South-East Drainage System

The Hon. D.G.E. HOOD (14:43): I seek leave to make a brief explanation before asking the Minister for Sustainability, Environment and Conservation a question regarding drainage levies in the South-East.

Leave granted.

The Hon. D.G.E. HOOD: The current budget indicates that the $5.7 million income from the first year of a drainage levy in the South-East has been delayed until 1 July this year. Previous budgets estimated as much as $16 million over forward estimates from such a levy. The South East Drainage System Operation and Management Bill (or SEDSOM, as it is referred to) was the mechanism for this levy and it was tabled on 31 October 2012, but the bill was prorogued in the House of Assembly at the conclusion of the 52^nd parliament. This is welcomed in the south-eastern community which does not want the levy at all, and Family First certainly supports that view.

To date the drains have been public works for the benefit of the South-East community for decades to enable the cultivation of land that would be much more difficult without the drains. As the former member for Mount Gambier told the other place on 13 November last year, the drains make dairy and potato crops, beef, lamb and wool, forestry and tourism possible in the region. I would add that, like roads, they are vital infrastructure for one of the state's economic powerhouse regions.

The previous parliament refused to extend the life of the Upper South East Dry Land Salinity and Flood Management Act, resulting in its expiry. My questions to the minister are:

1. Given that the enabling legislation has not yet been tabled in this parliament, how far out into the forward estimates is the government now postponing collection of the budgeted levy?

2. Is the government preparing a new SEDSOM bill in light of the expiry of the legislation? If so, when will it go out to consultation or be tabled in this place?

3. What steps has the minister taken with regard to the Natural Resources Committee recommendation that he write to the federal Parliamentary Secretary to the Minister for Environment requesting that the Productivity Commission undertake an inquiry into the drainage schemes themselves? Has the minister progressed with that at this stage?

The Hon. I.K. HUNTER (Minister for Sustainability, Environment and Conservation, Minister for Water and the River Murray, Minister for Aboriginal Affairs and Reconciliation) (14:45): I thank the honourable member for his most important question. I have said in this place before that over the past several years the state government has provided additional funding for the South Eastern Water Conservation and Drainage Board for the operation, management and maintenance of the South-East drainage system, amounting to approximately $6 million over two years on top of the base funding the government provides of $2.1 million. This additional funding was needed to complete urgent asset maintenance, repairs and upgrades on ageing public infrastructure, such as bridges on public roads and property access culverts, monitoring stations and the like.

It was proposed that from 1 July 2014 expenditure for the maintenance and operation of the South-East drainage system would be partially offset by revenue from beneficiaries of the drainage system—direct beneficiaries—and more broadly, perhaps, through the raising of a levy as proposed by the South East Drainage System Operation and Management Bill. You all know it—it was in the SEDSOM bill that was before this house previously.

The bill was introduced into parliament on 31 October 2012, and included provisions that the Minister for Sustainability, Environment and Conservation may raise a levy to help support an effective drainage system into the future. The drainage network is currently managed and operated by the South Eastern Water Conservation and Drainage Board, who operate under the South Eastern Water Conservation and Drainage Act. The board manages the drainage network to address the issues of flooding and dryland salinity and to meet the environmental water requirements of wetlands that are connected to the drainage network.

The board currently has the lead role in the management and maintenance of drainage infrastructure, the approval of private drainage works and the issue of authorisations to take water from drains. However, debate on the second reading of the bill was adjourned and has not resumed, as the honourable member said in his question.

During 2013, recognising the importance of the preparation of such a strategy, the South-East Natural Resources Management Board and the South East Water Conservation and Drainage Board resolved to work together to develop a South-East drainage and wetlands strategy. The two boards are currently working together to progress the development of the strategy.

The future reintroduction of the SEDSOM bill to parliament is under my consideration. The state government will continue its current funding and will not be increasing this amount. I intend to speak with local communities, including stakeholders, about the drainage system, its value and who benefits from the drainage system and consequently who should contribute to its upkeep and maintenance in addition to the taxpayer through the state government's contributions.