the water trading market? Yesterday, the minister told a mining and water conference that the government was active in the watertrading market. Last week she told the house that the government would not be purchasing water because 'both the commonwealth, New South Wales and others have said that they are not keen on the South Australian government getting involved in the water market directly'.

The Hon. K.A. MAYWALD (Chaffey—Minister for the River Murray, Minister for Water Security, Minister for Regional Development, Minister for Small Business, Minister Assisting the Minister for Industry and Trade) (15:10): Once again, the opposition has failed to keep themselves informed about what is happening. We have a target under the Living Murray initiative to purchase water from the marketplace to meet our objective of 35 gigalitres by 2009, towards the nationwide target of 500 gigalitres into the Living Murray. That water is being purchased by government and is actually unable to be used for irrigation purposes.

The other question that was asked was about purchase of water from New South Wales and Victoria. We are not purchasing water from the New South Wales or Victorian governments. The New South Wales and Victorian governments, under the Living Murray, have made it quite clear that their preference is for any purchases for the Living Murray to be made through the Murray-Darling Basin Commission. In fact, in May this year the Murray-Darling Basin ministerial councillors at last signed off on a program to purchase water from willing sellers, and, indeed, a tender went out into the marketplace and 20 gigalitres of water was put up for purchase.

That tender closed ahead of time because it was oversubscribed early in the piece. So there are lots of willing sellers out there and there is a need to purchase water from the system to deal with overallocation. That process is occurring. South Australia will be a contributor to that program through the Murray-Darling Basin Commission. As for going into the market directly to purchase water, the New South Wales and Victorian governments have both indicated that they would prefer that not to occur.