MURRAY-DARLING BASIN

The Hon. P. CAICA (Colton—Minister for Environment and Conservation, Minister for the River Murray, Minister for Water) (14:10): I seek leave to make a ministerial statement.

Leave granted.

The Hon. P. CAICA: I wish to inform the house about our state's imperatives in relation to the proposed Murray-Darling Basin plan, which the Murray-Darling Basin Authority intends to release this year. The authority announced on 28 June that it would seek feedback on a guide to the proposed basin plan before the release of the proposed plan later this year. Most members would be aware that yesterday the authority announced that the release date of the guide would be considered at the end of August. The South Australian government has consistently supported a national approach to the—

An honourable member interjecting:

The SPEAKER: Order! Allow the minister to be heard in silence.

The Hon. P. CAICA: Thank you, Madam Speaker. The South Australian government has consistently supported a national approach to the management of the Murray-Darling Basin. It was at this government's insistence that an independent authority be established to take a whole-of-basin approach to managing water resources based on the best available science. The independent authority will develop the basin plan which will then need the approval of the commonwealth Minister for Climate Change, Energy Efficiency and Water. The states will not be able to veto the changes proposed in the adopted plan.

The plan's principal aim must be to ensure a long-term environmentally sustainable future for the whole of the Murray-Darling Basin. It is in the interests of all users of the River Murray system that this is achieved. Only a healthy river system can sustain the livelihoods of those who depend on it. For decades the health of the River Murray system has suffered due to over allocation of its waters, particularly to upstream users. The health of the river system affects all water users, as well as the health of the environment itself. The quality and security of water that irrigators and domestic consumers need can only be maintained through having a healthy river and sustainable water allocations.

The recent severe drought has exacerbated the environmental degradation of the River Murray system. One needs only to look at the plight of one of our international icons—the Coorong, Lower Lakes and Murray Mouth area—to know that the balance needs to be restored as soon as possible. This is what we have begun to do through the development of long-term plans of the Coorong, Lower Lakes and Murray Mouth region.

The impacts of climate change and predictions of a drier future make the matter of restoring the balance all the more urgent. The plan must deliver a greater flow of water through the lower reaches of the Murray, in recognition that it is this part of the system that is suffering the most from the impacts of over allocation. This situation replicates a common pattern of river systems around the world that are similarly under stress, whereby those systems begin to die from the bottom up. The plan must aim to provide a permanent freshwater solution to the difficulties that the Coorong, Lower Lakes and Murray Mouth are facing, consistent with the long-term plan that has already been developed for that area.

The basin plan should also set water quality and salinity targets that will help ensure the maintenance of a healthy working river system right through to the Murray Mouth to, in turn, ensure that water quality is suitable for human, cultural, environmental, agricultural and recreational requirements. Of paramount importance will be the need for the basin plan to consider the social, cultural and economic impacts of change on the South Australian Murray-Darling Basin communities, and to find a balance between their needs and those of the environment.

The basin plan must enable productive and profitable primary industries to continue, as well as provide the opportunity for those communities who rely on these industries to thrive. Of course, recognition of the continuing importance of the River Murray in providing water to the majority of South Australia's population must also be a key plank of the basin plan.

South Australia will make a fair contribution towards achieving a balance in the Murray-Darling Basin, but the plan should take account of our state's early actions, including capping River Murray extractions starting back in 1969 and recent initiatives aimed at returning water to the environment, which include, among other initiatives, the establishment of the 170 gigalitres environmental reserve for the Lower Lakes in 2009-10 and 2010-11.

The plan should also recognise South Australia's achievements in using water more efficiently. Our state's irrigators should not be required to bear an unfair burden under the plan when they are among the most efficient in the Murray-Darling Basin. Suitably structured, the plan should facilitate an effective and efficient water trading market and remove inappropriate barriers to trade. This will not only assist water users in adjusting to change arising from the plan but will also allow them to more effectively manage their water through dry periods. Overall, the basin plan must aim to provide a fair share of River Murray water to all those who depend on it.

It is the view of the South Australian government that an opportunity exists to minimise the social and economic impacts of change through the strategic targeting and funding of the commonwealth government's environmental water buyback program, enabling the buyback of water entitlements from willing sellers commensurate with any reductions proposed for our state. While there is less potential in South Australia to deliver savings from efficiency gains, given our previous achievements in this area, a targeted infrastructure and efficiency program could complement an enhanced buyback scheme in this state.

The South Australian government supports the authority in undertaking this important and complex work. Beyond doubt, this would have to be one of the most significant planning exercises ever conducted in Australia. Upon release of the proposed plan, the government will be considering it in detail to see where it could be improved, from both the South Australian and whole-of-basin perspectives. This will require us to listen to the views of South Australians about the proposed plan, particularly those living in our River Murray communities.

Although the state government will undertake its own consultation about the proposed plan, it will not duplicate the consultation conducted by the authority, so I would encourage interested groups and individuals to also participate in the authority's processes.

Mr Marshall interjecting:

The SPEAKER: Order, the member for Norwood! I warn the member for Norwood.

The Hon. P. CAICA: Without me even responding. While criticism has been levelled at the authority for delaying the release of the guide, given the complexities surrounding the proposed Murray-Darling Basin plan it is critically important for all South Australians and, indeed, the nation, that the potential for this matter to become a political football is minimised. In the interest of all South Australians, the state government is committed to working with the authority and other jurisdictions in order to try to get this all important first Murray-Darling Basin plan right.