Clare Valley Water Supply

The Hon. S.G. WADE (14:30): I seek leave to make a brief explanation before asking a question of the Minister for Water and the River Murray in relation to Clare Valley water.

Leave granted.

The Hon. S.G. WADE: The covering letter for the deal between the member for Frome and the Australian Labor Party to form a minority government says:

The Labor Party is also prepared to investigate a number of other issues and projects that communities in the electorate of Frome have identified as significant to them.

One of the issues relates to water. The fifth issue reads:

Relief for Clare valley winegrowers in respect to their water requirements, in particular by investigating the possibility of periods of interpeak water use and night time use.

My questions are:

1. Will the minister assure the council that the investigation of relief for Clare water users will look at the needs of water users in other regions?

2. Will the minister assure the council that any changes that come out of the investigation in relation to the relief for Clare water users will be made available in other regions to users in comparable situations?

The Hon. I.K. HUNTER (Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Aboriginal Affairs and Reconciliation) (14:31): I thank the honourable member for his most important questions. The Clare Valley irrigators currently pay, I am told, the same for SA Water supplies as every other irrigator across the state. The system is the fairest way to spread the costs of providing and maintaining basic water facilities across our entire community. The $34.8 million Clare Valley water supply scheme provides for long-term sustainable irrigation, while delivering economic benefits to the region.

The scheme also provides potable water to townships of the Clare Valley region, and enables bulk water to be transferred from the Morgan-Whyalla pipeline to the Swan Reach-Paskeville pipeline to support Yorke Peninsula. This scheme was in answer to calls from residents and businesses in the region to support long-term sustainable irrigation. Some of the irrigators currently access an off-peak transportation rate for supply over winter.

One of the aims of the Water Industry Act is to increase competition in South Australia's water market. As part of the changes to the water market the government is currently developing a framework for third party access to water and sewerage infrastructure, including SA Water's infrastructure. A draft bill to implement a third-party access framework is being developed and will go for further consultation shortly. In the meantime, I am advised that the Clare Region Winegrape Growers Association has put a formal request to SA Water to seek a permanent third-party access arrangement outside the off-peak period. I understand that SA Water responded to this request on 23 August 2013, seeking further clarification so that the request can be properly assessed.

On 11 September 2013 I met with now minister Brock, MP, member for Frome, and the Clare Region Winegrape Growers Association to further discuss their position. Following this meeting I requested information from SA Water on a process for providing water to the Clare Valley area during the off-peak and on-peak period, and the impact of offering a reduced transportation rate during summer. I also sought information in relation to the Clare Region Winegrape Growers Association's third-party access application, and asked if SA Water could assist the association in preparing its application.

Clare Valley Water Supply Scheme irrigation customers already receive a reduced price, based on the statewide pricing principle that protects regional customers by ensuring the prices are no greater than those applying to metropolitan customers. That aside, SA Water is willing to assist the Clare Region Winegrape Growers Association in any way it can to further develop their third-party access request, and any other options available to them, and will continue to work closely with the growers association, as SA Water does with anyone who comes to them asking for assistance with any of their own local issues.