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House of Assembly - Fifty-Second Parliament, First Session (52-1)
2011-06-21 Daily Xml
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WATER TRADING LAWS

The Hon. M.D. RANN (Ramsay—Premier, Minister for Economic Development, Minister for Social Inclusion, Minister for the Arts, Minister for Sustainability and Climate Change) (14:08): I seek leave to make a ministerial statement.

Leave granted.

The Hon. M.D. RANN: I am pleased to inform the house officially that South Australia and Victoria have settled the constitutional challenge to Victoria's water trading laws. A combination of—

Members interjecting:

The SPEAKER: Order!

Mr Marshall interjecting:

The SPEAKER: Order, member for Norwood!

The Hon. M.D. RANN: —previous and agreed new actions by the Victorian government and changed circumstances in water availability in the Murray-Darling Basin system have enabled a mutually acceptable settlement to be reached between the two states. I want to commend the Victorian Premier, Ted Baillieu, and also commend our water minister for the agreements that he has negotiated with his Victorian counterpart.

Since the government's decision to pursue a legal challenge to restrictions on water trade out of Victoria, we have seen the Victorian government voluntarily remove its 10 per cent absolute cap on water trade out of a district. Victoria also struck an agreement with the commonwealth government—

Ms Chapman: How much did it cost?

The SPEAKER: Order, the member for Bragg!

The Hon. M.D. RANN: —to allow purchase of water for environmental purposes. These moves significantly ameliorated some of South Australia's concerns with Victoria's water trading rules.

Through negotiations we have now been able to reach an agreement that gives South Australia the unrestricted right—the unrestricted right—to purchase water from Victoria to meet any potential shortfall in our critical human needs supply.

An honourable member interjecting:

The SPEAKER: Order!

The Hon. M.D. RANN: Victoria has also committed unconditionally to remove the 4 per cent annual cap by 30 June 2014.

Mr Williams interjecting:

The Hon. M.D. RANN: You obviously can't read.

The SPEAKER: Order, member for MacKillop!

Mr Williams interjecting:

The SPEAKER: Order, I warn the member for MacKillop!

The Hon. M.D. RANN: The states have also agreed that Victoria will immediately sign the relevant schedules under the Murray-Darling Basin Agreement, which provide South Australia with permanent rights—permanent rights—to store water in upstream storages such as the Hume and Dartmouth dams.

The last point is particularly important as it will enable us to develop a long-term carryover policy for South Australian irrigators and for our critical human needs. I am advised that permanently securing the storage rights of up to 300 gigalitres is of major benefit to South Australia for the future. The total removal of restrictions in 2014, combined with other agreed changes and greatly improved water availability in the basin, means that there is little to be gained from either state continuing to pursue the lengthy and expensive matter through the courts.

Members interjecting:

The Hon. M.D. RANN: Oh, apparently we should never have embarked on it. That's interesting.

Members interjecting:

The SPEAKER: Order!

The Hon. M.D. RANN: I remember when they said that we should never embark—

Members interjecting:

The SPEAKER: Order!

The Hon. M.D. RANN: —on challenging the Howard government over a nuclear waste dump because we didn't have a snowball's chance in hell—

Members interjecting:

The SPEAKER: Order!

The Hon. M.D. RANN: —of winning, but we did: 3-nil in the courts.

Mr Whetstone: They're still laughing at you.

The SPEAKER: Order!

Ms Chapman interjecting:

The SPEAKER: Order, the member for Bragg!

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