Wakefield Region Pipeline Upgrade

The Hon. K.J. MAHER (16:45): My question is to the Minister for Water and the River Murray. Will the minister update the house about the upgrade to water supplies in and around the Wakefield Regional Council?

The Hon. I.K. HUNTER (Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Aboriginal Affairs and Reconciliation) (16:45): I thank the honourable member for his incredibly prescient and very important question. I am very pleased to report that this week marks the official completion of a $17 million upgrade to the water supply in and around the Wakefield Regional Council area. This is a significant upgrade that will deliver a boost to the local economy and provide the community with much needed water security well into their future.

We do live in the driest state in the driest inhabited continent, and everyone in this place understands that water is our most precious resource. It goes without saying that water will play an essential role in sustaining our current and future population, and also our economic growth. The confidence and security generated by knowing that our water supply is guaranteed into the future is a vital catalyst for economic activity. This is precisely why the government decided to construct the Adelaide desalination plant—a key element in providing confidence in Adelaide's water security to 2050.

Now, the new 43-kilometre pipeline stretching from Auburn to Port Wakefield is a further component in securing our local water supply. This new pipeline has a capacity to provide an additional 11.4 million litres of drinking water every day to the region, and the upgrade also includes three pressure reducing valves at Port Wakefield, Bowmans and Balaklava. Over the coming weeks, the final landscaping will be completed by Wakefield Regional Council along Railway Terrace at Balaklava, I am advised.

I am also pleased to report that the project has generated employment opportunities for this regional area, and I understand that over 30 jobs have been created throughout the course of this project. The upgrade will also help the region become ready for future jobs growth. If we want to continue and gain further momentum into the future we need to ensure that the essential infrastructure is in place, and water is a vital component of this. The new pipeline will help ensure there is sufficient water available to meet the future water requirements for residential and industrial growth in Port Wakefield, Balaklava and Bowmans.

Importantly, this upgrade sets up a clear signal to business and industry that the region is ready for growth. We want businesses to invest in Port Wakefield and the general area with confidence into the future. We have seen intensive agriculture and animal industries expanding in South Australia. The Department for Primary Industries and Regions South Australia, in collaboration with industry and regional developmental boards, has identified the Port Wakefield region as a suitable location for future intensive livestock industry development.

Already, we have seen a major new poultry farm establish itself close to the pipeline in order to meet its water supply requirements, I am advised. In addition, long-term water security will assist existing local businesses in the areas of raw materials, accommodation and hospitality, for example, to expand and grow. Providing a sustainable water supply in this region will ensure that development is not constrained.

Another factor that will no doubt interest businesses and industries is the partnership model used for this upgrade. What we see here is a true collaboration between the three tiers of government and industry to realise a project that will benefit the entire community. As I have said previously, this is a $17 million upgrade. Wakefield Regional Council partnered with SA Water to secure a grant of up to $10 million through the Regional Development Australia Fund. The remaining funding came from the state government and SA Water.

In fact, this project demonstrates the commitment that SA Water and the government have to working with industry to ensure that our water is delivered to areas of future demand. We want to enable economic development. In fact, it is worth remembering that Rex Minerals coinvested approximately $4 million to increase the diameter of the pipe. This has made up to 2,000 million litres of water available annually to Rex Minerals and will ensure that the company's water demand can be met, as well as providing much needed additional water for Yorke Peninsula.

Rex, I am told, is currently finalising a contract with SA Water to construct and fund an extension of the pipeline from Port Wakefield to its proposed Hillside mining operation on Yorke Peninsula. Without this underlying philosophy of collaboration, and without this partnership model, such an upgrade would likely not have been realised.

Now more than ever, Adelaide's north needs confidence and jobs. By securing the supply of water, the community and industry can feel confident that the region can continue to grow and develop. This project is a great example of this government's ability to collaborate with industry, business, and local and federal governments to ensure continued economic development in our state.