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Office for Water Security Level 12, 211 Victoria Square, SA 5000 GPO Box 2834, Adelaide SA 5001 A plan to ensure our water future to 2050 ISBN 978-1-921528-34-7

Telephone National (08) 8463 7412 International +61 8 8463 7412 Facsimile National (08) 8463 7420 International +61 8 8463 7420 Website www.waterforgood.sa.gov.au Water for Good

Water is our most valuable resource. It’s fundamental to our health, our way of life, our economy and our environment.

Our growing population and reduced rainfall means South think more about water than ever before. We are not only more aware of water issues, we are also placing greater value on water and instinctively taking action to save it.

Water is vital for the preservation of both quality of life and the environment for all South Australians. It also underpins growth in population and the economy – and these are critical to the State’s future prosperity.

Water for Good is a plan that ensures there will always be enough water in South . Most importantly, it will enable us to diversify our supplies to reduce our reliance on the River Murray and other rain- dependent water sources.

Report published June 2009. Reprinted June 2010.

Disclaimer The Crown in right of the State of and its employees do not warrant or make any representation regarding the use, or results of use of the information contained herein as to its correctness, accuracy, reliability, currency or otherwise. The Crown in right of the State of South Australia and its employees expressly disclaim all liability or responsibility to any person using the information or advice.

Copyright Acknowledgements © Government of South Australia, through the Department of Water, Land and Biodiversity Conservation 2009. This work is Copyright. Apart from any use permitted under the Copyright Act The Office for Water Security would like to acknowledge the support provided by the 1968 (Cwlth), no part may be reproduced by any process without prior written permission obtained Project Steering Group, Interagency Advisory Committee and the many others who from the Department of Water, Land and Biodiversity Conservation. Requests and enquiries concerning reproduction and rights should be directed to the Chief Executive, Department of Water, have contributed to the development of Water for Good. Land and Biodiversity Conservation, GPO Box 2834, Adelaide SA 5001. 5172. The Hon Mike Rann MP The Hon Karlene Maywald MP Robyn McLeod Premier of South Australia Minister for the River Murray Commissioner for Water Security Minister for Sustainability and Minister for Water Security Climate Change

Water is undeniably our most precious The State Government’s top priority is Water for Good is a robust resource. ensuring that all South Australians have multidimensional plan to ensure water suffi cient water supplies for a sustainable security for South Australia into the future. South Australia continues to experience lifestyle, economy and environment unprecedented dry weather patterns, and Sustainable water sources underpin for good. the impact of climate change is becoming economic growth, the health of our increasingly apparent. And this goal will be achieved through environment and our quality of life. developing a diverse range of water As a result, our communities have adopted Changing rainfall patterns mean in future supplies. a range of water-saving measures that we must no longer rely on the River have signifi cantly reduced consumption, Extreme in the Murray-Darling Murray or even our reservoirs or and we lead the nation in stormwater Basin and the Mt Lofty Ranges has meant for our total water sources. capture and re-use, irrigation practices, we can no longer use water as we have Diversity and innovation in our water wastewater recycling and rainwater in the past – we need to be more effi cient products is critical as we move to more tank ownership. and much wiser when using our most non rain-dependent water sources. precious resource. Water for Good builds on these important Desalination will represent a signifi cant initiatives, and outlines a comprehensive The actions outlined in Water for Good part of our water future, as will strategy to ensure our State has the most will reduce our reliance on the River opportunities to recycle stormwater and secure water supply in southern Australia. Murray and other rain-dependent water wastewater for non-potable uses. sources. Through this prudent forward- That includes doubling the capacity of planning, we will be -placed to meet To provide this security, water will have the Adelaide Desalination Plant, securing the needs of a growing population to become more expensive to refl ect its our access to upstream water storage and business community, particularly in true value. facilities, and investing further in times of drought. innovative stormwater harvesting and This 21st century water industry must wastewater recycling projects. In future, our water supplies will feature be managed by best practice legislation climate-independent water through and independent regulatory regimes. It provides a blueprint for improved, desalination. This ensures a portion of our sustainable water practices in all aspects And innovation in future augmentation water needs is guaranteed, despite of our lives – in cities and regions, for options should be encouraged through increasing climate variability expected domestic, commercial and agricultural adaptive regional planning, competition, in future. use – and allows us to further develop market development and third party water sources that are not dependent We already lead the nation on stormwater access regimes. on rainfall. and wastewater recycling projects and we But most importantly, our citizens need to will continue with more of these projects to By placing even greater value on our continue to value water and use it wisely. reduce the draw on our potable supplies. existing water resources and fi nding new Best practice models and the most and effective ways to protect and Across regional South Australia, local up-to-date thinking in Australia have supplement them, South Australia will communities will play a key role in been brought together to develop continue to lead the nation in water supply developing water supply and demand Water for Good and I thank the many innovation. plans that account for future growth and people from the water industry, academia, local supply issues. Water for Good provides certainty for the government and the private sector who future of our most prized resource, and Water for Good provides greater have contributed to its development. reassurance that South Australia’s water emphasis on water conservation, Constant review and adaptability will be supply will continue to support our transparent decision-making and necessary to ensure we stay on track. economy, our lifestyle and our environment. independent scrutiny of service delivery and pricing. New legislation will be enacted to better refl ect the needs of a modern, more competitive and diverse water industry.

Water for Good ensures we will be well placed to meet new challenges and manage future demands for water right through until 2050 - for generations of South Australians to come.

Water for Good June 2010 1 Contents Part 1 Water for good – the plan in summary 12

Introduction 14

Our climate in context 15

The importance of growth 16

Recent responses 16

Our likely water future 17

Major reforms 18

Towards a water-sensitive state 18

Navigating through the current situation 19

Key actions 20

By 2014 20 By 2025 21 By 2050 21

Part 2 Current initiatives 22

Introduction 24

National policies and reforms 25

State and regional strategies and initiatives 25

Desalination 26 Water use 26 Stormwater recycling 26 Wastewater recycling 26 Caring for our rivers, reservoirs and aquifers 27

Part 3 The challenges of demand and supply 28

Introduction 30

Key points 30

Actions and outcomes 30

Our water sources 31

How we use our water 33

Water use in the Greater Adelaide region 34 Greater Adelaide region water supplies 34 Demand for water in Greater Adelaide 36 Household use 38

2 Water for Good June 2010 Primary production 38 Contents Public purposes 38 Commercial and industrial 38

How we move and supply our water 38

Non-metropolitan water supply and wastewater infrastructure 40 Rural irrigation supply infrastructure 40 Recycled water infrastructure for irrigation use 40 Desalination infrastructure for potable and irrigation use 40

Key drivers for demand and supply 41

South Australia’s future economic conditions 41 Increasing population 42 A changing climate 43 Future demand and supply for Greater Adelaide’s mains water 48

Greater Adelaide’s variable water supply 48 Balancing demand and supply 48 Possible water futures for Greater Adelaide with no further action 50 Possible water futures for Greater Adelaide with action 51 Greater Adelaide’s likely future supply 52 Adaptable framework – planning in a climate of uncertainty 52

Water security standards 52 State of the resource and demand pressures 54 Trigger points 54 Monitoring and measurement 55 Options and assessment 55 Independent planning process 55

Part 4 Managing our water future 56

Introduction 58

Rain, rivers, reservoirs and aquifers 59

Key points 59

Actions and outcomes 59

Discussion 60

The River Murray 60 The Murray-Darling Basin reforms 62 Ranges Watershed 62 Groundwater aquifers 62

Water for Good June 2010 3 How we will manage our rivers, reservoirs and aquifers 63

The River Murray 63 Climate change 66 Bushfi res 66 Water allocation 66 Establishing agreed environmental water quality targets 70 Watershed Priority Areas Policy 71 Protecting drinking water catchments 73 Forestry 73 74

Desalination 76

Key points 78

Actions and outcomes 78

What is desalination? 78

Desalination in South Australia 78

Adelaide Desalination Plant 79

Project background 79 Project delivery 79 Plant operation 80 Environmental impact and mitigation 80 Capacity of the Adelaide Desalination Plant 80

Regulation of desalination 80

Desalination policy 80 Minimising ecological footprints 80 Power and land 81

Stormwater recycling 84

Key points 84

Actions and outcomes 84

Discussion 85

Stormwater harvesting 85 Challenges for maximising stormwater recycling 87 Stormwater management 90 Stormwater use 91 Waterproofi ng Northern Adelaide solution for the whole metropolitan area 91 Stormwater Recycling guidelines 92 Roof run-off 93

4 Water for Good June 2010 Wastewater recycling 95 Contents Key points 95

Actions and outcomes 95

Discussion 96

Wastewater 96 Recycling from large wastewater treatment plants 96 Community wastewater management systems 98 On-site recycling 98 Greywater 98 Decentalised wastewater systems 99 Using and saving water 102

Key points 102

Actions and outcomes 102

Discussion 103

Water restrictions and permanent water conservation measures 104 Reducing water use in and around the home 104 ‘Water for Good’ education program 107 Improving the community’s understanding of water issues 108 Schools 108 Working with ethnic and Indigenous communities 108 Reducing water use by commercial and industrial businesses 109 Improving water use effi ciency in public spaces 111 Reducing water supply system losses 111 Agricultural water use 112 Rewarding effort and achievement 113

Part 5 The future assessment of water projects – a new approach 114

Sustainability assessment approach 116

Hypothetical supply options considered 116 Supply options not considered 118

Sustainability assessment findings 118

Demand management 118 Desalination 118 Stormwater for drinking 119 River Murray water purchases 120 Stormwater, wastewater and reservoir storage 120

Sensitivity Analysis 120

Notes about the study 121

Water for Good June 2010 5 Part 6 Fostering innovation and efficiency 122

Introduction 124

Overview of current arrangements 124

Water policy, management and planning 125 Service delivery 125 Customer feedback and performance monitoring 125

Future arrangements 125

Proposed institutional arrangements 126 Water policy and planning 126 Service delivery 126 Performance monitoring, evaluation and feedback 126

Planning 127

Key points 127

Actions and outcomes 127

Current water management planning 127

Natural resources management planning 128 Water allocation planning 128 Environment Protection (Water Quality) Policy 2003 and associated codes of practice and guidelines 128 SA Water long-term planning 128 Future water management planning – total water-cycle management 129

Water-sensitive urban design 129

Regional water demand and supply planning 130

Status of available resources 130 Demand and supply forecasts 130 Action plan 130 Links to other plans 131 Process for developing regional water demand and supply plans 132

Baseline data, monitoring and assessment 132

Water in remote communities 132

Indigenous community supplies 132 Non-potable SA Water supplies 133 Independent non-potable supplies 133 Addressing remote community supplies 133

Research and innovation 134

Key points 134

Actions and outcomes 134

6 Water for Good June 2010 Discussion 134 Contents Key innovation and research organisations 136

Premier’s Science and Research Council 136 Natural Resources Management (NRM) Research Alliance 136 University City 136 Australian Water Quality Centre 137 The Waite Precinct 137 Australian Cooperative Research Centres (CRCs) 137 The Water Industry Alliance 137 CSIRO (Water for a Healthy Country Flagship) 138 Centre for Comparative Water Policies and Law 138

Pricing and market instruments 139

Key points 139

Actions and outcomes 139

Discussion 140

National challenges and reform 140 Protect long-term interests of customers through comprehensive regulation 140 Strengthen price signals to encourage effi cient use 143 Ensuring equitable access to water 147 Fostering markets and competition 148

Legislative and regulatory changes 150

Key points 150

Actions and outcomes 150

Water reform progress 150

Contemporary water industry 150 Approaches in other Australian states and territories 151

New legislation 151

Water policy, planning and management 152

Strategic management 152

Stormwater 152

The Stormwater Management Authority 152 SA Water’s role in stormwater management 153

Environmental Water Reserve 153

Water quality 154

Service delivery 154

Water for Good June 2010 7 Independent economic regulator 154 Licensing system 154 Third-party access regime 154

Supplier of last resort 155

Sewer mining 155

Technical regulator 155 Performance monitoring, evaluation and feedback 156

Consumer protection 156

Part 7 Staying on track – implementation and monitoring 158

Introduction 160

Key Points 160

Discussion 161

Water Proofi ng Adelaide 161 Water for Good Action Plan 161

Appendices 174

Glossary 185

Abbreviations 187

Bibliography 189

Water Volumes Throughout this document it has been necessary to refer to water volumes using various units of measurement, depending on the context. A summary of these is given below: How much water is that? Kilolitre (kL) Megalitre (ML) Gigalitre (GL) One kilolitre is 1000 litres. Kilolitres One megalitre is 1000 kL or one One gigalitre is 1000 ML or 1 billion are the units most commonly used million litres and is roughly the litres and represents a volume of in referring to household water use, volume of most 50 metre public water one square kilometre by one with the average Adelaide swimming pools. The Torrens Lake metre deep. When full, the Hope household using between 200-250 between Hackney Road and the Valley reservoir holds about 2.8 GL kL each year when we are not on Torrens Lake weir holds about and the water restrictions. 600 ML. holds 11.6 GL.

8 Water for Good June 2010 List of Figures Contents

Figure 1 Greater Adelaide’s water supply from all sources for both drinking and non-drinking purposes 14

Figure 2 River Murray System Inflows (excluding Menindee and Snowy) 15

Figure 3 Water consumption changes for Greater Adelaide 16

Figure 4 Now and 2013 Drinking water mix to supply 200GL in a dry year 17

Figure 5 Moving towards a “Water-sensitive State’ (adapted from Urban Water Management Transitions Framework) 19

Figure 6 Natural Resources Management Region boundaries 31

Figure 7 South Australia’s use of the River Murray in non drought and drought years 33

Figure 8 Mains water consumption according to NRM region 33

Figure 9 Greater Adelaide Region 35

Figure 10 South Australian’s share of Murray-Darling Basin Water 36

Figure 11 Greater Adelaide’s mains water uses 36 Figure 12 Average annual residential water use 37

Figure 13 Historical mains water consumption for Greater Adelaide to 2008 37

Figure 14 Household water use split pre- and post- water restrictions 38

Figure 15 Major pipelines, reservoirs and mains water bore fields in South Australia 39

Figure 16 South Australia’s employment growth for the period April 1999 to 2009 42

Figure 17 Projected population growth for Greater Adelaide to 2050 43

Figure 18 The nature of climate variability over 100 years, and the increase in temperature experienced in recent decades 45

Figure 19 Sketch of an urban heat island profile 47

Figure 20 Annual inflows to the Mount Lofty Ranges reservoirs for the period 1892-2006 49

Water for Good June 2010 9 Figure 21 River Murray System inflows 49

Figure 22 Water availability in any given year under moderate and extreme dry year events with no action 50

Figure 23 Water availability in any given year under moderate and extreme dry years, with additional water security measures as outlined in WFG 51 Figure 24 Total water supply available for Greater Adelaide 52

Figure 25 Adaptive framework to inform security decisions 53

Figure 26 Murray-Darling Basin in South Australia 61

Figure 27 Mount Lofty Ranges Watershed Priority Areas 72

Figure 28 Adelaide Desalination Plant Port Stanvac 79

Figure 29 Identified potential stormwater harvesting sites 86

Figure 30 Managed Recharge (MAR), Aquifer Storage and Recovery (ASR) and Aquifer Storage, Transfer and Recovery (ASTR) 89

Figure 31 Illustration of a method for connecting a residential rainwater supply 93

Figure 32 Trends in recycling from SA Water wastewater treatment plants 96

Figure 33 Salinity of local water supply and treated wastewater in SA Water wastewater treatment plants 97

Figure 34 Breakdown of how water is used in the home before and after the introduction of water restrictions 104

Figure 35 Supply Options 119

Figure 36 Proposed institutional arrangements 126

Figure 37 NWI Pricing Outcomes 141

Figure 38 2009-10 Residential Inclining Block Prices 144

Figure 39 2009-10 Non-Residential Inclining Block Prices 144

Figure 40 Water reform 151

Figure 41 Review Process 162

10 Water for Good June 2010 List of Tables Contents

Table 1 Regional water sources 32

Table 2 Per centage reliance of total source of potable water for period 2002-03 to 2007-08 34

Table 3 Assumptions for Figure 22 – Water availability in any given year under moderate and extreme dry years, with no additional water security 50 measures

Table 4 Assumptions for Figure 23 - Water availability in any given year under moderate and extreme dry years, with additional water security measures 51

Table 5 Examples of triggers 54

Table 6 Various Environmental Values 70

Table 7 Target reduction in potable water use for user groups in Greater Adelaide, by 2050, through actions in this strategy 103

Table 8 Rebate uptake in South Australia (as at 1 June 2009) 105

Table 9 Hypothetical supply options to acquire up to an additional 50GL/a 117

Table 10 Supply options not considered 118

Table 11 Current research institutions and collaborative projects 135

Table 12 Summary of Actions 163

Water for Good June 2010 11 Water for Good outlines the actions we need to take to ensure our water supplies are secure, safe, reliable and able to sustain continued growth.

12 Part 1 The plan in summary

13 Part 1 Introduction plan, to be completed by 2011, that will include new sustainable caps on surface The plan in Water is vital for the preservation of both and groundwater for all river catchments. quality of life and the environment for A healthy River Murray will sustain our summary all South Australians. It also underpins environment, our communities and our growth in population and the economy – irrigation industries in the future. and these are critical to the State’s future economic prosperity. Water for Good aims to provide our State with the most secure water supply Water for Good outlines the actions we system in southern Australia. Greater will take to ensure our water supplies are Adelaide will not need water restrictions secure, safe, reliable – and able to sustain – beyond permanent water conservation continued growth – for at least the next measures – more than once in every 40 years. 100 years.

The measures in this Plan focus on how Most importantly, it will enable us we will secure our water supplies. to diversify our supplies to reduce our How we allocate our water to different reliance on the River Murray and needs for example, consumptive or other rain-dependent water sources. environmental uses, is clearly the responsibility of Natural Resources Restoring the health of the River Murray Management Boards. Leaders in will still be crucial as it will continue to agriculture and other water intensive be an important source of water to industries also play an important role supply regional cities and towns and through industry planning. irrigation industries. A healthy River Murray is also essential for a healthy The future of the River Murray is environment and as a back up to substantially dependent on the Adelaide supplies. sustainable management of the Murray- Darling Basin particularly in upstream Water for Good actions will apply states. South Australia will continue to throughout the State, and a pursue a sustainable future for the river vital component of the Plan will be through the newly established Murray- the development – with community Darling Basin Authority. To better manage involvement – of detailed water demand the Basin in the national interest, the and supply plans for every region. This Authority is developing a basin-wide will ensure that long-term solutions

Figure 1 Greater Adelaide’s water supply from all sources for both drinking and non-drinking purposes

Now 2014 2025 2050

100 GL 100 GL 100 GL

Rivers, reservoirs and aquifers Desalination Recycled stormwater & wastewater Saving water Water restrictions

14 are based on a thorough understanding We have seen signifi cantly less rain of the state of local resources, the and run-off in the Mount Lofty Ranges demand for them, and likely future catchment area, which feeds our pressures. These regional plans will sit reservoirs. Our groundwater supplies – side-by-side with Water for Good water contained in the aquifers and and support and inform its delivery in basins beneath the surface – are also the short, medium and long terms. showing signs of stress.

In the years to come, the true value of South Australia has traditionally relied water will become fundamental to how on the River Murray for much of its water we think about – and use – this precious but that resource is under threat, not resource. We will all be more careful only because there has been less rain in many different ways. but because of a history of over- allocation and over-use. South Australians can be confi dent that we will have enough water to enjoy our The combination of these factors is quality of life, and support our economy having a devastating effect on River and the environment. Murray irrigation industries and many communities, particularly those Our climate in context along the length of the river, and those around the Lower Lakes and Like much of the south of the continent, the Coorong. The impact on Lake South Australia is experiencing Alexandrina, Lake Albert and many unprecedented dry weather patterns – other highly valued environments drier than at any other time in our has been serious and prolonged. recorded history. This is most likely In cities and regional areas around the the result of climate change. State, people are being required to accommodate water restrictions, and Lower rainfall over an extended period many home gardens and community has had the compounding effect open spaces are showing the effects. of reducing fl ows into storages, rivers, watercourses and groundwater. There are very strong indications that Flows into the River Murray have been signifi cant parts of southern Australia at their lowest since records began, are experiencing a changing 118 years ago. climate and that we can expect these

Figure 2 River Murray System Inflows (excluding Menindee and Snowy)

1800 Long term average 2006/07 (lowest on average) 1600 2007/08 2008/09 1400 Average 1997/98 – 2007/08

1200

1000

800

Flow GL per month 600

400

200

0 Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Date

15 less reliable rain patterns to continue. growth is a key driver of prosperity practices, rainwater tank ownership and According to the CSIRO, we can and good economic performance. wastewater recycling. With the enactment anticipate an overall decline in rainfall A growing, diverse population feeds the of the Natural Resources Management Act of between 15% and 30%, and, as a labour market to support expanding 2004, South Australia undertook major consequence, a reduction in run-off into and changing industries. reform in the protection of natural water our storages. In some years, however, we resources through an integrated In its March 2009 Economic Statement, might still experience heavy falls and approach to natural resource planning, the South Australian Economic even fl ooding. Some experts are water allocation and management. Development Board considers South referring to this phenomenon as a ‘step- Australia’s prospects for economic Communities across the State have change’ in climate. growth over the next decade to be embraced the challenge to use water We can no longer assume that the recent bright and, compared with the national more wisely. Since 2003, the people change in rainfall patterns is a temporary economy, better than they have been of Greater Adelaide have cut their water situation – that the drought will end, and for many decades. use by approximately 25%. A range the rains we have relied on in the past of water saving measures has been Major new mining developments, our will return. introduced since the State Government’s growing defence sector and an emerging Water Proofi ng Adelaide Strategy was Managing our water supply in a variable opportunity to establish South Australia released in 2005 and these, combined climate requires adaptive and innovative as a national leader in renewable energy with water restrictions, have been solutions. We must continue to work to technology will sustain investment instrumental in encouraging water- modernise and improve the water for decades to come, with benefi ts sensitive behaviours and practices. practices of the past – in our cities and continuing to fl ow from the agricultural, towns, in agriculture, commerce and manufacturing and services sectors. However, like other water strategies industry – and rethink how we manage developed by governments across However, the Board highlights water the water industry. south-eastern Australia in the past scarcity as a key issue that must decade, Water Proofi ng Adelaide was We will continue to encourage everyone continue to be addressed for the State released before the full extent of the who lives, works in and visits South to fully capture emerging economic drought – and what we now recognise as Australia to treat water as a precious opportunities, secure a genuine a longer-term drying phenomenon and commodity and to use it more wisely. social dividend, and become more climate change – was understood. It has We will plan and build, in a timely environmentally sustainable. become clear that we can – and must – manner, for new and diverse water Recent responses do much more to reduce consumption sources that are not dependent on rain. and diversify our water sources. Much has already been achieved The challenge for us all is to successfully To supplement our existing Mount Lofty in recent years to improve water navigate through the current diffi cult Ranges storages, South Australia has conservation and management. situation while remaining focused on our successfully negotiated access to storage longer-term goals – securing, protecting South Australians lead the country in in the Hume and Dartmouth in the and diversifying our water sources, stormwater capture and reuse, irrigation upper reaches of the River Murray. This and improving our supply infrastructure, so that we are well placed to face the Figure 3 challenges the future may bring. Water consumption changes for Greater Adelaide That is what Water for Good is about – providing certainty about our water 250 future and instilling confi dence that we will have what we need to support our 200 economy, sustainability and prosperity. It is about putting the necessary foundations in place so we can act 150 quickly to manage the ramifi cations of Permanent water conservation measures both greater climate variability, and High rainfall 100 climate change. year High rainfall Level 3 year Water restrictions The importance of growth 50

South Australia’s population is forecast Annual Supply / Consumption (GL per annum) Supply Annual 0 to reach two million by 2027, 23 years 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 earlier than the target set in the original South Australian Strategic Plan of 2004. Historical consumption Strong and well-managed population Historical demand without restrictions

16 extends the volume of water we can store to match the rapidly drying climate we Part 1 are experiencing. for critical human needs from 12 months The plan in summary capacity to more than two-and-a-half years capacity. Storage access has also Our likely water future been secured for private irrigators so Many possible scenarios could be they can carry over any unused portion used for forecasting South Australia’s of their water allocation from one year future water needs. For the purposes to the next. of this Plan, we have chosen the most An independent Commissioner for prudent. It assesses what our water Water Security, the fi rst in Australia, was situation would be, in any given appointed in 2008 and is giving greater year between now and 2050, taking focus to planning and implementation, the following factors into account: co-ordinating and integrating policy, • State population to reach 2.49 million and further educating the community. by 2050, including about two million The 2009-10 State Budget provides in Greater Adelaide $2.1 billion over four years to secure • climate change variability and impacts South Australia’s water supply. based on the fourth assessment report of the Intergovernmental Panel on In 2007, the State Government Climate Change (specifi cally A2 and announced the decision to build a B2 climate change scenarios) 50 gigalitre (GL) desalination plant. Work is underway on this world-class • existing minimum entitlement (for facility and it is expected to produce drought conditions) from the River fi rst water by December 2010. Murray of 897 GL a year

Further, in May 2009, the Government • infl ows to the Mount Lofty Ranges announced that, with the support reservoirs of 35 GL a year of Commonwealth Government • a 41% reduction over the next 40 years funding, the capacity of the Adelaide in infl ows to the Mount Lofty Ranges Desalination Plant will be doubled reservoirs, as a result of climate change and be able to provide 100 GL a year of desalinated water by the end of 2012. • economic growth projections developed by the South Australian While a range of water supply options Economic Development Board. were considered before proceeding with this signifi cant infrastructure project, no other non rain-dependent options could provide a response

Figure 4 Now End of 2012 Mix to supply 200 GL of Mix to supply 200 GL of drinking water in a dry year drinking water in a dry year

18% 32%

50%

82% 18%

Now 2012 River Murray Reservoirs Reservoirs Desalination Desalination

17 Major reforms approach to managing a more cost of supply, the viability and competitive and diverse water industry attractiveness of some options will Water for Good provides more than and an independent regulator will be change further. We will ensure that, in 90 deliverable actions to diversify our appointed to oversee pricing, licensing considering new ideas, we understand water sources, improve water and consumer protection the full range of costs and benefi ts, conservation and effi ciency, and improve including health and environmental, • An independent planning process will and modernise our water industry. so that the right decisions can be made ensure that decisions about water at the right time. We will also put • A key action for the short term is the supply augmentations will be the knowledge and systems in place doubling of the capacity of the transparent and timely, and result in so that we can be adaptable. Adelaide Desalination Plant – a joint effi cient and innovative solutions State-Commonwealth Government In summary, Water for Good actions • SA Water and its predecessors have project costing $1.83 billion, include doubling capacity of the served South Australia well for more with $328 million contributed by the Adelaide Desalination Plant and than 150 years and its institutional Commonwealth Government signifi cant increases in water recycling framework and customer service and groundwater management. • Into the future, we will further reduce standards are strong. The Corporation Given this, the State Government has our reliance on rain-dependent sources will continue to play a major role in the decided that it will not be necessary to such as the River Murray and the water industry as a Government- continue with an involvement in the Mount Lofty Ranges reservoirs by owned entity. However, the State’s water development of the Upper increasing stormwater harvesting and infrastructure will be opened up to Desalination Plant planned by BHP Billiton wastewater reuse. Recycled water in provide third-party access and new to supply the Olympic expansion. various forms has valuable uses, entrants in the general water industry particularly in agriculture, horticulture will be able to offer a range of Through actions undertaken to secure and some areas of industry. However, water products future water supplies any further it must be fi t for the intended purpose expansion of storage capacity within • Prices will need to increase over time and pose no risks to the environment, the Mount Lofty Ranges will not be to better refl ect the full cost of or to public health and safety needed until at least 2050. However, producing and supplying water. Low- our adaptive planning framework will • The Murray-Darling Basin Authority income households will continue to be review this option by 2025. will deliver its plan for the sustainable protected from any equity implications management of the waters of the Basin that result from higher prices. Regional Towards a water- by 2011. Until then, we will continue communities using SA Water’s networks sensitive state to secure contingency measures will also continue to be supported at the national level to maximise the through the application of uniform Through the implementation of the many water available to South Australia statewide pricing wide-ranging actions in this Plan, South • By 2050, in Greater Adelaide, we will • Water-sensitive urban design will be Australia will lead the country in water have the capacity to turn 60 GL of mandated through new planning supply innovation and be recognised as stormwater into fi t-for-purpose non- regulations which will dovetail with the the ‘Water-sensitive State’. drinking quality water. The state-wide Plan for Greater Adelaide and apply As a water-sensitive community, we will target will be 75 GL. We will also be to new residential and commercial increasingly value our water resources able to recycle 75 GL of wastewater in urban development and fi nd new and effective ways to urban areas – again, for appropriate • Across the State, water security protect them. We will be more careful purposes. These projects will be demand and supply plans will be in in how we use water for the things that undertaken in partnership with the place to ensure that long-term solutions are important to us, and use different Commonwealth, Local Governments for each region are based on a sources – and qualities – of water to and the private sector thorough understanding of the state of meet different needs. • To enhance the performance of the local resources, the demand for them, Water-sensitive culture and values will water industry as a whole, a greater and likely future pressures. Local be entrenched. Cities will be built in emphasis will be given to water knowledge is vital to meeting the ways that contribute to the water cycle, conservation, diversity of supply, economic, social, spiritual, cultural and and only sustainable developments will transparent decision-making and environmental needs – and aspirations be approved. independent scrutiny of service – of all communities delivery and pricing. This will be Increasingly, systems on a • Technology and innovation have critical to protect consumers and neighbourhood scale – where created more water supply options, encourage innovation and effi ciency communities capture, manage and use and community perceptions about their their water sources in an integrated • Fresh legislation will be introduced social or environmental benefi t are way – will become the norm. following public consultation with the changing. It is highly likely that, as release of a discussion paper in 2009. technology improves and the price of Most importantly, we will be well The legislation will refl ect a new water more accurately refl ects the prepared to meet new challenges and

18 Part 1 The plan in summary

Figure 5 Moving towards a ‘Water-sensitive State’ (adapted from Urban Water Management Transitions Framework) Source: Brown et al, 2008

State Public Salinity & Quality Water Climate Development Health Flood Control Improvement Security Resilience

Water Water Water Water supply Sewered Drained treatment cycle sensitive State State State State State State

1900s 1950s 1960s 1980s 2000s 2020 2050

Town & Country Sewers & STEDs Rural & urban Water Treatment Diverse Sources, Adaptive Cities as net Networks drains Plants Fit-for-purpose sustainable contributors to management water cycle

Water supply Sewage Flood mitigation Environmental Water New water treatment protection conservation products

Salinity control Catchment management

manage future demands and declining Navigating through the • Construction of temporary rainfall through adaptive planning. current situation environmental regulators in the Goolwa This means we will seize opportunities Channel, Finniss River and Currency to become nimble, smarter and more The State Government is managing many Creek to mitigate the impacts of innovative in the way we use and diffi cult issues as a consequence of acid sulfate soils manage our water. continuing extremely low infl ows to the • Obtain the approvals to allow a southern Murray-Darling Basin. To achieve all of this will require a small volume of seawater into Lake shared understanding of the Its critical short-term management Alexandrina. This will only be fundamental importance of maintaining actions include: undertaken if required to prevent the health of our natural water acidifi cation following implementation • As a last resort, building a temporary resources. of all other options weir at Pomanda Island, to protect the South Australians have always been water supply to the 1.2 million people • Substantial bioremediation programs resilient, creative and innovative. currently receiving it from the River for Lakes Alexandrina and Albert to Water for Good will continue to move Murray below Lock 1. A temporary manage acid sulfate soils us quickly on the path to being weir will only be constructed if infl ows • Implementation of the South Australian considered Australia’s leading water- remain at critically low levels and $610 million Murray Futures program sensitive state. agreed triggers for acidifi cation or salinity were activated and could • Purchase of water. not otherwise be prevented

19 Key actions

By 2014

• Adelaide’s water security will be • Permanent water conservation • The State’s water infrastructure, enhanced through the supply of up to measures will be maintained when new currently managed almost entirely by 50% (100 GL) of the city’s water sources of water come on-line and SA Water, will remain in State from the Adelaide Desalination Plant. water restrictions can be lifted ownership but will have been opened The Plant will be powered by up to provide third-party access and • Adaptable and regularly reviewed renewable energy new entrants in the general water water demand and supply plans will industry will be offering a range of • We already harvest more stormwater cover all regions of the State fi t-for-purpose water products than anywhere else in Australia. By • The best regulatory approach to 2013, we will be capable of harvesting • An independent planning process will mandate water-sensitive urban design 20 GL/a for non-drinking purposes in be set up by the Minister where needed will have been implemented, and Greater Adelaide – more than double to make recommendations to maintain dovetail with the Plan for Greater the amount of stormwater currently water supply standards, having regard Adelaide harvested. This will have been to quantity and quality requirements achieved in partnership with other • The statewide water monitoring and market response governments and the private sector system will provide more accurate • South Australia has taken the lead on and timely understanding of the state • Subject to Commonwealth assistance the establishment of the independent and condition of all water resources, and in partnership with local Murray-Darling Basin Authority. We will particularly groundwater government, stormwater harvesting be working with the new Authority and and recycling will be underway, • Region-specifi c scientifi c research other jurisdictions to ensure a healthy, including: will have improved our knowledge working River Murray that can continue of the impacts of climate change to provide critical human water needs • in the western metropolitan area on water resources across the State for Greater Adelaide and regional including Cheltenham Park, South Australia, irrigation requirements Riverside Golf Club, Old Port Road • A single, new Water Industry and and water for the environment and Adelaide Airport Planning Act will have replaced the legislation governing the operations • As a last resort, build a temporary • in the southern metropolitan area, of SA Water. The new legislation weir at Pomanda Island to protect the building on the fi rst stage of Water will be the foundation for establishing water supply to the 1.2 million Proofi ng the South a new approach to managing a more people currently receiving it from the • in Playford and Salisbury, creating competitive and diverse water River Murray below Lock One. further capacity in the northern industry, and conserving water use The temporary weir would only be area, building on Waterproofi ng constructed if in-fl ows remain at • Local government has the lead role Northern Adelaide critically low levels and agreed triggers in stormwater management, owns for acidifi cation or salinity were • at the Adelaide Botanic Gardens, and stormwater infrastructure and activated and could not otherwise is responsible for fl ood mitigation. • at Barker Inlet be prevented To ensure appropriate emphasis • We will have the capability by 2013 to to stormwater harvesting and reuse, • The South Australian community will recycle 45% of wastewater from urban the governance of the Stormwater have an enhanced level of awareness areas across the State Management Authority will have of water issues and people will • Additional water sources including been reviewed and updated in instinctively take action to save water, desalinated seawater subject to site conjunction with the LGA such that we are regarded nationally as a water-sensitive State. and environmental investigations • The long-term interests of consumers will supplement the will be protected through water resources comprehensive, independent economic regulation of urban water and wastewater services by the Essential Services Commission of South Australia (ESCOSA)

20 Part 1 The plan in summary

By 2025 By 2050

• Groundwater desalination plants or • In Greater Adelaide, we will have a other economically viable innovative target to achieve the capacity to supply options will provide water for recycle at least 60 GL/a of stormwater regional townships where water quality for non-drinking purposes, with a (ie: salinity) has been identifi ed as target of up to 15 GL/a in regional an issue. This will enable improvements areas. This will be achieved in to these water supplies by 2025 at partnership with other governments the latest and the private sector. This will be • We will target up to 35 GL/a of achieved where verifi able geological stormwater to be harvested in urban data has identifi ed suitable locations South Australia for non-drinking and where cost affective projects purposes to be achieved in partnership can be undertaken with other governments and the • We will target to achieve a minimum of private sector. This will be achieved 75 GL/a of the wastewater generated where verifi able geological data has in South Australian urbanised areas to identifi ed suitable locations and be recycled for non-drinking purposes where cost affective projects can be • We have a target to be using 50 GL/a undertaken less water in Greater Adelaide by 2050 • We will target to achieve 50 GL/a of than would have been the case without recycled wastewater in urban South the implementation of the conservation Australia to be used for non-drinking measures in this Plan including water- purposes sensitive urban design

• We will aim to have increasingly open • Mature and competitive market and competitive markets for water arrangements will be in place and • The South Australian community will consumers will have far more choice have continued to enhance its level of • Cities will be net contributors to the awareness of water issues, and be water cycle – through improving taking actions to save water, such that our water use and diversifying our we are regarded internationally as a water supplies. water-sensitive state.

21 South Australians lead the country in stormwater capture and reuse, irrigation practices, rainwater tank ownership and wastewater recycling.

22 Part 2 Current initiatives

23 Part 2 Introduction South Australia has led the nation in a range of innovative water strategies – Current South Australia has had extensive we are leaders in stormwater reuse and experience with managing in dry wastewater recycling. Around half our initiatives conditions and making the most of our homes have a rainwater tank and more precious water resources. tanks are being installed every day. In the current unprecedented dry In fact, South Australia has the highest conditions, the South Australian proportion (45.4 per cent) of households Government has acted to manage reporting a rainwater tank as a source immediate impacts and to plan for an of water. anticipated future that is likely to be Because we rely on many water drier than the past. resources that originate in other states These actions have been built on a and territories, we have also solid foundation of water resources participated fully in the national management. reform agenda.

We have in place a strong legislative This part of the Plan outlines the framework through the Natural national programs in which we are Resources Management Act 2004 participating, our own strategies and (building on the Water Resources Act initiatives, and some of the key actions 1997) and the Environment Protection we are progressing now to provide Act 1993. Water for Good.

Through our integrated water strategy Water Proofi ng Adelaide – a thirst for change: 2005 – 2025 (WPA), we have put in place a range of initiatives to increase the effi ciency of water use and develop alternative water sources. WPA has already achieved many milestones. A recent review found that nearly all of its strategies are ‘on track’ to be met, with 14 already completed.

24 National policies and • In its January 2009 Vision for a • The State Government is developing a reforms Sustainable Urban Water Future Position 30-year plan aimed at ensuring the Paper, the Water Services Association future liveability, sustainability, climate • A number of important national of Australia (WSAA) recognises change resilience and competitiveness reform and investment programs that national action for the urban water of Greater Adelaide. To meet the future are contributing to water resource industry is based on the issues of: urban planning needs for our growing management in South Australia population, the plan identifi es a new • integrated water management urban form that ensures continued • Recognition of the need for a more • sustainable pricing economic prosperity, a sustainable integrated and coordinated national lifestyle and a fl exible planning approach to water management led to • responding to climate change and approach. The Plan for Greater the development in 2004 of the National carbon trading Adelaide will provide a vision for Water Initiative. This is a shared • industry structure and competition the city for the next three decades commitment by the Commonwealth, reforms to coincide with South Australia’s State and Territory governments to bicentenary in 2036. achieve a nationally compatible market, • regulator reform. and an adaptive regulatory planning- State and regional • The Local Government Association of based system of managing water South Australia commissioned a report resources. South Australia is a signatory strategies and initiatives by the SA Centre for Economic Studies to this initiative and is progressing the • South Australia’s Strategic Plan (2007) to conduct a survey into local various water reforms. Water for contains seven main targets that are government’s current activities and Good will accelerate this progress and relevant to this Plan. These targets potential future role in water improve our capacity to manage our include: reducing greenhouse management and conservation, water resources emissions and ecological footprint; including in relation to stormwater harvesting and use. The study • Major reform of the Murray-Darling managing water supplies within demonstrates the important role of Basin has begun, with the sustainable limits; supporting the local government in this arena and establishment of the Murray Darling development of renewable energy; emphasises the importance of Basin Authority in 2008 and the maintaining regional share of South collaboration with the range of development of a new Basin Plan, with Australia’s population (18%); and organisations involved in managing a sustainability cap on surface and maintaining minerals exploration and water supplies in South Australia. Key groundwater extractions. The reform increasing minerals production fi ndings of this study have been used to program recognises the signifi cant • The Natural Resources Management Act inform this Plan contribution the Basin makes to the 2004 establishes eight regional boards Australian economy – $9 billion in across South Australia. Each is • SA Water’s long-term Plan for the Eyre agriculture alone – as well as the responsible for developing a Natural Region (2008) establishes a framework increasing pressure the drought is Resources Management Plan for its to ensure the Eyre Peninsula has a having on the health of the river system region. Where a water resource is secure water supply to meets its forecast increases in demand for the • Water for the Future is the Australian prescribed, the Boards are required to next 25 years. The plan identifi es Government’s plan to develop a single, prepare a water allocation plan, which initiatives that complement a continued coherent, national framework that deals with the allocation of the available emphasis on water conservation and integrates rural and urban water issues resource reducing water use, while enabling to ensure the long-term security of the • Water Proofi ng Adelaide (2005) outlines the region to grow and develop within nation’s water supply. Priorities include actions for the management, sustainable limits. Development of taking action on climate change, using conservation and development of similar plans for and water wisely, securing water supplies, Adelaide’s water resources to 2025. are currently underway. and supporting healthy rivers. It also When fully implemented, the actions in drives a signifi cant investment program the plan are expected to provide up focused on strategic water priorities, to 70 GL of additional water. These including irrigation system savings have been taken into account in rehabilitation, desalination and the demand-supply forecasts in this Plan recycling projects, and buying back water entitlements. $12.9 billion has • The Water Proofi ng Adelaide actions been committed over 10 years to will continue to be important measures support these initiatives to reduce demand and have been incorporated in this Plan

25 Desalination Stormwater recycling Wastewater recycling

The Government has commenced South Australia is a leader in recycling Currently Adelaide recycles more of its construction of a 100 GL/a Desalination stormwater and leads the nation in wastewater than any other capital city. plant to be built at Port Stanvac. As a non rainwater tank ownership. Already 30 per cent of our treated rain-dependent source of water, this will wastewater is recycled each year for Current uses of recycled water include relieve the pressure on the River Murray, irrigation use, toilet fl ushing and garden irrigation, industrial uses, some non- delivering about a half of Adelaide’s watering - and this is set to increase. drinking residential uses (e.g. garden current water needs. The project will use irrigation and toilet fl ushing), and A range of signifi cant wastewater projects renewable energy sources. A more groundwater replenishment. Recent is under way to increase reuse to nearly detailed discussion of this initiative is in national guidelines, developed with South 45 per cent. Part 4 - Managing our water future. Australian assistance, provide uniformity Increased recycling of wastewater Water use for public health and environmental risk will provide more water for agriculture, assessments for some uses. Managing and reducing our demand for community parks and gardens, and water is a vital component in achieving Existing stormwater harvesting schemes reduce the fl ow of nutrient discharge into Water for Good. South Australians are to in Adelaide generate 6 GL/a, with the sea where it can harm our delicate be commended for their water saving currently committed schemes expected marine environment. efforts under permanent water to harvest an additional 12 GL/a. Key projects include: conservation measures and level three Key projects include: water restrictions to date. • Water Proofi ng the South (Stage 1) – • Water Proofi ng Northern Adelaide – approximately 4.4 GL per year Key initiatives under way to help us more than 20 integrated harvesting for agricultural, viticultural and urban reduce our water use include: schemes. reuse of wastewater. This project • Through the strategies identifi ed in Project completion: 2010 also includes approximately 850 ML Water Proofi ng Adelaide 2005 a year stormwater recycling. • Metropolitan Adelaide Stormwater household water use will be around Project completion: 2011 Reuse Project – about 800 ML a year 30 GL a year less by 2025 than would to replace natural groundwater • Glenelg-Adelaide Parklands Recycled otherwise have been the case. use in three metropolitan golf courses. Water Project – 1.3 GL per year Strategies include encouraging more Project completion: 2010 recycled water for Parklands use, with water-effi cient devices in our homes the capacity to recycle a total of and gardens; providing better • Cheltenham Park – expected 1.2 GL 5.5 GL a year. community information, and the harvesting capacity per year for Project completion: 2010 application of permanent water irrigation, suitable residential conservation measures which will and potentially for industrial uses. • Statewide Water Recycling Project – stay in place when restrictions are Project completion: 2012 approximately 8.5 GL a year reuse from local council Community no longer required • The Lochiel Park development aims to Wastewater Management Schemes. • A $24 million rebates package is achieve 78 per cent savings in mains Project completion: 2010 helping householders reduce water drinking water for each household use in their homes and gardens, compared to the average Adelaide • Additional Bolivar Wastewater accelerating some of the savings household. This will be achieved Treatment Plant Reuse, Playford Alive anticipated by Water Proofi ng Adelaide through the use of approximately Blakeview Project (Stage 1). 38 ML of recycled stormwater for toilet Project completion: 2011 • All large mains water consumers are fl ushing, washing machine cold tap implementing water effi ciency plans to • Aldinga Wastewater Treatment Plant – connection and irrigation, and by using better manage their water use. All treated water from this plant rainwater collected in tanks for all (approximately 328 ML a year) is • Mains water used for public purposes household hot water. Approximately reused, approximately 328 ML per such as watering parks and gardens, 87 per cent of household and public year, predominantly by the Willunga water used in public buildings and space irrigation in Lochiel Park is Basin Water Company for local losses from the mains water system will supplied from recycled water. irrigators be reduced by about 3 GL a year Project completion: 2010. through strategies such as SA Water’s • West Sewer Mining leak reduction program and the Project – recycles 180 ML a year for Irrigated Public Open Space code irrigation of community parks and of practice. gardens • Wastewater Reuse – recycling 600 ML a year to irrigate parks, gardens and a golf course

26 • Victor Harbor Wastewater Reuse – While we will continue to diversify our Part 2 recycling 115 ML a year to irrigate the water sources, the Murray, our reservoirs Current golf course and a private vineyard and groundwater will remain signifi cant and it is essential we manage them well initiatives • Berri Wastewater Reuse to ensure they remain available to future Project – recycling 600 ML a year for generations. irrigation purposes

• Loxton Waikerie Wastewater Reuse By improving the health and effi ciency Project – recycling to irrigate the local of our rivers and catchments, increasing golf course our storage capacity and managing groundwater reserves across the State, • Extension of the Virginia recycled we will help secure our water supplies. water pipeline to Angle Vale – providing an additional 3 GL a year, The South Australian Government taking the total to 18 GL a year of has successfully negotiated with the recycled water use Commonwealth to establish an Project completed May 2009 independent authority to better manage the Murray-Darling Basin. In addition, we • Bolivar and Christies Beach Wastewater have obtained signifi cant Commonwealth Treatment Plants – about 40 per cent of funding for the Murray Futures project the wastewater from these plants is which is outlined in further detail in currently treated and reused Part 4 – Managing our water future. • Country Wastewater Treatment Plants – An independent water audit has begun high levels of reuse are currently and water licences in other states will occurring at some wastewater be purchased to provide more water for treatment plants, including Gumeracha, the River Murray in South Australia. and Murray Bridge Other initiatives undertaken since • Community Wastewater Management 2003 include: Schemes – local councils are achieving high levels of reuse from • The Natural Resources Management these schemes Act 2004 provides for an integrated • Mawson Lakes – when fully developed and transparent natural resources in 2010, Mawson Lakes will cater management system aimed at for approximately 10,000 residents. ensuring, among other things, that A major feature of the development is our water resources are managed the innovative $16 million water sustainably recycling system which complements • The Commonwealth Government’s the mains water supply. Recycled water Restoring the Balance in the Murray- is derived from sewerage systems Darling Basin Program aims to improve and treated to a standard which is the health of the basin by purchasing suitable for non-drinking purposes. water entitlements from willing sellers Caring for our rivers, reservoirs and using the water for the environment and aquifers • Salt interception schemes (SIS), one of the main approaches to achieve While our water is supplied from various South Australia’s salinity management sources, much of the State is dependent objectives, prevented about 150,000 on the River Murray for its supply. In an tonnes of salt from entering the River average rainfall year, Adelaide captures Murray during 2008 about half its needs in the Mount Lofty Ranges catchment but our reservoirs can • Prescription of key areas of the Mount only hold a 12-month supply. Lofty Ranges and to ensure careful management of those Many parts of the State also use resources. groundwater resources for domestic, industrial and irrigation purposes.

27 Population growth and a changing climate mean we must not only deal with a challenging current situation, but remain focused on longer-term goals of securing, protecting and diversifying our water sources while improving supply infrastructure in a way that supports our economy, sustainability and prosperity.

28 Part 3 The challenges of demand and supply

29 Part 3 Introduction • Climate change impacts (temperature increases and infl ow reductions) are Traditionally, governments have planned expected to increase demand – The challenges for water supply on the basis of historical and reduce supply – in the Greater long-term average infl ows and invested Adelaide region of demand in system augmentations to meet future • Future water demand in Greater demand. Until recently, solutions have Adelaide will be mostly infl uenced by and supply largely revolved around rain-dependent population growth, while future supply sources of water such as large dams, will rely on the creation of new water rivers and groundwater. sources, such as desalination and The current severe and prolonged dry stormwater recycling, to counter, in has changed this approach. Ten years of particular, reducing surface infl ows to low infl ows into both the River Murray the Mount Lofty Ranges reservoirs and local storages have taught us that • Desalination will reduce Adelaide’s historically-based projections no longer reliance on the River Murray and lead provide planning certainty, and that we to a healthier river. However, we will can no longer rely solely on rain- still need suffi cient water to fl ow into dependent sources of water to meet South Australia to sustain domestic, future demand. This trend is consistent irrigation, dilution, transmission and across much of southern Australia. environmental uses across the State This section of Water for Good • To manage the future uncertainty of describes South Australia’s main water demand and supply, Water for Good sources, how they are accessed and and the regional plans that will follow used, and the demands that will likely be it, will need to be regularly reviewed, placed on them in the future. It also looks adaptive in nature, and underpinned by at the implications of a changing climate. water supply reliability standards and Finally, it describes a process for making trigger points. adaptable and fl exible decisions in a timely manner about securing our water Actions and outcomes into the future. Outcome Water for Good regional water demand Key points and supply plans are regularly and • South Australians used approximately robustly reviewed and updated. 1200 GL of water from all sources, with New actions agriculture being the largest user Establish an adaptable management (934 GL in 2007-08) framework, incorporating an annual review process, to assist in making • In 2008, the Greater Adelaide region timely and appropriate decisions to used about 163 GL of mains water. provide ongoing water security This represented approximately throughout the State. 73 per cent of South Australia’s total annual mains water consumption The Minister will produce an annual statement that will: • A combination of water restrictions and other demand management • assess progress of the Plan and strategies reduced consumption in identify any risks or issues Greater Adelaide in 2008 by an • review and confi rm water security estimated 50 GL standards for the upcoming review • The State Government, through period SA Water, will continue to be the main • provide demand-supply status for provider of the majority of mains water each region supply and wastewater infrastructure. • identify and analyse impacts of any Water will remain in public ownership, emerging issues but will be open to new entrants The Minister will establish an • All irrigation infrastructure is privately independent planning process if owned and operated in South Australia demand and supply forecasts indicate • By 2050, South Australia’s population is a gap is likely to exist in the expected to reach 2.49 million people foreseeable future.

30 Our water sources Across the State, resources vary These boundaries have been chosen as considerably. For the purpose of they represent manageable sized areas South Australia’s water supply comes identifying and assessing them, this and align with current water resource from the following, principally rain- Plan uses the boundaries of the existing planning processes undertaken by the dependent, sources: eight Natural Resources Management Natural Resources Management Boards • the River Murray (NRM) regions: which oversee them. The regions are shown in Figure 6 below, with new • local catchments • Adelaide and Mount Lofty Ranges boundaries to come into effect from • groundwater • South Australian Murray Darling Basin 1 July 2009. • recycled stormwater • Northern and Yorke • treated wastewater • South East • local rainwater • Eyre Peninsula • desalinated water. • South Australian Arid Lands • Kangaroo Island • Alinytjarara Wilurara. Figure 6 Natural Resources Management Region boundaries

Moomba

Coober Pedy

Maree

Roxby Downs

Ceduna

Great Australian Bight Port Augusta

Whyalla

Clare Kadina

Natural Resources Management Berri Region (July 2009) Gawler Adelaide & Mt Lofty Ranges ADELAIDE Murray Bridge Alinytjara Wilurara

Victor Harbor Eyre Peninsula Kingscote

Kangaroo Island

Northern & Yorke

South Australian Arid Lands Southern Ocean

South Australian Murray Darling Basin Naracoorte

South East 0 100 200 300 400 N Main Road Kilometres Mt Gambier

31 A summary of the water resources in each region is provided in Table 1. It highlights the great diversity in water sources, as well as future opportunities and threats. More detail about each region will be provided on the Water for Good website.

Table 1 Regional water sources

Natural Major Total Major water Major water Major Major water Resources population population resource(s) opportunity challenge to use in region Management centres (2006 water Region census) resource

Adelaide and Adelaide 1,179,347 Imported River Diversifying water Climate change Residential and Mount Lofty Murray water, sources through and population primary Ranges Mount Lofty desalination, use growth production Victor Harbor Ranges watershed of recycled wastewater and stormwater

South Australian Murray Bridge 108,839 River Murray Murray Darling Over extraction, Irrigation, stock Murray Groundwater Basin Plan and salinity and acid and domestic Mt Barker Darling Basin Eastern Mount water trade sulfate soils and urban Lofty Ranges residential

Northern & Port Pirie 89,198 Imported River Desalination and Climate change Residential, Yorke Murray water and wastewater reuse and coastal viticulture and Port August the development stock and Kadina prescribed water domestic resources

South East Mt Gambier 63,878 Groundwater – Groundwater – Climate change Irrigation, town Naracoorte unconfi ned confi ned aquifer and forestry water supplies aquifer and wastewater and stock and reuse domestic

Eyre Peninsula Whyalla 54,658 Imported River Seawater Climate change Town water Murray water and desalination, and mining supplies, stock Port Lincoln groundwater wastewater reuse and domestic and stormwater and irrigation reuse

South Australian Roxby Downs 9,083 Groundwater – Other Decreases in Pastoral, mining Arid Lands Great Artesian groundwater artesian and petroleum, Coober Pedy Basin resources, pressure, mining town water Leigh Creek desalination of and cross supplies groundwater border resources management

Kangaroo Island Kingscote 4,259 Middle River Expanding Climate change, Town water catchment catchment commercial supplies and American River storage, seawater forestry stock and Penneshaw Penneshaw desalination and expansion and domestic Desalination Plant wastewater and farm dams stormwater reuse

Alinytjarara Anangu 2,457 Groundwater Desalination of Mining and a Town water Wilurara Pitjantjatjara groundwater and lack of supplies and Yankunytjatjara wastewater reuse information stock and Lands relating to the domestic capacity of the Maralinga groundwater Tjarutja Lands resources in the Yalata region Aboriginal Reserve

32 How we use our water The Greater Adelaide region also uses Part 3 groundwater, rainwater sources, and The challenges of South Australia’s water use currently fi t-for-purpose alternative supplies, such totals approximately 1200 GL/a, with the as recycled wastewater and stormwater demand and supply majority used for agriculture (about for non-drinking uses. 75 per cent). As well as Greater Adelaide, population Figure 7 below shows how the use of centres in the South Australian part of River Murray water in South Australia the Murray-Darling Basin, the Northern varies in non-drought and drought years. and Yorke NRM region and parts of Figure 8 shows mains water consumption Eyre Peninsula and the South East are by NRM region. Not surprisingly, the connected to the River Murray. Adelaide and Mount Lofty Ranges Supply augmentations and demand Region has the greatest level of mains management strategies that work to consumption, as this is the State’s largest improve net water availability in the population centre. Greater Adelaide region can therefore also help in these regions.

The remainder of the State relies mainly on local groundwater for all water uses.

Figure 7 South Australia’s use of the River Murray in non drought and drought years

South Australia’s use of the River Murray South Australia’s use of the River Murray in non drought year (2004-05) with in drought year 2007-08 irrigation at 32% irrigation at 100% allocation allocation and SA Water customers at Level 3 enhanced restrictions

5% 10% 17%

27%

78% 63%

Murray Irrigation Murray Irrigation Greater Adelaide Greater Adelaide Country Towns Country Towns

Figure 8 Mains water consumption according to NRM region Source: SA Water, 2009; average mains water consumption 1999-2008.

4% 14% 3% 6%

73%

Adelaide & Mount Lofty Ranges Kangaroo Island Arid Lands Eyre Peninsula Northern & Yorke South East SA Murray Darling Basin

33 Water use in the Greater the Mount Lofty Ranges (MLR) and Adelaide region groundwater sources. Unlike the Sydney and Melbourne supply In looking at current and future demand catchments, which have a capacity to for the city and its environs, this Plan maintain water supplies during drought uses the same boundary as the draft periods for around three to four years, Plan for Greater Adelaide. The area MLR storages have the capacity to store includes all of the Adelaide and Mount suffi cient water to meet only 12 months Lofty Ranges Natural Resources supply. South Australia has recently Management (NRM) region, as well as negotiated for the capacity to store part of the SA Murray-Darling Basin water upstream in the Murray-Darling NRM region. Basin storages, as a strategic reserve. This defi nition of Greater Adelaide extends beyond the boundary defi ned Depending on seasonal conditions, in the 2005 Water Proofi ng Adelaide between 10 and 90 per cent of Greater strategy, and incorporates the Mallala Adelaide’s mains water supply is met by and Light Councils, as well as Murray the MLR storages. The average is Bridge. In Appendix 1, the area 60 per cent. For more than 50 years, the boundaries used in previous studies are balance of mains water supply required described in more detail. It should be for the region has been met by the noted that demand from the SA Water River Murray. system for the Greater Adelaide area Under current drought conditions defi ned in this Plan is approximately six South Australia is entitled to 696 GL/a, per cent more than for the area defi ned in minimum fl ows, for dilution and in Water Proofi ng Adelaide. evaporative losses, plus a critical human Greater Adelaide region water needs allocation of 201 GL/a, which supplies includes metropolitan Adelaide and country towns. This takes the total The supply system for the Greater minimum fl ow supply into the SA River Adelaide region is complex. The Murray system to approximately availability of water is determined by: 900 GL/a. In normal circumstances infl ows to major storages; the capacity (non-dry periods) South Australia’s of these storages (and those upstream minimum entitlement is 1850 GL in the River Murray); the system’s ability and SA Water has a fi ve-year rolling to supply water and to transfer it licence of 650 GL for metro and an to where it is needed; and the annual licence of 50 GL for country availability of any alternative non rain- towns. The amount of water drawn from dependent supplies and strategies to the River Murray each year varies. encourage reduced water use. Table 2 shows that, during years where Historically, the Greater Adelaide there is lower than average rainfall, region has relied on rain-dependent the reliance on the River Murray as a sources of water from the River Murray, water source increases substantially.

Table 2 Per centage reliance of total source of potable water for period 2002-03 to 2007-08

Source of potable water Per cent of total source

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

River Murray 72 48 44 49 91 85

Surface water 22 45 50 45 3 8

Groundwater 676667

Desalinated water <1 <1 <1 <1 <1

34 Figure 9 Greater Adelaide Region Source: Government of South Australia (November 2008) Directions for creating a new Plan for Greater Adelaide

Kapunda

Mallala

Nuriootpa

Roseworthy

Two Gawler

SA Government Regions

Adelaide Hills

Barossa

Eastern Adelaide

Fleurieu

Northern Adelaide Southern Adelaide ADELAIDE Western Adelaide

Stirling

Mount Barker N

0 5 10 15 Murray Bridge

Strathalbyn

Goolwa

Victor Harbor

35 When compared with overall largely through the widespread need for in mains water consumption in 1993 extractions, the volume of water taken water restrictions. As Figure 12 on the (a ‘wet year’), Greater Adelaide’s from the River Murray – and, as such, following page shows, Adelaide remains consumption trend was rising steadily from the Murray-Darling Basin – for one of the higher water consuming but gradually, year on year, until 2001, South Australia’s urban supplies is small cities. This is partly due to the size of when total consumption fell sharply. (around one per cent). Total South our housing blocks, the age of many of This was in response to the call to save Australian extractions from the River our buildings, and our warmer and water and the introduction of temporary Murray, including for agriculture, drier conditions. For example, the water restrictions, followed soon after by represent around six per cent. (Table 10) average maximum temperature is 22ºC permanent water conservation measures. compared with 20ºC in Canberra and Demand for water in Greater In 2008, water consumption in Greater in Melbourne; and Adelaide received Adelaide Adelaide fell to its lowest level since 417 mm of rain over the past year, 1983. This was due to enhanced water The Greater Adelaide region’s mains compared with 1082 mm in Sydney. restrictions and other demand water use is dominated by residential Melbourne’s rainfall has declined management measures combined with use, as shown in Figure 11 below, with considerably in recent years and its total the community’s efforts to conserve industrial and commercial uses making for 2008 was 450 mm. water. An overall reduction in water use up a relatively small amount of the total. Mains water use in the Greater Adelaide between 1983 and 2008 was achieved Across Australia’s major cities, average region has certainly reduced over the despite increased population and water use per property is decreasing, past ten years. Despite a noticeable drop economic growth.

Figure 10 South Australian’s share of Murray-Darling Basin Water

4% 3% 6% Victoria South Australia 36% 54% Australian Capital Territory

Figure 11 Greater Adelaide’s mains water uses

10% 8% Residential 7% Primary Production 5% Industrial 70% Commercial Other

Figure 11 is updated from earlier prints of Water for Good

36 SA Water’s estimates of the underlying Part 3 demand for Greater Adelaide suggest The challenges of that, were water restrictions not in place, the demand for 2008 would have been demand and supply approximately 216 GL for the year. The gap between the two trend lines shown in Figure 13 represents the estimated water savings from permanent water conservation measures and water restrictions. The gap would suggest that these actions reduced Greater Adelaide’s mains water consumption by an estimated 50 GL in 2008.

Figure 12 Average annual residential water use

300

250

200

150

100

50

0 Adelaide Perth Canberra Melbourne Brisbane Sydney

2006-07 2007-08

Figure 13 Historical mains water consumption for Greater Adelaide to 2008

250

200

150 Permanent water conservation measures High rainfall 100 year High rainfall Level 3 year Water restrictions

50

Annual Supply / Consumption (GL per annum) Supply Annual 0 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007

Historical consumption Historical demand without restrictions

37 Household use Primary production How we move and supply Average household mains water The agricultural areas around Adelaide our water consumption prior to water restrictions are an important source of food for the Water is a heavy product and is needed was 280 kL per year. For a typical State and for export markets. Market in large volumes across South Australia. household, 60 per cent of water was gardening, fruit cropping and grazing This makes the infrastructure needed used indoors and the remaining rely on a variety of water sources, to shift it expensive to build and run. 40 per cent outside, predominantly on including farm dams, local watercourses, SA Water’s existing water infrastructure the garden. The amount of outdoor groundwater and treated wastewater. is shown in Figure 15. watering can fl uctuate signifi cantly from Primary production generally uses one year to another, depending on the groundwater, recycled water or farm Some pipelines have additional capacity weather and water conservation and dams rather than mains water. available (e.g. the Murray Bridge to restriction measures. Onkaparinga pipeline), while others are Public purposes near capacity (e.g. the Mannum to In periods of water restrictions the Water for public or community purposes Adelaide pipeline). situation changes, with average annual typically accounts for 17 per cent of water use per household in the SA Water collects and treats wastewater the total water use. Government metropolitan area falling to 193 kL in from residential, commercial and agencies, universities, schools and local 2007-08. Reductions are most industrial customers in the Adelaide government use community-purpose noticeable in outside watering, although metropolitan area through a network water to maintain parklands, open some reduction in inside use was of sewers, pumping mains and spaces, sporting grounds, places of achieved through the installation of treatment plants. worship and gardens. The supply comes water saving devices, such as dual-fl ush from a mix of mains water, groundwater, The corporation’s asset management toilets and more effi cient washing stormwater, rainwater and surface water. framework provides the basis for machines. Even when water restrictions ensuring its the pipelines retain the are lifted, it should be possible to Commercial and industrial capacity and condition to meet current maintain much of the savings achieved and future demands – or that suitable to date through the installation and Industrial and commercial users are alternatives can be determined ongoing use of water saving devices. generally manufacturers, retail traders and offi ce buildings. Together they and implemented in a timely manner. However, in Greater Adelaide we account for approximately 10 per cent of continue to use more water than many total annual water use and 15 per cent other capital cities and we will need of mains water use. An opportunity exists to continue to improve effi ciency at the to retro-fi t older buildings to make them household level. more water wise. Water quality standards required by industry vary widely. Some are able to use non-potable groundwater, while others need to treat mains water to a higher standard.

Figure 14 Household water use split pre- and post- water restrictions (Source Water Proofi ng Adelaide 2005 and information from the Offi ce for Water Security 2009)

300

250

200

150

100 Kilolitres/annum 50

0 Garden Bathroom Laundry Kitchen Toilet Other Total

2003 2008

38 Figure 15 Parachilna Major pipelines, reservoirs and mains water bore fields in South Australia Taken from SA Water Quality Report 07-08

Hawker

Tod-Ceduna pipeline Quorn

Wilmington Orroroo Streaky Bay Melrose Baroota Beetaloo

Bundaleer Polda

Morgan-Whyalla pipeline Elliston

Cadell Morgan Waikerie Renmark Moorook Glossip Berri Barmera Mannum- Loxton Tod Adelaide pipeline Swan Reach Swan Reach Town Coffin Bay Uley South Swan Reach- Stockwell pipeline Uley Wanilla Cowirra Lincoln Basin Metropolitan Mannum Adelaide Mypolonga Warooka Murray Bridge Mt Compass Karoonda Myponga Tailem Bend Pinnaroo Parilla Geranium Lameroo

Penneshaw Middle River Desalination Plant Murray Bridge- Tailem Bend- Onkaparinga pipeline Barossa Keith pipeline 2 Williamstown Bordertown 1 South Para Reservoir Reservoir Padthaway Reservoirs Little Para Major Towns 3 Kingston Water Treatment Plants 4 Naracoorte Lucindale Hope Valley Water Treatment Anstey Hill Robe Plant Supply Areas 5 1 Barossa Penola 2 Swan Reach Adelaide Beachport Mt Burr Nangwarry 3 Little Para Millicent Kalangadoo 4 Anstey Hill 6 Tarpeena 5 Hope Valley Summit Storage Mount Gambier 6 Happy Valley Happy Valley Port MacDonnell Happy Valley Reservoir 7 Myponga Mount Barker 8 Summit Storage

Macclesfield McLaren Vale KEY Reservoirs Water Treatment Plants 7 Desalination Plant 8 Sellicks Beach Borefield Mount Compass

Myponga 39 Normanville Milang Non-metropolitan water supply In the Lower Murray, fl ood irrigation of Desalination infrastructure for and wastewater infrastructure pasture on the river fl ats still occurs, potable and irrigation use and this is considered appropriate for SA Water supplies residential, More than 50 private desalination the heavy soils of that area. Recent commercial, industrial and agricultural plants operate in South Australia, government-assisted rehabilitation of customers in the non-metropolitan area although most are small plants using the systems has taken place and has with mains water via its network of brackish groundwater or seawater for greatly improved irrigation effi ciency. pipelines that link either to the treatment non-potable uses like irrigation. plants, storage tanks and the River The grower-owned company, Barossa The South Australian Government has Murray, or to individual bore fi elds Infrastructure Limited, has installed a commissioned a major desalination where groundwater is used. pipe network to distribute River Murray plant to provide drinking water for water for the supplementary irrigation SA Water also collects and treats Greater Adelaide. More detail of vineyards in the Barossa Valley. wastewater from residential, commercial regarding this project is provided The company has its own River Murray and industrial customers in major in Part 4 – Managing our water future. water licence, and has entered a regional centres via its gravity network commercial arrangement to deliver this In terms of potable water, SA Water of sewers, pumping mains and water via SA Water’s infrastructure. operates a 300 kL/day plant at treatment plants. Penneshaw on Kangaroo Island; the The Langhorne Creek Pipeline Local government provides water and District Council of Coober Pedy Company supplies River Murray water wastewater services for the majority produces and reticulates its own water to Langhorne Creek irrigators through of non-metropolitan towns not covered that is piped in from a bore 25 km its own infrastructure. by SA Water, primarily through local north-east of the township; and groundwater supply systems and In the South East, irrigators operate their the District Council of Yorke Peninsula common effl uent disposal schemes. own infrastructure, predominately using has constructed a small seawater bore systems to extract and distribute desalination plant at Marion Bay, and Rural irrigation supply groundwater, predominantly via centre this supplies a hotel and caravan park. infrastructure pivot irrigation systems. A desalination plant providing potable In the Riverland, individual private trusts Recycled water infrastructure and process water also operates at source water directly from the River for irrigation use Roxby Downs. Murray and provide it to customers – untreated – via their own infrastructure. Wastewater from the Bolivar Treatment The Central Irrigation Trust collectively Plant is treated by SA Water and manages nine individual trusts at: distributed to irrigators via the Virginia Pipeline Scheme. Under a similar • Mypolonga arrangement, the Willunga Basin Water • Cadell Company takes treated wastewater • Waikerie from the Christies Beach Wastewater Treatment Plant and distributes it to • Kingston customers. Smaller reuse schemes exist • Moorook in country centres, including Whyalla, • Port Augusta, Mannum and Millicent, through a combination of public and • Berri private infrastructure. • Loxton Infrastructure to harvest stormwater for • Chaffey irrigation (e.g. diversion structures, There are three other major trusts: wetlands, injection and recovery bores) • Golden Heights is becoming increasingly common, particularly in new developments in the • Renmark Adelaide metropolitan area. This • Sunlands. infrastructure is largely owned and operated by councils. All these systems are fully piped and irrigators have adopted improved irrigation practices to maximise water effi ciency.

40 Key drivers for demand South Australia’s future Part 3 and supply economic conditions The challenges of Over the next 40 years, a number of Australia faces a period of change and demand and supply factors could affect the demand and uncertainty in the immediate future. supply balance for regional South The South Australian Economic Australia and lead to a surplus or defi cit. Development Board’s March 2009 The effect is likely to vary, region Economic Statement indicates that the by region. State’s prospects for future growth over the next decade remain strong. It says In the past we have relied on the current economic conditions experience and historical knowledge are expected to be short lived, with to plan for the future. However, in economic recovery expected to begin a changing climate this approach is no at the end of 2010. It also indicates a longer adequate because rainfall and number of areas where South Australia infl ows to traditional storage systems could capture emerging economic are increasingly variable and cannot opportunities during this period be relied on to provide water security. of change. To better determine our future water supply and the demands it will face, we Access Economics forecasts that South need to understand what will infl uence Australian economic growth will water availability. The key drivers exceed the national average between will be climate and population growth. 2008-09 and 2010-11. This follows on from the State recording stronger A range of other factors also impact economic growth than the national water supply and demand, including average in 2007-08 and the only State to changing housing stock and occupancy record growth in State Final Demand in rates, growth in the economy and key the March quarter 2009. industry sectors, and signifi cant land use changes. Each of these, however, is In economic terms, in many respects regionally specifi c and variable. An what happens in Greater Adelaide assessment of their relative importance drives what happens in the rest of South will be undertaken when water demand Australia, as the region is the ‘engine and supply scenarios are developed room’ of population and economic for each region. activity. For example, Greater Adelaide is responsible for 71 per cent of total South Australian economic activity and 68 per cent of total South Australian employment.

In the regions mining and renewable energy will become key drivers.

In the past two decades South Australia has recorded increased productivity and record levels of economic performance. It has grown at about 130 per cent in nominal terms since 1990. In April 2009, Greater Adelaide had 792,700 employed persons and an unemployment rate of 5.8 per cent, which was in line with the Australian average.

41 Figure 16 below outlines the State’s The adaptive management approach Over the past 25 years, South Australia’s growth in employment. The major outlined later in this chapter will activate population has grown as a result of industries include defence, action before demand exceeds supply. overseas migration (5200 residents a manufacturing, services, information If future growth is below or above year) and natural population increase and communications technology projections, trigger points either will or (7600 residents a year). In 2008, (ICT), primary production, mining will not be activated. This will ensure overseas migration increased to 14,200, and green industries. The latter has that additional measures to increase refl ecting a change in the State’s been stimulated by new policies water supplies, or reduce demand, are migration status. Consequently, about and investment in renewable energy both timely and cost effective. 65 per cent of population growth is now and energy effi ciency. due to overseas migration. Increasing population Water security gives industry the Strong and well-managed population Two million people are expected to be necessary pre-conditions for investment growth is a principal driver of prosperity living in South Australia by 2027, about and economic certainty. and good economic performance. 23 years ahead of the target in both Changes in the world’s dominant South Australia’s Strategic Plan and the A growing, diverse population markets will have an impact on South Prosperity Through People population strengthens the economy by providing Australia’s economy and the make-up policy (2004). an accessible labour market to support of its industries. Developments in the growing and changing industries. By 2050, the population is expected to construction, mining, renewable energy Population growth also strengthens be 2.49 million – 60 per cent more than and defence sectors are expected to consumer markets such as retail and in 2008 (1.56 million). contribute positively to the State’s fi nancial services, which can provide a economy in the medium to long term. The SA Department of Planning and variety of jobs in decentralised locations. In 2008, South Australia’s mining Local Government has modelled A growing population also provides the exploration accounted for more than population projections for the region to economic base for governments and 13 per cent of the national total. Growth 2036 for the Plan for Greater Adelaide. the private sector to invest in improving forecasts for the next two years have, Water for Good uses scenarios based key infrastructure such as public however, been downgraded in light of on these population growth projections transport, health and education facilities. the current economic situation. but has extrapolated them to 2050. South Australia will see a transformation The actions outlined in this Plan, when Greater Adelaide is expected to grow in the make-up of its population in the combined with those in other key by about 300 people a week over the years to 2050. There will be a greater documents such as the Plan for Greater next 30 years. This growth is moderate proportion of people aged over 65 and Adelaide, should provide confi dence when compared with Sydney (up to a signifi cant increase in the number and certainty and, in themselves, act as 1200 a week), Melbourne (up to 1500 a of one-person households and couples a stimulus to the economy. week) and Brisbane (up to 1100 a week), without children. but will nevertheless need to be carefully managed. South Australia’s population is older than the Australian average. In addition, in the 10 years to 2006, the proportion of people aged 50 years and over increased Figure 16 from 28 per cent to 34 per cent of the South Australia’s employment growth for the period April 1999 to 2009 total population, while the national Source: Labour Force, Australia (category number 62020) average increased from 26 per cent to 31 per cent.

800 780 760 740 720 700 Persons (’000) Persons 680 660 640 620

April 99 Apr-00 Apr-01 Apr-02 Apr-03 Apr-04 Apr-05 Apr-06 Apr-07 Apr-08 Apr-09

42 Figure 17 shows the projected population Those responsible for preparing climate Part 3 growth for the Greater Adelaide region change projections insist that they are The challenges of to 2050. The second line represents not predictions. They indicate a range previous population targets under South of potential responses by the climate demand and supply Australia’s Strategic Plan. system to plausible scenarios involving future emissions. The scenarios take A changing climate into account many factors, including There is strong scientifi c evidence that economic trends, concentrations of climate change is occurring in Australia. greenhouse gases and their warming The Inter-Governmental Panel on Climate effects, and the cooling effects of other Change (IPCC) and the Commonwealth pollutants like aerosols. Government say that climate change Scientifi c confi dence in climate models infl uenced by human behaviour has increased. However, confi dence is already occurring and that further levels vary for different aspects of climate change is now inevitable, climate projections. For example, we regardless of how rapidly greenhouse can be more certain about projected gas emissions are reduced. Climate temperatures than we can about rainfall change means we must be fl exible and projections. nimble in our planning. The various scenarios modelled by the The IPCC, in its Fourth Assessment Report IPCC are explained in Box 1. In the released in 2007, advised that the link modelling of future demand and supply between human activity and a large for Greater Adelaide for the purposes of proportion of global temperature this Plan, both A2 and B2 have been used. increases over the past 100 years was As regional water demand and supply ‘unequivocal’. Global surface plans are prepared across the State the temperature increased by 0.7ºC in the same IPCC models will be used, unless past century. In Australia, the increase has new and better information becomes been 0.89ºC, and in South Australia it has available. been 0.96ºC. More rapid changes have been noted since 1950. The IPCC’s emissions scenarios relate to human behaviour and the range of projected temperature changes. The A1F1 fossil intensive behaviour scenario is closely aligned with current human behaviour.

Figure 17 Projected population growth for Greater Adelaide to 2050 Source: Planning SA projections, 2008.

2,250,000

2,000,000

1,750,000

1,500,000 Population total

1,250,000

1,000,000 2012 2018 2024 2042 2048 2006 2009 2015 2021 2027 2030 2033 2036 2039 2045 Time (years)

SA Strategic Plan Projected population growth Planning SA 2008

43 The CSIRO has also undertaken work on Box 1: Emissions scenarios of the IPCC Special Report the likely impacts of climate change on on Emissions Scenarios South Australia. All models assessed by the CSIRO show warming across the A1 The A1 storyline and scenario family describes a future world of very rapid State. The frequency of extreme economic growth, global population that peaks in mid-century and declines maximum temperatures is projected to thereafter, and the rapid introduction of new and more effi cient technologies. increase, while the frequency of extreme Major underlying themes are convergence among regions, capacity building minimum temperatures is projected to decrease. Hot spells – three or more days and increased cultural and social interactions, with a substantial reduction in above 35°C and 40°C – are projected regional differences in per capita income. The A1 scenario family develops into to increase across all regions except the three groups that describe alternative directions of technological change in the South East and Kangaroo Island. By energy system. The three A1 groups are distinguished by their technological 2070, the number of days above 35°C in emphasis: fossil intensive (A1F1), non-fossil energy sources (A1T), or a balance Adelaide could increase from 14 to between 17 and 38, and the number of across all sources (A1B) (where balanced is defi ned as not relying too heavily days above 40°C, from one to between on one particular energy source, on the assumption that similar improvement two and eleven. rates apply to all energy supply and end-use technologies). The impact of climate change will vary A2 The A2 storyline and scenario family describes a very heterogeneous across the State, with inland or northern world. The underlying theme is self-reliance and preservation of local identities. areas, such as the Alinytjara Wilurara and South Australian Arid Lands Natural Fertility patterns across regions converge very slowly, which results in Resources Management (NRM) regions, continuously increasing population. Economic development is primarily showing annual warming between 0.5ºC regionally oriented and per capita economic growth and technological change and 1.5°C by 2030, and between 1.2ºC more fragmented and slower than other storylines. and 4.7°C by 2070. Coastal or southern regions – including the Adelaide and B1 The B1 storyline and scenario family describes a convergent world with Mount Lofty Ranges, Eyre Peninsula, the same global population, that peaks in mid-century and declines Kangaroo Island, Northern and Yorke, thereafter, as in the A1 storyline, but with rapid change in economic SA Murray-Darling Basin and South East structures toward a service and information economy, with reductions in NRM regions – show warming between 0.3ºC and 1.3°C by 2030, and between material intensity and the introduction of clean and resource-effi cient 0.6ºC and 3.8°C by 2070. technologies. The emphasis is on global solutions to economic, social and Agriculture, natural ecosystems and environmental sustainability, including improved equity, but without water resources are likely to be additional climate initiatives. signifi cantly affected if rainfall declines. B2 The B2 storyline and scenario family describes a world in which the While the models do not produce consistent results, general increases in emphasis is on local solutions to economic, social and environmental rainfall are only indicated in the northern sustainability. It is a world with continuously increasing global population, regions. In southern agricultural areas, at a rate lower than A2, intermediate levels of economic development, and annual rainfall is projected to decrease less rapid and more diverse technological change than in the A1 and B1 by up to eight or nine per cent in 2030, storylines. While the scenario is also oriented towards environmental and up to 25 or 30 per cent in 2070. The strongest effect is indicated for spring. protection and social equity, it focuses on local and regional levels. Across the southern agricultural regions, indications are that spring rainfall could decline by up to 20 per cent by 2030, Between now and 2030, there is little (to 2030). Looking out to 2100, current and 60 per cent by 2070. Increased difference between the impacts on human behaviour patterns at or above evaporation is also expected and this climate of the various emission scenarios the IPCC A1FI ‘fossil intensive’ and high would put stress on surface water described by the IPCC (Box 1). However, growth scenario, are likely to result in resources. The prospect of a drier for the planning period 2030-2100, the additional warming of between 2.5ºC and climate throughout the Murray-Darling impact becomes more severe. For long- 6.5ºC, with a best estimate of 4ºC. Basin and a reduction in fl ows to the term planning, such as for Water for River Murray as a consequence has Good, which sets the basis of a plan to The IPCC has shown that by 2030, global profound implications. 2050, it is essential that we clearly temperatures may rise by 0.75ºC understand the impact of the different compared with the year 2000. This is in The CSIRO research also shows that, emissions scenarios. All suggest an addition to the approximately 0.75ºC despite drier average conditions, additional increase in global warming of increase we have experienced over the periodic heavy rainfall events could result approximately 1ºC over the next 20 years past century. in increased fl ood risks.

44 In summary, climate change has the Specifi cally, in southern South Australia Part 3 potential to affect water availability (including the Greater Adelaide region), The challenges of across the nation by causing: the impacts of climate change are likely to include: demand and supply • a reduction in the amount of surface water that can be captured; and less • increasing temperatures, which could rain to recharge groundwater mean more hot days, impacts from heat islands, and fewer cold nights • an increase in temperatures, which could lead to an increase in demand • increasing severity and frequency of storm events, which could mean more • a rise in sea levels, which could lead fl ash fl ooding to increased salinity in surface and groundwater and the inundation • possible rises in sea levels which of coastal freshwater wetlands and could affect coastal areas and their lowlands natural and built infrastructure.

• alteration in the frequency and Figure 18 shows that, since 1920 there severity of storm events, which could has been an increase of approximately lead to fl ooding and have an impact 1ºC in mean temperature in the Murray- on water quality. Darling Basin. Increasing average temperatures, regardless of any other climate change impact, will drive higher evaporation rates, reducing the amount of water retained in surface and groundwater systems.

Figure 18 The nature of climate variability over 100 years, and the increase in temperature experienced in recent decades Source: Australian Bureau of Meteorology – website www.bom.gov.au

1.5

1

0.5

0

-0.5 Maximum Temperature Anomaly ( ºC )

-1

-1.5

1920 1940 1960 1980 2000

Year

11-year running averages shown by curve . Based on 30-year climatology (1961-90)

45 The increase in temperature is the result of the greenhouse effect, which is Box 2: What is the Greenhouse Effect? discussed in more detail in Box 2.

Greenhouse gases such as carbon dioxide (CO2), water vapour and methane Climate change is also expected to have (CH ) in the air closest to the Earth’s surface absorb outgoing radiant heat. an impact on historic rainfall cycles – 4 increasing the frequency and severity of Some of the warmth is radiated back downwards to warm the surface of the drought. Earth. This natural phenomenon is known as the ‘greenhouse effect’.

South Australian annual rainfall trends However, a human-driven increase in the proportion of greenhouse gases since 1900 have been generally weaker in the air is enhancing the greenhouse effect. More energy is being than those in other parts of the continent. absorbed from the Sun than our planet refl ects back to space. As a result, Much of the northern half of the State became wetter, while southern coastal the Earth’s atmosphere and surface is warming, increasing this effect. regions became drier. Annual and We know that atmospheric concentrations of these gases have increased. seasonal rainfall shows fl uctuations on multi-decadal time scales. The 1920s and The primary cause is the burning of fossil fuels and emissions from land 1960s were dry decades, while the 1970s clearing. Humans have had most impact on the enhanced greenhouse were wet. Decadal fl uctuations in annual effect through increases in the amounts of carbon dioxide, methane and rainfall are dominated by summer and nitrous oxide. spring rainfall fl uctuations. Winter rainfall shows no trend, with weak year-to-year An increasing body of scientifi c observations gives a collective picture of a variability. Rainfall in autumn shows year- warming world and other changes in the climate system. Average surface to-year variability that is greater in the temperatures have increased over the past 140 years. Records from second half of the century. around the world going back 150 years suggest that 19 of the 20 warmest Looking forward, average rainfall is years have occurred since 1980, and four of these have been in the past expected to decline by at least seven years. Extreme weather events are becoming more frequent: 15 per cent by 2050. The impact on glaciers are melting; sea ice and snow cover are declining; and animals infl ows, however, is likely to be much and plants are responding to an earlier spring. greater. Already a step-change in infl ows has been evident in both the Mount Scientists project that the Earth’s surface temperatures will warm by Lofty Ranges reservoirs and Murray- 1.4ºC to 5.8ºC by 2100. This is currently considered plausible, based on Darling Basin since 1997, as discussed on page 48. international scientifi c consensus. It is not a precise prediction. However,

there is already so much excess carbon dioxide (CO2) in the atmosphere from our burning of fossil fuels that temperatures are set to rise, and the climate to change, faster than at any other time in our history. This could have potentially devastating impacts.

Sources: Tackling Climate Change in South Australia; Victorian Greenhouse Policy Unit, www.climatechange.sa.gov.au.

Some of the infrared radiation passes through the atmosphere, and some is absorbed and re-emitted in all directions by greenhouse gas molecules. Some solar radiation The effect of this is to warm the Earth’s is reflected by the Earth surface and the lower atmosphere. and the atmosphere.

Some radiation passes through the clear atmosphere.

Most radiation is Infrared radiation absorbed by the is emitted from the Earth’s surface Earth’s surface. and warms it.

46 Another anticipated impact is a potential Part 3 increase in the urban ‘heat island effect’ – The challenges of that is, localised warming related to two key factors: demand and supply

• an increase in the amount of paved and dark coloured surfaces accompanying urban development (e.g. roads, paving and roofs absorbing heat and causing surface and ambient temperatures to rise)

• anthropogenic heat production, such as that produced by car engines and air conditioners.

The higher temperatures that may arise from the heat island effect can be expected to lead to increased water and energy consumption. The effect may be reduced, however, by ensuring there are suffi cient ‘green’ spaces within urban areas, as shown on Figure 19 below.

Figure 19 Sketch of an urban heat island profile Image sourced from ‘Creating Water Sensitive Cities in Australia’, presented by Associate Professor Rebekah Brown.

92OF 33OC

Late afternoon temperature

32OC

31OC

30OC

85OF

RuralSuburban Commercial Central Urban ParkSuburban Rural Residential Business Residential Residential Farmland District

47 Future demand and Greater Adelaide’s variable supply for Greater water supply Adelaide’s mains water Greater Adelaide has relatively little storage to carry over water from year For the purposes of this Plan, demand- to year. The region relies on infl ows supply modelling has been developed into the Mount Lofty Ranges (MLR) for the Greater Adelaide region. This reservoirs and access to adequate fl ows is where projected population growth from the River Murray. and climate change is expected to have the greatest impact on water demand The MLR system does not provide a for South Australia to 2050. Population steady, predictable fl ow of water. In fact, growth and climate change forecasts history shows that infl ows to these used in these projections are consistent storages are highly variable. Figure 20 with those in the Plan for Greater shows the infl ows to the Mount Lofty Adelaide. Ranges reservoirs for the period 1892-2006 and demonstrates this wide Demand and supply forecasts for the variability. remainder of South Australia will be determined as regional water demand In the past 10 years, average infl ows and supply plans are prepared. into the MLR storages have been 113 GL/a – approximately 36 per cent less The conditions have been modelled than the long-term average of 177 GL/a. by KPMG and developed from data Dry fl ow years have not been provided by SA Water. They are interspersed with high fl ow years, as intended to illustrate the possible water has been the case historically. demand and supply levels in any given year – depending on population, The picture is similar for River Murray climate change, possible infl ows, infl ows in the Murray-Darling Basin. and the additional impacts of mitigation A 49 per cent fall in average infl ow has strategies. been recorded since 1996-97.

The fi ndings demonstrate that Figure 21 shows the infl ows into the population growth and climate change River Murray System from 2006-2008 will have the greatest impact on Greater and the average historical infl ows. Adelaide’s future water demand and Balancing demand supply until 2050, and highlight the and supply considerable uncertainty regarding future infl ows into the Mount Lofty To show Greater Adelaide’s possible Ranges reservoirs. water demand and supply needs to 2050, a set of assumptions were used to determine impacts from population growth, rainfall variability and climate change. The graphs offer a range of possible futures. These futures can inform decisions about further demand management and supply augmentation options.

48 Part 3 The challenges of demand and supply

Figure 20 Annual inflows to the Mount Lofty Ranges reservoirs for the period 1892-2006 Source: Tonkin Consulting (May 2007) MAWSS Stage 1 investigation, SA Water 2009.

600 Total Annual Inflow Long-term average Last 20-years average 500 Last 10-years average

400

300

200 (January-December,GL)

100 Total annual inflow to Mt Lofty Ranges Reservoirs

0 2000 2003 2006 1892 1895 1898 1910 1913 1916 1946 1901 1904 1907 1919 1922 1925 1937 1940 1943 1970 1973 1976 1988 1991 1994 1967 1979 1982 1985 1928 1931 1934 1952 1955 1997 1949 1958 1961 1964

Total annual inflow to the ten MAWSS reservoirs

Figure 21 River Murray System inflows Source: Murray-Darling Basin Commission, June 2008

55 000

50 000 Average 1891- 2007 Average 1996/97 Average post 1996/97 45 000 11,100 GL /a 11,600 GL /a 5,700 GL/a 40 000 (49%of previous average)

35 000

30 000

25 000

Annual Inflow GL) Inflow Annual 20 000

15 000

10 000

5 000

0 1892 19021912 1922 19321942 1952 1962 1972 19821992 2002 Year ending May

49 Possible water futures for Greater Adelaide with no Figure 22 further action Water availability in any given year under moderate and extreme dry year events with no action Figure 22 shows the demand and supply balance for Greater Adelaide, 200 under two different possible infl ow events, with no additional water security Surplus measures taken. Table 3 provides the set of assumptions used for Figure 22. 100

Figure 22 shows the likely surplus or defi cit of mains water in any given year from 2008 to 2050, if no further 0 32 GL actions are taken to safeguard Greater 2008 2013 2018 2023 2028 2033 2038 2043 2048 Adelaide’s mains water demand and 68 GL supply balance. -100 Moderate dry year event Deficit

The orange line shows what would Annual Surplus / Deficit (GL per annum) occur in any given year, with yields -200 from the MLR storages (equivalent to Extreme dry years Moderate dry years 35 GL a year), gradually reduced by climate change impacts over the next 40 years. Table 3 Assumptions for Figure 22 – Water availability in any given year under On the basis of the historical record, moderate and extreme dry years, with no additional water security measures there is a one in ten chance of this occurring in any given year over Assumptions the period. Under climate change, this one in ten event may occur more Moderate dry year event Extreme dry year event frequently. If this level of reduced Supply A 1-in-10 dry year, equivalent to A 1-in-50 dry year, equivalent fl ows occurred in any year after 2038, available fl ows in the MLR to available fl ows in the there would be a defi cit of supply of 35 GL/a in that year, and MLR of 18 GL/a in that year, against demand. climate change impacts and climate change impacts Extreme dry year event representing a gradual 41% representing a gradual 41% The pink line shows what would occur reduction in yield. reduction in yield. in any given year with yields from the Inclusion of 100 GL/a Inclusion of 100 GL/a MLR storages equivalent to 18 GL per desalination from the beginning desalination from the beginning annum, gradually reduced by climate of 2013 of 2013 change impacts over the period to 2050. This event is similar to yields Demand Plan for Greater Adelaide Plan for Greater Adelaide experienced in the MLR during 2006. projected population growth of 2 projected population growth On the basis of the historical record, million by 2050 of 2 million by 2050 there is a one in fi fty chance of this 50 GL/a savings from Water 50 GL/a savings from Water occurring in any given year, and under Proofi ng Adelaide, including Proofi ng Adelaide, including climate change predictions this event Permanent Conservation Permanent Conservation may occur more frequently. There measures measures would be a defi cit of supply against demand in any year where this Increased demands from IPCC Increased demands from IPCC occurred after 2029. B2 trend for estimated changes A2 (higher than B2) trend for in temperature and evaporation estimated changes in temperature and evaporation

Outcome Supply remains in surplus to Supply remains in surplus to 2038, falling to 32 GL/a in defi cit 2029, falling to 68 GL/a in defi cit in 2050. in 2050.

50 Part 3 Figure 23 The challenges of Water availability in any given year under moderate and extreme dry years, with additional water security measures as outlined in WFG demand and supply

200

Surplus

100 58 GL

0 22 GL

2008 2013 2018 2023 2028 2033 2038 2043 2048

-100

Deficit Annual Surplus / Deficit (GL per annum) -200 Extreme dry years Moderate dry years

Table 4 Assumptions for Figure 23 - Water availability in any given year under moderate and extreme dry years, with additional water security measures

Assumptions

Supply As in Table 3, but including:

• At least an additional 40 GL from alternative supplies between 2025 and 2050 under both the moderate and extreme dry year events

Demand As in Table 3, but including:

• Additional demand mitigation target of 50 GL/a in savings by 2050

Outcome Supply remains in surplus for all years to 2050 under both the moderate and extreme dry year events. In 2050 this surplus is 22 GL/a under an extreme dry year and 58 GL/a under a moderate dry year.

For both events the surplus or defi cit Possible water futures for is expected to be equivalent to the Greater Adelaide with action volume shown in the graph for that year. Figure 23 shows the demand and supply For example, if a one-in-50 year rainfall balance for Greater Adelaide using event occurred in 2029 the shortfall the infl ow events described previously would be nearly zero. If, however, a but including the additional demand one-in-50 year event occurred in 2050 and supply actions outlined in this Plan. without further action to secure Greater Table 4 provides the set of assumptions Adelaide’s water supply, the shortfall used for Figure 23. would be 68 GL, or around one-third of Greater Adelaide’s current total This modelling includes water savings water consumption. through targets for demand mitigation (50 GL per annum) and recycling This means that without further action, (40 GL per annum) by 2050, Greater Greater Adelaide could experience Adelaide’s water supply and demand water shortages from 2029 onwards balance remains in surplus beyond in dry years, even with the inclusion of 2050 even during one-in-50 year low the Adelaide Desalination Plant. rainfall events.

51 Greater Adelaide’s likely To assist in making timely and Water security standards future supply appropriate decisions, an adaptive The Government will set security management approach will The Water for Good modelling shows standards for South Australia’s water be developed. It will consider the that with actions to be undertaken, supplies. These standards will defi ne following factors: Greater Adelaide’s mains water supply the risk points that would threaten has a 58 GL surplus until 2050, even in • a set of water security standards water supply and require decisions dry years. It assumes that Adelaide still on options to increase supply, or • state of the resource receives its full licence entitlement reduce demand, or both. They will be from the River Murray, and operates the • demand pressures developed based on the following parameters: desalination plant at full capacity. • governance and management

In practice, the unit cost of water from • options and assessment process • system water quality each source would determine the actual • capacity of the supply system supply mix. A future dry-year supply • measuring and monitoring. portfolio is shown in Figure 24 below. Figure 25 shows the proposed • water source – including diversity, In this case, reliance on the River adaptive management framework. reliability and security Murray is reduced, and the declining • consumer effi ciency and variable yield from the MLR Action reservoirs is effectively covered by Establish an adaptable management • demand factors – population and desalination and the increasing use of framework, incorporating an annual economic growth review process, to assist in making recycled stormwater and wastewater – • climate change scenarios the latter for non-drinking uses. timely and appropriate decisions to provide on-going water security • environmental requirements Although Adelaide will reduce reliance throughout the State. • cost effectiveness on the River Murray through additional diverse supplies, the State will still need • standard of service its entitlement for River Murray water to: • restrictions – including timing, • supply growing country townships frequency, severity and duration.

• control river salinity and water quality

• provide a more secure supply to irrigators Figure 24 • ensure a healthy riverine environment Total water supply available for Greater Adelaide all the way to the Mouth.

Adaptable framework – 450 planning in a climate of uncertainty 400

Planning for future supply while there is 350 a high level of uncertainty about key 300 drivers for both supply and demand is complex and requires an adaptive 250 approach. 200

The State Government has put in place Volume (GL) 150 Groundwater measures to ensure that the water Recycled wastewater demand and supply needs of Greater 100 Recycled stormwater Adelaide are met in the short to medium Desalination 50 term. Over a longer time horizon, it Reservoirs becomes increasingly diffi cult to predict 0 River Murray with certainty what additional actions Now 2013 2025 2050 might need to be taken. This is illustrated by the different scenarios discussed earlier.

52 Part 3 The challenges of demand and supply

Figure 25 Adaptive framework to inform security decisions New independent planning process

Options Minister • Drought Response Plan • Demand management • Supply augmentations • Back-up supply Water Security Standards Trigger Activated State of the • Water purchase • System water quality Resource • Short term emergency • Trade • Cost effectiveness • Long term • Price • Capacity of the supply system (permanent change) • Alternative supplies • Source water • Policy changes • Consumer effi ciency • Aquifer storage • Demand (population and • Infrastructure effi ciency economic growth) • Climate change scenarios • Environmental requirements Demand • Restrictions Pressures Assessment • Technical feasibility • Project readiness • Robust business case • Timeliness • Risks • Market testing • Community acceptance • Procurement strategy Continuous monitoring and measurement Annual review process

Action

53 State of the resource and Trigger points • storages located interstate (along the demand pressures River Murray) as well as locally All actions relating to future demand and Water security is concerned with supply will have economic, social and • limited local resources, and storage managing the risk of having insuffi cient environmental costs and benefi ts. Our capacity adequate for short periods water to meet demand. It is essential to objective must be to fi nd effective only (equivalent to 12 months supply) regularly monitor and measure the state strategies which strike an acceptable • high dependence on the River Murray, of the resource and demand pressures. balance. In an adaptive management which is over-allocated and vulnerable framework, trigger points help to ensure Reviews will take into account the volume to drought and climate change. that decisions are cost-effective and and quality of water available from all timely. In particular, triggers: In using triggers as part of an adaptive sources, the impact of climate modelling, management approach, it is important the rate of any expected change to the • reduce risk and identify opportunities to distinguish between medium-to-long- resource, and the impact of short-term term planning and drought or • encourage a large range of innovative effects, such as drought or water quality emergency responses (required as options deterioration. a result of natural disasters, operational • reduce the risk of making high-cost failure or water quality issues). Drought Estimates of future demand should investments that prove to be redundant, and emergency response plans will encompass all uses, including those or are delivered earlier than needed always need to be in place but are likely for economic development, social, to be short-term mandatory or voluntary environmental and cultural purposes. • ensure that demand and supply is measures to manage demand and Input from government agencies continually monitored. supply. Once the situation that triggered and the community will be important Triggers are used elsewhere in Australia, the response is over, these measures in achieving this. including in New South Wales. South are usually no longer required. An annual review process provides an Australia, however, has a more complex Water restrictions are an example of a important checkpoint for signifi cant water resource system to manage mandatory measure used in this way. investment decisions and can improve than other jurisdictions. The reasons for See Table 5 for some examples the cost effectiveness of projects. this include: of triggers. Frequent reviews are particularly To underpin the adaptive framework, important in the water industry as • no climate independent sources of a model is needed to clearly show signifi cant lead times are often required water in the system until 2010 the trigger points and timeframes to design and construct infrastructure for decisions. to deal with demand and supply imbalances. Table 5 This Plan will be reviewed annually, Examples of triggers beginning in 2010. The review process will assess the state of all the resources Demand triggers Supply triggers against the water security standards, and update demand and supply Population drivers State of the resource forecasts. It will identify issues affecting Gross, character, location Amount/quality the future security and reliability of the State’s water supply system, relative Consumption New information and science to forecast demand. Yield requirements to meet growth Climate modelling Action Policy changes Rate of change The Minister will produce an annual statement that will: MDB Cap Demand

• assess progress of the Plan and identify Changes to Water Allocation Plans Competing demand any risks or issues Change in security Infrastructure • review and confi rm water security standards for the upcoming review Population policy changes Unforeseen permanent events period Economic policy Demand management • provide demand-supply status for Environmental policy Technology advances each region

• identify and analyse impacts of any Land use changes Augmentation options emerging issues. Industry Alternative supplies

Knowledge and science Treatment technologies

54 Monitoring and measurement • building understanding and Part 3 knowledge through best practice, Each year, reviews of Water for Good The challenges of research and development, and and regional water demand and supply interstate and international demand and supply plans will be undertaken to check comparisons. It will be vital to ensure both the status of resources and the that relevant technological assumptions on which the plans are advancements are continually based. A monitoring and measurement considered framework will be developed to assist with decision-making and annual • building organisational capability for reporting. the rapid roll-out of options

It will include a set of water accounts • reviewing the option portfolio annually, for all water sources in the State, and a and in line with the State Budget model that enables timely and accurate process. projections of demand and supply Independent planning process under different scenarios. As discussed, a range of factors Options and assessment infl uence decision making about supply The approach to determining the best augmentation options for particular water security solutions and meeting circumstances. They include timeframes future demand and supply imbalances to plan and implement, volume required should include: and the immediate and ongoing costs.

• ensuring that all options are on the The Government will receive table independent advice on these matters, through the establishment of an • developing a rolling multi-year program independent planning body if the of options (capital and non-capital) demand supply forecasts indicate that that have been developed to feasibility further action is needed. stage and independently assessed The planning body will recommend • developing robust and repeatable options to be implemented so that Water assessment criteria, including Supply Standards can be maintained. estimated capital and operating costs, water prices, the volume of water This advice will ensure decisions about (either saved or supplied or both), augmentations will be transparent and the risk profi le, and social, economic timely and result in effi cient and and environmental impacts innovative solutions.

• assessing the level of fl exibility Action inherent in each option, such as timing, The Minister will establish an scale, lead times required, and independent planning process if scope for deferring or stopping to demand and supply forecasts indicate avoid costs a gap is likely to exist in the foreseeable future. • assessing the readiness of the option within a short, medium or long-term timeframe.

55 Rainfall, rivers, reservoirs and aquifers do more than just provide drinking water, sustain agriculture and industry, and support recreation, tourism and cultural opportunities. These resources are also valuable environmental assets that support critical plant and animal ecosystems.

56 Part 4 Managing our water future Rain, rivers, reservoirs and aquifers

57 Part 4 Introduction South Australia is well advanced in the use of recycled wastewater Managing our The South Australian Government’s for irrigation. This water is used for response to water security includes horticultural activities in Greater water future desalination, using water effi ciently, water Adelaide as well as for open space recycling and catchment management. and garden watering in metropolitan Water for Good builds on this. and regional areas.

Desalination will be an important means Saving water will be the main message of diversifying Greater Adelaide’s water in a post-water restriction era. A high supply because it will reduce our uptake of water-saving devices in dependence on rainfall. It is also the homes and industry is expected to best solution for a number of regional ensure an overall, sustained reduction centres where existing water supplies in water use. Education and the are declining, or where salinity levels encouragement of innovation will lead exceed drinking water guidelines. to increased development and uptake Recycling, too, will become an of new water-effi cient products. increasingly signifi cant and effective Protecting our rivers, reservoirs and means of diversifying supply, and it has aquifers is vital if we are to sustain them, the added benefi t of helping to protect and this will continue to be the focus for our estuarine and coastal waters by catchment management. We must also reducing the amount of polluted water improve our knowledge of the current that fl ows out to sea. The best state of our surface and groundwater opportunity for recycling appears to be resources, as well as our ability to in new residential developments, where understand the potential impacts of harvested stormwater can be supplied climate change. for non-potable use to homes, open spaces and nearby industries.

Traditionally, stormwater management has been a local government responsibility. The South Australian and Commonwealth Governments will continue to partner with local government to provide funding and help develop new schemes.

Quick fact: A catchment is an area where water is collected by the natural landscape, such as hills or mountains, from which all rain and run-off water fl ows to a low point – like rain on a roof fl owing to a downpipe. In a catchment, all rain and run-off water eventually fl ows to a creek, river, lake or ocean, or seeps into the ground and then to the aquifers and underground basins that make up the groundwater system.

58 Rain, rivers, reservoirs Actions and outcomes Explore the economic and environmental and aquifers feasibility of using saline water produced Outcome in salinity management schemes Key points The entire length of the River Murray is a healthy, working waterway that continues As a last resort, build a temporary weir at • To sustain the health of rivers, aquifers, to provide critical human needs water for Pomanda Island to protect the water creeks and reservoirs, it is critical that Adelaide and regional South Australia, supply to the 1.2 million people currently suffi cient water be allocated for the irrigation requirements and water for the receiving it from the River Murray below environment environment. Lock 1. The temporary weir would only be constructed if infl ows remain at • Modelling indicates that the Mount Actions under way critically low levels and agreed triggers Lofty Ranges and the Murray-Darling Work with the Murray-Darling Basin for acidifi cation or salinity were activated Basin average annual catchment yield Authority and other Basin jurisdictions to and could not otherwise be prevented. could reduce by up to 41 per cent and ensure a healthy, working River Murray 30 per cent, respectively, due to climate that will continue to provide critical Outcome change, by 2050. There will also be human water needs for Greater Adelaide All of South Australia’s natural water greater risk of bushfi res and regional South Australia, irrigation resources – surface, ground and watercourses – are managed within • Climate variability can have signifi cant requirements and water for the sustainable limits. adverse impacts on water quality and environment. Specifi cally, by seeking: quantity • a Basin Plan that incorporates New actions Commission, where required, • The Murray-Darling Basin is being appropriate ‘end-of system’ objectives, regional-scale studies on the impacts severely degraded by record low targets and actions by returning the of climate change on water resources infl ows River Murray to sustainable levels of extraction • Groundwater catchments across the Adopt a two-staged approach to water State are threatened by land use • a Basin Plan that establishes a allocation planning, with an Interim Water changes and lack of recharge permanent system of environmental Allocation Plan followed by a fl ows for the River Murray and Lower Comprehensive Water Allocation Plan • Groundwater and surface water Lakes, including management of for all newly prescribed areas catchments that are not prescribed unregulated fl ows and salinity should be monitored to ensure Provide funding of $8.6 million over appropriate and timely management • improved arrangements for risk 2 years (2009-10 and 2010-11), to action is taken management, storage, delivery of and strategically review and, where required, accounting for water expand or upgrade the water resources • Public health is the paramount monitoring network consideration for managing drinking • reviewing and improving river water quality, therefore drinking water operations, particularly river operating Increase regularity of statewide data systems must have, and continuously strategies and rules, to ensure more collation, assessment and reporting, maintain, robust multiple barriers to effective, effi cient and transparent where required potential contamination distribution of South Australia’s water entitlement Implement a statewide policy framework • Effective management of water for managing the water resource impacts catchments fosters optimum water Complete, on time, the elements of the of plantation forests, and amend the supplies Murray Futures program designed to Natural Resources Management Act 2004 sustain, support and reinvigorate to allow forest water licensing, where • The establishment of ‘community communities and industries within the appropriate, consistent with the statewide agreed’ values and uses of water Murray-Darling Basin in South Australia policy framework bodies is critical for effective, targeted management. Undertake real-time management of Require mining ventures to provide their environmental issues and potential risks own water supplies within the sustainable affecting the Lower Lakes framework of natural resources Maintain a positive balance on the management planning, and regional Murray-Darling Basin Salinity Register, water demand and supply plans. and continue to implement strategies and actions to ensure the real-time management of salinity in the lower reaches of the River Murray so that water quality remains at levels suitable for human consumption

59 Actions under way Outcome These factors can lower catchment yields Complete Water Allocation Plans and Through actions undertaken to secure and water quality, which in turn impacts regulatory review of Water Allocation future water supplies, any further on the availability and cost of providing Plans for key areas, in the Mount expansion of storage capacity within the water for both human and other uses. Lofty Ranges, the Murray-Darling Basin, Mount Lofty Ranges (MLR) will not be Protecting the integrity and sustainability the South East and Central Adelaide needed until at least 2050. However, our of our natural water resources requires adaptive planning framework will review regular monitoring of the health of rivers Implement SA Water’s Fire Recovery this option by 2025. and aquifers, establishing adaptive water Strategy for all reservoirs in the Mount allocation mechanisms, and adopting Lofty Ranges catchments Discussion sound land management practices. Bring additional water resources into Across South Australia, the natural water Many of our water resources cross State formal management through resources, on which we rely heavily, face boundaries. Their effective management prescription and water allocation a number of threats, all of which therefore requires cooperation and planning, as necessary are being exacerbated by changes in collaboration between governments and Continue programs to unbundle water our climate. land holders. The learning and rights across South Australia and remove Our largest and most important water experiences gained from managing the barriers to trading water entitlements supply resources are: Murray-Darling Basin should be considered in the management of the Work with the Bureau of • the River Murray catchment State’s other water resources, for Meteorology to develop a Strategic example, the Great Artesian Basin and Water Information Plan. • the Mount Lofty Ranges drinking water catchments (or Watershed) groundwater resources in the north-west. Outcome • groundwater catchments (particularly The River Murray Drinking water catchments are in the South East, Eyre Peninsula and adequately protected. The River Murray and its catchments in northern regions). South Australia are of special social, New actions For a long time, resource managers have cultural, economic and environmental Develop water quality improvement plans been implementing a range of initiatives importance. They support signifi cant for the Mount Lofty Ranges (MLR) to improve the quantity and quality of our economic activity based on irrigated and Watershed by 2011 and other critical water resources. Despite these efforts, dryland farming and associated food water catchments across the State fl ows and water quality continue to processing. by 2017 deteriorate. It is now recognised that Environmental degradation throughout Establish planning policies, based on the identifi cation and control of risks is much of the river system threatens this water quality risk hierarchy associated integral to the successful management of vital waterway’s health and ongoing with the MLR Watershed Priority Areas, to water resources. productivity. Recent dry conditions have ensure that new developments have a Key threats facing our water resources resulted in drastically reduced infl ows to benefi cial, or at least neutral, impact on include: South Australia and this is affecting the water quality in the Watershed water available for human uses and • climate change, which gives rise to: Undertake a comprehensive review leading to a decline in water quality. greater variability and more extreme of current management and protection Graphic examples of the serious nature weather events; changing rainfall of the MLR Watershed with a view to of this degradation, and the impact of the patterns; increased evaporation and developing an agreed vision, targets and current extreme conditions, include the less run-off; and water quality impacts responsibilities for its future management exposure of acid sulfate soils around the such as increasing salinity, blue-green by the end of 2010 Lower Lakes and other wetlands along algal blooms and new pathogen the river, and the high risk of blue green Require relevant agencies to report challenges algal outbreaks. annually on how they are meeting the • bushfi res increasing in frequency and MLR Watershed targets. Even before the recent years of low intensity as a result of climate change infl ows, there was compelling evidence Actions under way • over extraction of both surface and that the health of the Murray’s The Environment Protection Authority will groundwater ecosystem was in decline. Deteriorating develop environmental values for priority water quality, loss of native plants, • contamination from point source and water bodies across the State by 2014. animals, fi sh and wetlands, and an diffuse pollutants increase in pests like carp, were all • development of acid sulfate soils pointing to a river under stress. A range • increasing salinity of actions were undertaken to return vital environmental fl ows to the system • change in land use, e.g. forestry, mining including the development of the and increased urbanisation. Living Murray Initiative.

60 Figure 26 Murray-Darling Basin in South Australia

Adelaide

LES

Jamestown

Murray-Darling Basin

NEW SOUTH WA

Clare

Morgan Port Wakefield Waikerie Renmark

Blanchetown Berri

Nuriootpa Loxton Gawler Swan Reach

ADELAIDE Mannum

Mount Barker Murray Bridge

TORIA Strathalbyn Tailem Bend Pinnaroo VIC Lameroo

Victor Harbor

Meningie

Keith Murray-Darling Basin

Main Road Bordertown

0 20406080 N Kilometres

61 However, climate conditions have fl ows. It will also reduce the risk of a Managing and protecting the Watershed exacerbated the threats and it is clear major failure in the supply of potable has become increasingly challenging that current levels of extraction water to South Australia. because: throughout the river system cannot be The agreement established new • 90 per cent of land is privately owned sustained. Many other factors also governance arrangements, including and used for other purposes. contribute – the progressive slowing of (By comparison only 10 per cent of the river fl ow as a result of reduced provision for critical human water needs, Melbourne’s watershed and infl ows, rising saline groundwater and comprehensive and consistent trading 20 per cent of Sydney’s watershed are increasing river salinity. arrangements across the Basin, and the transition to the new authority. privately owned) The future condition of the River Murray • over 55,000 people live and work in The creation of the new, independent will depend on the actions we take now. towns and on properties within it However, at the very time when authority means that, for the fi rst time, a signifi cant intervention is needed to single agency is responsible for • it is used extensively for agriculture, improve its health, it faces competing planning the integrated management of intensive horticulture, recreation, rural interests such as growing urban demand water resources of the Murray-Darling living and tourism for water. Basin. • it is made up of highly fragmented rural holdings The Murray-Darling Basin The functions of the authority include: • only eight per cent of native vegetation reforms • preparing a Basin Plan, for adoption remains, 70 per cent of which is on by the Commonwealth Minister for Our critical natural water resources, private land particularly the River Murray, are for the Climate Change and Water, which will most part shared with other jurisdictions, set sustainable limits on the volume • only one per cent of the stream and we are the downstream State. It is of water that can be taken from surface network of the has been vital that proper national arrangements and groundwater systems across described as being in healthy are in place to ensure the protection of the Basin condition the Murray-Darling Basin, and that is why • advising the Minister on the • the hydraulic function of the rivers the South Australian Government sought accreditation of state water resource and fl oodplains (storing, releasing the establishment of an independent plans and directing fl ood fl ows) has authority to better manage it. been fundamentally altered or • developing a water rights information completely lost. Reform of the Basin’s governance and service to facilitate water trading planning arrangements was initiated in across the Basin Groundwater aquifers 2007 with the passage of the Water Act The geology of South Australia supports 2007, which established a new • measuring and monitoring water the storage and movement of Murray-Darling Basin Authority with resources in the Basin groundwater through aquifers. Over time responsibility for basin-wide planning • gathering information and undertaking this groundwater has become one of the and management. research State’s main water resources. It supports At the meeting of the Council of • implementing and enforcing the economic prosperity through agriculture, Australian Governments (COAG) on Basin Plan mining and rural township use. 26 March 2008, the Commonwealth, the Groundwater also contributes towards Murray-Darling Basin States and the • engaging the community in the non drinking water supplies in the Australian Capital Territory agreed that management of the Basin’s resources. Greater Adelaide area. The groundwater the former Murray-Darling Basin Mount Lofty Ranges Watershed underlying the Northern Adelaide Plains, Commission should be absorbed into Western Mount Lofty Ranges and Central the new authority. This agreement was The Mount Lofty Ranges (MLR) drinking- Adelaide is used for community, formalised at the 3 July 2008 COAG water catchments, also known as the industrial and horticultural purposes. meeting, and an Intergovernmental MLR Watershed, have historically Specifi cally in the Central Adelaide area, Agreement on Murray-Darling Basin provided, on average, 60 per cent of groundwater is used by large industries metropolitan Adelaide’s mains water Reform was signed. (including breweries, the beverage supplies. They can supply up to Through this agreement, for the fi rst time, industry and manufacturing), golf 90 per cent in years of abundant rainfall South Australia has access to the courses and local councils. Potentially, and as little as 10 per cent in times of upstream storages of its choice the groundwater in the Central Adelaide drought. The MLR Watershed also acts as (including Hume and Dartmouth dams) area could also be used for emergency a conduit to transport and store water to store water to meet its critical human drinking water supplies. from the River Murray. water needs, and for private carryover. This will allow the State to carry over and store water for delivery in times of low

62 Managing and protecting South Progress has been made, through the Part 4 Living Murray Initiative, to return 500 GL Australia’s groundwater aquifers has Managing our become increasingly challenging as: of water to the environment by 2009. South Australia is the fi rst jurisdiction to water future • climate affects recharge into aquifers, meet its part of this agreement by reducing the sustainable volume of securing 35 GL of water for River Murray water available for use environmental purposes. Under Water • declining groundwater levels in for the Future, the Commonwealth coastal aquifers introduces the risk of Government has committed $3.1 billion seawater intrusion to purchase water in the Murray-Darling Basin over 10 years, and has established • current groundwater monitoring does the Commonwealth Environmental Water not fully cover all water resources, Holder to manage the water entitlements making assessment of their state and that the Commonwealth acquires. condition diffi cult Water is also being recovered through • growth in the mining and forestry improvements in irrigation infrastructure industries places increasing pressure and water use effi ciencies. on groundwater resources However, water purchase and recovery • groundwater-dependent ecosystems, of water from users are only part of such as the endangered Great the solution. Unregulated fl ows (surplus Artesian Basin spring ecosystems, fl ows) that cannot be captured and are threatened by declining pressure controlled by Murray-Darling Basin caused by falling water tables. Authority-controlled storages and As South Australia’s climate continues to infrastructure, need to be collectively change, our reliance on groundwater managed and accounted for, to protect resources will increase. The future health the environment. In addition, land of our aquifers partly depends on the management activities such as actions we take now to address these afforestation, groundwater extraction and challenges. farm dams that can signifi cantly reduce surface water fl ows into the River Murray Despite our efforts of over many years, system need to be managed across the fl ows into, and quality of, the water in basin. Action to improve river fl ows must some of these catchments have also be complemented by action to continued to deteriorate. It is now control salinity and other water quality recognised that identifi cation and control issues. These issues must be addressed of risks is integral to the successful in an integrated way across the entire management of water resources. basin. How we will manage our The state of water quality (salinity levels rivers, reservoirs and and ecological health of the lower reaches aquifers of the River Murray including but not limited to signifi cant ecological assets The River Murray such as the Coorong and Lower Lakes RAMSAR wetlands) provide obvious Basin Plan indicators for success or failure in A healthy River Murray is essential to managing the water resources of the maintain the system’s ecology as well as Murray-Darling Basin. water quality for productive use. The best scientifi c advice consistently states that The South Australian Government will additional fl ow in the river is required to continue to participate proactively restore it to good health. In 2003, the in the new governance and planning Scientifi c Reference Panel for the Murray arrangements and will advocate for Darling Basin Commission advised that, integrated management approaches and on a whole-of-river scale and based for ‘end-of-system’ management on the level of development that existed objectives and targets to be set for the at that time, an additional 1500 GL per Murray-Darling Basin. This is vital year was required to deliver a moderate to ensuring sustainable river health improvement in river health. throughout the whole system.

63 Action South Australia has always had a • $200m for Lower Lakes and Coorong Work with the new Murray-Darling Basin conservative approach to the allocation Recovery to undertake a series of Authority and other Basin jurisdictions to of water from the River Murray for medium to long-term projects around ensure a healthy, working River Murray irrigation. With the exception of the the Lakes and Coorong, to help protect that will continue to provide critical current extreme drought conditions our this valuable Ramsar site and to human water needs for Greater Adelaide irrigators have enjoyed the highest sustain the communities that rely on it and regional South Australia, irrigation security of supply in the Basin. South • $110m for River Industry Renewal to requirements and water for the Australia will aim to restore this level of reinvigorate irrigation communities environment. Specifi cally, by seeking: security even at times of extreme including the uptake of innovative and drought through our work at the national • a Basin Plan that incorporates smarter irrigation technology level and through our work with the appropriate ‘end-of system’ objectives, Murray-Darling Basin Authority. • $100m for Riverine Recovery to targets and actions by returning the improve our management of river River Murray to sustainable levels of Action wetlands and fl oodplains from the extraction Work with the Murray-Darling Basin SA border to Wellington • a Basin Plan that establishes a Authority and other Basin jurisdictions to • $80m for Water Buy Back to purchase permanent system of environmental ensure a healthy, working River Murray water entitlements from willing sellers, fl ows for the River Murray and Lower that will continue to provide critical with water to be held by the Lakes, including management of human water needs for Greater Adelaide Commonwealth Environmental unregulated fl ows and salinity. and regional South Australia, irrigation Water Holder. requirements and water for the Critical water needs environment. Specifi cally, by seeking: Action The River Murray will continue to be an Complete, on time, the elements of the essential component of South Australia’s • improved arrangements for risk Murray Futures program designed to Water for Good Plan. While the benefi ts management, storage, delivery of and sustain, support and reinvigorate of past arrangements are recognised, accounting for water communities and industries within the new approaches are now required to • reviewing and improving river Murray-Darling Basin in South Australia address the pressures of climate change operations, particularly river operating and climate variability. Acid sulfate soils strategies and rules, to ensure more Acid sulfate soils naturally occur in effective, effi cient and transparent The States’ referral to the coastal and freshwater areas where there distribution of South Australia’s water Commonwealth of powers over water are large amounts of sulfate and organic entitlement. management in the Murray-Darling material in the water. They are a natural Basin means that the Basin Plan will Murray Futures part of the ecosystem. As long as the contain arrangements for meeting Murray Futures is a South Australian soils are covered by water they are critical human water needs for those Government initiative to manage the harmless to the environment, but if water communities dependent on the River River Murray from the Murray Mouth to levels drop and the soils are exposed to Murray system. Complementary the Victorian border. Funded by the the air they react with oxygen to form changes will be made to the Murray- Commonwealth Governments’ sulfuric acid (the same acid as in a car Darling Basin Agreement to introduce a $12.9 billion Water for the Future battery) and can release heavy metals three-tiered system for sharing water in program, it will secure future water and other toxins from the soil. Once the system, and its key tributaries, to supplies, renew industries and exposed to air, a chemical reaction ensure critical human water needs can communities, and secure improvements occurs, and sulfuric acid is produced. be met under dry and extreme drought to the river’s health by providing This acid, and the metals that are conditions, and to enable South Australia fl exibility in how the system is managed released, may contaminate the sediments to store water upstream. South Australia’s in the future. they are released from, affect water water needs will have to be clearly quality, and damage the ecology of the At the July 2008 Council of Australian understood and taken into account in the local area. Governments’ meeting, a funding development of the Basin Plan, and in commitment of $610 million was The water levels in Lake Alexandrina and any review and amendment of the secured by South Australia from the Lake Albert have dropped well below Murray-Darling Basin Agreement. The Commonwealth Government. sea level and sulfi dic sediments that South Australian Government will have been safely covered underwater continue to negotiate through these Within this commitment, funds will be have been exposed and turned new arrangements to ensure appropriate allocated to the following catchment sulfuric. The movement of poor quality water quality and quantity for the State’s projects: water upstream could put drinking water requirements and to provide greater supplies to Adelaide, lower river certainty for ensuring critical human • $120m for Lower Lakes Pipelines to townships and the upper South East water needs can be met. secure a quality water supply to the townships, communities and irrigators at risk. who draw water from the Lower Lakes

64 The Government is working on a Action Part 4 comprehensive program for managing As a last resort, build a temporary weir Managing our acid sulfate soils exposed along the River at Pomanda Island to protect the water Murray and around the Lower Lakes due supply to the 1.2 million people water future to critically low water levels. currently receiving it from the River Murray below Lock 1. The temporary The absolute fi rst preference is for the weir would only be constructed if Lower Lakes to remain a freshwater infl ows remain at critically low levels system. However, after three years of and agreed triggers for acidifi cation or record-breaking low infl ows in the salinity were activated and could not Murray-Darling Basin, there is simply not otherwise be prevented enough water in the system to meet all current competing needs. Action Undertake real-time management of In extreme cases, acidifi cation can cause environmental issues and potential risks ecological collapse, resulting in the affecting the Lower Lakes. death of everything living in the water and rendering the water unsuitable for Salinity any purpose. The current situation is Murray-Darling Basin salinity has the serious and the State Government is potential to be one of the most serious not willing to risk such an outcome. environmental and economic issues Therefore, planning is currently under affecting South Australia. This is because way to address such a worst-case of: our location on the lower reaches of scenario. the river; the natural geological structure of the Murray-Darling Basin (MDB) in One option is to let a small volume of which the river acts as a drain for salt out seawater into the Lower Lakes to protect of the landscape; the infl uence of human them from acidifi cation, but not fl ood development in mobilising salt to the them. However, this would be an absolute river; and the ultimate impact of salinity last resort measure, employed only if we on water quality for all uses, including reached the situation where freshwater supplying Greater Adelaide. Salinity fl ows were insuffi cient to avert impacts largely occur in South Australia acidifi cation. This is not the preferred through reduced water quality and option and the State Government will degradation of the fl oodplain. River delay any such decision for as long as Murray salinity management is vital for possible to allow maximum potential for maintaining the quality of our water for bioremediation or recovery. both urban and irrigation supplies. The Governments preference is for a The Basin Salinity Management freshwater solution for the Lower Lakes. Strategy 2001-2015 (BSMS) provides the This is what the State Government is strategic policy framework for managing working toward through the development salinity across the basin. Achievement of Murray-Darling Basin Authority’s of its management objectives is basin-wide plan. measured through a set of Salinity As a last resort, the Government, through Registers, the degree of achievement of SA Water, is preparing for the end-of-valley targets, and the Basin construction of a temporary weir near Salinity Target at Morgan in South Pomanda Island. The purpose of the Australia: ‘to maintain the average daily proposed weir would be to secure the salinity at Morgan at a simulated level of public water supply for the areas of less than 800 EC, outlined in the World South Australia that rely on water Health Organisation guidelines, for at extracted below Lock 1. The function of least 95 per cent of the time, during the the proposed weir would be to restore benchmark period’. and maintain the water level in the new South Australia is accountable for actions pool upstream of the weir, and to provide that will change salinity in the River a physical barrier that would prevent Murray. The actions are recorded as poor quality water moving from Lake debits or credits on the Murray-Darling Alexandrina into our drinking supply. Basin Salinity Register, and include estimates of credit and debit positions for 100 years. South Australia’s Strategic Plan also contains a salinity target: ‘to maintain

65 a positive balance on the Murray-Darling Opportunities include re-use, salt is one of the natural barriers that Basin Salinity Register’. harvesting, energy production help prevent impurities from entering and aquaculture. water supply reservoirs The main approaches used to achieve South Australia’s salinity management A pilot project near Waikerie is • it takes longer for burnt vegetation objectives include salinity zoning policies, generating information and interest in to re-sprout and for seeds to improved irrigation effi ciency, rehabilitation an inland saline aquaculture industry. germinate, and this prolongs the time of drainage and delivery schemes, and catchment soil and sediment is left salt interception schemes (SIS). Action mobilised and available to be washed Maintain a positive balance on the into waterways and reservoirs. This The South Australian Government Murray-Darling Basin Salinity Register, reduces water quality invests in these schemes, in partnership and continue to implement strategies • less water is stored in reservoirs and with the Victorian, New South Wales and actions to ensure the real-time watercourses, making water and Commonwealth Governments. management of salinity in the lower contamination more likely. The Riverland’s four operating schemes reaches of the River Murray so that water prevented about 150,000 tonnes of salt quality remains at levels suitable for Heavy rainfall in the catchment areas from entering the River Murray during human consumption following a bushfi re is also a concern 2008. This equates to 400 tonnes of salt because little vegetation is available to Explore the economic and environmental per day. In the same period, the Loxton naturally fi lter the higher than normal feasibility of using saline water produced scheme began partial operation (due levels of sediment, organic material, in Salinity Management Schemes. for completion in 2009); work continued ash and micro-organisms. on the extension of the Waikerie Climate change scheme (due for completion mid 2009); Given the drying conditions in the construction of the Murtho scheme The potential impacts of climate change Mount Lofty Ranges Watershed, and the commenced ; and planning began on on Greater Adelaide have been extended high fi re danger season, a further scheme near Renmark. outlined earlier in this Plan (Part 3 – SA Water has developed a post-fi re The challenges of demand and supply). recovery strategy for water quality. In Signifi cant progress has been made in Not only are the impacts inconsistent line with this strategy, SA Water will addressing salinity in the River Murray. across the State, but understanding manage its drinking water catchment The overall result is that productive areas by: of the implications also varies. To agricultural areas have been able to adequately manage and protect our expand. Indeed, on the Salinity Register • assessing the risk of fi res occurring water resources, we need to know more. South Australia currently has a strong • developing procedures for minimising As part of the development of regional positive balance. the risk of raw water contamination water demand and supply plans, we will and reducing the level of treatment However, a number of key salinity undertake regional-scale assessments required. management issues need to be of the impacts of climate change where addressed to ensure overall River this has not already occurred. Action Murray system health. In particular, Implement SA Water’s Fire Recovery Action under ‘normal’ climatic conditions, Strategy for all reservoirs in the Mount Commission, where required, approximately one million tonnes of Lofty Ranges catchments. regional-scale studies on the impacts salt is discharged annually to the sea. of climate change on water resources. Water allocation Low fl ows and the lack of small-to- medium fl ood events in the past decade Bushfires A major threat to the future protection of have meant that much of this salt is South Australia’s rivers, creeks and now stored in the fl oodplain. It is Bushfi res have a dramatic effect on the groundwater is extraction that exceeds suggested that a return to more ‘normal’ physical, chemical and biological the capacity of those resources – fl ows and fl ooding events, and the processes in water catchments, and they both within the State and prior to the reconnection of wetlands, could can also have a long-term impact water arriving here (e.g. the River mobilise this salt into the river. This through reducing catchment yield when Murray, Great Artesian Basin and South could pose a signifi cant production and damaged fl ora is regrowing. East aquifers). water quality issue for South Australia. The likelihood and impact of fi res South Australia has a comprehensive, The South Australian Government is occurring within reservoir catchments adaptive approach to managing the committed to meeting salinity signifi cantly increases in a drying volume of surface water, watercourse targets through the implementation landscape because: water and groundwater through of salt interception schemes, and is prescription. Areas that are prescribed • fuels and soils are drier, adding to investigating opportunities to are managed through Water Allocation the likelihood of more frequent and productively use the additional Plans (WAPs). Under the Natural intense fi res saline water that will be generated. Resources Management Act 2004, • in times of drought vegetation in Natural Resources Management Boards catchment areas is sparse. Vegetation are required to develop WAPs.

66 A WAP is a legal document summarising appropriate studies. A possible solution is Part 4 the rules for allocation, use and transfer to use an appropriate model to determine Managing our of water from prescribed water allocations and issue interim water resources. Under the Natural Resources allocation licences, with a timeframe water future Management Act 2004, both the needs attached. This would allow the allocation of the natural environment, and human to be changed, if necessary, after the demands, are to be considered in scientifi c work had been completed. determining appropriate limits on the Meters would be required for every amount of water which can be diverted licence as annual water use returns would from a water resource for all uses. need to be lodged to provide a better understanding of the potential impacts. A prescribed water resource may consist of surface water areas, groundwater The Interim WAP would be based on areas, or watercourses, or a combination limited scientifi c knowledge of the of these. Across South Australia there are resource but would allow licences to be currently 27 prescribed water resources. issued with conservative allocations. These allocations could then be reduced This approach has been successful in or increased when the comprehensive protecting many water resources across WAP had been developed and scientifi c the State, however, its challenges include: knowledge of the resource expanded. • the development, review and Further information on the resource amendment of a WAP takes a long time, would be gained by using meters and reducing the resource managers’ annual water-use returns. ability to quickly respond to change It would be necessary to calculate • ensuring appropriate and timely conservative estimate allocations for the management action is taken to protect purposes of an Interim WAP. This would resources that are not yet prescribed. reduce the risk of allocations being Quicker and more adaptive water lowered once the necessary research had allocation planning process been completed. Allocations would only be granted to existing users. New One of the challenges to managing allocations would not be made until prescribed water resources is the length suffi cient scientifi c knowledge had been of time it takes to develop, review and obtained. amend Water Allocation Plans (WAPs). There are valid reasons for this, including: The Interim WAP would operate for a • gaining a sound scientifi c limited time and work would be understanding of the water resource undertaken during this period so that the Comprehensive WAP would be produced • dealing with complex legislative and in a timely manner. The Interim WAP policy frameworks would allow for limited trade during its • undertaking extensive community lifetime, particularly with sale of property. engagement and consultation The Interim WAP, despite taking a • developing locally appropriate precautionary approach, may not be solutions and policies. sustainable nor would it address sustainability issues in the region. While it However, this time lag can reduce our was in place it would be important to ability to quickly respond to change. monitor the water resources and water- Also, to protect resources while WAPs dependent ecosystems in the area to are developed, water use and trading is determine what impacts were occurring. often restricted during this period. While necessary to protect the resource from There would be some community over allocation, this situation can create consultation undertaken to inform the uncertainty for water users. development of the Interim WAP but it would be a simpler process than that A two-staged approach to water allocation envisaged for the development of the planning could address these issues. Comprehensive WAP. Gaining a sound scientifi c understanding of a water resource is important but it is very time-consuming and signifi cant resources are required to undertake

67 Action Managing non-prescribed water Action Complete water allocation plans and resources Bring additional water resources into regulatory review of water allocation Currently, the Natural Resources formal management through prescription plans for key areas in the MLR, the Management Act 2004 provides the and water allocation planning, as Murray-Darling Basin, the South East and following mechanisms for managing non- necessary. Central Adelaide prescribed water resources: Baseline understanding of the state Action • the powers of the Minister of our resources Adopt a two-staged approach to water State Government monitoring, • statutory requirements for permits for allocation planning, with an Interim Water assessment and reporting programs wells Allocation Plan followed by a support the management of water Comprehensive Water Allocation Plan for • it is the duty of the owner of land on resources. These programs are critical to all newly prescribed areas. which a watercourse or lake is situated the protection of our groundwater, or that adjoins a watercourse or lake, surface water and watercourse water, as Unbundling water rights to maintain and protect it they allow appropriate management South Australia, along with other States, is responses to be developed, based on the in the process of making changes to • limiting the right to access water to the condition of the resource. water licensing arrangements as part of extent that this does not infringe on its commitment to the National Water another’s right, unless water is taken South Australia is a large state and the Initiative. In summary, the existing water for stock and domestic purposes investment required to effectively licences will be separated into their main • permit requirements, policies and monitor and assess all water resources components. These include a Water programs that may be applied through is immense. Access Entitlement, a Water Allocation, a Natural Resources Management Plans. The state and condition of our water Site Use Approval, a Water Resource resources may change as a result of the Works Approval and a Delivery Capacity Management of water extracted for use impacts of a changing climate. Entitlement. from non-prescribed water resources is managed through permit requirements, The pressure to access new water These changes aim to benefi t water and the limits which apply to statutory resources also will increase. Baseline users by making transfers easier and rights to access water under the Act. data, comprehensive monitoring and more effi cient, expanding the choices regular assessment are needed to ensure available for water management, and The Minister can make a that any signifi cant decline in these clarifying water rights. The intention is to recommendation for a regulation resources is detected as soon as create greater certainty for investors, and declaring a prescribed water resource possible. Changes to land use, for increase the effi ciency of water markets if satisfi ed that the proposed regulation example through increased mining, and water use. is necessary, or desirable, for the increase the potential for impacts on the proper management of the resource to water resource to go undetected unless Existing licence holders will continue to which it will apply. In the past, for adequate monitoring and assessment is own a secure, personal property right in various reasons, some water resources in place. water (the new Water Access have not been prescribed until stresses Entitlement). However, the changes will on them have become evident. Baseline information is important to avoid improve the opportunities for those who major over allocation, similar to that wish to participate in the water trading The State’s non-prescribed water which has occurred in the Murray- market, making it explicitly clear to resources require monitoring and Darling Basin. Without this information, buyers and sellers what exactly is being management to avoid over allocation. the State’s capacity to support bought and sold. As we move into an environment where landholders in implementing sustainable water management and, where The South Australian Government has water resources are increasingly scarce, necessary, regulating use to protect the developed a Water Trading in SA website: a fuller understanding of our total water resource, is signifi cantly impaired. http://e-nrims.dwlbc.sa.gov.au/wtr. It lists resource capacity, and a more pro-active every approved water trade in the approach to management, is required. Changes to the state and condition of the current water year (July 1 to June 30) for This should also provide increased State’s water resources are occurring at each of the prescribed areas in South confi dence to investors. such a rate that, where required, Australia. The information is updated on a To address this issue, we will explore and expansion or upgrade of the State’s daily basis. The annual summaries from develop ways for better managing all of monitoring network, and increased 2004-05 to the most recent year provide the State’s water resources to prevent regularity of assessment, is essential to both intra and interstate trades. them from being over exploited. This will enable our water resource managers to make proactive rather than reactive Action be supported through the expansion of decisions. Continue programs to unbundle water the monitoring network and an increase rights across South Australia and remove in the regularity of assessment and barriers to trading water entitlements. reporting, so that the state and condition of all resources can be better understood.

68 Also, an integrated and coordinated To improve the management and Part 4 monitoring and assessment framework coordination of water information, the Managing our for water resource data obtained by State Government will work with the different State Government agencies is Bureau of Meteorology to create a water future essential to obtain a complete picture of Strategic Water Information and the use and health of all water resources Monitoring Plan for South Australia. within a region. Action To ensure State Government agencies Provide funding of $8.6 million over two have appropriate and timely information years (2009-10 and 2010-11) to to make coordinated, proactive water strategically review and, where management decisions there will be required, expand or upgrade the water increased and ongoing investment to resources monitoring network enhance this important work. Further Action effort will also be made to improve the Increase regularity of statewide data co-ordination and management of the collation, assessment and reporting, signifi cant investment in the State’s water where required monitoring and assessment infrastructure. Action Work with Bureau of Meteorology to As part of the Commonwealth develop a Strategic Water Information Government’s Water for the Future Plan. program, $450 million was allocated to the Improving Water Information Program, which is being administered by the Bureau of Meteorology (BOM). Box 3 provides more detail about the program.

Box 3: Improving Water Information Program This program, which is administered by the Bureau of Meteorology (BOM), will enhance the quality and utility of Australia’s water information.

The Bureau will deliver a range of products designed to meet the needs of users engaged in water policy development, planning, operations, public enquiry, education, and research, including:

• regular national water resources assessments

• an annual National Water Account

• real-time water reporting services

• real-time water availability forecasts.

To deliver water information to users, the Bureau will develop and maintain the Australian Water Resource Information System (AWRIS) – an online information tool freely accessible to the public.

AWRIS will integrate and add value to extensive measurements of river fl ows, groundwater levels, reservoir storage volumes, water quality, water use, water entitlements and water trades. It will be the authoritative repository for water data and reporting in Australia.

AWRIS is being developed for a range of uses and users. It will deliver data, dashboards, information, tools and reports that will signifi cantly improve the decision-making capabilities of its users engaged in policy development, planning, operations, public enquiry, education and research.

The Bureau will build, own and manage AWRIS, which will evolve and expand over the next 10 years to deliver more content, faster access, and more sophisticated functionality.

69 Establishing agreed Table 6 environmental water quality Various Environmental Values targets Environmental values Description Water resources are used and valued for a range of reasons, by a range Aquatic ecosystems Supporting pristine or modifi ed Aquatic of users. ecosystems. Different levels of protection are considered, depending on how modifi ed or A different quality of water is required disturbed the current ecosystem for different purposes, for example, Primary industries Irrigating crops such as vines, lucerne, etc horticulture and agriculture, mining, drinking water and recreation. To effectively manage our water resources and catchments we must understand Water for farm use such as in fruit packing or what the community needs from its water milking sheds, etc supply, and we need a process to ensure that we can fulfi l those requirements. Stock watering The National Water Quality Management Strategy (NWQMS) provides a basis for the sustainable management of water resources in South Australia. It contains Water for aquaculture such as barramundi or nationally agreed policies, processes marron and guidelines that form part of the Council of Australian Governments’ Water Reform Agenda. Its primary Human consumption of wild or stocked fi sh or objective is ‘to achieve sustainable use crustaceans of the nation’s water resources by protecting and enhancing their quality while maintaining economic and Recreation & Primary recreation – direct contact with water, social development’. aesthetics such as swimming or snorkelling A key component of the NWQMS is the establishment of Environmental Values Secondary recreation – indirect contact with (EVs) and Water Quality Objectives water, such as boating, canoeing or sailing (WQOs) for particular water bodies (surface and groundwaters). EVs describe the uses for which a local Visual appreciation – no contact with water, community agrees a body of water such as picnicking, bushwalking, sightseeing should be protected (e.g. aquatic ecosystems, stock watering, drinking- water supply, recreation). WQOs are the Drinking water Raw drinking water supplies for human corresponding water quality targets consumption that must be achieved or maintained to protect the EV. The setting of WQOs also takes into account the social and Industrial uses Water for industrial use such as power economic impacts of achieving a generation, manufacturing plants particular target. Table 6 outlines the common environmental values of water bodies. Cultural & spiritual Cultural and spiritual values, including the cultural values of traditional owners The setting of EVs for surface and groundwater enables catchment management, monitoring, and improvement programs to be targeted and effi cient. They provide a focus for agencies and stakeholders working within the region and ensure that works are targeted to address pollution problems. They also can provide clarity and consistency for future development.

70 EVs have been developed for some Mount Lofty Ranges Watershed Part 4 water bodies across South Australia. Priority Areas Policy Managing our Currently the Government is working All policies relating to the protection of with the community to develop EVs and water future the Mount Lofty Ranges (MLR) Watershed WQOs for the Adelaide and Mount Lofty recognise existing uses and their Ranges Natural Resources Management importance. We need to protect these Board region. In the future, EVs and existing uses in a way that ensures they WQOs will be required for all priority will not lead to the further deterioration surface and groundwaters across of the water resources. the State. The development of the Western Mount The benefi ts of this approach include: Lofty Ranges Water Allocation Plan will • clarifi cation and agreement on the provide the means to protect the range of realistic values and uses that water resources across the watershed the community places on water and beyond from over-extraction, while resources to incorporate upfront in protecting existing uses. planning and decision-making It has been recognised for some time • clear targets enable effi cient and that we also need appropriate planning effective management programs that policies and development controls to will reduce pollution minimise the cumulative impacts on water quality of small scale developments, • identifi cation of priority areas and time such as homes. targets for water quality improvement

• protection and conservation of high The 2006 Planning Strategy for the Outer ecological-value waterbodies Metropolitan Adelaide Region recommended policies and management • maintenance and enhancement of the measures for development in the Mount health of waterbodies Lofty Ranges Watershed to ensure that • community involvement in water future development has a benefi cial or resource protection and management neutral impact on water quality. The watershed was divided into three areas to • the ability of monitoring programs to differentiate the inherent risks of new report on objectives/targets. development. These three catchment In addition, in areas of critical importance areas were identifi ed based on the water such as the Mount Lofty Ranges pollution risk they pose to the reservoirs, catchments, the River Murray and Lower and are shown in Figure 27 on the Lakes, Water Quality Improvement Plans following page. They were developed will also be developed. These plans will following extensive research and outline the measures necessary to ensure consultation, including benchmarking that water quality meets desired values, against other Australian capital city water as is the case for these catchments. supply catchments.

Action The policy recommendations in the The Environment Protection Authority will Planning Strategy still require develop environmental values for priority implementation and the urgency for this water bodies across the State by 2014 work continues to grow as the pressure for development intensifi es, along with Action the impacts of climate change. Those Develop water quality improvement plans recommendations have been refl ected for the Mount Lofty Ranges Watershed in Water for Good, as they continue to by 2011, and for other critical water be relevant. catchments across the State by 2017. Action Establish planning policies, based on the water quality risk hierarchy associated with the Mount Lofty Ranges Watershed Priority Areas, to ensure that new developments have a benefi cial, or at least neutral, impact on water quality in the Watershed.

71 Barossa Reservoir Figure 27 Williamstown Mount Lofty Ranges Watershed Priority Areas

South Para Reservoir

Warren Reservoir

Little Para Mount Pleasant Reservoir

Millbrook Reservoir

Gumeracha

Kangaroo Creek Reservoir

Lobethal

Stirling

Hahndorf

Echunga

Legend Mount Bold Reservoir Towns

Roads

Streams

Reservoirs

Priority 1

Priority 2

Priority 3

N

Myponga 020 Myponga Reservoir Kilometres

72 Protecting drinking water As a signatory to the National Water Part 4 catchments Initiative (NWI), the South Australian Managing our Government has agreed, among other In the future, protecting our drinking things, to implementing a series of water future water catchment, in particular the water measures to account for, and manage in the Mount Lofty Ranges (MLR) the water interception effects of, land Watershed will continue to be important, use change such as large-scale and possibly more important, as the plantation forestry. impacts of climate change are felt. The proposed water industry and planning At the same time, increasing sustainable legislation, outlined in Part 6, will forestry resources is a priority. Plantations help to address this by recognising the for Australia: The 2020 Vision is a strategic signifi cance of Adelaide’s unique partnership between the Commonwealth, watershed environment and other State and Territory Governments catchment areas. and the plantation timber growing and processing industries. Under these new arrangements, agreed statewide visions, targets and The overarching principle of the this responsibilities will be determined for strategy is to enhance regional wealth the MLR Watershed. Each agency will creation and international need to report annually on how it is competitiveness through a sustainable meeting its targets and commitments. increase in Australia’s plantations, based on a notional target of trebling the area More work is required to ensure that of commercial tree crops to around agencies are working together in the three million hectares by 2020. Plantation most effective and coordinated way to forestry may also expand into lower guarantee that drinking water rainfall areas for the purposes of carbon catchments are being adequately sequestration. protected and the costs and risks of treating water are minimised. The ability to expand the area of commercial forestry in South Australia Action may be limited by the availability of a Undertake a comprehensive review sustainable water supply to support such of current management and protection growth. To address this issue, the State of the MLR Watershed with a view Government has developed a statewide to developing an agreed vision, targets policy framework for managing the water and responsibilities for its future resource impacts of plantation forests. management by the end of 2010 The framework recommends that water Action licences and permits under the Natural Require relevant agencies to report Resources Management (NRM) Act be annually on how they are meeting the the principal management options for MLR Watershed targets. agencies, including regional NRM Boards, to manage the water resource impacts Forestry of plantation forests.

A united, coordinated approach to The NRM provides for control of activities forestry development across the State that affect water resources by applying is critical to South Australia’s catchment licence or permit systems to those protection. Future commercial forestry activities. To manage the water resource expansion – and the quantity of water impacts of plantation forestry under the available for allocation for such growth- current permit system, a regulation is must be aligned. needed to prescribe forestry as a water It is widely accepted that changing land affecting activity. use to large-scale plantation forestry The licensing system manages water has hydrological and hydrogeological resources by allocating specifi ed volumes implications. This is because the water to licensed users of a prescribed water used for forestry is greater than for resource. Under the Natural Resources the dryland farming purposes it usually Management Act, commercial forestry is replaces. not defi ned as a water-taking activity and therefore cannot be subject to water licensing requirements at this time.

73 Amendments to the Natural Resources be expected to provide their own water Management Act are therefore required supplies and reuse or reinject water to enable commercial plantation forests sourced through dewatering activities. to be licensed for their water resource For example, in its Environmental impacts, where the water resource is Impact Statement (EIS) released in May, prescribed, and where forests have a BHP Billiton proposes building a signifi cant impact on water resources. desalination plant to support the Amendments to the Natural Resources proposed expansion of the Olympic Management Act will be introduced Dam copper-uranium mine in the Far during 2009. North.

Action According to the EIS, the expanded Implement a statewide policy framework mine would have signifi cant water and for managing the water resource impacts energy demands. It would consume up of plantation forests, and amend the to 250 ML of water a day. (currently Natural Resources Management Act 2004 37 ML of water a day.) The development to allow forest water licensing, where would include a new 10,000 person appropriate, consistent with the statewide village and the existing township of policy framework. Roxby Downs would expand.

Mining The South Australian, Northern Territory and Commonwealth The State Government predicts that Governments all need to approve the mining will be the dominant industry expansion. in South Australia for decades to come. Already South Australia’s share of Action national mining activity is approximately Require mining ventures to provide 13 per cent and we have a healthy list of their own water supplies within mining projects coming up for approval. the sustainable framework of natural resources management planning, Mining in all its forms is water-intensive and regional water demand and and it is important that we ensure supply plans. that water sources are protected as the industry grows. New mining ventures will

74 Part 4 Managing our water future

75 South Australia’s traditional water resources are more likely than those in other states to be impacted by climate change, and with our determination to reduce our reliance on the River Murray it’s critical that we focus on non rain-dependent water sources.

76 Part 4 Managing our water future

Part 4 Managing our water future Desalination

77 Desalination Additional water sources including Desalination desalinated seawater will supplement in South Australia Desalination is one of the key elements the Eyre Peninsula water resources, of the South Australian Government’s subject to site and environmental More than 50 private and publicly owned strategy to address water security. investigations desalination plants already operate Key points around the State, mainly desalinating Complete the investigation for the brackish groundwater. These plants • desalination provides a secure, non design of, and need for, interconnection provide low salinity, non-drinking water rain-dependent source of drinking works between Adelaide’s southern for the irrigation, industrial, power (potable) water and northern water supply systems. and health sectors (renal dialysis) and Investigate the viability of constructing can typically produce 100 – 1000 kL/day. • South Australia’s traditional water groundwater desalination plants for Plants at Penneshaw, Coober Pedy, resources are more likely than those regional townships where water quality Marion Bay and a number of remote in other states to be impacted by (i.e. salinity) has been identifi ed as Aboriginal communities provide drinking climate change. As a consequence, an issue. This will enable improvements quality water. we are more likely to have to rely on to these water supplies by 2025 at non-rain-dependent water sources in the latest. Desalination has the potential to be a the future signifi cant component of South Outcome Australia’s future water supply. It will be • more than 50 small desalination plants A clear, consistent and transparent especially important in areas of high already operate around the State approach to the approval processes growth (e.g. Greater Adelaide), for for desalination proposals. • issues that require careful mining developments (e.g. Far North), consideration and comprehensive Actions under way and where groundwater supplies are management include capital and By 2010, fi nalise a statewide declining (e.g. Eyre Peninsula). operating costs, power use, source desalination policy to guide future Many desalination projects have been water pre-treatment requirements, desalination plant proposals, including proposed. They include the following: brine disposal, cleaning of membranes the identifi cation of additional suitable and mixing of ‘product water’ with sites in case they are needed in • BHP Billiton is investigating the non-desalination water the future. feasibility of a major plant at Port Bonython in the Upper Spencer Gulf • the Adelaide Desalination Plant will What is desalination? to supply an additional 200 ML/day use state-of-the-art technology to for the Olympic Dam mining minimise environmental impacts and Desalination is the process of development. The State Government enable it to operate over a range of removing dissolved solids – primarily considered participating in this fl ow rates salts – from a water source such as project to service the water demands seawater, groundwater, estuarine • desalination can be used to process of the Upper Spencer Gulf. However, water or highly treated wastewater. treated wastewater and brackish given the actions in this Plan, groundwater for use in industry or A number of different technologies including doubling capacity of the mining processing or processes have been developed. Adelaide desalination plant, the State The two most common and widely Government has decided that it • adequate power supply and suitable available commercially are thermal will not be necessary to continue with land for future desalination plants are distillation (evaporative) and reverse an involvement in the development essential and need to be planned for. osmosis (membrane-based). In of the Upper Spencer Gulf Actions and outcomes reverse osmosis, the seawater is Desalination Plant pressurised to force water molecules • the Government will, however, work Outcome through a fi ne-pore membrane that with local government in the region Enhanced water security for Greater blocks the salt ions, viruses, micro- to ensure the water needs of the Adelaide and South Australia through organisms and other impurities which Upper Spencer region are met desalination. are retained by the membrane in a • Salisbury Council has announced Actions under way concentrated solution for subsequent plans to desalinate saline groundwater Construct a major desalination plant disposal. Thermal methods remove using a wind-power generated plant powered by renewable energy to supply salts by evaporating seawater and as part of a local aquifer refreshment Greater Adelaide with ‘fi rst water’ by then condensing the vapour back to program December 2010, 50 GL/a by mid 2011, drinking water. Advances in and 100 GL/a by the end of 2012 membrane technology, improved • a proposal to desalinate a large energy effi ciencies and recovery quantity of saline groundwater from methods, and greater economies of the Noora Wells area near Paringa, for scale have resulted in reverse osmosis return to the River Murray, has been being a more cost-effective solution investigated but not considered viable for continuous supply plants. due to limitations on disposal of brine

78 • SA Water has identifi ed a number of Adelaide Desalination Part 4 regional centres where water Plant Managing our shortages or water quality (e.g. salinity) associated with groundwater supplies Project background water future is an issue that could be addressed In December 2007, the State through desalination. Of these projects, Government announced the construction Eyre Peninsula is the most urgent. of a 50 GL/a seawater desalination plant Investigations are under way into fi ve to address the immediate shortfall by potential sites. supplying about a quarter of Adelaide’s Action annual water needs. At that time, the Additional water sources including Government specifi ed that the plant desalinated seawater will supplement must have the capacity to expand to the Eyre Peninsula water resources, produce 100 GL/a if needed. The subject to site and environmental Government has now announced the investigations expansion of the plant to produce 100 GL/a. Action Investigate the viability of constructing Project delivery groundwater desalination plants for regional townships where water quality This plant is being constructed at Port (i.e. salinity) has been identifi ed as Stanvac and is scheduled to produce an issue. This will enable improvements fi rst water by the end of December to these water supplies by 2025 at 2010, 50 GL/a by mid 2011 and 100 GL/a the latest. by the end of 2012. The proposed site layout is shown in Figure 28.

Figure 28 Adelaide Desalination Plant

79 The project has three major Capacity of the Adelaide Regulation components: Desalination Plant of desalination • the desalination plant and associated In May the State Government Desalination policy marine works announced it would proceed with an expansion to 100 GL/a, which Desalination can help ensure a reliable • a 12-kilometre pipeline to transfer the Economic Development Board water supply, however, issues that desalinated water from Port Stanvac to supported in its 2009 Economic require careful consideration and the Happy Valley Water Treatment Statement. environmental management include: Plant • greenhouse gas emissions associated • the provision of construction and In its May 2009 Budget the with construction and operation operational power supply for both of Commonwealth Government announced that it would commit a further $228 the above. • the impacts of disposal of saline million ($328 million in total) towards the concentrate (brine) Following a rigorous selection process, cost of the plant, if it were expanded in February 2009 it was announced that to 100 GL/a. • the impact on coastal environments multinational consortium Adelaide during construction Aqua would design, build, operate and Action • the impact on marine organisms. maintain the new plant. Construct a major desalination plant powered by renewable energy to The State Government is reviewing the The reverse osmosis treatment process supply Greater Adelaide with ‘fi rst Environment Protection Act 1993 with was selected because it uses far less water’ by December 2010, 50 GL/a by regard to the regulation of desalination energy than available alternatives. mid 2011, and 100 GL/a by the end plants. Environmental impact and of 2012. Minimising ecological mitigation Adelaide’s southern and northern water footprints supply systems will need to be better The new plant will incorporate energy connected so that the full 100 GL/a from Both direct and indirect environmental recovery technology and the latest the expanded plant can be used. An impacts arise from desalination: energy saving devices. interconnection project is expected to • indirect – the use of considerable The seawater intake structure is being involve the upgrading of a number of energy to produce water and the designed so that intake velocities are mains and pumping stations to connect greenhouse gas implications of this low enough to minimise entrainment of the Hope Valley water treatment zone seawater species into the plant. (north) and the Happy Valley water • direct – the disposal of concentrated treatment zone (south) so that large brine from large plants. All chemicals will be carefully monitored quantities of water can be moved to ensure discharges comply with The extent and nature of direct between the two distribution systems. agreed environmental objectives and environmental impacts depend on a performance criteria established by the A key benefi t of this interconnection number of factors, including the state of Environment Protection Authority. will be the fl exibility to distribute water the plant, the size of the project, the either to the north or south, which contents of the brine concentrate, and The coastal landscape assessment for could be particularly useful during times how it is diluted prior to release. Source the desalination plant took account of of exceptional circumstances. In light waters for production processes can the Adelaide Metropolitan Coast Park of the decision to proceed with the include wastewater, contaminated Concept Plan and Land Not Within a 100 GL/a capacity plant, investigation brackish ground or surface waters, or Council Area (Metropolitan) of the design of, and need for, seawater. Development Plan. To integrate the inter-connection works has been development with the surrounding The environmental impacts of all brought forward. landscape, screen planting is planned desalination proposals will need to be for the northern property boundary. Action assessed on a case-by-case basis. In Complete the investigation for the assessing these impacts, and as part of The Adelaide Desalination Project was design of, and need for, interconnection seeking regulatory approval, the subject to the major development works between Adelaide’s southern and following should be addressed: process, which included stringent northern water supply systems. environmental guidelines set by the • The type and characteristics of the Development Assessment Commission, receiving environment – for instance, and was subject to rigorous for seawater desalination, sites with environmental scrutiny via the high dispersion and mixing Environmental Impact Statement characteristics (deep water and tidal process and an Independent Technical fl ows) would be preferred to shallow Review Panel. or enclosed bays

80 • Proximity to sensitive areas, Power and land Part 4 ecological communities or areas of Desalination is as much a power issue Managing our conservation value (e.g. conservation as it is a water issue. The Government reserves, marine protected areas, water future has committed to the Adelaide national parks etc). Any impacts Desalination Plant using renewable on identifi ed areas or communities energy sources, and the energy of ecological or conservation value emissions of any further major should be avoided desalination plants should be carefully • Adequate understanding of the local considered. This is especially important environment – collection of adequate given how well South Australia is placed environmental baseline data is crucial to use alternative energy sources, to establishing and understanding including wave, wind and solar power. existing conditions so that reliable impact assessments and evaluations The Economic Development Board’s can be made. To obtain necessary March 2009 Economic Statement environmental approvals, it should be identifi ed potential sites for the essential to demonstrate that development of alternative energy environmental impacts can be sources. In a similar way, future sites for appropriately managed desalination plants could be identifi ed to ensure that suffi cient power and open • The extent and nature of construction- land is available. related impacts, including associated infrastructure (access to source water, Action power, site access, linking to existing By 2010, fi nalise a statewide networks), and impacts on existing desalination policy to guide future uses (e.g. surfi ng or swimming desalination plant proposals, including beaches) the identifi cation of additional suitable sites in case they are needed in the • Energy saving and greenhouse gas future. emission reduction technology

• Social impacts of clearing land or changing the use of land to construct a desalination plant, as opposed to another use.

Adelaide Desalination Pilot Plant

81 South Australia is at the forefront of stormwater and wastewater recycling and leads the nation in rainwater tank ownership. Recycled water is currently used for irrigation, in industry, for some non-drinking residential purposes such as garden irrigation and toilet fl ushing, and groundwater replenishment. Increases in stormwater and wastewater recycling will further diversify our water sources and reduce our dependence on traditional water resources, such as the River Murray.

82 Part 4 Managing our water future Stormwater and wastewater recycling

83 Stormwater recycling • Existing stormwater harvesting • in Playford and Salisbury, creating schemes in Adelaide are capable of further capacity in the northern area, South Australia leads the nation in harvesting more than 6 GL/a, with building on Waterproofi ng Northern stormwater recycling and rainwater currently committed schemes Adelaide tank ownership. Further increases in expected to provide almost 12 GL/a in • at the Adelaide Botanic Gardens, and the recycling of stormwater, including additional harvesting capacity. roof run-off, for appropriate purposes Rainwater tanks provide about 1 GL/a • at Barker Inlet will diversify our dependence on • Climate change could reduce Work with local government to update traditional water resources, and Adelaide’s urban catchments yields by the State-Local Government Stormwater provide economic, social and about 15 per cent by 2050 Management Agreement. Clarify the environmental benefi ts. roles of State agencies and local • The most suitable aquifers for the Recycled water is currently used for government; reinforce the importance storage of harvested stormwater are irrigation, in industry, for groundwater of collaboration; and strengthen the limestone aquifers in the northern replenishment, and for some non- governance arrangements and western suburbs of Adelaide drinking residential purposes, such as Actions under way garden irrigation and toilet fl ushing. • Roles and responsibilities for Complete existing committed stormwater Recently introduced national guidelines stormwater harvesting and projects, including Cheltenham Park, to provide uniformity for public health and management need further clarifi cation provide an additional harvesting capacity environmental risk assessments for • The community strongly supports the of almost 12 GL/a by 2013 some uses of recycled stormwater, greater use of stormwater including the potential to add it to the Update, by 2010, State water recycling • Increased use of fi t-for-purpose water drinking water supply. guidelines to refl ect the Australian supplies requires careful management Guidelines for Water Recycling, and There is currently no evidence that to protect public health and the include stormwater. recycling water for drinking supplies environment. While we will monitor is necessary in South Australia. future scientifi c developments and Outcome Augmenting public drinking water technological innovations, we do not Target up to 35 GL/a of stormwater to supplies with treated recycled intend to feed recycled stormwater be harvested in South Australia, for stormwater would not be considered directly into the mains water system non-drinking purposes, by 2025. This without a detailed, scientifi c will be achieved in partnership with • As individuals and communities understanding of risks and strong other governments and the private sector, increasingly rely on alternative water community support. where verifi able geological data has supplies, it will be important to ensure identifi ed suitable locations, and where that people understand how to use Key points cost-effective projects can be undertaken. resources wisely to minimise health • South Australia has the technologies, risks. New action open space and suitable aquifers to Work with local government, the store and recycle more stormwater, Actions and outcomes Stormwater Management Authority although insuffi cient market Outcome and other stakeholders (including the opportunities, high capital costs and In 2013, Government and private sector Commonwealth Government and private the lack of a master plan currently limit partnerships are capable of harvesting enterprise) to identify and develop new its greater use 20 GL/a of stormwater in Greater stormwater recycling projects in the Adelaide region, in line with the fi ndings • Many stormwater harvesting schemes Adelaide, for non-drinking purposes of the Urban Stormwater Harvesting are operated by local governments in more than doubling our current Options Study. metropolitan and rural South Australia harvesting capacity. Outcome • This Plan launches the Stormwater New actions Target up to 60 GL/a of stormwater to Management Authority’s detailed Subject to Commonwealth assistance and be harvested in Adelaide, and up to investigation of urban stormwater in partnership with local government, 15 GL/a in regional South Australia, by harvesting opportunities in the stormwater harvesting and recycling will 2050. This will be achieved in partnership Adelaide region. The study provides a be underway, including: with other governments and the private factual basis for identifying a target • in the western metropolitan area sector, where verifi able geological of 60 GL/a harvesting capability. including Cheltenham Park, Riverside data has identifi ed suitable locations, and It estimates that a further $600-$700 Golf Club, Old Port Road and Adelaide where cost effective projects can be million above committed funds would Airport undertaken. be required to achieve this. This • in the southern metropolitan area, estimate excludes the cost of land, New actions building on the fi rst stage of Water distribution, customer connections, and Develop a master plan for effectively Proofi ng the South other costs, including almost 18 GL/a managing stormwater in Adelaide. for existing and committed schemes Include interim milestones

84 and water quality targets to support Integrated Natural Resources Part 4 recommendations in the Adelaide Management Plan estimated that Managing our Coastal Waters Study Final Report to urbanised areas in the region produce provide up to 60 GL/a of recycled about 86 GL/a of stormwater run-off water future stormwater in Greater Adelaide by 2050 (given average rainfall).

As part of regional water demand and The Urban Stormwater Harvesting Options supply planning, develop and implement Study (undertaken by Wallbridge and plans to provide up to 15 GL/a of Gilbert for the Stormwater Management stormwater harvesting potential in South Authority) is the most detailed Australia’s regional areas, by 2050. investigation of urban stormwater Discussion harvesting opportunities at a metropolitan scale in any Australian Demand for South Australia’s limited, capital city. It has involved a high-level high-quality, natural fresh water for assessment of the potential to maximise drinking can be reduced by recycling large-scale stormwater capture and and using stormwater, including roof storage in the Adelaide region. A focus run-off to provide the following benefi ts: has been to identify opportunities to use existing open space and • increasing the security of our water groundwater systems to harvest and supply – by diversifying and store large volumes of stormwater supplementing supplies from other without signifi cantly affecting existing sources land uses. • community prosperity and growth – water recycling supports business and The study identifi es a signifi cant tourism, particularly in areas where number of potential sites where large- other water resources are limited, or scale stormwater capture and storage expensive to develop schemes could be developed. Combined they could harvest up to • environmental and economic benefi ts – 60 GL/a by 2050. They include: by reducing the discharge of polluted effl uent and stormwater into the • large-scale schemes already operating environment, and increasing the – seven large and numerous small value and potential uses of the schemes, with a combined harvest receiving waters potential of more than 6 GL/a

• cost-sharing opportunities – through • harvesting schemes being developed the involvement of a number of – about 30 schemes with a total stakeholders harvest potential of almost 12 GL/a.

• planning opportunities – recognising The study estimates it would cost potential to tailor investment in water $600-$700 million to capture and store infrastructure to the pace of new the additional 42 GL/a of stormwater for development and redevelopment which funding has not been committed. • public amenity – through the greening (This Plan incorporates project and of open spaces, which aid health and funding proposals for at least two of the well-being. 42 GL identifi ed in the study). This excludes costs associated with When considered in the simple terms of allowances for purchasing land, as well cost-versus-quantum of water supplied, as distribution and user connection. recycling can be more costly than other Partnerships with all tiers of Government traditional supply options. However, its and the private sector will be critical to value lies in the opportunity to delivering these projects. simultaneously diversify water supplies and provide other benefi ts, such as Concepts proposed in the study report reducing pollution fl owing into our seas suggest infrastructure requirements and rivers. would include more than 200 hectares of Stormwater harvesting wetlands for harvesting and treating stormwater, and more than 600 bores for Urban areas in South Australia generate injecting stormwater into aquifers for an estimated 120 GL/a of run-off, temporary storage prior to use. although this varies between years. The Adelaide and Mount Lofty Ranges

85 Gawler Gawler River

Port

Wa

kefiel

d Ro

ad

DSTO

Salisbury

Parafield Airport

Tea Tree Gully Port Adelaide

Figure 29 Identified potential stormwater harvesting sites Airport ADELAIDE Stormwater Harvest Potential CBD (ML/Annum) Sou Sou th Eastern Freeway 2,000 to 5,000

th Roa

1,000 to 2,000

d

Stirling 600 to 1,000

200 to 600

1 to 200 Water Courses Catchments Key Suburban Localities Happy Valley Airport Main Roads Creek ASR Potential - Unlikely ASR Potential - Low Noarlunga ASR Potential - Moderate Embayment ASR Potential - High

Urban Stormwater Harvesting Options Study Willunga Basin Source: Urban Stormwater Harvesting Options Study (Stormwater Management Authority, 2009) McLaren Vale

N

Aldinga Beach 86 The best sites for large-scale storage by the and its Part 4 of stormwater are in the west and partners. Managing our north of Adelaide, and south of the Maximising stormwater harvesting in Onkaparinga River, where groundwater water future other areas presents a number of systems have good storage potential. challenges: Other areas of Adelaide have groundwater systems with ‘unlikely’, • urban run-off is rapid due to the ‘poor’, ‘low’ or ‘moderate’ potential for hydraulic effi ciency of paved surfaces large-scale stormwater storage and drains, and typically occurs in potential. The study identifi es potential winter months when demand for to capture stormwater at some of treated stormwater (e.g. irrigation) is these sites and then transfer it to other low. It can be challenging to capture areas with better groundwater large quantities of stormwater in storage capacity. surface storages

The potential impact of climate change • open space to capture stormwater is was considered, with modelling limited in some locations. Where suggesting it could reduce catchment available, the upstream catchment yields by about 15 per cent by 2050. may be relatively small, thus limiting the quantity of stormwater that can However, the study also suggests that this be captured could be partly or fully offset by the amount of roof, road and paved surface • potential customers of stormwater for run-off that would result from increased non-drinking purposes may be urban development. insuffi ciently interested and motivated to alter existing water systems to The State Government will work with connect to stormwater schemes. local government, the Stormwater Reasons may include: issues of cost Management Authority and other (including relative to use existing stakeholders to identify and develop supply sources); payback for capital new stormwater recycling projects in investments; perceptions about the the Adelaide region, in line with the quality or security of stormwater; or fi ndings of the Urban Stormwater concerns about the potential for Harvesting Options Study. This will disruptions during the re-confi guration involve a systematic and more detailed of existing pipes assessment of identifi ed opportunities. The Government will also work with • diverse ownership of stormwater other tiers of government to fully assets, watercourses and open space develop Adelaide’s and South Australia’s areas. Most urban run-off is generated potential to be world leader in urban on private properties and local stormwater harvesting and reuse. council-owned roads and verges. This highlights the importance of Figure 29 shows potential stormwater establishing partnerships for harvesting project sites identifi ed in the managing stormwater Urban Stormwater Harvesting Options Study, including current and additional • stormwater quality can be highly potential stormwater capture and variable, and catchment water storage sites. quality data is generally limited or not available Challenges for maximising • it would be costly and disruptive for stormwater recycling many small users to retro-fi t Existing stormwater projects occur in infrastructure (e.g. for existing homes) favourable locations and, apart from • unless high-density development is Waterproofi ng Northern Adelaide, have planned to incorporate signifi cant open tended to be individual schemes spaces, irrigation and/or toilet fl ushing rather than part of an overall regional demands may be insuffi cient to justify master plan. the expense of bringing recycled Major stormwater harvesting is being stormwater from other sites for these considered for stage 2 of Water Proofi ng uses alone the South – a staged strategy developed

87 • public willingness to pay for stormwater harvesting, which can be Box 4: Managed Aquifer Recharge (MAR) more expensive than other alternative Managed aquifer recharge is the managed recharge of water to aquifers for water supplies subsequent recovery and use, or for environmental benefi t. MAR can provide • unless stormwater is able to be effective storage of stormwater and recycled effl uent by reducing evaporative ‘banked’ for periods of time in aquifers, loss and providing transport and energy savings. MAR can be used for urban ‘backup’ sources (e.g. from mains and rural irrigation and industrial uses. In certain circumstances MAR water) may be required in dry years to can be used to prevent seawater intrusion or provide environmental benefi t. meet customer demand. (Managed Aquifer Recharge, National Water Commission, February 2009). Stormwater can be captured and treated For stormwater recycling via MAR to contribute signifi cantly to urban water in surface storages (such as constructed wetlands) and, where hydrogeology supplies, planning must provide for suffi cient open space in proximity to is suitable, stored in underground stormwater drainage routes. Also, stormwater recycling opportunities can be aquifers through Managed Aquifer promoted through adopting measures to slow the rate of run-off through, for Recharge (MAR). example, designing ‘upstream’ fl ood storage to enable slow release for

One of the advantages of this technique harvesting downstream, and through ‘water-sensitive urban design’. In the is that it requires considerably less Salisbury Council area, for example, numerous MAR opportunities have ‘footprint’ area than surface storage, and resulted from the construction of urban wetlands that were developed for this is particularly advantageous in urban stormwater quality improvement, fl ow management, and amenity. areas with limited open space. A signifi cant number, although by no means all, areas of Adelaide have potentially suitable for MAR. Subject to • In conjunction with the City of aquifers potentially suitable for MAR, and pre-feasibility and other necessary Onkaparinga, a project in the southern potential may also exist in some other investigations, viable projects will be metropolitan area to store, treat and areas of the State. prioritised for State Government support. reuse stormwater through the creation of an integrated system building on the However, aquifer storage of stormwater In 2009, the Commonwealth Government Water Proofi ng the South strategy (and recycled effl uent) remains an announced changes to the criteria for emerging practice. A suitably cautionary funding stormwater projects under its • Working in the northern metropolitan but constructive approach is needed to $12.9 billion Water for the Future area to increase the stormwater ensure that MAR schemes are built and program. A special call for stormwater capacity established by the previous managed for the long term, and to harvesting and reuse projects was Waterproofi ng Northern Adelaide protect the groundwater systems on strategy, including: made, with funding offered on a 50:50 which they depend. basis, up to a maximum $20 million • a partnership with the City of Constructed stormwater wetlands are Commonwealth contribution per project. Playford to construct a wetland at frequently used, even where open space To be eligible, projects must reduce Stebonheath with associated is relatively limited, to improve demand on potable water, have a capital distribution mains and stormwater quality before aquifer cost in excess of $4 million, and be • a biofi ltration trial at Unity Park in storage. Well-designed wetlands and carbon neutral. partnership with the associated landscaped areas can be Under these criteria, the State developed at a range of scales and are • A project at the Adelaide Botanic capable of providing considerable Government will be seeking funding on Garden managed by Department for community amenity and habitat value. behalf of its partners for stormwater Environment and Heritage to reduce However, being biological systems, harvesting and reuse at the following sites: the reliance of this icon site on the wetlands take time to establish and it may • In partnership with the City of Charles potable water supply be several years before it can be Sturt, a new initiative in the western • A SA Water proposal for an aquifer adequately demonstrated that their water metropolitan area, which takes storage and recovery scheme from quality is appropriate for injecting advantage of the geological suitability existing wetlands and associated stormwater into aquifers. of this area for aquifer storage and distribution mains at Barker Inlet. Catchment management is also includes harvesting and reuse projects Other sites may also be considered, important, particularly for wetland MAR at Riverside Golf Club, Old Port Road subject to further assessment. schemes, as some pollutants can not and Cheltenham, amongst others readily be removed from wetlands. To maximise these opportunities, suitable • A proposal for a stormwater project to open spaces for wetlands to store Additional potential stormwater augment the western metropolitan diverted stormwater need to be harvesting sites in Adelaide have been initiative will be developed at Adelaide identifi ed and reserved for this purpose. identifi ed (Figure 29), many in locations Airport in partnership with SA Water and Adelaide Airport Limited

88 Figure 30 Part 4 Managed Aquifer Recharge (MAR), Aquifer Storage and Recovery (ASR) and Managing our Aquifer Storage, Transfer and Recovery (ASTR) water future MAR can involve several different techniques, with Aquifer Storage and Recovery (ASR) and Aquifer Storage, Transfer and Recovery (ASTR) being two used in South Australia. ASR is the most common technique used in Adelaide. Various sources of water – including treated stormwater and appropriately treated effl uent – can be stored in aquifers for recovery for various uses.

ASR • relatively short aquifer residence time • recharge and extraction point may be the same • designed for non-drinking uses and ‘third pipe’ supplies • better understood than ASTR

ASTR • relatively long aquifer residence time • separate recharge and extraction points • seek to enhance supply quality

ASR: Recharge and recovery well Aquifier Recovery of stored recharge water for use

Confining layer Confining layer

Native Buffer Stored Stored Buffer Native ground Zone water water Zone ground water water Aquifier

Confining layer

ASTR:

Aquifier Recharge Recovery Recovery after a recharge well(s) well(s) suitable period of aquifier storage for additional treatment and use

Confining layer Confining layer Confining layer

Native ground water Aquifier

Water transfer in aqufier

Confining layer

89 Action Action Association has endorsed Complete existing committed stormwater Develop a master plan for effectively recommendations rising from the projects, including Cheltenham Park, to managing stormwater in Adelaide. report. A number of the provide an additional harvesting capacity Include interim milestones recommendations highlight the of almost 12 GL/a by 2013. and water quality targets to support importance of working collaboratively recommendations in the Adelaide with the State Government on water Action Coastal Waters Study Final Report, security, including on matters Subject to Commonwealth assistance and to provide up to 60 GL/a of recycled of stormwater policy, infrastructure in partnership with local government, stormwater, in Greater Adelaide, priorities and funding. The South stormwater harvesting and recycling will by 2050. Australian Government recognises the be underway, including: importance of these recommendations Stormwater management • in the western metropolitan area and will ensure they can be progressed including Cheltenham Park, Riverside Stormwater management in South through actions included within this Plan. Australia is complex and numerous Golf Club, Old Port Road and Adelaide Water Proofi ng Adelaide (2005) included parties are involved, including: Airport an initiative seeking the review and • in the southern metropolitan area, • the Environmental Protection Authority clarifi cation of responsibilities for various building on the fi rst stage of Water functions associated with managing • Natural Resource Management Boards Proofi ng the South stormwater. This included the provision • the Stormwater Management Authority of works, planning, education and • in Playford and Salisbury, creating regulation of water quality. Subsequently, further capacity in the northern area, • local councils in 2006, a Stormwater Management building on Waterproofi ng Northern • SA Water. Agreement was entered into between Adelaide the State and local government and this In the interests of improving all aspects • at the Adelaide Botanic Gardens, and established objectives for stormwater of stormwater management – including management, and specifi ed certain • at Barker Inlet. fl ooding, harvesting and pollution responsibilities and actions required of management – there is a need for Action local councils, the State Government, greater clarity concerning the roles, Work with local government, the the Environmental Protection Authority, responsibilities and actions required Stormwater Management Authority and Natural Resource Management Boards, of these organisations. other stakeholders (including the and the Stormwater Management Commonwealth Government and private Local government has the lead in Authority. As part of its commitment, the enterprise) to identify and develop new stormwater management. Councils own Government also agreed to provide stormwater recycling projects in the and manage much of the infrastructure $4 million a year (indexed) for 30 years to Adelaide region, in line with the fi ndings and open spaces that could be used to the new Stormwater Management Fund. of the Urban Stormwater Harvesting increase South Australia’s stormwater In 2007, State Parliament passed Options Study. harvesting capacity. The State does own amendments to the Local Government a few assets such as the Patawalonga It is appropriate that as part of each Act 1999 that provided legislative gates and Sturt Creek Channel. The region’s water supply and demand backing for those aspects of the State is also responsible for the planning, a regionally-based ‘vision’ for agreement that required statutory installation of stormwater infrastructure stormwater be established to maximise support, including the establishment of associated with major roads. In new the extent of, and benefi ts derived from, the Stormwater Management Authority. land divisions, developers are required recycling stormwater. It is expected, for Importantly, the new measures also to install stormwater infrastructure to example, that Adelaide’s stormwater mean that local councils now develop the requirements of local government. harvesting capacity can be considerably Stormwater Management Plans in increased through a combination of Local government has also long been a a catchment-wide context, with other measures – including constructed strong and vital contributor to water relevant councils, and in consultation wetlands and other treatment techniques, management, and recently with their regional Natural Resources innovative use of groundwater systems commissioned the South Australian Management Board. Centre for Economic Studies (SACES) (through MAR) for temporary storage Local government is responsible for to develop a report on the current of stormwater, and water-sensitive design stormwater fl ood control in the respective and potential future role for wastewater in new developments and signifi cant councils and are required by the in water management across the State. re-developments. Stormwater Management Authority to Local Government’s Current and produce stormwater management plans, Potential Role in Water Management where deemed needed. and Conservation provides contextual information for a subsequent The Stormwater Management Agreement supplementary report and now needs to be reviewed and updated recommendations. The Executive to take account of recent developments, Committee of the Local Government including:

90 • projections of increased urban Stormwater use Part 4 development in growth areas, Stormwater collected off roofs generally Managing our potentially resulting in more contains few chemicals, other than stormwater, that will need to be water future in those areas where the atmosphere is managed affected very heavy traffi c or industry. • increased knowledge of the risks and The quality of rainwater collected in severity of climate change and its domestic tanks may not be as good as impact on water security mains water, but providing systems • increasing community expectations are well maintained, the risk of harmful concerning stormwater harvesting, organisms being present is low. healthy waterways and the protection Stormwater collected off roads on the of coastal environments other hand is very variable in quality. • completion of the Adelaide Coastal It can contain high levels of litter, Waters Study Final Report, which silt and dog droppings and dissolved identifi ed pollutants in stormwater (and chemicals such as detergents, wastewater) discharges along fertilisers, hydrocarbons and heavy Adelaide’s coastline as the primary metals. Pathogen levels also vary causes of signifi cant loss of seagrasses markedly, being highest during the ‘fi rst fl ush’ of the season. Aesthetically • growing local experience with stormwater is generally more turbid managed aquifer recharge, and and coloured than rainwater, but may increasing confi dence that the potential be lower salinity than mains water. to store treated stormwater in Stormwater can be appropriate for: underground aquifers in Adelaide may be considerably greater than • agricultural irrigation previously considered feasible • landscape irrigation

• establishment of the Offi ce for Water • industrial use Security to coordinate overall State Government policy and action on water • recreational and environmental use security-related matters, including • non-potable residential uses stormwater harvesting. (e.g. toilet fl ushing)

In addition, some areas of the 2006 • groundwater replenishment agreement, including those concerning clarity of stormwater access rights, • ‘freshening’ of wastewater for capacity building for water-sensitive subsequent reuse (e.g. to reduce urban design, and funding aspects, salinity levels). require further consideration and focus. Another potential option is to use highly treated stormwater to recharge to an A 2009 report undertaken for the Local aquifer, enabling natural groundwater to Government Association of South be extracted from another part of the Australia has also identifi ed the need to aquifer for treatment for drinking supply. update the Agreement. This would be made possible through a This report, prepared by the South system of stormwater recharge ‘credits’. Australian Centre for Economic Studies, This option also requires further risk recommends a review of the roles, assessment. responsibilities, legislation and funding arrangements of the Stormwater Waterproofing Northern Management Authority. Adelaide solution for the whole metropolitan area Action Work with Local Government to update In late 2008, representatives of the State-Local Government Stormwater the Waterproofi ng Northern Adelaide Management Agreement. Clarify Regional Subsidiary (WNARS) presented the roles of State agencies and local an ambitious proposal to the Government government; reinforce the importance for a major stormwater recycling scheme of collaboration; and strengthen across the whole metropolitan area. governance arrangements.

91 Nonetheless, this is a long-term plan and Box 5: Waterproofing Northern Adelaide we will remain open to the possibility of Waterproofi ng Northern Adelaide, a $100m project due for completion in treated stormwater being used at some mid 2010, is providing major infrastructure to integrate stormwater with other future time for other fi t-for-purpose uses. Potential uses could include some water supplies in the Northern Adelaide Plains. It is a collaboration between industrial applications requiring relatively the Cities of Salisbury, Playford, and Tea Tree Gully, with signifi cant support high-grade non-potable water, or from the State and Commonwealth Governments. Participants also include the residential non-potable uses (e.g. CSIRO and private enterprise. evaporative cooling and laundry use), in The project involves: addition to irrigation and toilet fl ushing.

• capturing and cleansing stormwater from more than 20 constructed urban Through the Premier’s Science and Research Fund, the State Government wetlands has been sponsoring internationally- • groundwater storage, and the recovery and distribution of water for the recognised research of aquifer-based irrigation of public spaces and industrial use techniques for treating stormwater to a relatively high quality. However, additional • construction of major ‘third pipe’ distribution pipelines research is required to adequately • provision of treated stormwater as a substitute for mains water, for irrigation understand the risks, treatment processes and other issues relevant to safeguarding and suitable industrial uses public health. Augmenting public • an aquifer storage, transfer and recovery research trial involving the CSIRO drinking water supplies with highly and others to lead to a better understanding of the ability of groundwater treated stormwater cannot proceed systems to treat injected water to a relatively high quality. without:

The project will also provide a substitute for water currently sourced from • appropriate understanding of the risks, stressed groundwater systems, and enable local aquifers to be recharged. and confi dence that they can be managed Other benefi ts include less stormwater going out to sea through Barker Inlet, • knowledge of signifi cant net public and fewer pollutants affecting Gulf St. Vincent ecosystems. benefi ts, especially when this type of recycling is compared to other available options, such as continued WNARS suggested that its plan could The City of Salisbury also put forward a use of stormwater for non-drinking provide suffi cient supply to eliminate the similar proposal in mid-2008. purposes through ‘third pipe’ systems need to take water from the River Murray The Urban Stormwater Harvesting • strong community support for the for Adelaide’s drinking water supply. Options Study (referred to previously) option. WNARS has an obligation, under the would tend to suggest that the estimated deed of agreement for funding from the At a national level, the Australian yield for this proposal may be high. Commonwealth Government, to Guidelines for Water Recycling have been Analysis of this and other augmentation demonstrate the benefi ts of its project. developed over the past few years. They options are discussed in more detail in The presentation to the Water Security provide a framework for assessing the Part 5 – The future assessment of water Council was developed in accordance public health and environmental risks of projects-a new approach. with that obligation and based on a water recycling schemes. Australian genuine desire to exchange information Stormwater Recycling Guidelines cover a range of water and share best practice knowledge. guidelines sources and uses, including stormwater, sewage and greywater, and they address The proposal involves harvesting up to Recently developed national guidelines the augmentation of drinking water about 100 GL/a of stormwater across provide uniformity for assessing the supplies. Guidelines are also being Adelaide and storing it in underground public health and environmental risks developed for managed aquifer aquifers, from where it would be associated with some uses of recycled recharge. extracted and distributed to customers stormwater, including adding it to via a third pipe network. The plan drinking water. However, there is Action suggests that 37 GL/a of this amount insuffi cient evidence that augmenting Update, by 2010, State water recycling would be used for drinking water. drinking water supplies with highly guidelines to refl ect the Australian WNARS estimated the cost of the plan, treated stormwater is necessary in South Guidelines for Water Recycling, and known as Waterwise, could be $1.6 billion Australia at this time. Also, there is limited include stormwater. over 10 years. data about the range of contaminants in stormwater run-off in urban catchments and this creates uncertainty regarding treatment requirements and costs.

92 Roof run-off Also, roof run-off use will often be greater Part 4 if the tank is connected to a large roof Harvesting roof run-off and collecting it in Managing our area. A review of existing rainwater tank rainwater tanks is one method of using requirements (e.g. the minimum roof area water future comparatively good quality stormwater. It required to promote higher levels of also helps manage site run-off. Since supply) is warranted to determine 1 July 2006, it has been a requirement whether there are additional for most new homes and home opportunities for encouraging the use extensions in South Australia to have a of roof run-off in new developments and rainwater tank plumbed into the home to major re-developments. at least one toilet, to all laundry cold- water outlets, or to a hot water service. The State Government provides a rebate to encourage rainwater tanks to be (Alternatively, homes may use another plumbed into older homes as this retro- water supply, for example stormwater or fi tting can involve considerable cost. recycled effl uent, where available.) Because it is a requirement to Plumbing rainwater systems into homes incorporate a rainwater supply and for such purposes encourages use plumbing (or appropriate alternative) during winter, when most rain falls, into new homes, no rebate is provided as thereby maximising the use and value of no retro-fi tting costs are incurred. The rainwater tanks. In this situation Commonwealth Government and some even small rainwater tanks of around local councils also provide rebates for 1 kilolitre can provide almost as much installing rainwater tanks. supply as those with signifi cantly larger capacity. There are a number of options for connecting rainwater supplies to homes Typically, rainwater tanks will provide that are also serviced by a mains (or more water when used for hot water other) supply. supply, rather than purely for laundry cold-water use or toilet fl ushing. Figure 31 shows one of the most common means for connecting rainwater systems.

Figure 31 Illustration of a method for connecting a residential rainwater supply Source: SA Water rainwater plumbing guide

Roof Water

Rainhead with Leaf Diverter & Mosquito Screen

Mosquito Screened Tank Heated Overflow Flap Valve Water or Fixed Screen Typical Fixtures Service First Flush Device (Optional) Washing Tub Floating Ball Valve Water Level (Optional) Machine

Sludge Valve Toi le t (Optional) Rainwater Zone

SA Water Meter

Dual Sludge Zone pply Check Rainwater Su Va lve Mains W ate r Supply

Check Pump Isolation Legend Va lve Va lve Rainwater Rainwater/Mains Water Diversion Valve Including Mains Water Dual Check Valve

Stormwater Pit Stormwater System

93 Box 6: What sized rainwater tank Tank-connected roof area 50 m2 is required? 30 In areas where rainwater is the sole source of supply, rainwater tanks must be very large to provide for periods of 25 low rainfall and drought. However, where an alternative supply such as 20 mains water is also available, even small rainwater tanks sometimes save almost as much water as large tanks. 15 The size of tank is then often much less important than: 10

• the amount of roof area connected annualAverage supply kL to the rainwater tank. This can be 5 increased by siting the tank near a downpipe that connects a large 0 area of the roof 50 100 150 200 250 300 350 400 450 500 • regularly using the tank water, Daily demand (litres) including in winter, by connecting the tank to an internal supply, such Tank-connected roof area 100 m2 as a hot water service, laundry 60 cold water outlets or a toilet. Typically, connection to a hot water service will provide more water 50 than connection to the laundry or toilet only. 40 The relation between tank size, tank- connected roof area, and demand, 30 for a region with an average rainfall of 450 mm per year, is shown in the fi gures below and right. For a modest 20 connected roof area of 50 m2 (fi gure Average annualAverage supply kL right), a larger tank will typically 10 provide little ‘extra’ rainwater. This is because almost 100 per cent of rain falling on the tank-connected roof 0

area is harvested and used, even by 50 100 150 200 250 300 350 400 450 500 a small rainwater tank. Daily demand (litres) Typical household daily water use Tank-connected roof area 200 m2 (estimate): 90 • Toilet fl ushing – 60 litres per day

• Laundry cold water outlets – 75 100 litres per day

• Hot water supply – 150 litres per day 60 • Combined toilet fl ushing, laundry cold water and hot water – 300 litres 45 per day

• All indoor uses – 365 litres per day. 30 Average annualAverage supply kL 1 kL 15 2 kL 5 kL 10 kL 0

50 100 150 200 250 300 350 400 450 500 Daily demand (litres)

94 Wastewater recycling Key points Part 4

South Australia is a national leader in • South Australia is a leader in Managing our recycling wastewater. About 30 per cent wastewater recycling water future of our wastewater is already reused • Further expansion of wastewater reuse from SA Water’s wastewater treatment is possible in food bowl areas, new plants. The extent of wastewater developments (dual systems) and recycling by local council owned decentralised schemes Community Wastewater Management Systems (discussed later) is also • Use is limited, mainly by lack of winter signifi cant – and increasing. demand, lack of storage capacity and the high salinity of some wastewaters Wastewater is the effl uent water discharged from a wastewater treatment • Wastewater is not considered a suitable facility after it has been treated to reduce resource to recycle for drinking water. its nutrient and bio-chemical load. State Actions and outcomes environmental standards require that disposal of wastewater to the sea and into Outcome rivers be minimised, and this has driven Capability to recycle 45 per cent of water authorities to look for alternative urban wastewater by 2013. disposal options. New actions Given the high level of treatment it Develop State guidelines for greywater undergoes, wastewater is not recycling, consistent with Australian technically a ‘waste’. In fact, it has Guidelines for Water Recycling, many practical uses similar to those by 2010 of recycled stormwater. They include Develop a master plan for effectively irrigation, industrial uses, some managing wastewater in Adelaide, in non-drinking residential uses (e.g. concert with the stormwater recycling garden irrigation and toilet fl ushing), master plan, to ensure optimum use and groundwater replenishment. of both water sources. However further increases in Action under way wastewater recycling will be limited by Complete wastewater recycling projects, suitable markets (low winter demand), including Glenelg to Parklands (open capital cost and water quality (many space irrigation), Blakeview (housing wastewaters are saline). development), Southern Urban Recycling There is no evidence that recycling Project (housing development), by 2013. wastewater for drinking supplies Outcome is needed in South Australia, or would Capacity to recycle 50 GL/a of be more appropriate than recycling wastewater in South Australia, for non- for non-drinking purposes. There is drinking purposes, by 2025. already an established market for using it for irrigation. New action Encourage decentralised wastewater Various wastewaters are also produced recycling schemes in new developments, by industries and other enterprises. in partnership with the implementation A number of these have been taking of the Plan for Greater Adelaide. steps to reduce discharges through recycling. Outcome Capability to recycle a minimum of Domestic scale reuse, for example 75 GL/a of wastewater recycled in South domestic ‘greywater’ (water from Australia, for non-drinking purposes, the laundry and bathrooms that has by 2050. not come into contact with toilet wastewater), is also a potential source New action of water for garden use. Greywater Expand recycling of rural community can be reused in approved ‘permanent’ wastewater management schemes greywater schemes or by ‘temporary’ (council operated) to 12 GL/a by 2050. measures such as manual bucketing of greywater.

95 Discussion centres – about 90 per cent of the Likewise, sewer infl ows to WWTPs vary State’s ‘wastewater’ population. Local seasonally and annually, with lower fl ows Wastewater government is responsible for effl uent during drier years. and some sewage collection, treatment Sewage and industrial discharges are During water restrictions there is a and disposal services for other generated in South Australian homes, further reduction in sewer fl ow due to country towns. industries and businesses. Most sewage reduced water use indoors and outdoors, discharged from properties is managed Recycling from large and increased reuse of domestic in either large wastewater treatment wastewater treatment plants greywater. For these reasons, caution is plants, or by community wastewater required in interpreting annual management schemes. A signifi cant According to a recent national report differences in water recycling rates. The proportion of this is already being Adelaide recycles the highest proportion trend over a number of years provides a recycled. Recycling also occurs on a of wastewater of all Australian capital more accurate indication of the extent of small scale on individual sites through cities. South Australia recycles the recycling. Current projects are expected systems designed to treat septic tank second highest proportion of wastewater to increase the proportion of wastewater wastewater. Greywater reuse is also of any state or territory. Trends in recycled to almost 45 per cent, with relatively common, with the vast majority recycling from SA Water Corporation’s timing dependent upon the rate of growth occurring through activities such as wastewater treatment plants (WWTPs) in demand for the end product. manual bucketing or diverting water from are shown in Figure 32 below. clothes washing machines. Increasing recycling above current The extent of recycling varies from none planned rates involves signifi cant The State Government provides full in some plants, to 100 per cent in others. challenges, and these will require careful sewage collection, treatment and The extent of recycling can also vary consideration. Potential issues for disposal services for metropolitan signifi cantly seasonally, particularly irrigation-demand planning include the Adelaide and the major regional where it is primarily used for irrigation. fact that:

• irrigation is primarily a summer activity, so signifi cant winter demand, Figure 32 or large storage from winter for Trends in recycling from SA Water wastewater treatment plants summer irrigation, will be required (storage options include surface water or aquifers) Metropolitan WWTPs Annual Reuse • high-value crops, such as permanent

40% plantings, have a more limited irrigation season, and limited demand 35% per hectare, than turf and pasture. 30% Water quality is also a key issue, with a 25% number of wastewater treatment plants 20% producing water with salinity levels too 15% high for some potential uses (due to saline infl ows). Wastewater salinity for 10% some South Australian plants is indicated Percent Annual Reuse 5% in Figure 33. Opportunities to improve 0% the quality of sewage entering the plants, 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 improve the quality of treated outfl ows, and ‘shandying’, or blending, with less saline water (e.g. stormwater) require Country WWTPs Annual Reuse consideration. Controlled infl ows of stormwater to sewer systems (where 40% stormwater is available) may also have 35% potential for increasing the quantity, as 30% well as quality, of recycled water for use. 25%

20%

15%

10%

Percent Annual Reuse 5%

0% 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08

96 Figure 33 Part 4 Salinity of local water supply and treated wastewater in SA Water wastewater treatment plants Managing our 2,600 water future 2,400 2,200 2,000 1,800 1,600 1,400 1,200 1,000 800

Total Dissolved Solids (mg/L) 600 Potable water 400 Treated wastewater 200 Saline groundwater ingress is a key factor 0 in recycled water elevated salinity. Bolivar Glenelg Whyalla Millicent Mannum Hahndorf Angaston Myponga Heathfield Mount Burr Naracoorte Birkenhead Nangwarry Gumeracha Port Lincoln Victor Harbor Murray Bridge Christies Beach Christies Port Augusta East Port Augusta West Augusta Port

Box 7: Sewer mining may also provide an opportunity for increased water recycling, by enabling water to be extracted at a specific point in the sewer main for treatment and use. Sewer mining In sewer mining, wastewater is extracted at an appropriate point from a sewer main, then treated, and reused locally. Advantages include:

• treated effl uent is used in the vicinity of existing sewer infrastructure, avoiding the need for distributing recycled water back to the region from a downstream treatment plant

• the opportunity to use better quality (lower salinity) wastewater from parts of the sewer system.

Sewer mining is not appropriate for all locations. Potential for noise and odour mean that a suitable buffer distance is needed between the sewer mining site and adjacent development. Also, because solid waste from sewer mining processes is discharged back into sewers, in some situations there can be a risk of blockages in the trunk sewer.

Case example: Sewer mining in Port Augusta Port Augusta City Council, with assistance from the State Government and SA Water, has developed an innovative sewer-mining scheme, which extracts raw wastewater from SA Water’s sewerage system and treats it to produce recycled water for parks, ovals and its municipal golf course. Other benefi ts of the project include reduced reliance on imported mains water, and reduced discharge of treated wastewater to the marine environment.

The council, SA Water, and private enterprises have combined to use SA Water’s sewerage system, with additional technology, to dewater sewage close to locations where effl uent can be used. The water is regularly tested to ensure it meets guidelines for reuse.

97 In many cases, wastewater recyclers and risks associated with failing septic tank popular during water restriction periods. stormwater recyclers could be systems, thus supporting the There are also a number of ‘pre- competing for the same customers (e.g. development of regional towns. approved’ treatment and diversion Glenelg to Adelaide Parklands) or be systems, for which information is Action able to provide a shandied water product available from the Department of Health. Expand recycling of rural community (e.g. Mawson Lakes). A master plan for wastewater management schemes An understanding of site characteristics, wastewater expansion schemes in (council operated) to 12 GL/a by 2050. including soil type and other factors, are Greater Adelaide would address this risk important considerations for permanent and maximise the opportunity. On-site recycling greywater systems. It is not possible to Action Effl uent can be recycled on-site – for adequately control the quality of Develop a master plan for effectively example, by individual households in greywater, and therefore rules governing managing wastewater in Adelaide, in unsewered areas, and by businesses. permanent system installations need to concert with the stormwater recycling The viticulture industry has taken a take account of site-specifi c factors. master plan, to ensure optimum use of lead in processing and recycling waste. The Department of Health uses the both water sources. Opportunities to build on current water Australian Water Recycling Guidelines in recycling practices can be considered Community wastewater assessing these systems. Another issue as part of regional water supply and management systems is the possibility that permanent systems demand planning. constructed on individual sites might, Community wastewater management Greywater at some time, be built over, either systems are designed to collect, treat, inadvertently or knowingly. This, however, and reuse or safely dispose of primary- Domestic greywater is a potential is not currently taken into consideration in treated effl uent from septic tanks on source of water for garden use. It can assessing greywater systems. individual properties. These systems be used in approved ‘permanent’ provide wastewater services for greywater schemes, with assessments Action approximately 10 per cent of the on a case-by-case basis. ‘Temporary’ Develop State guidelines for greywater population of South Australia via 172 measures (e.g. the manual bucketing of recycling, consistent with Australian individual schemes in 45 council greywater) are also allowed and are Guidelines for Water Recycling, by 2010. districts. Schemes vary in size from small settlements with only about 10 connections, to townships with more than Box 8: Greywater from houseboats of 4000 connections. Approximately Greywater from vessels on the River Murray (e.g. houseboats) has previously 10.2 GL/a of effl uent is produced. been discharged in an untreated state back into the river, adding biological, The recycling of effl uent from local organic and chemical pollutants. State Government regulation via the council community wastewater Environment Protection Authority now requires vessels to contain their management schemes is increasing signifi cantly as a result of the $90 million greywater for pumping into land-based treatment systems. However, in a Statewide Water Recycling Project. This world-fi rst approach, the on-board treatment of greywater and subsequent project, funded by local councils and the discharge back into the river is also now a legal option. This has been Commonwealth Government, will estimated to return 500 ML per year of treated greywater back into the River provide recycled water from Murray at a quality better than that of natural river water. The on-board approximately 60 local council schemes, making available approximately 8 GL/a treatment and discharge option results in more water being returned to the for irrigation of public reserves, school river than the containment/pumping method required in other State ovals, and other suitable uses. jurisdictions. Containment or treatment of greywater reduces environmental

The State Government supports these and public health risks. schemes and, in July 2008, signed a long- term funding agreement with local government, which provides $3.5 million a year (indexed for infl ation) until 2017. It is estimated that this will enable the accelerated rollout of new community wastewater management schemes in nearly 40 townships over the next 10 years. All new schemes will be designed to deliver recycled water for productive uses. The program will also remove the existing environmental and public health

98 Decentalised wastewater Part 4 systems Managing our In South Australia, the approach to water future date has been to have a single sewer network servicing multiple suburbs or whole townships, draining to a large centralised wastewater treatment facility. However, as Adelaide and other major rural towns grow, the cost of connecting new developments at the extremities of the sewer network is becoming increasingly prohibitive.

An alternative gaining favour interstate is to install decentralised sewer networks to serve a single development, and link them to a small-package treatment plant nearby that is capable of providing high quality treated water for local reuse. This type of scheme is likely to be increasingly considered in future within Greater Adelaide and growing regional centres such as Mount Gambier.

Factors limiting the use of inland decentralised schemes include storage capacity for treated wastewater during winter, and odour control. Advances in treatment technology and aquifer storage and recovery may help address these issues.

Action Encourage decentralised wastewater recycling schemes in new developments, in partnership with the implementation of the Plan for Greater Adelaide.

Purple pipes from the Glenelg to Adelaide park lands recycled water project.

99 In the years to come, the true value of this precious resource will become fundamental to how we think about – and use – water. We will all be more careful in many different ways.

100 Part 4 Managing our water future Using and saving water

101 Using and saving water Actions and outcomes By 2010, require SA Water customers using more than 25 ML a year to Effi cient water use is a vital part of our Outcomes complete a water effi ciency plan State’s water security strategy. Using All householders use water wisely water effi ciently and reducing our water following the lifting of water restrictions. Include leak detection in the water needs will minimise the impact on auditing process of the Business Water Greater Adelaide has a target to use existing resources and reduce the need Saver Program 50 GL a year less water in 2050 than to augment supplies in the future. would have been the case without the Work with industry to encourage the Implementation of water sensitive urban actions in this Plan. uptake of stormwater and recycled design principles (water effi cient fi ttings, water for primary production in lieu of recycled water for gardens) to new New actions mains water dwellings, coupled with water-wise Enhance the H OME rebate scheme in behaviours will greatly lessen the draw 2 Irrigation meters will be installed in the on South Australia’s water resources. September 2009 by: Mount Lofty Ranges Prescribed Areas by 2014, once water users are licensed. Key points • including a new $150 rebate for the purchase of a hot water recirculator Actions under way • Managing water use is essential for • modifying washing machine rebates Extend delivery of irrigation effi ciency ensuring healthy, safe and reliable to apply to those with a minimum of programs, such as the Irrigated water supplies, especially during times 1 4 /2 stars Public Open Space program, to all local of low availability councils and schools. Incorporate • an increase in the garden goods • Water restrictions have been effective the identifi cation of opportunities to rebate to $100 on a $250 basket of in reducing demand for reticulated substitute mains water used for goods, which will now include water to allow us to cope with community purposes with fi t-for-purpose rainwater diverters unprecedented water shortages, but water (e.g. recycled water, rainwater will not be a long-term measure • a new $200 rebate for the purchase of and stormwater) approved pool covers and cover rollers • South Australian households reduced Implement a retro-fi tting program to for existing household swimming pools their water use from 328 litres per improve the water effi ciency of publicly- person per day in June 2003 to Support the expansion of the Water owned buildings. Encourage similar approximately 228 litres per person Effi ciency Labelling and Standards water effi ciency measures in buildings per day at present (WELS) scheme to include additional leased by the Government, and in other products and minimum performance private commercial buildings where • We can use less water per person standards for existing products appropriate without necessarily adversely affecting our lifestyle, environment or the Implement the best regulatory Continue SA Water’s program of leak economy approach to mandate swimming pool detection and repair in its metropolitan covers by 2012. and major country town networks and • South Australians consider water to be report annually on progress. one of the most important issues facing Actions under way the State Maintain permanent water conservation Outcome measures when new sources of water The South Australian community has an • Future water security initiatives in the come on line and water restrictions can enhanced level of awareness of water irrigation and industrial sectors need to be lifted issues and has taken actions to address focus on water use effi ciency water issues and save water, such that we Outcome • Savings can be made in the are known internationally as a water- All water users, including industry and government, commercial and industrial sensitive state. sectors through various measures such agriculture, applying best practice water as retro-fi tting existing buildings with use and management approaches. New actions Develop a new water information water effi cient appliances New actions website, with clear and readily accessible Apply permanent water conservation • A better understanding of water issues information on South Australia’s water measures to private bores in urban areas is required by all South Australians so resources, and information to help South from 2010 they can make informed choices about Australians improve water-use practices their use of water. Develop the Urban Landscape Program by the end of 2009 to provide South Australians with the Develop an awards program, including a knowledge, tools and incentives to Premier’s award, to recognise the develop appropriate water-wise gardens achievements of communities, individuals, and landscapes by the end of 2011 schools, businesses, industry and government that are contributing to our future water security by the end of 2011

102 Work with the South Australian By 2013, develop further curriculum Part 4 Multicultural and Ethnic Affairs resources to help lower and middle Managing our Commission to develop targeted water school students learn more about water education programs with the various resources, the water cycle, and what can water future ethnic communities of South Australia. be done to reduce water use. Actions under way Discussion By 2010, expand water education to raise awareness among South Australians of Responsible water use will continue to key water issues through a Water for be an integral part of managing our Good education campaign water security. While most users have responded well to conservation Provide SA Water customers with more measures and restrictions, the State as information on their water bills, including a whole must strive for best practice comparisons with previous use, and use use and management. in similar homes

Table 7 Target reduction in potable water use for user groups in Greater Adelaide, by 2050, through actions in this strategy

Sector Forecast water use Forecast savings by by 2050 without 2050 with demand any demand management management measures (GL/a) measures (GL/a)

Household 242 35

Uptake of water effi cient products (10), expanded WELS (5), Building regulations (8), Landscape garden program (7), Pool covers (2), Education (3)

Commercial and industrial 55 11

Business saver program (3), IPOS (1), Government buildings (5), Leakage management (2)

Agriculture 36 4

Wastewater substitution, metering (4)

Total target water savings 333 50

103 A comprehensive review has been Enhanced Level 2 water restrictions Permanent water conservation measures undertaken of demand management were introduced for all River Murray up until now have only applied to programs interstate and overseas, potable supplies in 2006, to reduce SA Water supplies. Given that they together with an analysis of the relative demand during the drought. Since then, represent good water-use practices, there costs and benefi ts of various demand varying levels of restrictions have been is a case for them applying to other water management measures. As a result, applied elsewhere, depending on sources, in particular groundwater. This a further suite of actions – in addition to region and changing circumstances. would overcome an obvious anomaly those already in place – has been in parts of the State, such as in the South Implementation of the range of initiatives developed. It is estimated they will save East, where both SA Water and private contained in this Plan should, by the end a further 50 GL/a of potable water in bore operators draw from the same of 2012, have ensured that severe water Greater Adelaide by 2050, from a aquifer. In Adelaide, SA Water does not restrictions (greater than Level 2) should pre-water restriction base. Measures use groundwater for its potable supply. not be necessary more than once in include the $24 million rebate package However ensuring this resource is used every 100 years. for household users and, for larger-scale wisely is vital, as any loss would place users – including agricultural, The following permanent water additional demand on the mains supply. commercial and industrial – the conservation measures will, however, In addition, all water sources, including implementation of water effi ciency plans remain in force beyond 2012: the groundwater accessed through and other voluntary measures. bores, should be valued and used wisely. • not watering gardens by sprinkler Quick fact: It is estimated that during designated hours Action Apply permanent water conservation low fl ow showerheads are 20 to • no hosing down of external paved areas 25 per cent more effi cient than measures to private bores in urban areas conventional showerheads. They • washing of car or boat by hose with a from 2010. trigger nozzle can save an average household Reducing water use in and more than 11 kL/a. • dust suppression on building sites by around the home hand-held hose or tanker only. Water restrictions and Responsible household water use permanent water conservation Action involves using water more effi ciently Maintain permanent water conservation measures while meeting domestic, individual, measures when new sources of water lifestyle and amenity needs. Across Australia, most capital cities have come on line and water restrictions can developed, implemented and operated be lifted 63 per cent of mains water is used for some form of water restriction or water household purposes. Water Proofi ng use targets, either due to drought Adelaide in 2005 identifi ed household or demand exceeding system capacity. water use as a key area for savings. These restrictions are temporary with Specifi c strategies were introduced, varying levels of severity depending on including implementing the Water circumstances.

Studies show that while restrictions result Figure 34 in signifi cant water and cost savings Breakdown of how water is used in the home before and after the across all consumer sectors, they also introduction of water restrictions result in additional, longer-term benefi ts. Source: Water Proofi ng Adelaide 2005 and Offi ce for Water Security 2009 Primarily, they lead to changes in consumer behaviour and spur innovation in water-effi cient technologies and 300 methodologies. 250

In South Australia, temporary water 200 restrictions were introduced fi rst on 150

Eyre Peninsula, in 2002. Level 2 water 100 restrictions were introduced for all Kilolitres/annum 50 SA Water customers using water from the River Murray and Myponga 0 Reservoir in July 2003. Permanent water Garden Bathroom Laundry Kitchen Toilet Other Total conservation measures replaced Level 2003 2008 2 water restrictions in October 2003, and applied to all SA Water customers.

104 Effi ciency Labelling Scheme (WELS), Since the inception of the Rainwater Part 4 promoting the Smart Water Mark Tank and Plumbing Rebate Scheme Managing our scheme, regulating the installation (1 July 2006), more than 6000 rebates – of rainwater tanks, investigating worth $3.9 million – have been granted. water future ways to make new homes more water Rainwater tanks offer many benefi ts, effi cient, and promoting water including reducing annual water conservation through education and bills through decreased mains water conservation programs. consumption and mitigating the effects of water restrictions on lifestyles. South Australians have reduced their The increase in rainwater tank annual water consumption from 280 kL installations indicates that householders per property in June 2003 are willing to bear some costs in order (Water Proofi ng Adelaide 2005) prior to maintain their ability to use water. to water restrictions to 193 kL per This has been further boosted by the property in June 2008 (SA Water $250 million National Rainwater and Annual Report 2008). Greywater Initiative.

Not surprisingly, the majority of savings The rebate on water-effi cient washing have come from a reduction in outdoor machines has also been popular. They water use. Nevertheless, incremental can save between 70 and 170 litres of savings have also been achieved within water per load, or the equivalent of up to the home through the greater use of 20 kL/a per household. Over 62,000 water-effi cient fi ttings and the adoption rebates have been claimed since of water-saving behaviours. rebates began in 2008. The demand is such that the marketplace now only offers The H OME Rebate Scheme 2 water effi cient models. Consequently, the A $24 million rebates package rebate will be modifi ed to apply to water introduced by the State Government in 1 effi cient washing machines of 4 /2 stars November 2007 has helped and and above. encouraged households to reduce water consumption both inside and outside. Overall, South Australians have embraced Ongoing uptake of water effi cient the various rebates available, and a total appliances and products such as those of more than 91,000 have been granted. Table 8 outlines the uptake of the rebates supported by the H2OME Rebate Scheme through to 2050 would result to June 2009. in water savings of about 10 GL/a from the residential sector.

Table 8 Rebate uptake in South Australia (as at 1 June 2009)

Rebate Number granted since Approximate 1 November 2007 value

Garden goods 12509 $625,430.00

Showerheads 5986 $170,261.39

Washing machines 62245 $12,448,116.55

Dual-fl ush toilets 5575 $839,821.45

Rainwater tanks 4743 $3,311,194.84

Home water audits 47 $4,644.75

Total 91105 $17,399,468.98

105 Building on this success, the existing Swimming pools New minimum water effi ciency standards rebates package will be revised over the Swimming pools are a lifestyle choice for will be set for clothes washing machines, coming years and consumers will be around eight per cent of South Australian taps, dishwashers, combination washer/ offered targeted incentives to reduce households. They can also be large water dryers, showers, urinals and other water use in and around the home. users – losing up to an estimated 60 kL products. The minimum standards for of water each year from evaporation toilets will be raised. The enhancements will include: alone if a pool cover is not used. Action • a $150 rebate for hot water South Australia has a relatively low Support the expansion of the Water recirculators which, when attached to number of swimming pools compared to Effi ciency Labelling and Standards internal hot water pipes in the supply other states and territories; however, the (WELS) scheme to include additional line ahead of device outlet points (such proportion of households with pools is products and minimum performance as showerheads), divert water below growing – doubling between 2001 and standards for existing products. a pre-set temperature back to the hot 2007. As the population grows and water tank so that wastage of cold temperatures increase, more households Improving water use efficiency water is avoided are likely to want a pool. in new homes Since 1 July 2006, South Australian • rebates up to $100 on a $250 basket of Pool covers can signifi cantly reduce building regulations (Regulation 83A of outdoor goods, including rainwater water loss from evaporation, if used the Development Regulations 2008) have diverters (The current rebate is $50 on correctly. If all pool owners used a required new dwellings and extensions, $150 worth of goods) cover, an estimated 2 GL/a could be or alterations greater than 50 square • rebates for garden water effi ciency saved by 2050. metres, to include an additional water assessments, water effi cient advice and Under enhanced level 3 water supply to supplement the mains water. landscape plans after water restrictions restrictions, pool covers are required in (Some remote towns are exempt from are lifted order to obtain a permit to fi ll a pool. this requirement.)

• a rebate of $200 for the purchase of Action Installing a rainwater tank is the most approved pool covers and cover rollers Implement the best regulatory approach common way of complying with this for existing household swimming pools to mandate swimming pool covers requirement, however other approaches by 2012. (e.g. third pipe recycled water) are also Quick fact: Hot water recirculators acceptable. Rainwater tanks must have an Water Efficiency Labelling and can be installed in new homes and overfl ow device, and a mosquito-proof, Standards Scheme (WELS) retro-fi tted into existing properties non-degradable screen to protect the National mandatory water effi ciency for approximately $1000. They water quality. The additional water supply labelling and standards (WELS) were can save up to 45 litres per day. must be plumbed to a toilet, to a water introduced in South Australia under the heater or to all cold-water outlets in the Action Water Effi ciency Labelling and Standards laundry of a new or altered home. Enhance the H2OME rebate scheme in Act 2006. All showerheads, washing September 2009 by: machines, toilets, dishwashers, urinals In addition, shower outlets connected to and some types of taps must now a new or replacement water heater need • including a new $150 rebate for the be WELS labelled. The WELS scheme to be water effi cient. purchase of a hot water recirculator also sets minimum water effi ciency As the per centage of houses fi tted with • modifying washing machine rebates to standards for toilets, and encourages these water saving devices increases apply to those with a minimum of voluntary water effi ciency labelling on 1 (new homes and redevelopments), 4 /2 stars fl ow-control devices. permanent water savings of up to 8 GL/a • an increase in the garden goods rebate The introduction and expansion of the could be achieved by 2050. With a to $100 on a $250 basket of goods, H2OME rebate scheme will accelerate forecast additional 260,000 homes to be which will now include rainwater the uptake of WELS labelled water constructed in Greater Adelaide by 2050, diverters effi cient products. the opportunity exists to greatly increase the proportion of water effi cient homes. • a new $200 rebate for the purchase of Following its initial success, WELS is now approved pool covers and cover rollers being expanded to include additional for existing household swimming products, and minimum performance pools. standards for existing products are being introduced. New products being The current rebates program is funded investigated for the scheme include: until 2010-11. • evaporative air-conditioners • instantaneous gas hot water systems • domestic irrigation controllers • hot water recirculators.

106 Urban Landscape Program To support these initiatives, SA Water, in Part 4 Many South Australians highly value their partnership with Irrigation Australia and Managing our gardens and are feeling the impacts of Horticulture Australia, is investigating ongoing dry conditions and resultant further measures to increase the water future water restrictions. Some households have effi ciency of outdoor urban water use. replaced plants with more water effi cient Action species, others are using alternative water Develop the Urban Landscape Program sources, such as groundwater, rainwater to provide South Australians with the and greywater to maintain the garden. knowledge, tools and incentives to As well as providing rebates for water- develop appropriate water-wise gardens effi cient garden goods, the South and landscapes by the end of 2011. Australian Government is working closely with the nursery industry and ‘Water for Good’ education has introduced a range of ongoing program community education initiatives to Improving the effi ciency of how we use encourage the wise use of water in the water, with the aim of reducing garden. These existing initiatives are consumption, is critical to ensuring a estimated to reduce domestic water water-secure future. All South Australians use by 7 GL/a by 2025. will need to use water wisely in both wet Many South Australians have looked at and dry periods. Improved education alternatives to the traditional garden style and community involvement will be – in particular, seeking water-wise essential to support the range of alternatives to large lawn areas. measures to reduce water use outlined in Decisions to replace lawn areas need to this Plan. A Water for Good education be seen in light of the many costs and program will: benefi ts that lawns can bring and are • raise awareness and improve largely a personal choice. In the future, a understanding of water supply and range of options will be explored as part demand issues of a holistic approach to gardening in urban landscapes. It has been estimated • provide tools and information to enable that if Greater Adelaide replaced a all South Australians to make wise signifi cant proportion of domestic lawns choices about water effi ciency with alternatives, more than 10GL/a could • support and recognise individual be saved by 2050. efforts to reduce water use.

Quick fact: The SA Water Creating a sustained and long-term Mediterranean Garden at the commitment to reducing water use will Adelaide Botanic Garden require all South Australians to have a demonstrates how careful plant relatively high level of understanding of selection and thoughtful garden water issues and the capacity to make design can create stunning garden appropriate behaviour choices. Such displays and use water wisely. behavioural change should lead to water savings. While diffi cult to An Urban Landscapes Program will be quantify, a modest 5 kL/a saving by developed and is likely to include: every household in Greater Adelaide would save 3 GL/a by 2050. • accreditation and training for landscapers and the garden industry in Action water-wise garden planning By 2010, expand water education to raise awareness among South • a website for planning a water-effi cient Australians of key water issues through garden a Water for Good education campaign. • awards for water-wise gardens

• demonstration gardens in new housing developments and existing homes

• a community education campaign.

107 Improving the community’s Programs such as Waterwatch, Frog Working with ethnic and understanding of water issues Census and WaterCare have been Indigenous communities popular with many schools for a number A critical component of improving our South Australia’s population is of years. The regional Natural Resources understanding of water issues and having characterised by a great diversity of Management Boards continue to support the ability to make informed choices is languages spoken, systems of belief, these programs, as well as others, as access to accurate, sound information. culture and family types. Approximately part of their education focus. All South Australians need easy access one in fi ve South Australians was born to information about their local water More recently, many schools have overseas, with about half of this group resources, their own water use and what participated in the Australian Sustainable born in countries where English is not they can do to be water effi cient. Many Schools Initiative (AuSSI). This is a the dominant language. government and non-government partnership between the South Australia’s indigenous people have agencies offer a wealth of information, Commonwealth, state and territory extensive localised knowledge of the however, it is often diffi cult to obtain. governments, and it aims to help land and water. We will continue to work A water information website, with links to schools and their communities become with them to make the best decisions other useful sites, will be developed as more environmentally sustainable. about our water resources. part of the Water for Good education AuSSI involves participants in a whole- campaign. of-school approach, and gives them Many of our residents were born in parts of the world where the climatic Action real-life learning experiences through conditions, including rainfall patterns, Develop a new water information exploring improvements in their meant that extensive watering was not website, with clear and readily accessible school’s management of resources and needed to maintain their gardens of information on South Australia’s water facilities, including energy, waste, water, choice. It is important that information resources, and information to help South biodiversity, landscape design, about wise-water use in homes, gardens Australians improve water-use practices products and materials. and industries is accessible and relevant by the end of 2009. SA Water is also active in supporting to all members of our diverse community. The National Water Initiative includes a and educating school students. The Among the groups from non-English number of reforms aimed at increasing SA Water Learning Centre and the speaking countries, the largest water effi ciency in urban areas. One 2009 School Education Program help to communities in the State comprise those relates to the development of national educate students about water issues. born in Europe and Vietnam. The most guidelines for customers’ water accounts. More needs to be done to develop common languages spoken here other SA Water will be introducing a new appropriate, useful resource materials. than English are German, Greek, ‘Smart Bill’ from mid 2009. These Action Vietnamese, and Chinese. There has improved bills will provide information By 2013, develop further curriculum been, and will continue to be, changes to which will allow customers to make resources to help lower and middle the make-up of languages spoken in more informed choices about their school students learn more about water South Australia, with Hindi (India) rising water use in and around the home. They resources, the water cycle, and what by 105 per cent, Mandarin Chinese by will include information about water and can be done to reduce water use. 127 per cent and Korean by 210 per cent. about services provided by SA Water, a breakdown of daily water consumption, and a comparison with similar Box 9: SA Water’s Learning Centre households. In addition, quarterly billing The Learning Centre, launched in early 2009, is an interactive learning facility will be introduced to give SA Water located in SA Water’s sustainable building in Victoria Square, Adelaide. The customers more timely information centre has been designed to create an inspiring space for learning about water about their water use. and it uses the latest interactive technology. It aims to provide programs and Action events that help improve the community’s water literacy. Provide SA Water customers with more information on their water bills, The centre is a fl exible, multi-purpose space that encourages all visitors to learn including comparisons with previous in a fun and interactive way. It can be used for professional seminars and use, and use in similar homes. community presentations, through to school education programs and exhibitions.

Schools Special design features include:

It has been long recognised that • interactive fl oor (touch-sensitive digital fi sh pond) educating our school students about water issues is critical to achieving long- • touch screen technology term changes in community • fi sh tanks displaying native freshwater fi sh, including live Murray Cod and understanding. the endangered Purple Spotted Gudgeon, and promoting the need to conserve them.

108 As a result of the diversity in culture and Reducing water use by Part 4 languages spoken, many parts of our commercial and industrial Managing our community are not exposed to businesses mainstream communications about water water future issues and this limits their ability to The Business Water Saver Program effectively reduce water use. In response – water efficiency planning to these challenges, SA Water prepares Commercial and industrial users include information in various languages and is manufacturers, retail traders and offi ce currently developing programs for new buildings, 80 per cent of which are migrants and Aboriginal communities. located in and around Adelaide. The manufacturing industry contributes more Successful programs interstate have than $6.6 billion a year to the State’s engaged ethnic communities and economy (2001-02 ABS). reduced their water use. The example in Box 10 below provides an example of a Commerce and industry uses successful program targeting ethnic approximately 15 per cent of the total communities across Sydney. The most mains water consumed – about 31 GL/a successful programs interstate have been (SA Water 2005-06). Approximately developed by government agencies and 10 GL/a of local groundwater is also used local community leaders, in partnership. (DWLBC 2006), most notably by large industry (3.7 GL/a), small-to-medium Targeted programs using local leaders, industry (2 GL/a) and golf courses indigenous leaders and focusing on (1.9 GL/a). It is important that these local events and ethnic media, will be groundwater resources be sustained for developed in partnership with the South more than their environmental value, Australian Multicultural and Ethnic should they no longer be available, Affairs Commission. another 10 GL/a would have to be found from the potable system. Action Work with the South Australian Multicultural and Ethnic Affairs Commission to develop targeted water education programs with the various ethnic communities of South Australia.

Box 10: NSW ethnic communities Home Water Action Program The Home Water Action Program is a joint initiative between the Ethnic Communities’ Council of NSW, the NSW Department of Water and Energy, the NSW Department of Environment and Climate Change, and Sydney Water. The Project is training 18 bilingual educators to deliver Home Water Action planning workshops and events, and recruit water ambassadors within the Arabic, Cantonese, Greek, Italian, Korean, Mandarin, Macedonian, Spanish and Vietnamese communities. This program builds on the water education component of the Ethnic Communities Sustainable Living Project, which delivers culturally appropriate education for sustainability within the eight largest ethnic community groups in the Greater Sydney area.

The 18 bilingual educators are delivering workshops and training sessions, in appropriate languages, to more than 1000 residents within their community groups. The workshops are based on the Home Water Action Educator Kit and focus on developing action plans and conserving water within the home. The educators encourage and demonstrate behavioural changes that can result in a reduction in the consumption of potable water within the home. Bilingual participants are also invited to take on a voluntary role as ’water ambassadors‘. To date, 45 water ambassadors are helping to deliver the program to a wider audience within their communities. An educator’s resource kit is also being developed and will be made available for other community educators to encourage adaptation and implementation of the program.

109 Recent analysis suggests industrial The Business Water Saver Program will • installing water-effi cient technologies, and commercial users can still cost- continue, and its auditing and water appliances, fi ttings and devices effectively reduce overall water use by effi ciency plan requirements will be (e.g. fl ushing devices, fl ow controls and approximately 10 per cent (about 3 GL/a) extended, by 2010, to include users waterless urinals) through a number of measures – consuming more 25 ML/a. The program • installing water usage monitoring and although the main need, given the will also include leak detection audits. reporting devices importance of this sector to economic Large water users will be encouraged to prosperity, is to ensure that any install sub-metering devices so they can • controlling contaminated run-offs from water that is used, is used effi ciently. identify exact consumption within site works (e.g. car parks). different areas of their operations, set Saving water can reduce costs and Measures have recently been alarms for high use, and identify leaks. improve economic, environmental and implemented to improve energy and Smart metering – continuous and remote social sustainability for everyone. water effi ciency in public buildings using reading of water use – will be expanded SA Water developed the Business Water the NABERS (National Australian Built in this sector. Saver Program in 2007 as part of the Environment Rating System) energy and Water Proofi ng Adelaide initiative and Smart or advanced metering is a new water-rating tool as a guide. A fi t-out delivers on-site water effi ciency audit way of measuring and managing energy guide for buildings makes specifi c programs to large industrial users. and water use. It involves two important reference to water saving initiatives and Customers who use more than 50 ML/a elements: a meter that is able to capture the Water Effi ciency Labelling and have been required to participate. usage information over short time Standards scheme. intervals, typically 30 minutes or less; The Government is also a major tenant Industrial and government users of over and a communication system, preferably of privately-owned buildings in South 50 ML/a have been required to prepare a two-way, that can transmit the usage Australia. A standard form of ‘green lease’ water effi ciency plan that identifi es where information to the service provider in is being developed and this will set they can make savings in any area of real time and receive control instructions. minimum water and energy effi ciency their operations where water is used. It not only provides useful data on usage requirements for buildings the Businesses using less than 50 ML/a can patterns but can also help detect leaks. Government completely or partially also access assistance to improve water To date, smart metering has not leases. effi ciency through the program. It also been introduced into South Australian helps commercial and industry sites fulfi l The new SA Water House in Adelaide households but, given its success in the their Trade Water Effl uent Improvement sets the benchmark in environmentally energy sector, the Government is Program requirements and water sustainable design. It is the fi rst building undertaking trials of ‘smart meters’ in the effi ciency audits are also conducted at in SA – and the largest commercially Adelaide metropolitan area. The high schools using more than 2 ML/a. developed building in Australia – to be cost of smart metering may limit their awarded a 6-star Green Star Offi ce As at March 2009, more than 939 water introduction to large water users. Design rating from the Green Building effi ciency plan audits had been Action Council of Australia. completed, involving 69 businesses, 527 By 2010, require SA Water customers schools and 343 Government agencies. The building has a minimum of 4-star using more than 25 ML a year ratings on taps, toilets and waterless to complete a water effi ciency plan Water savings in the order of up to urinals, uses 70 per cent less mains water 10 per cent could be achieved, and Action than conventional offi ce buildings, uses SA Water will continue to work with these Include leak detection in the water recycled water and rainwater for toilets. customers to reduce water use further. auditing process of the Business Water In line with the ecologically sustainable Saver Program. principles outlined above, the Quick fact: Commercial and Greening of Government buildings Government will introduce a retro- industrial users can save water by fi tting program for all publicly-owned repairing leaks, improving the State Government building management is guided by ecologically sustainable buildings, where appropriate. effi ciency of cooling towers (which Measures will include: use up to 40 per cent of a building’s development principles. With respect to water) and recycling fi re system water, this means: • meter installation, including sub-meters if applicable water, stormwater, greywater • implementing water-effi cient and rainwater. landscaping design and irrigation • use of fl ow-controlled showers and taps systems • installation of dual smart fl ush toilets • considering innovative stormwater and, where technically feasible, management and reuse technologies waterless urinals

• using innovative wastewater • rainwater harvesting to supplement minimisation and reuse technologies toilet fl ushing and/or outdoor water use, where technically feasible • water-effi cient landscaping.

110 It is estimated that this retro-fi tting Nearly half of all South Australian councils Part 4 program for all publicly owned buildings (46 per cent) also participate in the ICLEI Managing our could save up to 5 GL/a by 2025. – Local Governments for Sustainability Water Campaign. Through which they are water future Action reducing their water consumption and Implement a retro-fi tting program to improving local water quality. improve the water effi ciency of publicly- owned buildings, and encourage similar Action water effi ciency measures in buildings Extend delivery of irrigation effi ciency leased by the Government, and in other programs, such as the Irrigated Public private commercial buildings where Open Space program, to all local appropriate. councils and schools. Incorporate the identifi cation of opportunities Improving water use efficiency to substitute mains water used for in public spaces. community purposes with fi t-for-purpose Approximately 25 GL (13 per cent) of water (e.g. recycled water, rainwater all mains water consumed in Adelaide and stormwater). is used for public purposes, including Reducing water supply system public buildings, universities, schools, losses public parks and gardens, sporting grounds, places of worship and South Australia has over 25,000 km of hospitals. The majority of this water water mains, 8,600 km of which is located is used to maintain amenity, in metropolitan Adelaide. Water for particularly in parklands, open spaces Adelaide is collected from the Adelaide and gardens. A signifi cant amount of Hills catchments by a series of 10 water is also taken from groundwater reservoirs that are supplemented by or surface water resources for transfers from the River Murray via two community purposes. Improving water major pipelines. The water is transmitted effi ciencies, including using to eight water treatment plants, and alternatives such as recycled water, supplied to customers via a distribution could reduce the demand on these network. resources. Of the total water used for It is estimated we lose about 7 per cent public purposes, the irrigation of parks, of the water supplied from our gardens, ovals and sports fi elds metropolitan system each year. In accounts for approximately 15 GL/a. addition, up to 14 GL evaporates In March 2008, the State Government annually from the surfaces of water introduced the Code of Practice for supply reservoirs in the Adelaide Hills, Irrigated Public Open Space (IPOS). depending on the water levels in the IPOS provides the tools and reporting reservoirs and climatic conditions. models to implement best practice irrigation management in the provision SA Water detects and repairs leaks on of open spaces such as sports fi elds, an ongoing basis. In 2005-06, it parks and reserves. Approximately recorded the lowest water loss per 56 per cent of South Australian councils connection of all major capital city water have indicated that they implemented utilities. It is nevertheless seeking to IPOS, which has resulted in up to further improve its record and recently 30 per cent water savings for began an $8 million project to detect participating councils. IPOS will be leaks within the metropolitan Adelaide reviewed and expanded to encompass region. The project will run to 2010-11 all local councils and schools, and and seeks to achieve savings of include the identifi cation of between 1 and 5 GL once identifi ed opportunities to substitute mains water leaks are repaired. For the longer term, with alternative water sources. A further it has 25-year plans for mains 1 to 3 GL/a is expected to be saved replacements, using models based on through this initiative. There are many asset lives and burst history. viable alternatives to traditional lawn in public spaces, which, in most cases, Our challenge is to continue to reduce could save water and reduce the costs of any system losses and ensure all water maintenance. is properly accounted for.

111 Action have already contributed to water • Financial assistance to upgrade the Continue SA Water’s program savings and increased production across irrigation meters in the Central of leak detection and repair in its much of the State, particularly in the Irrigation Trust system in the metropolitan and major country Riverland. Riverland to state-of-the art magnetic town networks and report annually fl ow meters Legislative provisions exist to improve on progress. water effi ciencies in the agricultural and In the rural sector generally there will Agricultural water use horticultural sectors. Water Allocation be a shift towards highly effi cient, best Plans (WAPs) and licences can specify practice irrigation, using water for its Irrigation in South Australia certain levels of effi ciency. Training, highest value purposes. There is likely The gross value of agricultural such as irrigation management courses to be a gradual restructuring of the production in South Australia in 2005-06 provided through regional Natural industry as a result. The availability of was approximately $3.5 billion. This Resources Management Boards, also recycled water will provide additional represents approximately 11 per cent of helps to improve irrigation practices. sources of water for existing practices, the total gross value of Australian The completion of WAPs across and make possible the development of agricultural production. South Australia will continue to achieve new enterprises. The value of water will In a normal year, agriculture is by effi ciencies in water use. gradually increase, forcing increased far the largest user of water in South effi ciencies and higher-value uses. The South Australian and Commonwealth Australia and even relatively small Governments have initiated a range Primary production within the savings in this sector can result in of strategies across the State to help the Greater Adelaide area currently uses signifi cant water savings. In 2006-07, agricultural sector become more approximately 36 GL/a of mains water. approximately 75 per cent of South effi cient. They include: Already extensive use is made of Australia’s water – 1034GL (source ABS) recycled wastewater in the Virginia and – was used for primary production. • An irrigator toolkit which includes McLaren Vale horticultural areas, and This reduced to 933GL in 2007-08. an extensive collection of local it has provided a reliable source of information and tools from interstate In South Australia, there are nutrient rich water for these important and overseas to help irrigators use approximately 6500 irrigators, and food bowl areas. their water resources more effectively, 201,000ha of irrigated land. and to nurse plants through the As stormwater and recycled wastewater Signifi cant agricultural industries current dry conditions become increasingly available to irrigators within the Greater Adelaide include wine grapes, orchards, • Assistance packages to dairy farmers area, there will be an opportunity to vegetables and farm forestry, as well as on the Lower Murray swamps, reduce the amount of potable water dairying, livestock, poultry, commercial between Mannum and Wellington, used by these irrigators. It is estimated fi sheries and freshwater aquaculture. to enable some properties to be that the use of recycled water by this rehabilitated and others to be taken Climate change, increased salinity sector could reduce demand on potable out of production. The aim is to and reduced river fl ows pose major water resources by up to 10 per cent. challenges and costs for the State’s improve irrigation effi ciency by up agricultural producers and their to 64 GL; signifi cantly improve the As a further means of assisting communities, particularly in the quality of drainage water; and irrigators to improve on-farm effi ciency, River Murray corridor. facilitate reuse. Most properties have water meters will be installed in the received funding approval and prescribed catchment areas in the The Garnaut Climate Change Review rehabilitation work is well under way. Mount Lofty Ranges. 2008 estimated that, as a result of climate About 4000 hectares have already change, unchanged practices in the been rehabilitated. The project has agriculture sector would lead to the loss facilitated signifi cant restructuring of of half the irrigated output from the the local dairy industry through Murray-Darling by 2050. The formidable improved on-farm layouts, accurate challenges involved in turning this metering, and the retirement around have already generated intense of 20 per cent of the irrigated area community discussion. from production

The ability to extract more water in • Rehabilitation of pastoral bores in many existing agricultural areas the Great Artesian Basin is improving is limited, with most water resources the effi ciency of water used for being used at or above their sustainable pastoral purposes. It is reducing water limit. Agricultural improvements, such wastage and improving artesian as improved irrigation effi ciencies pressure and practices, and improved land uses,

112 Action Part 4 Work with industry to encourage the Managing our uptake of stormwater and recycled water for primary production in lieu water future of mains water

Action Irrigation meters will be installed in the Mount Lofty Ranges Prescribed Areas by 2014, once water users are licensed.

Rewarding effort and achievement

It is important to celebrate our achievements and good practices in water management. The Government will introduce statewide water awards to recognise the efforts of industry, business, communities, schools, local government and individuals who are making a contribution to securing our future water. Such awards could be promoted through the existing peak industry bodies.

Action Develop an awards program, including a Premier’s Award, to recognise the achievements of communities, individuals, schools, businesses, industry and government that are contributing to our future water security by the end of 2011.

113 In the preparation of Water for Good, a high-level theoretical study was conducted to identify those types of supply options likely to be the most economic and sustainable in meeting the growing water needs of Greater Adelaide to 2050.

114 Part 5 The future assessment of water projects – a new approach

115 Part 5 Sustainability Guidance from government agencies assessment approach and the latest peer-reviewed studies were The future used to select the range and base-case In the preparation of Water for Good, values for key parameters. The key assessment of a high-level hypothetical study parameters – and their base-case values was conducted to identify those types – included: of supply options likely to be the water projects – most economic and sustainable in • an explicit monetary value for water meeting the growing water needs of which represents its value to society, a new approach Greater Adelaide to 2050. not the price that consumers pay. This includes a use value, option value This sustainability assessment and ecological services values – complements traditional fi nancial base-case value $5 per kL analyses by explicitly including the • the value of marine ecosystems, life-cycle costs and benefi ts of impacted or protected environmental and social externalities. While similar approaches have been • energy-cost escalation – base-case applied for water investment decisions value 2 per cent real per annum in other States, this is the fi rst analysis • the value of greenhouse gas emissions in Australia based on a triple bottom to atmosphere – base-case value line assessment at a strategic water $23 per tonne, with 2 per cent real policy level. This assessment will help per annum escalation South Australia lead the nation in shaping a more sustainable future in • social discount rate – base-case value water planning. 4 per cent real per annum.

The WorleyParsons EcoNomicsTM While the high-level study assessed Assessment was selected as the supply options for Greater Adelaide, the methodology for considering the costs and benefi ts were assessed fi nancial, social and environmental in the context of the Australian economy implications of various hypothetical as a whole. options. It provides a basis for Hypothetical supply options quantifying, in present value monetary considered terms, the economic sustainability of a course of actions in a common unit, Many options are available for adding and allows their overall importance to to Greater Adelaide’s water supply. decision-making to be seen in a clear Some pose an unacceptable risk to our and understandable way. health or the environment and others are simply not viable or practical at this The methodology also allows stage. Several broad categories, comprehensive sensitivity analysis to however, warrant further exploration. examine the environmental, social They include desalination, purchasing and economic viability of each option, Murray-Darling Basin water, increasing over a wide range of possible future storages, various recycling alternatives, conditions. A sustainability assessment and demand management. ranks the options, in terms of overall security and susceptibility to changes in For the purposes of this high-level the values of key parameters, for which study, nine hypothetical strategic absolute future values are uncertain. options were identifi ed and their relative socio-economic net present value was evaluated.

116 Table 9 Hypothetical supply options to acquire up to an additional 50GL/a

Option Description Estimated average annual yield

Desalinated water

Adelaide Desalination Plant Double capacity of the Adelaide Desalination Plant from 50 GL/a to 100 50 GL GL/a and enhance interconnectivity of water supply network. Powered by sustainable energy sources.

Murray-Darling Basin water

Permanent water Purchase 100 GL of permanent Murray-Darling Basin water to guarantee 50 GL 50 GL in all years and enhance interconnectivity of water supply network. Assumes average 50 per cent water allocation across the water entitlement portfolio. Powered by sustainable energy sources.

Temporary water Purchase 50 GL of temporary Murray-Darling Basin water annually 50 GL and enhance interconnectivity of water supply network. Assumes costs escalate at 3.5 per cent real per annum. Powered by sustainable energy sources.

Recycled water

Greenfi eld stormwater Localised recycling of stormwater for non-potable use via aquifer storage 4 GL and recovery (ASR) and a third-pipe network to homes and businesses in new developments.

Greenfi eld wastewater Localised recycling of wastewater for non-potable use via aquifer storage 4 GL recycling and recovery (ASR) and a third-pipe network to homes and businesses in new greenfi eld developments.

Brownfi eld stormwater Harvesting of stormwater for non-potable use at multiple sites and 50 GL recycling via ASR and a third-pipe network to supply existing homes and businesses (retro-fi tting required).

Large-scale stormwater Three large-scale stormwater harvesting schemes with transfer of 20 GL wetland and ASR treated water to a metropolitan reservoir for further treatment to potable standard. Includes enhanced interconnectivity of water supply network. Powered by sustainable energy sources.

Additional storage

Mount Lofty Provision of substantial additional storage in the Mount Lofty Ranges with 200 GL Ranges storage initial fi ll to be provided by temporary water purchases over 3 years. Includes enhanced interconnectivity of water supply network. Powered by sustainable energy sources.

Demand management

Enhanced demand New demand management initiatives that achieve 50 GL by 2050. Does 25 GL management not include water restrictions. Includes rebates, water saving devices and community education.

These hypothetical options deliver The assessment is based on an varying maximum yields over different average estimated demand in Greater time periods. In comparing them, it is Adelaide of 216 GL a year. This refl ects useful to use average annual yields over expected demand if only permanent the 40-year period and to compare water conservation measures socio-economic net present values on a were enforced i.e. in the absence per-unit basis ($/GL). of water restrictions.

117 Supply options not considered The remaining suggestions are the net present value of the direct problematic, either because the amount costs and benefi ts to a water supplier. Over the years, many proposals for of water they would yield cannot Therefore, they do not necessarily securing Greater Adelaide’s water currently be verifi ed, or because the refl ect the price per kL that customers supplies have been put forward. Those technology to implement them does not would pay for water. commonly raised are listed below. yet exist, or has not been proven. Demand management Although theoretically feasible, these Technological advances and changing options are uneconomic, still in requirements will emerge and, Demand management – specifi cally the development or have major social or as part of the adaptive management suite of initiatives outlined in detail in environmental implications and have framework, will be assessed. Part 4 - Using and saving water – clearly therefore not been considered in proved to be the best method of preparing this Plan. Sustainability achieving long-term water savings in A number involve transporting water assessment findings Greater Adelaide. Demand over long distances, which is extremely management, particularly when The Worley Parsons modelling was expensive, both in terms of up-front combined with active public education applied to the nine options outlined in capital costs and ongoing operating efforts, consistently delivers the best Table 9 to determine those that costs. The unit cost of water would be overall environmental, social and consistently delivered the better overall high when compared to the options economic return for society, under all environmental, social and economic selected for the assessment. future conditions tested. Individual return for South Australia. The fi ndings initiatives within the suite vary widely In other instances, the options are not in are refl ective of the assumptions chosen on the basis of cost per kL saved, for these options and the base-case line with important policy positions implying further business case analysis values chosen for key parameters. aimed at protecting the quality of our is needed to more accurately determine water supplies and the drinking water Figure 35, provides the results of the which individual demand management quality provided to consumers. For sustainability assessment in terms of initiatives offer the best value. example, augmenting public drinking net present value per GL. These water supplies with treated wastewater It should be noted that some water values, which are used to compare the is not proposed. savings will occur regardless of economic, environmental and social government intervention. For example, impacts of options, do not represent South Australians have and will continue to change their behaviour and water use practices simply because they believe it is important.

Demand management, through new water saving designs and practices, will achieve water savings gradually over the next 40 years so other supply options will be necessary to meet the Table 10 gap between demand and supply in Supply options not considered the shorter term.

Option Description Desalination

Desalination plant Sites other than Port Stanvac Expanding the Adelaide Desalination Recycled water Indirect potable reuse of wastewater or direct injection of Plant emerged as the superior stormwater into drinking mains economic and sustainable option for meeting demand quickly in the short Reducing losses Sealing all hills catchments term. The modelling indicated that it is Diverting water Pumping surface water or groundwater from the South East the preferred option after demand management and that its value rises as Pipeline from Ord River Scheme water scarcity increases. Diversion of Queensland rivers into the Murray-Darling Basin Future opportunities for desalination Diversion of water from north-east Queensland (Bradfi eld Scheme) will need to be considered on a case- Pumping groundwater from the Great Artesian Basin by-case basis. New plants, rather than expansions of an existing plant, Back-loading water in shipping tankers are likely to have higher capital costs Cloud seeding and differing operational costs, Harvesting icebergs although these could be offset by future technological advancements.

118 Federal funding contributions recently treating it further and then injecting Part 5 announced for the doubling of the it into the mains system for drinking The future Adelaide Desalination Plant have not and other purposes. been included in the sustainability assessment of The study found that this option assessment, but would improve the cannot deliver the large volumes that water projects – a fi nancial viability of this option. desalination can. However, this option External funding for other options new approach was found to have positive value and, would also improve their fi nancial like desalination, its value improved with viability. increasing water scarcity. As costs used Stormwater for drinking in the modelling for this option were not based on a fully-designed scheme This Plan does not support the use of (such as pipelines to the system) they recycled stormwater for drinking are therefore indicative only. purposes at this stage, but it will continue to monitor scientifi c developments in While it is economically viable, the this area. health risks involved with reusing urban road run-off stormwater for drinking For the purposes of the study, require further investigation. ‘Stormwater indirect potable reuse’ (IPR) was examined. IPR is the process which involves capturing stormwater, pre-treating it, pumping it to reservoirs,

Figure 35 Supply Options

NPV ($million / GL) over 40 year Lifecycle (2009 dollars)

1.5

1

0.5

0

-0.5

-1

-1.5 NPV ($million / GL)

-2

-2.5

-3

-3.5

Demand Temporary Permanent Pt Stanvac* Mt Lofty Stormwater Greenfield Brownfield Greenfield Management Purchase Purchase Desal: Storage IPR Stormwater Stormwater Wastewater River Murray River Murray Expansion Recycle Recycle Recycle (25 GL/a) (50 GL/a) (50 GL/a) (50 GL/a) (200 GL) (20 GL/a) (4 GL/a) (50 GL/a) (4 GL/a)

* Federal funding contributions recently announced for the doubling of the Adelaide Desalination Plant have not been included in the sustainability assessment, but would improve the financial viability of this option.

119 River Murray water purchases Stormwater, wastewater and the implementation of the collection of reservoir storage actions in Water for Good should mean The assessment of permanent water that this option will not need to be purchases from the Murray-Darling The assessment has shown that two of considered until 2050 at least. Basin was based on a 100 GL the options considered (greenfi eld entitlement purchase from a range of wastewater recycling and brownfi eld Sensitivity Analysis water districts to achieve at least 50 GL stormwater recycling) are consistently of allocation in any given year. Under uneconomic and unsustainable over a Sensitivity analysis was conducted the base assumptions used in the wide range of values for water, carbon, across a range of values for the key assessment, permanent purchases offer energy, and other key variables. The parameters. marginal benefi ts to the community assessment was based on the average The sensitivity analysis identifi ed that generally, but can also have costs and benefi ts for a suite of projects, the overall conclusions of the signifi cant social impacts on particular for which overall benefi ts to society assessment are robust over a wide communities. Interestingly, the were outweighed by costs. range of values for the parameters sensitivity analysis highlighted that the All reuse options at greenfi eld sites examined. The parameters to which the purchase of permanent water would were limited by their ability to create options are most sensitive are the total rank higher where the total economic large volumes of water, and by the economic value of water and the energy value of water was less than $3 per kL, length of time it takes to build a escalation rate. or where the energy-cost escalation suffi cient customer base. Based on rate exceeded 8.5 per cent a year. As the total economic value of water projections in the Plan for Greater increases, the sensitivity analysis Permanent purchases are not a major Adelaide, and assuming that, on reinforced the desalination plant as feature of the Water for Good plan average, 100 kL of potable water per the preferred option after demand for Greater Adelaide in the long term household could be substituted with management. At low total economic because: recycled water, yield from greenfi eld values of water (i.e. below $3 per kL) reuse over the 40-year period would be • allocations from the Murray-Darling permanent water purchases may limited to an estimated average 4 GL Basin are uncertain be more benefi cial to society than the per annum. desalination plant. However, the • there may be signifi cant social Water for Good includes targets to analysis does not quantify the benefi ts impacts in some communities 2050 for wastewater recycling and of diversity of supply. • this option is inconsistent with the stormwater harvesting. Stormwater In terms of energy security, desalination strategy to diversify supplies and capture and reuse can offer substantial suffers most from annual real increases reduce reliance on the river in a environmental and social benefi ts along in the cost of power. This suggests that climate change environment. with the added benefi t of fl ood maximising the energy effi ciency of the Temporary purchases of Murray- mitigation. Stormwater capture should desalination plant will help to reduce Darling Basin water provide marginal be based on verifi able geological data, this risk. social costs at the 50 GL scale. and because of the cost, will need to Other key parameters, particularly Purchases of this nature are best used involve multiple funding partners. Some those around the basis of the climate to manage the variability of supply, individual schemes are likely to offer predictions, were not analysed in rather than as a long-term supply substantial social benefi ts combined this high level assessment. These augmentation strategy. with strong community support. parameters would most signifi cantly The total economic value of water, the As this sustainability assessment was affect permanent and temporary energy-cost escalation rate, Murray- based on a suite of projects, greenfi eld water purchases assumptions such Darling Basin water allocations, and stormwater and wastewater recycling as water allocations and the cost of the need for environmental fl ows will projects should continue to be assessed water licences. need to be monitored to gauge any where conditions are favourable. change in relative rankings of all the The option of expanding the storage in above options. the Mount Lofty Ranges offers system fl exibility but has signifi cant social and environmental costs. Further analysis would almost certainly bring to light other social and environmental costs that were not possible to factor in to this high-level study. Options for increasing storage in the Mount Lofty Ranges require further detailed assessment but

120 Notes about the study Part 5

The basis for this study was a suite of The future hypothetical options based on largely assessment of preliminary estimates. It also assumed water projects – a that each parameter value was as probable as another, and this is unlikely new approach to truly refl ect likely outcomes. This approach was considered reasonable for a high-level study, particularly as a means of testing the sustainability assessment approach for future supply augmentation decisions. While this creates uncertainty regarding the absolute ‘net present values’ provided in the analysis, the relative economic performance of the options is considered robust.

Any decision to augment Greater Adelaide’s water supply in the future should only be undertaken following detailed planning and design via independent planning functions and the adaptive management framework outlined in Part 3 – The challenges of demand and supply. Providing access to the state-owned network infrastructure through a state based third-party access regime may present the opportunity for new entrants to provide innovative supply options not considered by this high-level study.

Finally, this study has proved the value of the sustainability assessment approach to future supply option decisions. This model, or other comparable tools, will be considered for inclusion in the Water for Good adaptive management framework

121 Fresh legislation will be introduced to refl ect a new approach to managing a more competitive and diverse water industry and an independent regulator will be appointed to oversee pricing, licensing and consumer protection.

122 Part 6 Fostering innovation and effi ciency through planning, pricing, legislation and research

123 Part 6 Introduction Overview of current South Australia faces new and potentially arrangements Fostering extreme challenges to improve and Water policy, management and innovation maintain a secure water supply. planning New institutional and legislative The various pieces of legislation which and effi ciency arrangements will build on previous establish the institutional arrangements reforms and provide a fresh approach to for managing SA’s water supplies span through managing a more competitive and 80 years – from the Sewerage Act 1929 to diverse water industry. Importantly, these the Local Government (Stormwater planning, pricing, arrangements will: Management) Amendment Act 2007. • ensure that planning for the future is Much of this legislation needs to be legislation driven by a better understanding of modernised. (A complete list of possible events legislation pertaining to water appears in Appendix 2). and research • provide for the independent regulation of water and wastewater services to Legislation covering water policy, and ensure transparency and effi ciency the management and planning of South Australia’s water resources, has • maintain SA Water in public ownership undergone considerable adjustment • facilitate the setting of prices that more in recent years, with the implementation accurately refl ect the precious nature of of an integrated approach to resource this essential resource, as well as the management through the Natural true cost of providing it Resources Management Act 2004. This Act is built on the premise that natural • support research to improve resources do not occur in isolation of knowledge and drive innovation. each other: water and land form the basis of every ecosystem; and the health of ecosystems is strongly linked to the management of these fundamental natural resources.

Additional legislative and institutional reforms are designed to build further on this approach, ensuring a holistic foundation for water security policy and planning.

Under current arrangements, each of the agencies involved has both a mandate and the requisite expertise for a particular aspect of the water cycle. While in many instances the roles and responsibilities are clear, there are some overlaps and gaps in delivery. The proposed new arrangements seek to rectify this by ensuring integration – facilitating seamless interface so that the valuable expertise we have is well used and properly allocated.

124 Service delivery • United Utilities Victor Harbor, which South Australia’s water supply and operates the Victor Harbor Wastewater wastewater services legislation will be SA Water and its predecessors have Treatment Plant extensively reformed to deliver a been delivering water and wastewater defi nitive framework for water services to the State for 150 years. • United Group, which operates nine management and regulation, and The legislation underpinning the plants for SA Water in communities complement the integrated approach operation of SA Water (Sewerage Act along the River Murray. applied to natural resource management. 1929 and Waterworks Act 1932) was Stormwater management and reuse is a The reforms will: developed at a time when only one type new and important water resource. A shift of water and one water supplier were in the concept of stormwater from a • recognise the developing water supply envisaged. These arrangements have drainage task to an alternative fi t-for- and wastewater service industry served the South Australian community purpose supply option illustrates the well, providing a high level of service changing water market. • provide a single legislative focus for for the driest State in the driest the supply of water inhabited continent. However, new Customer feedback and • provide for the comprehensive challenges require new approaches. performance monitoring management of water supply to ensure Competitive tendering under the Agencies engaged in providing water effi ciency and public safety in the National Competition Policy has brought security are currently required, at a environmentally sustainable framework about changes in the way we deliver minimum, to report regularly on their provided by the Natural Resources water services in South Australia. performance. For instance, SA Water Management Act 2004 and the Although SA Water is a corporate entity reports annually through the National Environment Protection Act 1993. fully owned by the South Australian Performance Report compiled by the In addition, the Local Government Government, it now manages several National Water Commission and Water Association of South Australia, through service and maintenance contracts. Services Association of Australia (WSAA). its recent report, Local Government’s The largest is a 15-year contract with SA Water also reports voluntarily on its Current and Potential Role in Water United Water to manage the operations sustainability performance and publishes Management and Conservation, has and maintenance of metropolitan an annual drinking water quality report. highlighted the need to strengthen Adelaide water and wastewater systems, A commitment to customer standards the effectiveness of stormwater including the delivery of capital works and continuous improvement has seen management. Amendments to the Local for rehabilitation and augmentation. agencies introduce additional Government (Stormwater Management) Ownership of water and wastewater stakeholder feedback mechanisms Amendment Act 2007 will be developed infrastructure remains with SA Water. (e.g. SA Water’s Customer Council). in conjunction with Local Government. The corporation is also responsible for Further improvements to transparency, the collection of all revenue from customer involvement and accountability customers, in accordance with the rates will be included in the legislative determined by the Government. reform package. The key objectives of the United Water Future arrangements contract are: The planning and implementation of • to achieve signifi cant cost reduction water security, public health and through the introduction of improved environmental programs will require effi ciency and quality in the provision cooperation both between various of services to customers government agencies and between • develop a viable, export-focused, governments and other stakeholders. vigorous water industry in South While this is occurring successfully with Australia. the Adelaide Desalination Project and Water Proofi ng Adelaide projects, at The other public-private contracts times gaps occur through lack of clarity managed by SA Water are with: of roles and responsibilities.

• Riverland Water, which operates It is now timely to review the enabling 10 water fi ltration plants in regional legislation to address any ambiguity and South Australia provide greater certainty and clearer direction for water security, sustainability and public health.

125 Proposed institutional • the independent economic regulator, arrangements ESCOSA, will review a licensee’s forward capital plan. Proposed institutional arrangements are represented in Figure 36 below. The Service delivery changes stem from the planning and • all service providers, including industry regulation reforms outlined in SA Water, will require a licence to the legislative and regulatory reform operate. (Currently no providers section of this chapter, and fl ow through require such a licence) to service delivery and performance assessment. • pricing will be set by an independent economic regulator (ESCOSA) Water policy and planning • strict conditions will be set for new • responsibility for strategic water service providers (licensees) seeking security planning will rest with the to enter any segment of the water Minister responsible for water security, market. who will be required to establish an independent planning body if agreed Performance monitoring, demand-supply triggers are reached evaluation and feedback

• the Minister will lead consideration • the performance standards of all of stormwater harvesting and reuse licensed operators will be monitored as a potential component of water and reported on publicly by the security planning independent economic regulator.

Figure 36 Proposed institutional arrangements

Regulators Water Policy and Planning

Water Quality Management – Strategic Water Policy and Supply Planning Human Health (Drinking Water and Offi ce for Water Security Recycled Water)

Department of Health Service Delivery Water Quality Management – Urban, Regional and Rural Environmental Health Wholesale and Retail Water and Wastewater Services Protection Licensees, Contractors, Trusts, Local Councils Environmental Protection Authority

Economic Regulation – Performance Monitoring, Evaluation & Feedback Pricing, Licensing, Performance Customer Protection

ESCOSA Customer Advocacy and Advisory Council

126 Planning • water demand and supply planning Part 6 will be tailored to meet the needs South Australia’s geography and range of each region. It will build on and not Fostering innovation of climatic conditions mean the duplicate existing plans for and effi ciency availability and reliability of water each region. through planning, varies across the State. Actions and outcomes pricing, legislation The Greater Adelaide region, in particular, has expanded steadily Outcome and research during the past decade and, with Adaptable, effi cient and enduring water initiatives such as the 30-year Plan for supply and management options are Greater Adelaide in place, it will delivered within an environmentally continue to grow in a managed and sustainable framework that is integrated way. However, our ability to supporting economic prosperity, sustain growth and achieve prosperity population growth, and an enhanced relies on a secure, healthy and reliable quality of life for all South Australians. water supply. New actions State Government agencies, including Ensure regional water demand and the Natural Resources Management supply plans are in place for all natural Boards, undertake planning and regular resources management regions monitoring and assessment of the state throughout the State – in consultation and condition of our water resources, with regional communities, building on and the likely demands on them. These existing plans, and incorporating local water planning, monitoring and knowledge by 2014 assessment arrangements have worked Commission or contribute towards the and continue to work well. However, development of a regional demand and more effort and co-ordination is needed supply forecasting model for improved management in new, and potentially harsher, conditions. Develop and implement a strategy to improve the quality of water provided to We must improve our understanding remote communities. and management of the resources we rely on now, and those we will need in Outcome the future. Our land use planning Mandatory water-sensitive urban design system – not just for Greater Adelaide for new residential and commercial but also for regional centres – must be urban developments dovetails with the ‘water-sensitive’. Plan for Greater Adelaide.

Key points New actions By 2013, develop and implement the • water availability and reliability best regulatory approach for South varies substantially across South Australia to mandate water-sensitive Australia urban design, dovetailing with the Plan • recent reforms have led to signifi cant for Greater Adelaide progress in water management Introduce targets for water-sensitive planning urban design by 2010. • we now face climate variability and changing climatic conditions that put Current water new pressures on water use and management planning threaten supply. Further reform is necessary to build on the successes South Australia’s water management to date legislation – the Natural Resources Management Act 2004 and the • planning for future supply with a high Environment Protection (Water Quality) level of uncertainty is complex and Policy under the Environment Protection requires a fl exible approach Act 1993 – has provided a progressive • water planning must consider the framework for South Australia to manage quantity and quality of all current and its water resources. potential water resources in each region

127 South Australians can be proud of • arrangements to ensure the clarifying water rights. The purpose is the way water is being managed but appropriate management of wetlands, to create greater certainty for investors, changing circumstances and the estuaries and marine resources, and increase the effi ciency of water changing climate mean we must be with particular reference to the markets and water use. fl exible and continue to reform when relationships between catchment, South Australia’s approach to water the need arises. wetland, estuarine and marine allocation planning is consistent with the systems. The current approaches to water National Water Initiative in that it management in South Australia include: The regional NRM boards are at requires the development of water plans varying stages of developing their for the surface water and groundwater • natural resource management comprehensive plans. At the time of management units in which entitlements planning, incorporating water writing, four had been completed are issued. The aim is to help allocation planning and others were close to completion. governments and the community make • SA Water’s long-term planning Water allocation planning sound water management and • environment Protection Policy (Water allocation decisions to meet economic, Under the Natural Resources Quality) and associated codes of environmental and social objectives. Management Act 2004, NRM Boards practice and guidelines. develop water allocation plans (WAPs) Environment Protection (Water These planning approaches are for each prescribed water resource Quality) Policy 2003 and described below. Together they will within their region. associated codes of practice and provide a strong foundation and guidelines signifi cant input for future water demand A prescribed water resource may be The Environment Protection Authority and supply plans. surface water, groundwater, a watercourse, or a combination of these. (EPA) has the power to regulate and Natural resources management Across South Australia there are prosecute with respect to water planning currently 27 prescribed water pollution. resources. WAPs have been, or are The Natural Resources Management The main objective of the Water Quality being, developed for 23 of these, with (NRM) Act 2004 requires the Policy is to ‘achieve the sustainable the remaining four covered by a special development and maintenance of an management of waters, by protecting or regulation. NRM plan for the State and each of its enhancing water quality while allowing eight NRM regions. The State Plan A WAP is a legal document detailing the economic and social development’. The identifi es a 50-year vision for natural rules for the allocation, use and transfer policy aims to achieve this objective by: resources management in South of water from prescribed water • setting environmental values and Australia and sets out policies, resources, as well as the water-affecting water quality objectives for streams, milestones and strategies to achieve activities that require permits. Under rivers, oceans and groundwater that vision. Each regional plan, which the Natural Resources Management Act must be consistent with its State 2004, both human demands and the • establishing obligations for industry counterpart, focuses on the use and needs of the natural environment must and the community to manage and management of the region’s natural be considered when determining control different forms of pollution resources. It covers the protection and appropriate limits on the amount of • encouraging better use of wastewater management of land, water and water that can be diverted from the biodiversity resources; the control of water resource for all uses. • using codes of practice that describe pest plants and animals; support for best practice environmental South Australia, along with other states, sustainable industries; and the promotion management for particular activities, is in the process of making changes to of education and capacity building. and which can be enforced using water licensing arrangements as part of environment protection orders Among other things, a regional NRM plan its commitment to the National Water contains considerable information about Initiative. In summary, the existing • promoting environmental the water resources of the region, water licences will be separated or responsibility and community including: ‘unbundled’ into their main components. involvement in environmental issues These components are a Water Access • methods for improving the quality • setting discharge limits for particular Entitlement, a Water Allocation, a Site or value of resources, and the health activities. Use Approval, a Water Resource Works of aspects of the environment that Approval and a Delivery Capacity SA Water long-term planning depend on those resources Entitlement. SA Water’s long-term plans aim to • methods for the conservation, use or Changes to water licensing ensure that its bulk systems, including management of water arrangements aim to benefi t water users water sources, treatment plants and • action plans for stormwater by making transfers easier and more transfer pipelines, have suffi cient management and fl ood mitigation effi cient, expanding the choices capacity over a 25-year period. available for water management, and To achieve this, the plans consider:

128 • analysis of the current status of water Water-sensitive urban design Part 6 resources and bulk systems Water-sensitive urban design (WSUD) is Fostering innovation • estimates of population growth an approach to urban planning and and effi ciency design that integrates the management of • analysis of development, by sector through planning, growth the total water cycle into the land use planning and development process. With pricing, legislation • allowances for environmental and South Australia’s population expected to and research sustainability issues, including climate reach two million by 2027, we can expect variability and change. high growth in greenfi eld developments. The Eyre Peninsula Long Term Plan was This presents an ideal opportunity to developed in close consultation with the incorporate WSUD into all aspects of land regional community and released in use planning and development to November 2008. improve water use effi ciency in Greater Adelaide and regional centres – creating Anticipated growth in agriculture, water-sensitive cities and towns across mining and aquaculture, along with South Australia. the uncertainty of climate change, were key elements considered. The The key elements of water-sensitive plan recommends a range of strategies, urban design include: including identifi cation of additional • integrating the management of water sources, water quality initiatives, groundwater, surface run-off (including groundwater basin monitoring and stormwater), drinking water and modelling, water conservation, small wastewater to protect water-related town supply, and recycled water. environmental, recreational and cultural The plan’s demand assumptions and values recommendations will be monitored and • increasing the storage, treatment and reviewed annually. benefi cial use of run-off – at building SA Water is now developing similar plans and street level, and including for Yorke Peninsula and Kangaroo Island. stormwater • increasing the treatment and reuse of Future water wastewater management planning – • using vegetation for treatment total water-cycle purposes, water-effi cient landscaping management and enhancing biodiversity

Throughout the past century, we have • using water saving measures inside managed our water cycle using large- and outside domestic, commercial, scale, centralised systems in which industrial and institutional premises, to different types of water – water supply, improve water effi ciency. run-off (including stormwater) and Water-sensitive urban design can wastewater – are managed separately provide signifi cant reductions in water with a ‘single-use’ approach. These use without adversely affecting our methods have improved the community’s lifestyles. For instance, an average quality of life – particularly through the household in Greater Adelaide that is not reliable provision of clean water and the currently using any effi cient devices or reduction in the risk of infectious diseases. water saving measures can use up to In the future, to ensure the success of 280 kL a year. In comparison, a similar Water for Good and all the benefi ts that dwelling that uses the principles of the community expects, water will need WSUD can reduce its annual water usage to be managed in a more integrated way by up to 110 kL/a. – through what we call total water-cycle management. This recognises that water supply, stormwater and wastewater services are interrelated components of catchment systems and, therefore, must be dealt with using a holistic water management approach that is ecologically sustainable.

129 Water-sensitive urban design potable mains water. This initiative has Community engagement – drawing on measures reportedly achieved a 45 per cent the skills and knowledge of regional WSUD measures can be applied on a reduction in ‘BASIX houses’ compared communities – will be of paramount broad range of scales, from large public with houses built prior to the introduction importance. open space areas to individual blocks. of this system. Regional water demand and supply plans A range of measures can be used, The Australian Capital Territory also has will need to include: depending on the nature of the mandatory targets seeking a 40 per cent development and local conditions. • analysis of the current status of water reduction in mains water consumption for resources and bulk systems Those best suited to our region include new developments and redevelopments. (but are not limited to): Both the ACT and Victoria have • estimates of population growth mandatory provisions relating to the • demand reduction • analysis of development, by sector management and use of stormwater in • rainwater tanks growth new developments. • rain gardens • allowances for environmental and • green roofs and Queensland also sustainability issues, including climate • infi ltration systems have a mix of policy incentives, such as variability and change • permeable pavements water quality targets, strategies and • urban water harvesting and reuse planning principles that encourage • actions, including infrastructure and • gross pollutant traps water-sensitive urban design. demand management options, for • bio-retention swales and basins addressing any forecast gaps in the The South Australian Government will • swales supply-demand balance. determine the best approach for • buffer strips implementing WSUD in this State, taking Status of available resources • sedimentation basins account of a range of factors including • constructed wetlands Before we can look forward and consider housing affordability. • wastewater management how to address a region’s water future, Action we must fi rst understand the foundations Greater Adelaide WSUD By 2013, develop and implement that support it. Regional demand and framework and technical manuals the best regulatory approach for South supply plans will report the status of all In January 2007, a project, led by the Australia to mandate water-sensitive current – and potential – resources and Department of Planning and Local urban design dovetailing with consider both quantity and quality issues. Government, was established to the Plan for Greater Adelaide. institutionalise water-sensitive urban The resources considered will include, design in the Greater Adelaide region. Action but not be limited to, surface water, The project received substantial funding Introduce targets for water-sensitive groundwater, watercourse water, from the Commonwealth Government urban design by 2010. stormwater, recycled wastewater, and additional funding from various State rainwater and desalinated water. How agencies and the Local Government Regional water demand these resources are used in the supply Association (SA). The project’s purpose and supply planning system will also be taken into account. was to investigate formalising WSUD Detailed, integrated regional water Demand and supply forecasts principles and ensure best practice in all demand and supply plans will be forms of urban development and Demand and supply forecasts will be developed to secure adaptable, effi cient associated activities. undertaken, where required, to and enduring water supply and determine whether a region’s current The project has produced reference tools management options – delivered within water sources are suffi cient to continue to tailored to suit local conditions (e.g. soil an environmentally sustainable frame- meet demand, or whether augmentation and hydrology) for consistent application work – to support economic prosperity, is required and feasible. by State and local government, planning population growth, and an enhanced practitioners and the development quality of life for all South Australians. The forecasts will be based on a range industry. These regional plans will build on other of assumptions (for each of the triggers discussed in Part 3 – The challenges WSUD in other states and water planning processes, and consider of demand and supply). Each of these will territories all water resources within a region. be outlined to ensure transparency and Other states and territories use a number They will inform the adaptable planning engender confi dence in the decision- of approaches to encourage and framework outlined in Part 3 – making process. mandate water-sensitive urban design. The challenges of demand and supply. Action plan New South Wales has introduced a The process for developing these plans building sustainability index (known as will be fl exible so that it can be tailored to Once forecasts have been established, BASIX), which is mandatory for water and meet the needs of different regions. an action plan will outline how to close energy, and incorporates the target of a any identifi ed gap between demand and 40 per cent reduction in the use of supply. The actions in any one plan are

130 likely to be diverse and include demand Water quality improvement plans Part 6 management and augmentation The Environment Protection Authority Fostering innovation options. It is expected that a range of (EPA) is working to develop agreed stakeholders will be responsible for environmental values for important and effi ciency the implementation of the various actions bodies of water. To achieve this, it is through planning, and strategies. developing water quality improvement plans for key areas across the State. pricing, legislation As much as possible, the action plans will and research aim to complement, build on and, in ‘Environmental values’ describe the some cases, inform existing plans. uses for which a local community agrees a body of water should be Action protected (e.g. aquatic ecosystems, Ensure regional water demand and stock watering, drinking water supply, supply plans are in place for all natural or recreation). However, regional resources management regions water demand and supply planning is throughout the State – in consultation with likely to highlight water resources that regional communities, building on need to be maintained for drinking existing plans, and incorporating local water. The assignment of environmental knowledge by 2014. values will therefore need to be Links to other plans consistent with regional water demand and supply plans. Logically, there will be links between the regional water demand and supply plans Land use planning and and other plans, so the relationship development between them must be clearly defi ned. The regional water demand and supply plans will provide forecasts that outline Clear links will exist with regional NRM when augmentation of supply may be Plans (including water allocation plans), required. To ensure these forecasts are water quality improvement plans, and accurate, the plans will need to consider land use planning and development. the implications of future land use The range of relevant State and national planning and development strategies. strategic plans and reform programs It follows that, to ensure that future water includes: demand is sustainable and achievable, • South Australia’s Strategic Plan land use planning strategies will have to • Water for Good take into account available supplies. • the State NRM Plan In June 2007, the State Government • the National Water Initiative announced a review of the South • various development plans. Australian land use planning and Water allocation planning development system. It recommended A regional water demand and supply that a 30-year Plan for Greater plan will propose and manage actions to Adelaide be developed by June 2009, achieve a suffi cient supply of appropriate and a further fi ve regional plans be quality water to meet the demands of an developed by June 2010. entire NRM region. Water allocation plans These plans are under way and include (WAPs) – where they exist – will be the targets for population and growth primary documents for determining how precincts, as well as strategies to much water is available and how it is address water effi ciency. These features used in each prescribed area. clearly have the potential to infl uence Any change in the availability of water in regional water security, so consistency prescribed areas would require the review between Water for Good and the and potential amendment of the relevant Plan for Greater Adelaide will be regional demand and supply plan. essential. To ensure this is the case, the Offi ce for Water Security and various New legislation will ensure that the other agencies have contributed to relationship between WAPs and regional the development of the Plan for Greater plans is well defi ned. Adelaide. Similar collaboration will occur during the development of future related plans.

131 Process for developing Baseline data, The development of a model to generate regional water demand and monitoring and regional demand and supply forecasts supply plans will also be required. Data collated from assessment ongoing monitoring will be entered into The development of water demand and The Government, through its various the model. supply plans for all of South Australia’s agencies, maintains an extensive water eight NRM regions will be a statutory Further information about our plans to monitoring and assessment program requirement under the new legislation improve monitoring, assessment focusing on key water resources proposed in Water for Good. The and modelling capability can be found throughout the State. Water allocation development process should be fl exible in Part 3 – Managing our water future. plans also, in most cases, establish a so that it can be tailored to meet the regime that monitors the resource at a Action different needs of each region. regional scale (e.g. using a network Commission or contribute towards the The Offi ce for Water Security (OWS) of observation wells to monitor water development of a regional demand and will lead the development of the plans, levels). In addition, they require supply forecasting model. with support from a steering committee. licensees to report annual water use. That committee would include Water in remote Current monitoring does not, however, representatives from key organisations communities cover all water resources in all areas. appropriate to the region, such as: Further effort is needed to help with Provision of good quality water • Department of Water, Land and decision-making and the annual to remote communities is becoming Biodiversity Conservation (DWLBC) reporting of the demand and supply particularly challenging as local balance in all areas. These actions resources decline. ‘Remote’ • SA Water will assist evaluation of standards and communities need to be distinguished • the Environmental Protection current resource conditions, and from ‘rural’ communities. ‘Remote’ Authority provide early feedback on progress to refers to communities that are reduce demand and increase supply. geographically isolated and vulnerable • the relevant NRM board and as a result of their extreme isolation. • Local Government. Comprehensive and accurate baseline data, thorough monitoring, and Indigenous community supplies Community engagement will be regular assessment are all crucial to Under South Australia’s bilateral integral to the success of these plans. the development, annual review and agreement with the Commonwealth The mechanism used to engage with the amendment of this Plan and supporting on essential services infrastructure, the community may vary from region to regional plans. region, based on local circumstances Aboriginal Affairs and Reconciliation and needs, and take account of water In some regions, before water demand Division (AARD) of the Department of planning and consultation that has and supply plans can be developed, the Premier and Cabinet is responsible occurred previously. It will therefore be further monitoring and assessment will for providing water to the 18 major up to each region to develop its own be required to present an adequate Aboriginal communities in South community engagement strategy. status of current resources. This is Australia. SA Water, under contract to because the total capacity, current AARD, has played a signifi cant role Engagement strategies will need to extractions and sustainable yield of in delivering reliable, high quality ensure that key stakeholders are aware some resources are not yet fully water services to these communities. of, and involved in, the development of understood. Further study of the Water is provided via bores, household their regional plan. They may provide impacts of climate change at a regional rainwater tanks, water harvesting local knowledge, raise concerns and scale also will be necessary before sheds, reverse osmosis and river ideas, and provide advice and help adequate forecasts can be prepared supplies –either directly serviced by engage and communicate with local and suitable strategies developed. AARD or contracted out to other service communities. For example, local providers, including SA Water The network of monitoring sites across government involvement will be and the Department of Water, Land the State’s water resources needs to be essential because councils manage and Biodiversity Conservation. stormwater infrastructure and expanded and data assessed more community wastewater management regularly. This is discussed further in The State Government recognises the schemes. Part 4 – Rain, rivers, reservoirs and unique relationship that Aboriginal aquifers. More monitoring sites will people have with water and is meeting result in improved information, which its international obligations to consult will help with the processes of annual with Indigenous communities on water review, comprehensive review, and matters that affect them. amendment.

132 Non-potable SA Water supplies Addressing remote community Part 6 supplies Within the supply systems operated by Fostering innovation SA Water, there are 19 non-potable More can be done to supply water of and effi ciency supplies and a further eight non-potable good quality to remote areas. This will zones. Poor microbiological content, require careful assessment of a range of through planning, elevated chemical content, or both, issues, including: pricing, legislation render them below drinking water • opportunities for using recycled water and research standards, and the treatment required to remedy these problems is very • availability of culturally relevant expensive. These supplies, serving information to remote communities, approximately 2000 people, are for example about water supply predominantly in the Far North and limitations and opportunities include Marla and . Others, • the fi nancial cost and funding for such as former railway towns in the remote supplies. State’s north-east, rely on carted water when local dams cannot be used for Action reasons of quality or quantity. Develop and implement a strategy to improve the quality of water provided to Independent non-potable remote communities. supplies

A small per centage of South Australia’s population not currently supplied by SA Water can be categorised as independent Council (or Progress Association) schemes, and individual schemes which rely mainly on rainwater tanks or groundwater. In many of these areas there is considerable community demand for improved water supply services and this has been heightened by the decline of existing supplies. There have been cases in the past, however, where communities have voted against an offer of a potable supply, mainly because of concerns about increased water rates.

133 Research and innovation Action under way South Australia is well positioned to lead Work with research institutions and the nation in water-sensitive urban By virtue of our dry climate and varying industry to enhance co-ordination of design, stormwater use, and advanced – often harsh – terrain, South Australia the research effort and improve modelling strategies for water resource has a long history of innovation in the collaboration to identify priorities and management. We must ensure that we use, conservation and management ensure timely delivery. are well placed to encourage innovative of water. investment opportunities and ‘best Discussion For many decades, research has practice’ by industry, not only at the State supported and fostered ingenuity and It is generally accepted that sound level, but nationally and globally as well. the work of South Australian research knowledge underpins successful water Ongoing development will be needed in bodies is recognised interstate and security. A huge amount of water-related areas such as wastewater recycling overseas. research activity is currently under way. and desalination. Creating strong links Substantially better outcomes could be between government and private Quality research and innovation will achieved with greater collaboration industry through organisations such as accelerate the development of new and between government, research institutes the Natural Resources Management exciting water-sensitive cities and and industry. This would compound the Research Alliance and the SA Centre for regions. Development of a science value of existing knowledge, identify Innovation ensures that industry views strategy for water – guided by policy gaps and help the State meet its and concerns are addressed and that we imperatives and using strong obligations under the National Water extract the greatest value from research collaborative research partnerships – Initiative. This includes enhanced and investment opportunities – in new will be part of an overall response to understanding of the social, and existing markets. challenges including climate change, environmental and economic values that social and economic factors, and energy. Tomorrow’s competitive edge in contribute to community, industry and exports and the sustainability of our We are committed to the development government decisions about water. natural resources depends on today’s and promotion of water research and South Australia is in the fortunate investment. innovation that will benefi t South position of having its research institutes, Australia and help communities, the including three universities, in relatively Currently, nationally and globally, there is environment and governments deal with close physical proximity. A number of a recognised shortage of qualifi ed water water-related issues nationally and collaborative relationships have been research professionals and we must internationally. established between these organisations address this. We will ensure that South Key points and government, and the Natural Australia continues to cultivate and Resources Management Research reward skilled people and ensure the • knowledge is critical for a successful, Alliance is a very good example. availability of well-trained professionals adaptive, integrated approach to water to work in water-related areas. We need management Collaborations such as this can be used to retain the best people and attract new to effi ciently leverage research qualifi ed players and quality ventures. • a number of key research investments. organisations contribute to South Investment in innovation and research is Australia’s water security South Australia is also home to a wide fundamental to securing and sustainably range of industry research facilities and a • a strong culture of collaboration and managing South Australia’s water into the number of important public research cohesion enhances research and future. All levels of government, industry, organisations – including arms of the innovation outcomes research institutions and Natural CSIRO, and the research headquarters of Resources Management Boards need to • identifi cation of the research priorities the Defence Science and Technology work together to create an environment for South Australia will ensure the best Organisation, which boasts the largest where knowledge is shared and use of available research capability. number of research scientists in a capitalised on for the benefi t of all. single location in Australia, as shown in Actions and outcomes Table 11.

Outcome If we are to achieve all the goals within South Australia’s research and innovation Water for Good, and secure the capability contributes to our efforts to State’s long-term water future, we must secure an adaptable, effi cient and foster an active culture of innovation. enduring water supply delivered in an Knowledge must be captured and used environmentally sustainable framework. to drive innovation across the whole of our economy, and government.

134 Part 6 Fostering innovation and effi ciency through planning, pricing, legislation and research Table 11 Current research institutions and collaborative projects

Collaborative research institutions

University of University of South Flinders University CSIRO Other Adelaide Australia

ICEWaRM Centre for Flinders Research Water for a Healthy Australian Water - Living Laboratories Comparative Water Centre for Coastal and Country Quality Centre Policies and Law Catchment Environments (FR3cE)

Water Research SA Water Research National Centre for Cooperative Research Cluster Centre for Groundwater Research Centres eg. Management and and Training – eWater Environment Reuse – Irrigation Futures Institute – Catchment Hydrology

Major users and funding bodies of water research and innovation

Commonwealth State Government Local Government Water Industry Government

National Water Commission DFEEST Individual councils Water Industry Alliance - National Water Initiative – Premier’s Science (240 companies, including & Research Council United Water)

Bureau of Meteorology PIRSA Local Government Association - Improving Water – SA Research & Information Program Development Institute

DTED – Centre for Innovation

SA Water – Research & Development Committee

DWLBC & NRM Boards

DPC – Offi ce of Sustainability & Climate Change

135 Key innovation and Natural Resources Management There is clear expertise developing research organisations (NRM) Research Alliance within each university. University of South Australia, for example, is working on The NRM Research Alliance was The following innovation and research comparative water policies and water recently launched as one of seven organisations are contributing to quality; University of Adelaide is focusing within the Constellation SA frameworks, securing South Australia’s water future: on water management; Flinders under DFEEST, to ensure both a University is hosting the National Centre Premier’s Science and Research collaborative approach to research and for Groundwater Research and Training, Council help facilitate the translation of research as well as the Centre for Coastal Waters into practical solutions. Alliance The Premier’s Science and Research and Catchments. members are: the eight regional NRM Council was established in June 2002 by Boards, the State NRM Council, CSIRO, In addition, the University of Adelaide the Premier, the Hon Mike Rann MP, to University of South Australia, University launched the new Environment Institute advise Government on the development of Adelaide, Flinders University, PIRSA, on 4 June 2009. Under the directorship of of policies and strategies for the further Department of Environment and Professor Mike Young, it comprises a development of innovation, science Heritage and Department of Water, dedicated team of leading environmental research and technology in South Land and Biodiversity Conservation. scientists from South Australia and Australia. The Council comprises senior There is an independent chair. Australia working together to solve our representatives from the State’s three most diffi cult environmental problems. major universities, local and The aims of the Alliance are to: It includes a Water Research Centre Commonwealth research institutes, • strengthen collaboration between which brings together a multidisciplinary industry, and State Government ministers. researchers, within and across group of scientists, engineers and It is jointly chaired by the Premier and disciplines economists to address water the Chief Scientist, Dr Ian Chessel. management issues of national • improve the interface between the The council is specifi cally responsible for signifi cance. The Centre’s areas of research community and the identifying research and development strength are: Freshwater Ecology; Water practitioners to help translate research priorities for the State. A key activity is Resources and Infrastructure Modelling; into practical solutions the implementation of a 10-year Vision Soil Hydrology and Catchment for Science Technology and Innovation in • advocate the uptake of NRM research Processes; and Water Quality, Treatment South Australia – STI10. This was outcomes into relevant on-ground and Reuse. developed in consultation with management practices, and policy and The State Government is committed to educational and research institutions, planning processes reinforcing Adelaide’s reputation as a business and industry groups, • attract and direct investment into NRM ‘University City’. That promise is coming government agencies, and regional and science, technology and innovation that to fruition with the University City Project, community groups. It aims to generate will lead to improved NRM outcomes. managed by the Department of Premier great ideas, value knowledge and ground and Cabinet, which brings world-class the State in innovative practice. It is A focus area for collaboration and universities to Adelaide to further underpinned by three strategies: building capacity building is the social and develop skills education and research capacity and infrastructure; momentum economic aspects of natural resource capacity in key areas such as water. through collaboration; and developing management, including those relating to Three new international universities have people and communities. Since the water management and allocation. been established in Adelaide in recent launch of STI10 in 2004, the Department University City years – Carnegie Mellon, Cranfi eld and, for Further Education, Employment, more recently, University College London. Science and Technology (DFEEST) has Our three State universities are dedicated University College London will run a developed a new framework called to excellence in teaching, learning and two-year Masters program in Energy and ‘Constellation SA’ to strengthen research. Each university has an entity Resources from 2010. collaboration between researchers, within dedicated to developing and and across disciplines, and improve the commercialising intellectual property In addition, the International Centre of interface between the research arising from its research. These include: Excellence in Water Resources community and end-users so that Flinders Technology Pty Ltd (Flinders Management (ICE WaRM) provides a research fi ndings are taken up and used University); Adelaide Research and national focus and international gateway for practical purposes. Constellation SA Innovation (University of Adelaide); and to Australia’s education, training and is now the overarching program for the ITEK Pty Ltd (University of South research expertise in water. Operating as implementation of STI10. Australia). Quality graduates further WaterEd Australia, and based in facilitate research development. Each Adelaide, the Centre was established in university’s contribution to water research 2004 as an Australian Government is substantial and growing to encompass initiative, with the support of the South collaborative research projects and links Australian Government. with other universities and industries around the world.

136 Australian Water Quality Centre precinct delivers outcomes of direct Part 6 signifi cance to Australia and other Responding to South Australia’s Fostering innovation countries in terms of water management. challenging source water quality, More recently, it has been developing a and effi ciency SA Water has established the Australian stronger collaborative relationship with Water Quality Centre, an internationally through planning, the Defence Science and Technology recognised centre of water quality Organisation (DSTO). This relationship is pricing, legislation expertise. Over 100 scientists provide being enhanced as a result of both and research laboratory and research advice and research-to-researcher contact and the guidance in water quality and initiatives developed by the senior environmental management, water management of the two organisations. treatment and biological and chemical sciences. SA Water was instrumental in Australian Cooperative 1995 in establishing the Cooperative Research Centres (CRCs) Research Centre for Water Quality and Treatment, which was based within There are currently about 70 CRCs in SA Water and attracted over $150 million operation around Australia. Since in water quality research funding. This the CRC Program started in 1990, it has been superseded by Water Quality has attracted some $2.6 billion in Research Australia, which has over Commonwealth Government funding and 40 industry and research members and this has been used to leverage more has also established its headquarters funding from other public and private within SA Water, providing strong links sector participants. The role of the CRCs with national and international research is now more critical than ever, as Australia partners and international visitors. works to keep pace with a world driven by technology and innovation. The The Waite Precinct CRCs bring together the brightest minds from the public and private sectors, and The Waite Precinct is a world-renowned the scientifi c, research and innovation co-located and collaborative research communities – encouraging them to work partnership between: together on core issues such as water. • the University of Adelaide The CRCs promote science in action and aim to identify, support and facilitate the • CSIRO Divisions of Land and Water, commercialisation and utilisation of Plant Industry, and Mathematical and cutting-edge innovation and technology. Information Sciences An example of their work includes • the Australian Wine Research Institute Sustainable Water Supplies for Remote Communities of Indigenous People • the South Australian Research and (Wright 2002). Of particular relevance Development Institute (SARDI), which is to South Australia’s water future are: part of Primary Industries and eWater CRC (water modelling), Desert Resources South Australia (PIRSA) Knowledge (Desert communities), and • the Department of Water, Land and Irrigation Futures (Innovative irrigation Biodiversity Conservation technology).

• a number of specialist groups, The Water Industry Alliance including three Cooperative Research Centres. The Water Industry Alliance (WIA) includes more than 100 South Australian- The Waite’s unique collection of a based companies and organisations number of Australia’s leading agricultural seeking to grow through exports and and environmental research form strategic alliances with water- organisations is home to 1000 staff and related enterprises in Australia and postgraduate students. It is a model of offshore. Local water companies offer research collaboration and technology cutting-edge technology and extensive incubation, with an established track manufacturing expertise in a growing record of delivering value to industry international market. through innovative research and quality education. The annual research expenditure of the co-located partners is more than $110 million. The research

137 Currently, exports for water technology and services are estimated at 400 million (2007-2008). The Water Industry Alliance is confi dent that it can increase this fi gure to $1 billion by 2015.

While administration of the Alliance is funded 100 per cent by Industry, the State Government shares the cost of industry development and export initiatives through SA Water.

CSIRO (Water for a Healthy Country Flagship)

This program brings together scientifi c research capabilities from across Australia to address the sustainable management of our water resources and deliver relevant and effective water management options. With a total investment of approximately $86 million a year, the Flagship is the largest research partnership focusing on water in Australia. The partners include:

• CSIRO

• state and Australian governments

• private and public industry

• other research providers.

The Flagship aims to achieve a ten-fold increase in the economic, social and environmental benefi ts from water by 2025.

Centre for Comparative Water Policies and Law

The centre is a multidisciplinary endeavour established in the School of Commerce at the University of South Australia. It is a research concentration of the Hawke Research Institute for Sustainable Societies, and comprises lawyers, engineers and scientists, as well as researchers from other divisions of the university.

It aims to engage with, and be the focal point for, research into the legal, economic, social and cultural evaluation of Australian and international water policies and law.

138 Pricing and market • while water conservation can best be Part 6 instruments encouraged through cost-refl ective Fostering innovation pricing, equity can best be delivered Delivering a secure water supply into through targeted income support and effi ciency the future will require a mix of supply (concessions) measures through planning, and demand measures. Effi cient pricing • regional communities using SA and market reform will be integral to pricing, legislation Water’s networks will continue to be achieving the structural adjustment and research supported through the application of required by: statewide pricing, with costs reported • encouraging the careful use of water transparently in the State Budget and wastewater resources in a way • unless otherwise stated, references to that best refl ects their value water in this chapter refer to drinking • stimulating effi cient investment in and recycled water products, services water and wastewater storage, supply and infrastructure and reuse infrastructure. • reference to urban and regional Achieving these reforms will benefi t the customers includes customers in cities State and will protect the long-term and towns, as well as primary interests of customers. The Government producers who rely on SA Water recognises the importance of protecting supplies low-income households, within this • reference to irrigators does not context. include primary producers who rely Key points on SA Water supplies.

• commitment to national reforms for Actions and outcomes water pricing, markets and related Outcome institutional arrangements under the Long-term interests of customers are National Water Initiative (NWI) and protected through comprehensive, other Council of Australian independent economic regulation of Governments (COAG) agreements urban and regional water and remains essential to the delivery of a wastewater services. secure and diversifi ed water supply

• market-based approaches are the New action most effi cient mechanism for setting • Appoint ESCOSA as the independent prices and for encouraging economic regulator for monopoly competition and innovation suppliers of urban and regional water • in many cases, water and wastewater and wastewater services in South services are natural monopolies, Australia. This will apply to SA Water’s meaning that competition is either not potable water and wastewater possible or is undesirable. In these services in the fi rst instance. cases, independent economic Outcome regulation can be used as a Strengthened price signals encourage transparent means of setting price effi cient water use. and service standards to help protect the long-term interests of customers, New actions and stimulate effi cient investment • Initiate a transition to a single potable in infrastructure water use price for SA Water’s non- residential customers • water and wastewater prices should refl ect the full cost of producing and • In consultation with customers, and supplying those products and over a period of up to fi ve years, services (including environmental transition SA Water customers to water externalities where feasible and supply charges based on the number practicable) so that customers are and size of the customers’ meters encouraged to use water and whilst managing unreasonable wastewater services effi ciently impacts for individual customers

139 • Request the independent regulator, in Increasingly open and competitive In November 2008, COAG agreed to the medium term, to examine price markets for water at a household and improve the security of urban water by structures that may benefi t economic industry level leading to mature and adopting an enhanced national urban effi ciency and water security competitive market arrangements, water reform framework, including the where full retail competition could be fi nalisation of NWI pricing principles. • Develop State-based recycled water available to consumers. These principles remain in draft pricing principles to ensure and are likely to apply only where the competitive pricing of these emerging New actions Commonwealth Water Act 2007 water sources. • Maintain government ownership of does not. SA Water and develop a State-based Actions under way third-party access regime that allows • Continue to move potable water use As far as possible, South Australia is water and wastewater suppliers prices for SA Water customers working to progressively implement to access the water and wastewater towards cost-refl ective prices these national reforms and pricing infrastructure. Any such access will principles. • Bill SA Water customers for require licensing to ensure protection consumption on a quarterly basis to of public interest, public heath and Protect long-term interests of provide more timely information the environment customers through regarding water use comprehensive regulation • Explore the merits of innovative • Identify the costs of providing water and competitive arrangements, in the Where natural monopolies exist, market planning and management in South medium term, which could allow forces cannot be relied upon to control Australia, introduce a water planning for competition in the supply of bulk prices, so other mechanisms may be and management cost-recovery water, recycled water and retail used to protect the long-term interests framework, and set charges in services to customers, while retaining of customers. accordance with it from 2011-12. Government ownership of the public Economic regulation aims to reproduce water supply infrastructure. Outcome the disciplines of competition by Customers have equitable access to Discussion ensuring that the monopoly supplier essential water, wastewater and does not earn excessive profi ts, or National challenges and reform related services. provide sub-standard services. Prices New actions In recognition of the water challenges set under these arrangements should • Set water and wastewater prices to facing Australia, water reform at the enable the monopoly supplier to encourage economically effi cient use national level has incorporated the need recover the costs of effi ciently operating and continue to support low-income for pricing changes and market and maintaining the network assets, and households through transparent, restructuring. earn a reasonable return on investment. targeted concessions schemes States and territories have been Urban and regional regulation • Require the independent regulator to working towards delivering the 1994 Natural monopolies monitor and report on the effect of and 2004 COAG reforms, including SA Water’s water and wastewater statewide pricing. changes to water management regimes, distribution networks are considered separating water access entitlements Action under way natural monopoly services, as it would from land titles, separating the functions • Continue to support regional be ineffi cient to duplicate facilities and of water delivery from that of regulation, communities using SA Water’s have more than a single supplier. and making explicit provision for networks through the application of ‘environmental water’. There are examples of other suppliers statewide pricing and report costs providing localised potable water transparently in the State Budget. More current water reform objectives supplies and wastewater services to Outcomes are now incorporated within the townships and regional areas and The State-owned water infrastructure, National Water Initiative (NWI). Figure alternative water products within the currently managed almost entirely by 37 outlines the NWI pricing outcomes. urban and regional area. As competition in the water industry increases, these SA Water, will have been opened up to The Commonwealth Water Act 2007 existing and new supplies will provide third-party access, and new provides for the adoption of water need to be reviewed to assess whether entrants in the water industry will be market rules and water charge rules monopoly characteristics exist, and offering a range of fi t-for-purpose water to apply in the Murray-Darling Basin. to determine whether the benefi t products. The Australian Competition and of applying independent economic By fostering markets and competition, Consumer Commission (ACCC) is regulation would exceed the costs new and innovative sources of water are providing advice on these rules and of regulation. provided at the lowest cost, while still has a role in enforcing and monitoring meeting defi ned health, environmental, compliance with the rules. An independent economic regulator security and customer service The NWI requires the use of standards. independent bodies to set or review

140 prices, or price setting processes, for The Water Services Association of Part 6 water storage and delivery by Australia (WSAA) also supports water Fostering innovation government water and wastewater prices being set by an independent suppliers. To meet this obligation, price regulator in its Vision for and effi ciency ESCOSA reviews the processes by a Sustainable Urban Water Future through planning, which the State Government sets urban Position paper. and regional water and wastewater pricing, legislation prices to be charged by SA Water. Independent economic regulators and research already recommend, determine or While this arrangement is consistent approve urban and regional water and with South Australia’s commitments wastewater prices in New South Wales, under the NWI, the National Water ACT, Tasmania, Western Australia and Commission has recommended that Victoria. In Queensland, the economic strengthened independent economic regulator provides oversight where regulation is important for achieving matters are referred to it by the improved water pricing outcomes. Queensland Government and further reforms are being recommended and implemented.

Figure 37 NWI Pricing Outcomes

The pricing outcomes outlined in the National Water Initiative seek to:

• promote economically effi cient and sustainable use of water resources, water infrastructure assets, and government resources devoted to the management of water

• ensure suffi cient revenue streams to allow effi cient delivery of the required services (but avoiding monopoly rents)

• facilitate the effi cient functioning of water markets in both rural and urban settings;

• give effect to the principle of user pays

• achieve pricing transparency

• avoid perverse or unintended pricing outcomes.

The specifi c actions designed to achieve these outcomes include:

• consumption-based pricing

• full cost recovery for water services to ensure business viability and avoid monopoly rents, including recovery of environmental externalities, where feasible and practical

• consistency in pricing policies across sectors and jurisdictions where entitlements are able to be traded

• development of pricing policies for recycled water and stormwater that are congruent with pricing policies for potable water, and stimulate effi cient water use regardless of the source

• review and development of pricing policies for trade wastes that encourage the most cost-effective methods of treating industrial wastes, whether at the source or at downstream plants

• development of national guidelines for customers’ water accounts that provide information on water use relative to equivalent households in the community.

NWI reference to rural and regional supplies refers to water and wastewater services provided for rural irrigation and industrial users and in regional urban areas with less than 50,000 connections. Urban supplies refer to those supplies not included as rural and regional supplies.

141 Independent economic regulation has economic objectives, to be pursued by Irrigation regulation the potential to contribute to water ESCOSA, and non-economic objectives Irrigators’ water costs comprise the cost security by: (i.e. health, social and environmental of the water right (in some cases), levies, objectives) to which ESCOSA must licence fees and the price of the storage • facilitating price structures that have regard, but for which the State and delivery services provided, in the promote effi cient water use and Government will retain primary main, by the irrigation trusts but, in some investment decisions consistent with responsibility instances, by SA Water or other government policies providers under bulk water transport • outline the pricing principles and • providing greater certainty for the arrangements. methodologies to be applied by funding of capital investment ESCOSA in undertaking its regulatory Bulk water prices • enhancing the outcomes that would be functions. The price of a water right from the expected from market-based The regulatory framework will ensure Murray-Darling Basin is determined by approaches that regulatory bodies, such as ESCOSA, the Murray-Darling Basin water market • helping to clarify roles and the Environment Protection Authority and and will be subject to the water market responsibilities for activities including the Department of Health, work together rules to be made under the Water Act supply-demand planning to ensure desired outcomes are 2007. There is no immediate need delivered in an economically sustainable for additional independent economic • formally incorporating the manner. The regulatory framework will regulation by South Australia of prices requirements of other regulators, such also include consumer protection for bulk water sourced from the as the Environment Protection Authority services as detailed in the Legislative Murray-Darling Basin. and the Department of Health, into the and Regulatory changes section of Part 6. regulatory decision-making process. Licence fees and levies Detailed work to develop the regulatory Where water is sourced from a To deliver these benefi ts, and as a fi rst framework is required. The regulatory prescribed water resource, irrigation step towards pursuing other reforms, framework applied to the Victorian water operators, like other users, pay a licence ESCOSA will be appointed as the industry, the Water Industry Regulatory fee to extract the water. The licence fees independent economic regulator for Order (WIRO), is reproduced in mainly comprise charges that recover urban and regional water and wastewater Appendix 3 as an example of the matters the costs of water planning and services in South Australia. which may be addressed in South management. ESCOSA already has the power to Australia’s water industry regulatory In addition, under the Natural Resource regulate essential services in South framework. Management Act 2004, licence holders Australia under the existing legislative Regulated suppliers, such as SA Water, are charged an annual levy that is paid to arrangements of the Essential Services will pay the costs associated with the regional NRM Board and contributes Commission Act 2004 and has had regulation through licence fees. to the activities undertaken by the board exposure to the issues involved with for water planning and management. urban and regional water and Implementation wastewater price setting. Water ESCOSA will not be able to determine Independent review of the setting of industry-specifi c legislation (the Water prices until the Water Industry and these charges is discussed in more Industry and Planning Bill), to be Planning Bill is enacted. As such the detail under Water Planning and introduced, will enable ESCOSA to Government will continue to determine Management Charges. undertake its functions in relation to prices until the legislation is enacted. Storage and delivery charges water and wastewater services. In the meantime, the Government will The Irrigation Act 2009 and the Renmark ESCOSA will begin its role in respect of work with ESCOSA to ensure the Irrigation Trust Act 2009 give irrigation water and wastewater services provided necessary regulatory processes and trusts the power to impose rates for by SA Water’s monopoly network. frameworks are in place to enable water water supply and drainage in their ESCOSA will have the power to regulate and wastewater prices to be determined districts so they can recover the costs of other monopoly water and wastewater by ESCOSA as soon as possible these services. Irrigation trusts set water suppliers as necessary. following fi nalisation of the legislation. storage and delivery charges for their respective districts in consultation with The role of ESCOSA Action their customers. The four major ESCOSA will determine water and Appoint ESCOSA as the independent irrigation trusts currently levy a fi xed wastewater prices for monopoly service economic regulator for monopoly charge and a usage charge for storage providers and undertake other suppliers of urban and regional water and delivery services. regulatory functions as determined by and wastewater services in South the Government. The Government will Australia. This will apply to SA Water’s To date, there has been no independent develop a regulatory framework to: potable water and wastewater services regulation or review of irrigation water in the fi rst instance. storage and delivery charges within • defi ne the services to be regulated South Australia, although the Renmark • establish a clear separation between Irrigation Trust may not impose rates

142 without approval from the Minister for effi cient use of water and wastewater Part 6 the River Murray. services. Cost-refl ective prices are part Fostering innovation of the solution for managing demand Under the Commonwealth Water Act and possibly minimising the level and and effi ciency 2007, charges payable to irrigation frequency of mandatory water infrastructure operators will be required through planning, restrictions. to comply with water charge rules pricing, legislation established under the Act. The Australian Cost-refl ective prices provide incentive and research Competition and Consumer Commission to consume an extra unit of water only (ACCC) will have a role in regulating if the value the customer places on that water storage and delivery charges in consumption is at least as high as the the Murray-Darling Basin. expected cost of providing it in the long run. The ACCC draft advice on the water charge rules infers that the benefi ts of Long-run marginal cost (LRMC) is a determining charges for South Australian forward-looking cost benchmark irrigation trusts would most likely be incorporating estimates of long-run outweighed by the costs. As a marginal operating costs and capital consequence, it is likely that South costs. It is used as a guide to setting Australian irrigation trusts will be cost-refl ective prices. The latest best required to publish water charge estimate of LRMC is in excess of information in accordance with the water $2 per kL (2009-10 dollars). charge rules. This will be an important Cost-refl ective prices can signal the fi rst step to ensuring transparency. need for new investment by existing or These new regulatory arrangements are new industry participants and potentially likely to capture most of the available defer the need for supply augmentations. gains from strengthening independent Cost-refl ective pricing of potable water economic regulation of irrigation supplies may encourage investment in operators in the Murray-Darling Basin, alternative water supply options, and and therefore it would be unnecessary to thereby improve water security. As the implement additional regulatory reform cost of producing and supplying water for irrigation water storage and delivery using existing arrangements increases service charges at a state level. and pushes up water prices, it becomes Irrigators who source water outside the viable to augment supply in ways that Murray-Darling Basin are generally were previously not considered cost- individuals or small groups who have effective. This may include innovative fully funded the water supply options such as water recycling and infrastructure and associated operating investment in water-effi cient appliances. costs. There is not a strong case for Cost-refl ective pricing is critical for implementing independent regulatory encouraging the most effi cient mix of arrangements for this sector at this time. water sources.

We will continue to monitor Much of the recent commitment to major developments in the water charge rules infrastructure investments across for the Water Act 2007 to assess whether Australia has been heavily infl uenced State Government involvement in price by water security considerations, as setting for irrigation storage and opposed to ongoing water supply delivery services is required. needs. This distinction between water supply and water security is important. Strengthen price signals to encourage efficient use Continued restructuring of South Australian water pricing can Water prices provide signals to and should make a major contribution customers about their water to water supply and security over consumption and investment decisions. coming years. Prices that refl ect the full cost of producing and supplying water and wastewater services (including environmental externalities where feasible and practical) encourage the

143 Urban and regional drinking Water usage prices • ensure social equity considerations are water prices A single volumetric price, refl ecting the adequately provided for until equity Key features of current drinking water long-run marginal cost (LRMC) of supply, instruments can be fully separated from prices for SA Water: provides the most economically effi cient the pricing policy water use signal to customers. The NWI • water prices consist of two elements: a • retain conservation signals for pricing principles note that water use fi xed (supply) charge and a volumetric prices may include more than one tier residential customers using higher (water usage) price, which rises for policy reasons, but where more than levels of water. with consumption under a three-tier one tier is adopted, prices should have In its Vision for a Sustainable Urban Water inclining block structure regard to the LRMC of supply to promote Future, WSAA confi rms that inclining • the price for each inclining block is sustainable water use. block structures across Australia have below the cost-refl ective price (LRMC) For residential water use, a three-tier begun to send stronger price signals to • a discount is offered for the fi rst inclining block structure will be retained. urban high water users. inclining block. This price applies to This means customers will be charged Non-residential customers are currently approximately one-third of all a higher price per kL of water as afforded the same discount for water use water used by SA Water customers consumption increases, similar to the as residential customers, up to 120 kL as structure shown in Figure 38. Retaining • uniform water prices apply to shown in Figure 39. In most cases, the inclining blocks is driven by a desire to: SA Water’s urban and regional cost of 120 kL of water is not a major customers through application of a • manage the impact on residential component of non-residential water bills. statewide pricing policy customers by smoothing the transition While discounting water use up to 120 kL to higher water use prices over a for residential customers may be justifi ed • most customers are charged for period of time on social equity grounds, the same water use on a bi-annual basis, although some large customers are billed quarterly. Figure 38 2009-10 Residential Inclining Block Prices In recent years, the Government has implemented reforms to move toward full $2.50 cost-refl ective prices and these reforms will continue in the coming years. LRMC $2.00 $2.26 As a result: $1.88 • water revenues are moving towards $1.50 full cost recovery by taking a transitional path that seeks to manage Price Per kL $1.00 impacts on customers $0.97

• water bills are moving towards a $0.50 stronger ‘user pays’ structure

• water prices are rising to meet the $- cost of the signifi cant investment that 0 120 520+ will be required to augment available Annual Consumption (kL) urban and regional water supplies. Figure 39 The Economic Development Board (EDB) 2009-10 Non-Residential Inclining Block Prices has acknowledged recent action to make $2.50 water prices more cost-refl ective to support necessary investment for water LRMC security. The EDB has stated that further $2.00 restructuring of SA Water pricing can $1.88 make a major contribution to water $1.50 supply and security and that this is the fairest and most equitable way of paying

Price Per kL Per Price $1.00 for costly projects, such as the Port $0.97 Stanvac desalination plant. It is critical that urban and regional water prices $0.50 support the challenge of addressing restricted water availability and $- the emergence of a diverse range of 0 120+ alternative supply sources. Annual Consumption (kL)

144 discounting may not be justifi ed for non- demand a customer might make on the Part 6 residential customers. Non-residential system, as distinct from the actual Fostering innovation customers will be transitioned to a single demand that is refl ected in the water water use price. use price. Signals of potential demand and effi ciency are important for planning future Recognising that cost-refl ective water through planning, augmentation of water supplies. This use prices provide the most approach will ensure that, after the pricing, legislation economically effi cient water use signal transition, no customer will receive a and research to customers, residential and non- water charge based on property value. residential prices will continue to gradually transition towards the A consultative process will be estimated LRMC. undertaken to assess the impacts of this structural price reform on affected Options to reduce transitional impacts for customer groups. Financial support will residential and non-residential customers be considered in the design and will be considered. implementation of these reforms to manage transitionary impacts that Action unreasonably affect individual Initiate a transition to a single potable customers. To allow suffi cient time for water use price for SA Water’s non- consultation, and to smooth the impacts residential customers. for customers, a transition to water Action supply charges based on the number Continue to move potable water use and size of meters will commence from prices for SA Water customers towards 2011-12 and be implemented over a cost-refl ective prices. period of up to fi ve years.

Water supply charges Action While water usage charges provide In consultation with customers, and strong signals for effi ciency, supply over a period of up to fi ve years, charges are important to ensure suffi cient transition SA Water customers to water revenue is raised to fund effi cient supply charges based on the number operating costs and capital investment. and size of the customers’ meters whilst Over time, some anomalies in managing unreasonable impacts for the apportionment of supply charges individual customers. between residential and non-residential Alternative price structures customers have arisen. For example, The reforms to price structures already residential and most industrial customers discussed are considered the priority pay a standard supply charge, while for water security in the short term. commercial customers pay a supply Once these reforms have been charge based on property values. suffi ciently progressed, the independent To remove these anomalies, supply economic regulator may be asked charges for all SA Water customers will to review the case for alternative price transition to supply charges based on the structures that may benefi t economic number and size of meters. Meters come effi ciency and water security. These in different sizes depending on the fl ow reviews may include, but not be limited rate required – or potentially required – to, a review of water use prices, supply by the user (e.g. residential meters are charges, wastewater charges, or other related charges such as developer smaller than most industrial meters). charges and trade waste charges. Supply charges based on meter number and size are used in other states and In the development of this Plan, the use of territories, including New South Wales, scarcity pricing was considered. Scarcity Western Australia and the Northern pricing involves setting the volumetric Territory. price for water so it varies with availability. The implementation of For example, under a system of supply scarcity pricing is a complex matter charges based on the number and size and its benefi ts are not clear. of meters, a motel would pay more than a residence because of its potential to use more of the network’s capacity. Supply charges refl ect the potential

145 Action Moving from a property-based charge Water planning and management Request the independent regulator, in to a fi xed charge for wastewater charges the medium term, to examine price services has no signifi cant water Water planning and management relates structures that may benefi t economic security benefi ts. Fixed charges, like to activities associated with managing effi ciency and water security. property value-based charges, do not the resource sustainably, and planning for signal the impact users are having on current and future use of the resource. Metering and billing the wastewater system. Reform to To the extent that these functions are From 1 July 2009 residential customers wastewater charges may be considered necessary, there is a case for recovering will be billed for water use every three for other policy reasons in the future but these costs from those accessing the months. This will ensure customers is not considered a priority in the water. Charging for water planning and receive accurate information about their context of the Water for Good Plan. management activities provides a signal consumption quarterly, rather than half to consumers regarding the cost of yearly. More timely water use information Recycled water and stormwater their water use decisions and, in some may alert customers to consumption prices cases, may make other sources of water problems (e.g. leaks) and also encourage Recycled water and stormwater are more attractive. changes in water use behaviour. becoming more signifi cant components of the total water supplied to South The NWI requires states and territories As discussed in Part 4 - Managing our Australians. For example, SA Water to identify the costs of water planning water future, the use of smart water recycled 31 per cent of its wastewater in and management attributable to water meters is being considered as another 2007-08, which was predominantly used access entitlement holders, and to link mechanism to encourage changes in for irrigation. Local schemes are also water use behaviour. Wider adoption of charges as closely as possible to the being developed for stormwater smart meters could provide a platform cost of these activities. Draft NWI harvesting. for future price reform, however the pricing principles have been prepared in order to achieve a consistent benefi t would need to outweigh the cost. Pricing for the supply of recycled water approach across Australia. These Results of the pilot study under way will is currently undertaken by special obligations are largely mirrored in the continue to be monitored. agreement (i.e. negotiated on a case- water charging rules outlined in the by-case basis) and in some cases prices Action recently enacted Commonwealth Water may not fully refl ect the costs of Bill SA Water customers for consumption Act 2007. Across Australia, the calculation production and supply. A key challenge on a quarterly basis to provide more facing Australia is the development of and application of water planning and timely information regarding water use. pricing policies for recycled water and management charges varies widely. Urban and regional wastewater stormwater that match, or are similar to, The South Australian Government charges pricing policies for potable water. The undertakes and contributes to a wide Wastewater charges in South Australia aim is to stimulate effi cient water use range of water planning and are currently based on property values, regardless of the source. management activities. A mixture of subject to a minimum charge, and have Under the National Water Initiative, a state-based levies and licence fees no volumetric component. The largest group of state government agencies and and Government funding is applied to 50 trade waste customers are the only economic regulators has developed recover a portion of the costs. exception who are metered and draft pricing principles for recycled charged a usage charge based on the There is scope for water planning and water and stormwater reuse. The content of the discharge. management charges to recover more of application of these draft principles will the costs, to more closely link the charges While introducing a widespread help give more transparent and effi cient to the drivers of the costs, and to ensure volumetric charge for wastewater price signals to customers and provide consistent application across users. services for all users could provide a basis for developing an optimal mix of An examination has begun into how supply options to address water signals to some customers regarding water planning and management costs security. the effect their activities have on can be attributed to users on the basis of wastewater infrastructure, the costs In South Australia, nationally consistent benefi t received, or impact on, the of metering all customers would be state based recycled water and resource. Work will continue in this area signifi cant. The complexities of using stormwater pricing principles will be and effective systems will be developed water usage as a proxy for wastewater developed. Victoria and New South to identify, collate and attribute water volumes would be problematic. Wales have already developed their planning and management costs. ESCOSA has acknowledged that wide own principles and Western Australia is use of consumption-based pricing The issues involved in considering water moving in this direction. for wastewater, using metering, planning and management charges are may be impractical in the South Action complex, and there is not necessarily a Australian context. Develop State-based recycled water single optimal approach. It is not pricing principles to ensure competitive desirable to make fundamental changes pricing of these emerging water sources. in South Australia that might subsequently require further change to be consistent

146 with national requirements. The Ensuring equitable access Part 6 implications of national reform will be to water Fostering innovation investigated before signifi cant reform to water planning and management Low income households and effi ciency Moves towards cost-refl ective pricing will charges is proposed. be accompanied by measures to reduce through planning, When the water charge rules under the the impact of price increases on low- pricing, legislation Water Act 2007 are fi nalised, a fi nal income households. and research decision will be made regarding the Water policy objectives should be framework for water planning and considered separately from the broader management charges. In South Australia issues of relative economic disadvantage, from 2011-12, these charges will be i.e. water conservation can best be calculated in accordance with this new achieved through pricing mechanisms, framework and published. while equity considerations can best Action be delivered through targeted income Identify the costs of providing water support (concessions) measures. planning and management in South Separation of these policy matters will Australia, introduce a water planning and become more important in a water management cost-recovery framework, industry that is open to potential and set charges in accordance with it competition. Responsibility for the water from 2011-12. concessions was recently transferred from the Minister for Water Security Externalities to the Minister for Families and When setting prices, consideration Communities. should be given to the full cost to society of providing the water, including the costs As a fi rst step to concession reform, in or benefi ts arising from an individual’s 2007 and 2008 the water and wastewater consumption that affects others, such as concessions policy was reviewed and social and environmental impacts. These eligibility and entitlements were impacts are known as externalities. increased. The outcomes of recent national reviews of income support and An example is the Commonwealth taxation arrangements are also being Government’s commitment to introducing monitored, as they may infl uence the an emissions trading scheme. This approach to state-based concessions in scheme will place obligations on the future. organisations that emit greenhouse gases to acquire and acquit permits in The impact of water pricing reform on proportion to those emissions. Electricity low-income households will continue to generators will be liable under the be monitored and, to the extent practical, scheme, and this will be refl ected in these concerns will be addressed electricity prices. As water suppliers use through separate, targeted concession electricity to deliver services, they will arrangements provided by the incur these higher costs that will be then Commonwealth Government. be refl ected in water prices. The Action emissions trading scheme will ensure Set water and wastewater prices to that the cost of the greenhouse emissions encourage economically effi cient use associated with water consumption is and continue to support low-income factored into the end user’s costs and, households through transparent therefore, consumption decisions. targeted concessions schemes. Externality pricing seeks to account for these costs. Externality pricing is diffi cult to implement but consistent with the NWI commitments, the State Government will continue to consider options for pricing to incorporate positive and negative externalities.

147 Regional communities uses. Through contracting, there is also Part of the challenge is the barrier on Regional communities using SA Water’s substantial private sector involvement in water trading within the Murray-Darling networks will continue to be supported SA Water’s operations. Examples include Basin. It is not expected that the caps through the application of statewide the operation and maintenance of will be abolished completely until 2014. pricing. A Community Service Obligation metropolitan water and wastewater The South Australian Government (CSO) payment will fund this State services by United Water, and the believes this cap needs to be lifted Government commitment. As the price of building, operation and maintenance of well before 2014 to ensure both water drinking water increases, the need for regional wastewater treatment plants by security for South Australia and CSO payments may reduce, thereby Riverland Water. environmental protection. providing a stronger incentive for A number of market-based options, In the interest of removing barriers to investment in regional water schemes. requiring only modest changes to trade, the State Government will continue Action institutional and regulatory arrangements, to participate in reforms and interstate Require the independent regulator to have the potential to make a signifi cant forums that encourage more effi cient monitor and report on the effect of contribution to water security. These will operation of the Murray-Darling Basin statewide pricing. be pursued as a priority before more water market. costly alternatives are considered. Action Third-party access Continue to support regional Water markets Allowing new entrants access to existing communities using SA Water’s networks End user entitlement trading involves monopoly infrastructure is a necessary through the application of statewide defi ning and providing tradable step to encourage the entry of new, pricing and report costs transparently entitlements and periodic allocations to innovative and diverse supply sources, in the State Budget. end users of water, and allowing a market including non-rain-dependent sources. clearing mechanism to determine the Access may help to achieve economically Fostering markets and value of the water. viable investment and encourage competition Mandatory end user entitlement trading, effi cient use of urban and regional water Reforms to enhance markets and foster particularly models that involve and wastewater infrastructure. The competition in other utility sectors have households, appears to be the least Economic Development Board has provided better incentives for effi cient practical market-based option in the specifi cally recognised the need for supply and demand. For example, in the South Australian context. While it could private suppliers to be given third-party electricity sector, where national offer benefi ts in terms of more effi cient access to Adelaide’s main trunk networks wholesale and retail markets have been allocation and use of limited resources, it for water and sewerage. established, reliability across Australia would involve signifi cant administration In practice, third-party access could has improved and there has been and transaction costs. It would involve involve a company securing its own signifi cant investment in new generation establishing the entitlement regime and water supply and accessing SA Water’s and network capacity, in many cases trading framework, defi ning individual network to deliver the water to involving the private sector. In addition, entitlements, establishing and customers. Alternatively, a competitor as prices better refl ect costs, people maintaining registers, processing and could source wastewater and use have changed their behaviour and participating in trades, and adhering to SA Water’s wastewater network to become more effi cient in their use regulatory requirements, such as transport this to a treatment plant for of electricity. Many have invested in reporting. There may also be equity and sale to recycled water customers. The demand management technologies, health concerns regarding these greatest opportunities for access may be such as solar power and energy- arrangements. in supplying non-residential customers. effi cient appliances. Larger users, however, may have In South Australia, as in other states, there Market-based approaches are being potential to access water without the are signifi cant regulatory and other considered in the water sector as an associated administrative changes. hurdles for competitive entry into water alternative to the exclusive reliance on Voluntary end user trading, using the or wastewater service provision. They monopolies providing all or most existing Murray-Darling Basin water include legislative barriers and lack of a services. Market reform has the potential market, offers a major potential water formal licensing regime for suppliers. to create opportunities for new and source for managing water security in Despite this, potential entrants do have diverse supply sources and innovation South Australia. This option would enable the ability to request access to monopoly in water supply. water to fl ow from lower-value higher- water and wastewater infrastructure value uses, based on informed choices Markets are not new in water supply in through negotiated arrangements, or by buyers and sellers. Access to South Australia. Irrigators, SA Water and through an application via Part IIIA of the SA Water’s transport network would the State Government already participate Trade Practices Act (TPA) 1974. SA Water be required to ensure these options in the water market in the Murray-Darling has negotiated third-party access were fully exploited. Basin. Economic, environmental and arrangements, including an arrangement social benefi ts have resulted from the with Barossa Infrastructure Limited ability to re-allocate water to higher-value for bulk transfer of water from the River

148 Murray to the Barossa region, and Action Part 6 arrangements with other parties for Maintain government ownership of Fostering innovation off-peak transportation of bulk water. SA Water and develop a State-based third-party access regime that allows and effi ciency An alternative approach would be to water and wastewater suppliers to develop a state-based access regime. through planning, access the water and wastewater This would encourage innovation and infrastructure. Any such access will pricing, legislation provide greater certainty for potential require licensing to ensure protection and research entrants as they would be able to gain of public interest, public heath and access to the monopoly facilities on the environment. fair and reasonable terms. Other approaches Several states are considering a move Other market-based options could to this kind of regime. NSW has made contribute signifi cantly to water security the most progress and the National outcomes, and may offer broad reform Competition Council has released benefi ts, including wider operational its preliminary view that, based on and dynamic effi ciencies in the provision the information presented to date, its of water and wastewater services. intention would be to recommend These options include centrally planned certifi cation of the regime. Victoria, restructures of the water industry, Western Australia and Queensland have including the establishment of a also indicated an interest in doing so. centralised wholesale water market, South Australia will develop a state- or the adoption of retail competition and based access regime that allows competitive procurement or sourcing. suppliers, licensed by ESCOSA, to These options involve complex issues access monopoly water and wastewater which require further detailed infrastructure and therefore compete consideration. They also would involve in the provision of water and signifi cant changes to the existing wastewater services. industry structure and arrangements and A state-based access regime for hence would incur signifi cantly greater South Australia will include: cost. These options will be investigated as longer-term alternatives. • provisions to allow access Action • a licensing regime to regulate the Explore the merits of innovative and involvement of the private sector in the competitive arrangements, in the supply of water or wastewater services. medium term, which could allow for This will include provisions to protect competition in the supply of bulk water, public interest, public health and the recycled water and retail services to environment customers, while retaining Government • development of customer protection ownership of the public water supply arrangements via codes and other infrastructure. instruments

• provision for appropriate involvement of an independent economic regulator in facilitating access.

149 Legislative and establishment of a Customer Advocacy • corporatising South Australia’s water regulatory changes and Advisory Council utility, with the former Engineering and Water Supply Department becoming Give statutory force to water demand SA Water under the South Australian Key points and supply plans and outline how Water Corporation Act 1994 • the water industry in South Australia is these will be developed, implemented, changing, and so governance and reviewed and maintained • giving the Essential Services institutional arrangements supporting Commission of South Australia Give explicit statutory recognition to the the industry also need to change (ESCOSA) responsibility for reviewing concept of managing the water cycle the processes for the setting of • a new legislative model is needed to and, of water security metropolitan and regional water and underpin a holistic and integrated Strengthen existing assurance of water wastewater pricing for SA Water approach to total water-cycle planning and service delivery. management • separating water resources planning and management from service Outcome • this will foster and facilitate innovation provision, making the Department of and effi ciency through competition and Enhanced water quality standards and increasingly diversifi ed supply sources. Water, Land and Biodiversity improved transparency Conservation responsible for the • environmental and consumer standards NNewew actionsactions former, and SA Water responsible for will be protected DDevelopevelop nnewew llegislationegislation ttoo eensurensure bestbest the latter, as shown in Figure 40. ppracticeractice wwaterater qqualityuality sstandardstandards aarere • public health is the paramount mmaintainedaintained aass ssupplyupply becomesbecomes Contemporary water consideration for managing drinking iincreasinglyncreasingly ddiversifiiversifi eded industry water quality. Actions and outcomes PProviderovide fforor iindependentndependent ttechnicalechnical The water industry has typically been a rregulationegulation ooff pplumbinglumbing sstandardstandards andand relatively stable service sector. In more Outcome ppracticesractices recent times, however, climate change, A single, new Water Industry & Planning climate variability, economic CContinueontinue ttoo ssupportupport world-leadingworld-leading Act will be governing the operations of development initiatives and the national rresearchesearch ttoo aassessssess tthehe ppotentialotential fforor SA Water. The new legislation is water reform agenda have generated ttreatingreating sstormwatertormwater ttoo a vveryery hhighigh qqualityuality the foundation for establishing a fresh many changes. They include: aandnd mmonitoronitor ffutureuture sscientificientifi c approach to managing a more ddevelopmentsevelopments aandnd ttechnologicalechnological • recognition of the reduced availability competitive and diverse water industry. iinnovations.nnovations. HHoowever,wever, wewe dodo notnot intendintend toto of water and the need for more careful New actions ffeedeed rrecycledecycled wwaterater ddirectlyirectly iintonto tthehe management mmainsains waterwater ssystem.ystem. Release a discussion paper for • increasing use of recycled water from consultation during 2009 outlining wastewater treatment plants, including proposed new legislation: introduce Water reform progress local council community wastewater new legislation in 2010 In the past 15 years, South Australia management schemes, and interest in Work with the LGA to review and update has introduced a number of competition sewer mining at a local level policy reforms to meet the National the governance of the Stormwater • the introduction of the concept of Competition Policy agenda. These Management Authority to ensure that water being a tradable commodity include: appropriate emphasis is given to within a market that refl ects the stormwater harvesting and reuse • establishing independent pricing principle that it should be traded to its Introduce legislative amendments to processes for many monopoly or near highest value use monopoly government business remove any prohibition on SA Water • pricing policies that endeavour to more enterprises proactively taking a role in stormwater accurately refl ect the full cost of reuse • disaggregating natural monopolies in providing water supply and associated services Give explicit statutory recognition to an the gas and electricity industries into competitive elements, and separating Environmental Water Reserve through the • the introduction of new approaches service provision from regulatory and Natural Resources Management Act 2004 such as desalination and aquifer commercial functions storage and recovery Provide defi nitions for the various types • establishing an economic regulator for of wastewater, and certainty as to • use of alternative power sources for monopoly services such as gas, ownership pumping and operating treatment electricity and ports. facilities. Ensure excellent service and fair For the water industry, in particular, the treatment through independent and A larger population and increased reforms meant: transparent customer consultation, exports will underpin the future of South complaints processes and the Australia’s economic prosperity. To achieve the growth planned, the water

150 sector will need to meet the State’s needs New legislation Part 6 in innovative ways. The availability of new Fostering innovation water supplies and products, combined A discussion paper will be released in with increasing prices, are likely to attract 2009 outlining the necessary regulatory and effi ciency further private interest in the market. controls for water supply planning, and through planning, recognition of the water sector as an The combination of these factors warrants operating market, through one new Act. pricing, legislation a major revision of governance and This will clearly integrate water security and research institutional arrangements with public and private investment in new and different methods of supply. Approaches in other The proposed legislation will: Australian states and territories • set out the governance arrangements for Water for Good planning and The shape of the legislative framework management for water service delivery varies • complete the regulation of monopoly considerably throughout Australia, largely water suppliers by introducing because of differing climates, geography, economic regulation. population and patterns of development. Despite these differences, in recent times The proposed legislation will also there has been some consistency in the incorporate necessary operational and general approach to water governance. other powers from the Waterworks Act In all other Australian states and 1932 and the Sewerage Act 1929. It will territories, the provision of water and complement provisions in other key acts, wastewater services is regulated by including: Natural Resources Management specifi c water industry legislation. In Act 2004, River Murray Act 2003, general, this legislation: Essential Services Commission Act 2002, Environment Protection Act 1993 and • establishes an independent regulating Public and Environmental Health Act 1987. body • provides a price-setting mechanism A number of older Acts will be repealed, including: Waterworks Act 1932; • controls entry to the industry Sewerage Act 1929; Water Conservation • specifi es the services to be provided Act 1936; Metropolitan Drainage Act 1935; South-Western Suburbs Drainage • specifi es the standards of service. Act 1959; Metropolitan Drainage Works (Investigation) Act 1957. Figure 40 Water reform

Institutional Reform Competitive Integration of Regulation of Tendering natural resource water industry • Separation of: management water resource • Public-private service • Licensed operators management; and maintenance • Department of Water, • Independent standard setting and contracts Land and Biodiversity economic regulator Safe, sustainable, regulatory • Independent oversight Conservation / • Integrated approach diversified water enforcement; of price setting Natural Resources to water planning industry and service provision for SA Water supplies Management • Third Party Access • Corporatisation of • Negotiated access Act 2004 Regime for monopoly Engineering & Water to SA Water infrastructure Supply Department infrastructure services

Competition Policy Open, flexible, responsive water industry

1994 2004 2010

151 In addition, new drinking water • publishing an annual review of the hydrological cycle. The legislation will legislation will ensure high-water quality prospective trends in the capacity and defi ne water security in a way that standards are maintained as supply reliability of the State’s water system encompasses all water resources – both becomes increasingly diversifi ed. relative to projected growth in customer rain-dependent and non-rain-dependent demand – in the State. Actions Release a discussion paper for • establishing an independent planning Enshrining the concept of total water- consultation during 2009 outlining body if demand and supply forecasts cycle management in legislation sets the proposed new legislation: introduce new indicate a gap is likely to exist in the policy framework on which supply legislation in 2010 foreseeable future. The advisory body planning and delivery will be conducted. will make recommendations on options Develop new legislation to ensure best to be implemented to enable water Action practice water quality standards are supply standards to be maintained, Give explicit statutory recognition to the maintained as supply becomes having regard to quantity and quality concept of managing the water cycle and, increasingly diversifi ed. requirements, and market responses of water security. Water policy, planning • reviewing this Plan and the regional Stormwater and management water supply and demand plans on a The Stormwater Management fi ve-yearly basis. New water supply planning and industry Authority legislation will identify water security as A range of factors infl uences decision- an essential factor infl uencing all aspects making about supply augmentation Signifi cant advances were made in of society, the environment and the options for particular circumstances. stormwater management policy with the economy. The proposed legislation will They include timeframes to plan and signing of the Stormwater Management provide the strategic framework and implement, volume required and the cost Agreement between the State strong governance arrangements of construction and operation. Government and the Local Government necessary for long-term water security Association in 2006 and the enactment It may be necessary to have identifi ed policy, planning and management. of legislation to approve that agreement and developed options in advance, and (Local Government (Stormwater Strategic management sought market input and testing. Management) Amendment Act 2007.

Institutional arrangements – Water demand and supply plans Notwithstanding these advances in planning process The proposed legislation will give governance, there remain a number of A key element of a sustainable water statutory recognition to this Plan and parties involved in the management and strategy is monitoring the resource regional water demand and supply plans, regulation of stormwater. While this multi- outlook and adapting the supply plan and ensuring that the short, medium and long- agency approach is necessary when timetable to refl ect changes between term targets contained in them are dealing with the complex journey of forecasts and outcomes. The supply monitored, evaluated and publicly stormwater from catchment to sea, planning process is described in Part 3 – reported. The responsible Minister will greater clarity around each agency’s role, The challenges of demand and supply. be charged with preparing and responsibilities and actions is required maintaining those plans. for each agency to best perform its part. Accountability for water demand and supply planning will rest with the Minister They will take into account, and The harvesting and use of stormwater is responsible for administering the new complement, the State and regional becoming an increasingly important Act, and that Minister’s role will also be Natural Resources Management Plans, the strategic consideration in meeting the prescribed in legislation. Planning Strategy, the Implementation demands on the State’s critical water Strategy under the River Murray Act 2003 supplies. Stormwater must now be The Minister’s role will entail: and, where applicable, Stormwater and considered within the overall strategic • reviewing and reporting on the Recycled Water Management Plans. context of the statewide management performance of South Australia’s and regulation of all available water Action water system resources. Give statutory force to water demand and • reporting on matters relating to the supply plans and outline how these will Accordingly, the State Government, in future capacity and reliability of the be developed, implemented, reviewed consultation with the Local Government State’s water system relative to forecast and maintained. Association, will review the governance demand arrangements for the Stormwater Recognition of total water-cycle Management Authority to ensure they • reporting on other water supply management facilitate effective management industry and market policy matters The proposed legislation will recognise of stormwater as an integral part of water as a resource that is unevenly available water resources. distributed and occurs in many forms, all of which are part of the interdependent

152 The review will consider the Stormwater Environmental Water Part 6 Management Agreement between State Reserve Fostering innovation and Local Government. Environmental water is currently and effi ciency Action allocated through the Water Allocation through planning, Work with the LGA to review and update Plan (WAP) process for prescribed water the governance of the Stormwater resources under the Natural Resources pricing, legislation Management Authority to ensure Management Act 2004. WAPs must: and research that appropriate emphasis is given to stormwater harvesting and reuse. • include an assessment of the quality and quantity of water required by local As described in Part 4 – Managing our ecosystems, and determine whether water future, with local government the taking and use of water will have a support, the Stormwater Management detrimental effect on those ecosystems Agreement between State and Local Government will also be updated to • determine appropriate limits for the refl ect the proposed legislative changes. amount of water which can be diverted This will ensure signifi cant attention is from a water resource for all uses to afforded to stormwater recycling in achieve an equitable balance between addition to achieving other important environmental, social and economic stormwater management objectives, needs. including fl ood risk management and South Australia has been at the forefront water quality improvement. of water allocation through the Natural SA Water’s role in stormwater Resources Management Act 2004 and its management predecessors. The water allocation plans required under that Act (and described In setting out its functions, SA Water’s further in the Planning section of this establishing legislation, the South chapter) may set out what share of the Australian Water Corporation Act 1994, resource needs to be kept in the system excludes ‘stormwater‘ from the defi nition to maintain system health, end of system of ‘wastewater’ and is silent on the fl ow targets, groundwater levels or defi nition of ‘water’. To date, this has not provide environmental water precluded SA Water from participating in provisions. a number of recent stormwater initiatives. Further refi nement of this mechanism However, it may interfere with the through the establishment of an explicit corporation’s ability to be more active in environmental water reserve (EWR) is this area in the future. The Act will one way of providing additional therefore be amended to remove any environmental water that is also secure ambiguity. during times of drought. Action A reserve would identify environmental Introduce legislative amendments to water as a separate and specifi c use by: remove any prohibition on SA Water proactively taking a role in stormwater • enabling South Australia to have its reuse. own reserve of environmental water to direct to priority sites, and complement other environmental fl ows programs (e.g. Commonwealth Environmental Water Holder or The Living Murray)

• providing a transparent mechanism which industry and private individuals could use for donations

• providing a source of water that could be used to develop watering partnerships with industry and community groups, and which could be traded on the water market.

153 Notwithstanding the current dry Establishing a Safe Drinking Water Act Licensing system conditions, some water is still made in South Australia will provide a more The Government will control the available for the environment during clearly defi ned legal framework and conditions and obligations under which drought. This includes water from ensure that existing roles, responsibilities a provider is allowed to operate through Commonwealth Environmental Water and reporting arrangements are set the regulatory mechanism of licensing. Holder and The Living Murray. out in law. It is proposed that the A licensing system will ensure that legislation require: South Australia already has a River each operator complies with the health Murray Environmental Manager • the establishment of independently and environment legislation pertinent to (RMEM) to obtain environmental water audited drinking water risk a particular type of licence, and meets for the Murray in this State; prioritises management plans certain obligations in relation to environmental assets along the river consumer protection. • provision of information in relation to and develops water bids for obtaining monitoring programs and water A licensing system provides a level ‘e-water’. quality reporting playing fi eld for all participants and A South Australian environmental water • compliance with guideline values and enables the consistent application manager whose role and function incident reporting and response, of standards. It also provides fl exibility will be defi ned in the Act will manage according to protocols agreed with for Government, as policies and the Environmental Water Reserve. the Department of Health. standards change over time. Licensing The manager will be required to report is the preferred regulatory approach to Parliament on ‘e-water’ use and Action throughout most utility sectors. donations. Develop new legislation to ensure best practice water quality standards Third-party access regime The Environmental Water Reserve are maintained as supply becomes Third-party access is the ability of a could potentially contribute to its own increasingly diversifi ed. party to apply for and be granted funding for delivery, monitoring and access to a monopoly’s infrastructure environmental infrastructure projects by Service delivery services. temporarily trading the Reserve to other Independent economic users in years when the water is not Third parties may be interested in regulator needed for environmental purposes, supplying drinking water, recycled e.g. during wetland drying phases. The Essential Services Commission of water or wastewater services. An Other funding will come from donations South Australia (ESCOSA) is currently access regime does not provide a right and the Save the River Murray Fund. responsible for the economic regulation to obtain the resource itself. of gas, ports and intra-state railway Action The State’s water infrastructure industries, as well as the Tarcoola to Give explicit statutory recognition to an currently managed by SA Water will Darwin railway. ESCOSA also has a Environmental Water Reserve through the remain in Government ownership. Natural Rescources Management Act. limited role in water whereby, at the direction of the Treasurer, it undertakes Water and wastewater service providers Water quality enquiries into Government processes who gain access will need to be for setting SA Water’s charges for water licensed to operate to ensure protection Nationally, regulation of water quality and wastewater. of public interest, public health and the has been increasing as management environment. These arrangements are functions are outsourced. Victoria and ESCOSA will take on the broader role discussed further in the Pricing and Queensland have recently developed of an independent economic regulator markets section of this chapter. specifi c legislation to ensure safe of monopoly service providers of water drinking water. While the present supply and wastewater services. In South Australia, a number of third arrangements between SA Water parties have access to SA Water’s The functions of the economic regulator and the Department of Health have infrastructure (e.g. Barossa will ensure that current best practice been effective until now, with Infrastructure Limited). These access governance standards are observed. increasingly diversifi ed supplies and arrangements have been agreed The functions of the economic regulator potential new suppliers, it is timely through negotiation and goodwill. While are outlined in the Pricing and markets to develop and implement more negotiation is still the preferred section of this chapter. prescriptive safe drinking water approach, a third-party access regime legislation in South Australia. ensures the right to negotiate for access to the infrastructure.

If negotiations fail, the potential market entrant can have confi dence that an independent regime is in place and that the dispute can be dealt with.

154 Supplier of last resort SA Water, under the waterworks and Part 6 sewerage Acts, has been responsible Fostering innovation The proposed legislation will enable the for the technical regulation of plumbing minister to appoint a ‘supplier of last associated with public infrastructure and effi ciency resort’ that can step in where a licensed and, more broadly, the adoption of State- through planning, water or wastewater service provider based plumbing standards. Local fails to provide the required services. councils and the Department of Health pricing, legislation This mechanism is essential to provide regulate plumbing standards in areas and research consumer protection with respect to not supplied by the public water system. vital water services. SA Water has been required to perform such a role in In an economic regulation environment, the past. it is inappropriate for these State-based responsibilities to remain with a Sewer mining licensee, in this case SA Water. The proposed legislation will therefore Before a sewer miner can tap into a provide for the appointment of a sewer, extract the wastewater, treat it, technical regulator of plumbing use it, and discharge the residuals back activities. This role will be similar to into the sewerage system, agreement those within the electricity and gas from the wastewater infrastructure sectors. operator is required. SA Water, the major wastewater infrastructure The functions and powers of the operator in the State, already permits Technical Regulator will be to: sewer mining. • set standards for plumbing activities, By convention, the owner of the picking up on nationally agreed sewerage infrastructure is considered standards the ‘owner’ of the sewage once it passes • monitor, enforce and report annually the property boundary. ‘Sewage’, on compliance with the standards. however, is not defi ned in the Sewerage Act, or elsewhere, and no provision is The technical regulator will establish made for ownership of the resource. technical advisory committees, including representatives from water The proposed legislation will clarify entities, contract or employee rights of ownership and provide organisations involved in the plumbing certainty and consistency in relation to industry, and local government. sewer mining. This proposal supports the 2008 COAG Action agreement to develop a national trade Provide defi nitions for the various types licensing system in the context of the of wastewater, and certainty as to broader regulatory reform to achieve ownership. a seamless national economy. The Technical regulator proposed National Licensing System will initially apply to seven occupational Sound plumbing practice remains a key areas, including plumbing and gas fi tting. element in the protection of public health in the water and wastewater Action industry, especially in the context of that Provide for independent technical industry drawing supplies from a regulation of plumbing standards and diverse range of sources. practices.

The licensing, registration and professional behaviour of the plumbing industry is currently regulated under the Plumbers, Gas Fitters and Electricians Act 1995, by the State Offi ce of Consumer and Business Affairs (OCBA), which is the primary occupational licensing body of the Government.

155 Performance monitoring, Action evaluation and feedback Strengthen existing assurance of water planning and service delivery. Good governance requires accountability, transparency, integrity, Consumer protection stewardship of common resources, A formal process to deal with customer leadership and effi ciency. The outcome complaints and disputes is important is confi dence in the organisations to protect customers from poor service delivering the services. This confi dence or unfair treatment. is achieved through robust processes by which internal and external Active participation by water users accountability is assured. is a key component in water demand and supply planning. In a more The proposed legislation will strengthen complex water industry, a single point existing assurance of water planning of advice from, and advocacy for, the and service delivery through: various needs of water customers is • increased transparency in price- also required. setting for monopoly services and The SA Water Customer Council was other entities established in 2004 but this body is • independent assessment of licensed not established under legislation and entities’ performance is supported by SA Water. Provision will be made for the economic regulator to • rigorous and transparent water establish its own independent customer planning advisory committee. Licensees of • legislated implementation and regulated services will also be required evaluation mechanisms to have customer consultation and complaints-handling mechanisms in place. • public reporting of the effectiveness of planning and delivery Action • integrated strategic management of Ensure excellent service and fair the entire stormwater system from all treatment through independent and drainage systems, creeks and rivers transparent customer consultation, to the sea complaints processes and the establishment of a Customer Advocacy • continued protection of public and Advisory Council. and environmental health within an expanded water industry.

156 Part 6 Fostering innovation and effi ciency through planning, pricing, legislation and research

157 To ensure that we are on track to meet our vision and outcomes will require a robust and adaptive monitoring and assessment framework.

158 Part 7 Staying on track – implementation and monitoring

159 Part 7 Introduction Key Points Water for Good is an overarching • The implementation of Water for Staying on integrated management plan that will Good will require the active see South Australia become an involvement of all South Australians. track – internationally-recognised water- • An adaptive management framework sensitive State by 2050. implementation has been developed to review the It contains more than 90 actions assumptions underlying demand and and monitoring collectively designed to ensure that we supply augmentation scenarios have a secure and reliable supply of • The Offi ce for Water Security will water to support economic, social and undertake the development and review cultural development. of all regional water demand and A vital component of the Plan will be supply plans the development of water demand and • The assumptions in each regional supply plans for every region of the water demand and supply plan will be State outside of Greater Adelaide. reviewed annually They will sit side-by-side with Water for Good and support and inform its • If an annual review fi nds a substantial delivery in the short, medium and deviation from the original long terms. assumptions underlying demand and supply augmentation scenarios, Tracking the implementation and a comprehensive review will achievement of this suite of actions – automatically be triggered and the status of water demand and • A comprehensive review of all regional supply through these regional plans – water demand and supply plans will require a robust and adaptive will occur every fi ve years, unless monitoring and assessment framework. triggered earlier. This section outlines how we will achieve this.

160 Discussion Water for Good Action Plan The annual review process will provide an important check-point for signifi cant Table 12 outlines all of the actions The South Australian Government, investment decisions, and this could contained within Water for Good as well industry, business and water consumers improve the cost effectiveness of as any actions arising out of Water will need to work collaboratively to projects. The review frequency is Proofi ng Adelaide. ensure the actions in this Plan can be particularly important in the water achieved successfully. Adaptive management framework industry, as signifi cant lead times are Water Proofing Adelaide As outlined in Part 3 – The challenges often required for the design and of demand and supply, an adaptive construction of infrastructure. Water Proofi ng Adelaide (WPA) 2005 is a management framework will be An adaptive management framework 20-year strategy for the management, developed to ensure that decisions are requires a clear single point of authority conservation and development of made in a timely manner. This new so that management and monitoring are Adelaide’s water resources. It contains 63 framework will consider the following transparent, accountable and supported strategies and sets the target of reducing factors: water use by 70 GL a year by 2025. The by science. In the medium to long term, area covered by WPA encompasses the • a set of water security standards the Government will examine options for an independent entity to oversee Greater Adelaide region, including • state of the resource Myponga, the Barossa Valley and the the annual review process and to ensure western Mt Lofty Ranges. • demand pressures that triggers contained in plans are appropriately activated. The independent • governance and management In July 2008, engineering consultants entity would ensure consistent monitoring GHD undertook an independent review • options and assessment process of water demand and supply standards of WPA. This not only fulfi lled the and note any changes, as well as assess • measuring and monitoring. strategy’s commitment to regular review all options and initiatives as they may but was also in response to signifi cant Annual review of assumptions arise. In the interim, the Offi ce for Water changes in climatic conditions, new This Plan and the regional water demand Security will undertake this role. knowledge and policy development at and supply plans will be reviewed both State and national levels. annually. These reviews will not only look at the status of demand and supply in The key fi ndings of the review were: each area but also the assumptions the • That nearly all of the strategies are plans contain. Water for Good will be ‘on track’ to be met, with 14 already examined for the fi rst time in 2010. completed The regional plans will be reviewed 12 months after they are completed • The establishment of the Offi ce of and approved. Water Security has provided a central point of contact and coordination The review process will assess and re-invigorated action among assumptions against set water demand the agencies and stakeholders and supply criteria; identify matters that delivering WPA relate to any future issues and assess the reliability of the current water supply • Water savings and additional water system relative to forecast demand. Both supplies achieved at the time of the demand and supply forecasts will be review (approximately 15 GL/a on- updated as required. going) represent about 20 per cent of the 2025 WPA target.

161 Five yearly comprehensive reviews Outcome All water demand and supply plans will Water for Good and all regional water be comprehensively reviewed and demand and supply plans are regularly updated every fi ve years, unless such a and robustly reviewed and updated. review has been triggered earlier. New actions In addition to reviewing the assumptions, Undertake annual reviews of Water for the fi ve-year comprehensive review and Good and regional water demand and amendment will incorporate an supply plans, checking both the status of assessment of the effectiveness of the resources and the assumptions on which plan to date. the plans are based.

Undertake comprehensive review and amendment of Water for Good and regional water demand and supply plans on a fi ve-yearly basis.

The Minister will publish an annual statement that will:

• assess progress and identify any risks or issues

• review and confi rm water security standards for the upcoming review period

• provide a demand and supply status for each region

• identify and analyse impacts of any emerging issues.

Figure 41 Review Process Update Regional Water Demand & Supply Plans Office for Water Security / Steering Committee

Submit report Collate data Commissioner for Water Office for Water Security / Security State Agencies

Prepare report Review assumptions Office for Water Security / Office for Water Security Steering Committee

162 Part 7 Staying on track – implementation and monitoring

Table 12 Summary of Actions

Action Start DateCompletion Lead Agency Partners Date

1. Establish an adaptable management framework, 2009 Ongoing OWS incorporating an annual review process, to assist in making timely and appropriate decisions to provide ongoing water security throughout the State.

2. The Minister will produce an annual statement that will: 2010 Ongoing OWS SA Water

• assess progress of the Plan and identify any risks or issues DWLBC

• review and confi rm water security standards for the NRM Boards upcoming review period • provide demand-supply status for each region DP&LG • identify and analyse impacts of any emerging issues.

3. The Minister will establish an independent planning As required As required Minister for DWLBC process if demand and supply forecasts indicate a gap is Water Security Department of likely to exist in the foreseeable future. OWS Treasury & Finance

Independent chairperson

4. Undertake annual reviews of Water for Good and 2009 Ongoing OWS SA Water regional water demand and supply plans, checking both DWLBC the status of resources and the assumptions on which the plans are based.

5. Undertake comprehensive review and amendment of 2014 Ongoing OWS SA Water Water for Good and regional water demand and supply DWLBC plans on a fi ve-yearly basis. ESCOSA

Desalination

6. Construct a major desalination plant powered by 2009 2012 SA Water renewable energy to supply Greater Adelaide with ‘fi rst water’ by December 2010, 50 GL/a by mid 2011, and 100 GL/a by the end of 2012.

7. Additional water sources including desalinated seawater 2009 2014 SA Water EPA will supplement the Eyre Peninsula water resources, subject to site and environmental investigations.

8. Complete the investigation for the design of, and need for, 2009 2012 SA Water interconnection works between Adelaide’s southern and northern water supply systems.

9. By 2010, fi nalise a statewide desalination policy to guide Underway 2010 SA Water EPA future desalination plant proposals, including the DWLBC identifi cation of additional suitable sites in case they are needed in the future. OWS

SA Health

163 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

10. Investigate the viability of constructing groundwater Underway 2025 SA Water SA Health desalination plants for regional townships where water OWS quality (i.e. salinity) has been identifi ed as an issue. This will enable improvements to these water supplies by 2025 at the latest.

Stormwater Recycling

11. Complete existing committed stormwater projects, 2009 2013 Project Local Government including Cheltenham Park, to provide an additional proponents: Developers harvesting capacity of almost 12 GL/a by 2013. LMC OWS AMLR NRM SMA Board Adelaide Airport DEH Limited SA Water

12. Update, by 2010, State water recycling guidelines to 2009 2010 Department of EPA refl ect the Australian Guidelines for Water Recycling, Health SA Water and include stormwater. DWLBC

PIRSA

OWS

13. Subject to Commonwealth assistance and in partnership 2009 2013 OWS SA Water with local government, stormwater harvesting and recycling DEH will be underway, including: Local Government • in the western metropolitan area including Cheltenham Park, Riverside Golf Club, Old Port Road and AMLR NRM Board Adelaide Airport Commonwealth • in the southern metropolitan area, building on the fi rst Government stage of Water Proofi ng the South • in Playford and Salisbury, creating further capacity in the northern area, building on Waterproofi ng Northern Adelaide • at the Adelaide Botanic Gardens, and • at Barker Inlet.

14. Work with local government to update the State-Local 2009 2011 OWS DP&LG Government Stormwater Management Agreement. Clarify LGA the roles of State agencies and local government; reinforce the importance of collaboration; and strengthen governance SMA arrangements.

15. Work with local government, the Stormwater 2009 Ongoing OWS SMA Management Authority and other stakeholders (including Local Government the Commonwealth Government and private enterprise) to identify and develop new stormwater recycling projects in SA Water the Adelaide region, in line with the fi ndings of the Urban LMC Stormwater Harvesting Options Study. Private sector

NRM Boards

Commonwealth Government

164 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

16. Develop a master plan for effectively managing 2010 2012 Offi ce for Water Local Government stormwater in Adelaide. Include interim milestones and water Security SA Water quality targets to support recommendations in the Adelaide SMA Coastal Waters Study Final Report, to provide up to 60 GL/a of LMC recycled stormwater, in Greater Adelaide, by 2050. NRM Boards

17. As part of regional water demand and supply planning, Underway 2050 OWS SA Water, develop and implement plans to provide up to 15 GL/a DWLBC of stormwater harvesting potential in South Australia’s regional areas, by 2050. NRM Boards

Local Government

Wastewater Recycling

18. Develop State guidelines for greywater recycling, 2009 2010 Department of EPA consistent with Australian Guidelines for Water Recycling, Health SA Water by 2010.

19. Develop a master plan for effectively managing 2012 2014 SA Water Local Government wastewater in Adelaide, in concert with the stormwater OWS recycling master plan, to ensure optimum use of both water sources. NRM Board

SMA

DP&LG

20. Encourage decentralised wastewater recycling 2011 Ongoing DP&LG SA Water schemes in new developments, in partnership with the Local Government implementation of the Plan for Greater Adelaide. OWS

21. Expand recycling of rural community wastewater 2010 2050 DP&LG Local Government management schemes (council operated) to 12 GL/a OWS by 2050.

22. Complete wastewater recycling projects, including 2009 2013 SA Water SA Health Glenelg to Parklands (open space irrigation), Blakeview EPA (housing development), Southern Urban Recycling Project (housing development), by 2013. LMC

Local Government

Private sector

Using and Saving Water

23. Enhance the H2OME rebate scheme in September 2009 2011 SA Water OWS 2009, by: • including a new $150 rebate for the purchase of a hot water recirculator • modifying the washing machine rebates to apply to those with a minimum of 4½ stars • an increase in the garden goods rebate to $100 on a $250 basket of goods, which will now include rainwater diverters • a new $200 rebate for the purchase of approved pool covers and cover rollers for existing household swimming pools.

165 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

24. Support the expansion of the Water Effi ciency Labelling 2009 Ongoing OWS Commonwealth and Standards (WELS) scheme to include additional Government SA Water products, and minimum performance standards for existing products.

25. Implement the best regulatory approach to mandate 2011 2012 DP&LG SA Water swimming pool covers by 2012. OWS

26. Apply permanent water conservation measures to 2010 Ongoing DWLBC OWS private bores in urban areas from 2010. NRM Boards

27. Develop the Urban Landscape Program to provide South 2010 Ongoing SA Water Gardening Industry Australians with the knowledge, tools and incentives to OWS develop appropriate water-wise gardens and landscapes by the end of 2011.

28. By 2010, require SA Water customers using more than 2010 Ongoing SA Water Private Industry 25 ML a year to complete a water effi ciency plan.

29. Include leak detection in the water auditing process of 2009 2011 SA Water the Business Water Saver Program.

30. Work with industry to encourage the uptake of 2009 Ongoing PIRSA SA Water stormwater and recycled water for primary production in Local Government lieu of mains water.

31. Irrigation meters will be installed in the Mount Lofty 2010 2014 DWLBC NRM Boards Ranges Prescribed Areas by 2014, once water users are licensed.

32. Develop a new water information website, with clear and 2009 2009 OWS DPC readily accessible information on South Australia’s water SA Water resources, and information to help South Australians improve water-use practices by the end of 2009.

33. Develop an awards program, including a Premier’s 2010 Ongoing OWS Industry bodies award, to recognise the achievements of communities, DPC individuals, schools, businesses, industry and government that are contributing to our future water security by the end of 2011.

34. Work with the South Australian Multicultural and Ethnic 2010 Ongoing OWS SA Multicultural & Affairs Commission to develop targeted water education Ethnic Affairs programs with the various ethnic communities of South Australia.

35. Maintain permanent water conservation measures when By end 2012 Ongoing SA Water new sources of water come on line and water restrictions can be lifted.

36. Extend delivery of irrigation effi ciency programs, such 2009 2011 SA Water DECS as the Irrigated Public Open Space program, to all local Local Government councils and schools. Incorporate the identifi cation of opportunities to substitute mains water used for community purposes with fi t for purpose water (e.g. recycled water, rainwater and stormwater).

166 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

37. Implement a retro-fi tting program to improve the water 2009 2013 State agencies Private commercial effi ciency of publicly-owned buildings, and encourage building owners similar water effi ciency measures in buildings leased by the DP&LG Government, and in other private commercial buildings where appropriate.

38. Continue SA Water’s program of leak detection and 2009 Ongoing SA Water OWS repair in its metropolitan and major country town networks and report annually on progress.

39. By 2010, expand water education to raise awareness 2009 Ongoing OWS SA Water among South Australians of key water issues through a DPC Water for Good education campaign.

40. Provide SA Water customers with more information on 2009 2010 SA Water OWS their water bills, including comparisons with previous use and use in similar homes.

41. By 2013, develop further curriculum resources to help 2009 2013 OWS SA Water lower and middle school students learn more about water DWLBC resources, the water cycle, and what can be done to reduce water use. DECS

Rain, Rivers, Reservoirs and Aquifers

42. Explore the economic and environmental feasibility Underway 2015 DWLBC SAMDB NRM Board of using saline water produced in salinity management schemes.

43. Commission, where required, regional scale studies on 2009 2014 OWS BOM the impacts of climate change on water resources. CSIRO

DPC

SA Water

44. Adopt a two staged approach to water allocation 2010 2012 DWLBC NRM Boards planning, with an Interim Water Allocation Plan followed by a Comprehensive Water Allocation Plan for all newly prescribed areas.

45. Provide funding of $8.6 million over two years, (2009/10 2009 2012 DWLBC SA Water and 2010/11), to strategically review and, where required, NRM Boards expand or upgrade the water resources monitoring network.

46. Increase regularity of statewide data collation, DWLBC SA Water assessment and reporting, where required. EPA

NRM Boards

47. Implement a statewide policy framework for managing 2009 Ongoing DWLBC NRM Boards the water resource impacts of plantation forests, and amend PIRSA the Natural Resources Management Act 2004 to allow forest water licensing, where appropriate, consistent with the statewide policy framework.

167 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

48. Require mining ventures to provide their own water Underway Ongoing PIRSA SA Water supplies within the sustainable framework of natural DWLBC resources management planning, and regional water demand and supply plans.

49. Develop water quality improvement plans for the 2009 2017 EPA DWLBC Mount Lofty Ranges (MLR) Watershed by 2011 and other NRM Boards critical water catchments across the State by 2017. SA Water

50. Establish planning policies, based on the water quality 2010 2012 DP&LG EPA risk hierarchy associated with the MLR Watershed Local Government Priority Areas, to ensure that new developments have a benefi cial, or at least neutral, impact on water quality in the Watershed.

51. Undertake a comprehensive review of current 2009 2010 OWS EPA management and protection of the MLR Watershed with NRM Boards a view to developing an agreed vision, targets and responsibilities for its future management by the end DWLBC of 2010. SA Water

52. Require relevant agencies to report annually on how they 2011 Ongoing OWS DWLBC are meeting the MLR Watershed targets. EPA

53. Work with the Murray-Darling Basin Authority and other 2009 Ongoing DWLBC MDBA Basin jurisdictions to ensure a healthy, working River Murray Other Basin States that will continue to provide critical human water needs for Greater Adelaide and regional South Australia, irrigation OWS requirements and water for the environment. Specifi cally, by seeking:

• a Basin Plan that incorporates appropriate ‘end-of system’ objectives, targets and actions by returning the River Murray to sustainable levels of extraction

• a Basin Plan that establishes a permanent system of environmental fl ows for the River Murray and Lower Lakes, including management of unregulated fl ows and salinity

• improved arrangements for risk management, storage, delivery of and accounting for water

• reviewing and improving river operations, particularly river operating strategies and rules, to ensure more effective, effi cient and transparent distribution of South Australia’s water entitlement.

54. Complete, on time, the elements of the Murray Futures Underway 2018 OWS DEH program designed to sustain, support and reinvigorate SA Water communities and industries within the Murray-Darling Basin in South Australia. DWLBC PIRSA

55. Undertake real-time management of environmental Underway Ongoing DEH DWLBC issues and potential risks affecting the Lower Lakes. SA Water

168 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

56. Maintain a positive balance on the Murray-Darling Basin Underway Ongoing DWLBC PIRSA Salinity Register, and continue to implement strategies and SA Water actions to ensure the real time management of salinity in the lower reaches of the River Murray so that water quality MDBA remains at levels suitable for human consumption.

57. As a last resort, build a temporary weir at Pomanda 2009 2010 SA Water DWLBC Island to protect the water supply to the 1.2 million people (if required OWS currently receiving it from the River Murray below Lock 1. & approved) The temporary weir would only be constructed if infl ows remain at critically low levels and agreed triggers for acidifi cation or salinity were activated and could not otherwise be prevented.

58. Complete water allocation plans and regulatory review Underway 2010 NRM Boards DWLBC of water allocation plans for key areas, in the Mount Lofty Ranges, the Murray-Darling Basin, the South East and Central Adelaide.

59. Implement SA Water’s fi re recovery strategy for all Underway Ongoing SA Water reservoirs in the Mount Lofty Ranges catchments.

60. Bring additional water resources into formal 2010 Ongoing DWLBC NRM Boards management through prescription and water allocation planning, as necessary.

61. Continue programs to unbundle water rights across Underway 2014 DWLBC NRM Boards South Australia and remove barriers to trading water entitlements.

62. Work with Bureau of Meteorology to develop a Strategic Underway 2012 DWLBC BOM Water Information Plan. SA Water

63. The Environment Protection Authority will develop Underway 2014 EPA NRM Boards environmental values for priority water bodies across the State by 2014.

Planning

64. Ensure regional water demand and supply plans are in 2009 2014 OWS NRM Boards place for all natural resources management regions SA Water throughout the State – in consultation with regional communities, building on existing plans, and incorporating Local Government local knowledge by 2014. DP&LG

Regional Economic Development Boards

65. Commission or contribute towards the development of a 2009 2010 DWLBC OWS regional demand and supply forecasting model. SA Water

BOM

66. Develop and implement a strategy to improve the quality 2009 2014 OWS SA Water of water provided to remote communities DWLBC

DPC

169 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

67. By 2013, develop and implement the best regulatory 2012 Ongoing DP&LG SA Water approach for South Australia to mandate water-sensitive DWLBC urban design, dovetailing with the Plan for Greater Adelaide. OWS

68. Introduce targets for water-sensitive urban design 2009 2010 DP&LG SA Water by 2010. SA Health

OWS

Fostering Innovation and Efficiency

69. Work with research institutions and industry to enhance Underway Ongoing DFEEST PIRSA co-ordination of the research effort and improve DTED collaboration to identify priorities and ensure timely delivery. DWLBC

SA Water

OWS

NRM Research Alliance

Pricing and Market Instruments

70. Appoint ESCOSA as the independent economic 2009 2010 DTF regulator for monopoly suppliers of urban and regional OWS water and wastewater services in South Australia. This will apply to SA Water’s potable water and wastewater services in the fi rst instance.

71. Initiate a transition to a single potable water use price 2011 2016 ESCOSA DTF for SA Water’s non-residential customers. SA Water

72. In consultation with customers, and over a period of fi ve 2011 2016 ESCOSA DTF years, transition SA Water customers to water supply SA Water charges based on the number and size of the customers’ meters while managing any unreasonable impacts for individual customers.

73. Request the independent regulator, in the medium term, 2015 2020 DTF to examine price structures that may benefi t economic effi ciency and water security.

74. Develop State-based recycled water pricing principles 2010 2011 OWS DTF to ensure competitive pricing of these emerging water SA Water sources. SMA

75. Set water and wastewater prices to encourage 2010 Ongoing DTF ESCOSA economically effi cient use and continue to support low- DFC income households through transparent, targeted concessions schemes.

76. Require the independent regulator to monitor and 2011 Ongoing ESCOSA DTF report on the effect of statewide pricing. OWS

170 Table 12 Summary of Actions (continued)

Action Start DateCompletion Lead Agency Partners Date

77. Maintain government ownership of SA Water and 2010 2015 DTF ESCOSA develop a State-based third-party access regime that allows OWS SA Water water and wastewater suppliers to access monopoly water and wastewater infrastructure. Any such access will require Private Sector licensing to ensure protection of public interest, public health and the environment.

78. Explore the merits of innovative and competitive DTF arrangements, in the medium term, which could allow for OWS competition in the supply of bulk water, recycled water and retail services to customers, while retaining government ownership of the public water supply infrastructure.

79. Continue to move potable water use prices for Underway Ongoing DTF OWS SA Water customers towards cost-refl ective prices. ESCOSA

80. Bill SA Water customers for consumption on a quarterly 2009 Ongoing SA Water basis to provide more timely information regarding water use.

81. Identify the costs of providing water planning and Underway 2012 DWLBC management in South Australia, introduce a water planning and management cost-recovery framework, and set charges in accordance with it from 2011-12.

82. Continue to support regional communities using Underway Ongoing DTF OWS SA Water’s networks through the application of statewide SA Water pricing and report costs transparently in the State Budget.

Legislative and Regulatory Changes

83. Release a discussion paper for consultation during 2009 2009 2010 OWS SA Water outlining proposed new legislation: introduce new DWLBC legislation in 2010.

84. Work with the LGA to review and update the 2009 2009 OWS LGA governance of the Stormwater Management Authority to DP&LG ensure that appropriate emphasis is given to stormwater harvesting and reuse.

85. Introduce legislative amendments to remove any 2010 2010 OWS SA Water prohibition on SA Water proactively taking a role in LGA stormwater reuse. SMA

86. Give explicit statutory recognition to an Environmental 2010 2010 OWS DWLBC Water Reserve through the Natural Resources Management NRM Boards Act 2004.

87. Provide defi nitions for the various types of wastewater, 2010 2010 OWS SA Water and certainty as to ownership.

171 Action Start DateCompletion Lead Agency Partners Date

88. Ensure excellent service and fair treatment through 2010 2010 OWS SA Water independent and transparent customer consultation, ESCOSA complaints processes and the establishment of a Customer Advocacy and Advisory Council.

89. Give statutory force to water demand and supply plans 2010 2010 OWS DWLBC and outline how these will be developed, implemented, SA Water reviewed and maintained.

90. Give explicit statutory recognition to the concept of 2010 2010 OWS DWLBC managing the water cycle and, of water security SA Water

91. Strengthen existing assurance of water planning and 2010 2010 OWS DWLBC service delivery SA Water

92. Develop new legislation to ensure best practice water 2010 2010 SA Health SA Water quality standards are maintained as water supply becomes EPA increasingly diversifi ed. OWS

93. Provide for independent technical regulation of 2010 2010 OWS DTE1 plumbing standards and practices. SA Water

94. Continue to support world-leading research to assess Underway Ongoing OWS SA Health the potential for treating stormwater to a very high DFEEST quality and monitor future scientifi c developments and technological innovations. However, we do not intend to feed recycled water directly into the mains water system.

172 Part 7 Staying on track – implementation and monitoring

173 Appendices Appendix 1 Defi nition of Greater Adelaide

Comparison of various definitions of “Adelaide”

The water consumption for Adelaide has been either reported or described in water planning studies based on a number of different defi nitions of the area served. These include:

• “Metropolitan Adelaide” for which SA Water reports consumption

• The Metropolitan Adelaide Water Supply System (MAWSS) as defi ned operationally by SA Water

• The Adelaide area defi ned in the “Water Proofi ng Adelaide” study.

• The “Greater Adelaide” area that is the subject of the 30 year planning study

• The Adelaide Statistical Division

• The Adelaide and Mount Lofty Ranges Natural Resources Management Region.

The following inner metropolitan councils are common to all of these areas:

Gawler West Torrens Playford Adelaide Tea Tree Gully Norwood Payneham St Peters Salisbury Burnside Port Adelaide Enfi eld Unley Campbelltown Mitcham Charles Sturt Holdfast Bay Walkerville Marion Prospect Onkaparinga

174 Differences between the various defi nitions of “Adelaide” are as shown in the table:

Additional Metro ASD WPA NRM MAWSS Greater Areas Adelaide Adelaide Included supply area

Adelaide Hills small part ¸¸¸ ¸ ¸ Council

Mount Barker part part ¸¸ Council

Victor Harbor ¸¸ Council

Yankalilla ¸¸ Council

Alexandrina Goolwa & Strathalbyn & ¸ Council Pt Elliot Clayton

Murray Bridge ¸¸ Council

Barossa Valley ¸ most ¸ Council

Mid-Murray part part Council

Light Council ¸ part ¸

Mallala Council part ¸

Kangaroo ¸ Island

Differences between water demands for the various regions are illustrated in the following table:

Additional Metro ASD WPA NRM MAWSS Greater Areas Adelaide Adelaide Included supply area

2000/01 194 199 212 215 213 224

2002/03 178 184 197 201 199 210

2004/05 166 171 183 186 185 195

2007/08 139 143 153 156 155 163

The Metro Supply Area and the MAWSS consumptions are those recorded by SA Water. The others are estimated based on a combination of customer meter data and master meter data.

A “rule of thumb” is suggested based on these numbers for comparing demand estimates in different defi nitions of “Adelaide”:

• Metro Adelaide = 90.2% x MAWSS • Adelaide Statistical Division = 92.8% x MAWSS • The Water Proofi ng Adelaide study area = 99% x MAWSS • NRM area = 101% x MAWSS • Greater Adelaide Plan area = 105.3% x MAWSS

175 Appendices Other key relationships are: • “Metro Adelaide” = 91.0% x WPA area • Greater Adelaide Plan area = 106.3% x WPA area

It should be noted that these relationships are proposed as a means of interpreting existing study outputs, for comparison purposes. The ratios will vary as development occurs in different areas, particularly within the outer metro part of Greater Adelaide. Description of definitions of “Adelaide” SA Water’s “Metropolitan Adelaide” demand area

Based on the area served by the six metropolitan water treatment plants (Barossa, Little Para, Anstey Hill, Hope Valley, Happy Valley and Myponga) that are within the metropolitan councils described above. (Supplies from these plants that are outside the above council areas are excluded).

Includes also a very small part of the area adjacent to Rostrevor.

SA Water’s Metropolitan Adelaide Water Supply System (MAWSS) (as defined for operational purposes)

MAWSS describes the water supply system that supplies Metropolitan Adelaide, but the consumptions include all the water supplied by that system. In addition to the “metropolitan Adelaide” area it includes:

• Adelaide Hills and Mount Barker • Murray Bridge Council (including Mannum) • Alexandrina, Victor Harbor and Yankalilla Council areas • Parts of the Mallala, Light and areas (supplied from the Barossa Reservoir), but not including the Barossa Valley. The Adelaide area defined in the “Water Proofing Adelaide” study

Water Proofi ng Adelaide was based around the four (then) Catchment Water Management Board (CWMB) areas in metropolitan Adelaide, with some additional areas that were important in respect of future urban demands. It included:

• Northern Adelaide & Barossa CWMB • Torrens CWMB • Patawalonga CWMB • Onkaparinga CWMB • All of the Barossa and Light Council areas • Part of Mt Barker Council (urban portion) • Myponga Reservoir

It does not include Murray Bridge, Mannum or the .

“Greater Adelaide”

Greater Adelaide is most similar to the MAWSS area, but includes all of the Barossa, Mallala and Light Councils.

Adelaide Statistical Division

The Adelaide Statistical Division is similar to the metro Adelaide water consumption area, with the addition of the Adelaide Hills Council.

176 Appendix 2 Appendices List of water legislation List of South Australian legislation relevant to this plan

Environment Protection Act 1993 Essential Services Commission Act 2002 Food Act 2001 Irrigation Act 2009 Local Government (Stormwater Management) Amendment Act 2007 Metropolitan Drainage Act 1935 Metropolitan Drainage Works (Investigation) Act 1957 Murray-Darling Basin Act 2008 Natural Resources Management Act 2004 Public and Environmental Health Act 1987 Renmark Irrigation Trust Act 2009 River Murray Act 2003 Sewerage Act 1929 South Australian Water Corporation Act 1994 South-Western Suburbs Drainage Act 1959 Water Conservation Act 1936 Waterworks Act 1932

177 Appendices Appendix 3 Example: Victorian Water Industry Regulatory Order (WIRO)

Water Industry Act 1994 Water Industry Regulatory Order 2003 Amended as at 25 October 2005. The Governor in Council makes the following Order: General 1. Title This Order is called the Water Industry Regulatory Order 2003. 2. Commencement This Order comes into operation on 1 January 2004 and remains in force until it is revoked. 3. Authorising Provision This Order is made under section 4D(1)(a) of the Act. 4. Purpose The purpose of this Order is to provide a framework for economic regulation by the Commission for services provided by the regulated water industry by: (a) specifying which goods and services are to be prescribed goods and services in respect of which the Commission has the power to regulate prices; (b) declaring which goods and services are to be declared goods and services in respect of which the Commission has the power to regulate standards and conditions of service and supply; (c) specifying the approach to be adopted by the Commission in regulating the price of prescribed goods and services; (d) specifying particular matters to which the Commission must have regard in exercising its powers and functions under this Order; (e) conferring on the Commission certain functions in relation to monitoring, performance reporting and auditing; and (f) conferring on the Commission certain functions in relation to dispute resolution. 5. Definitions In this Order, unless the contrary intention appears the words and phrases have the meanings given to them in Schedule 1. Coverage 6. Prescribed Services and Declared Services (a) The following services supplied by or within the regulated water industry are declared services in respect of which the Commission has the power to regulate standards and conditions of service and supply: (i) retail water services; (ii) retail recycled water services; (iii) retail sewerage services; (iv) storage operator and bulk water services; (v) bulk sewerage services; (vi) bulk recycled water services; (vii) metropolitan drainage services; (viii) irrigation drainage services; (ix) connection services; (x) services to which developer charges apply; and

178 Appendices

(xi) diversion services. (b) The following services supplied by or within the regulated water industry, with the exception of those provided by the First Mildura Irrigation Trust, Gippsland and Southern Rural Water Authority, Goulburn-Murray Rural Water Authority, Grampians Wimmera Mallee Water Authority and Lower Murray Urban and Rural Water Authority, are specifi ed as prescribed services in respect of which the Commission has the power to regulate prices: (i) retail water services; (ii) retail recycled water services; (iii) retail sewerage services; (iv) storage operator and bulk water services; (v) bulk sewerage services; (vi) bulk recycled water services; (vii) metropolitan drainage services; (viii) irrigation drainage services; (ix) connection services; (x) services to which developer charges apply; and (xi) diversion services. (c) The following services supplied by the First Mildura Irrigation Trust, Gippsland and Southern Rural Water Authority, Goulburn-Murray Rural Water Authority, Grampians Wimmera Mallee Water Authority and Lower Murray Urban and Rural Water Authority are specifi ed as prescribed services after 1 July 2006 in respect of which the Commission has the power to regulate prices: (i) retail water services; (ii) retail recycled water services; (iii) retail sewerage services; (iv) storage operator and bulk water services; (v) bulk sewerage services; (vi) bulk recycled water services; (vii) metropolitan drainage services; (viii) irrigation drainage services; (ix) connection services; (x) services to which developer charges apply; and (xi) diversion services. (d) Nothing in this Order is to be taken as precluding services that come within one of the categories of service identifi ed in paragraphs (a), (b) and (c) being regulated, whether as to price, standards and conditions of service and supply, in a different manner from either other services that come within that same category or other services that come within a different category. Regulatory Period 7. Regulatory Period (a) The fi rst regulatory period shall be: (i) for the First Mildura Irrigation Trust, Gippsland and Southern Rural Water Authority, Goulburn-Murray Rural Water Authority, Grampians Wimmera Mallee Water Authority and Lower Murray Urban and Rural Water Authority, the 2 year period commencing on 1 July 2006; and (ii) for all other regulated authorities, the 3 year period commencing on 1 July 2005. (b) Except in the case of the first regulatory period, the Commission must set the term of each regulatory period.

179 Appendices

Regulatory Approach 8. Decision in relation to prices Before the commencement of a regulatory period, the Commission must: (a) approve all of the prices which a regulated entity may charge for prescribed services, or the manner in which such prices are to be calculated or otherwise determined, as set out in the regulated entity’s Water Plan, until the commencement of the next regulatory period; or (b) specify the prices which a regulated entity may charge for prescribed services, or the manner in which such prices are to be calculated or otherwise determined, until the commencement of the next regulatory period. For the avoidance of doubt: (c) a decision of the Commission under paragraph (a) or (b) is a determination for the purposes of the ESC Act. 9. Approval of prices The Commission must give the approval referred to in clause 8(a) if it is satisfi ed that the prices which the regulated entity may charge for prescribed services or the manner in which they are to be calculated or otherwise determined (as set out in the Water Plan): (a) were developed in accordance with the Procedural Requirements; and (b) comply with the relevant Regulatory Principles. 10. Specifying prices The Commission may only specify prices, or the manner in which such prices are to be calculated or otherwise determined, under clause 8(b) if a regulated entity: (a) fails to deliver to the Commission a Water Plan within the time specifi ed for such delivery in the Statements of Obligations that has been issued to that regulated entity; or (b) after considering the Water Plan and any variations to it made after the issue of the Commission’s draft decision in relation to the Water Plan, the Commission is not satisfi ed that the prices which the regulated entity may charge for prescribed services or the manner in which they are to be calculated or otherwise determined: (i) were developed in accordance with the Procedural Requirements; and (ii) comply with the relevant Regulatory Principles. 11. Draft decision Before making a decision under clause 8, the Commission must issue a draft decision which either: (a) proposes to give the approval referred to in clause 8(a); or (b) proposes to refuse to give the approval referred to in clause 8(a) and specifi es the reasons for the Commission’s proposed refusal (which may include suggested amendments to, or action to be taken in respect of, the Water Plan that, if adopted or taken, may result in the Commission giving that approval) and the date by which a regulated entity must resubmit a revised Water Plan or undertake such action as to ensure compliance. 12. Information In order to be satisfi ed that prices, or the manner in which such prices are to be calculated or otherwise determined: (a) were developed in accordance with the Procedural Requirements; and (b) comply with the relevant Regulatory Principles, the Commission may require the regulated entity to provide additional information in support of its Water Plan. Procedural Requirements and Regulatory Principles

180 Appendices

13. Procedural Requirements In order to be satisfi ed that prices, or the manner in which such prices are to be calculated or otherwise determined, have been developed in accordance with the Procedural Requirements, as required by this Order, the Commission must be satisfi ed that the regulated entity has observed the procedural requirements as set out in the Statement of Obligations. 14. Regulatory Principles (1) In order to be satisfi ed that prices, or the manner in which such prices are to be calculated or otherwise determined, comply with the Regulatory Principles, as required by this Order, the Commission must be satisfi ed that: (a) the prices contained in the Water Plan as those which the regulated entity proposes it be permitted to charge for prescribed services over the term of the Water Plan, or the manner in which the Water Plan proposes that such prices are to be calculated or otherwise determined, must be such as to: (i) provide for a sustainable revenue stream to the regulated entity that nonetheless does not refl ect monopoly rents and or ineffi cient expenditure by the regulated entity; (ii) allow the regulated entity to recover its operational, maintenance and administrative costs; (iii) allow the regulated entity to recover its expenditure on renewing and rehabilitating existing assets; (iv) allow the regulated entity to recover: (A) a rate of return on assets as at 1 July 2004 that are valued in a manner determined by, or at an amount otherwise specifi ed by, the Minister at any time before 1 July 2004; (B) all costs associated with existing debt incurred to fi nance expenditure prior to 1 July 2006, in a manner determined by the Minister at any time before 1 July 2006; (v) allow the regulated entity to recover a rate of return on investments made after 1 July 2004 to augment existing assets or construct new assets; (vi) provide incentives for the sustainable use of Victoria’s water resources by providing appropriate signals to water users about: (A) the costs of providing services, including costs associated with future supplies and periods of peak demands and or restricted supply; and (B) choices regarding alternative supplies for different purposes; (vii) take into account the interests of customers of the regulated entity, including low income and vulnerable customers; (viii) provide the regulated entity with incentives to pursue effi ciency improvements and to promote the sustainable use of Victoria’s water resources; and (ix) enable customers or potential customers of the regulated entity to readily understand the prices charged by the regulated entity for prescribed services, or the manner in which such prices are to be calculated or otherwise determined; (b) the expenditure forecasts contained in the Water Plan must refl ect the effi cient delivery of the proposed outcomes contained in the Water Plan and take into account a planning horizon that extends beyond the term of the Water Plan. (2) The Regulatory Principles in clause 14(1) do not apply to the regulated entities referred to in clause 7(a)(1), if clause 14A applies.”. 14A. Rural Sector Regulatory Principles for the First Regulatory Period For the first regulatory period for the entities referred to in clause 7(a)(i), in order to be satisfi ed that the manner in which prices are to be calculated or otherwise determined complies with the Regulatory Principles in paragraphs (a) and (b) of this clause as required by this Order, the Commission must be satisfi ed that: (a) the prices contained in the Water Plan as those which these authorities propose to be permitted to charge for prescribed services over the term of the Water Plan, or the manner in which the Water Plan proposes that such prices are to be calculated or otherwise determined, must be such as to:

181 Appendices

(i) provide for a sustainable revenue stream to the regulated entity that nonetheless does not refl ect monopoly rents and or ineffi cient expenditure by the authority; (ii) allow the regulated entity to recover its operational, maintenance and administrative costs; (iii) allow the regulated entity to recover its expenditure on renewing and rehabilitating existing assets, either by classifying the expenditure as maintenance, recovering a renewals annuity, or borrowing and recovering the cost over time; (iv) allow the regulated entity to recover: (A) a rate of return on assets as at 1 July 2004 that are valued in a manner determined by, or at an amount otherwise specifi ed by the Minister at any time before 1 July 2004; or (B) all costs associated with existing debt incurred to fi nance recent expenditure prior to 1 July 2006, in a manner determined by the Minister at any time before 1 July 2006; (v) allow the regulated entity to recover a rate of return on investments made after 1 July 2004 to augment existing assets or construct new assets; (vi) provide incentives for the sustainable use of Victoria’s water resources by providing appropriate signals to urban water users about: (A) the costs of providing services, including costs associated with future supplies and periods of peak demands and or restricted supply; and (B) choices regarding alternative supplies for different purposes; (vii) take into account the interests of customers of the regulated entity, including low income and vulnerable urban water users; (viii) provide the regulated entity with incentives to pursue effi ciency improvements; and (ix) enable customers or potential customers of the regulated entity to readily understand the prices charged by the regulated entity for prescribed services, or the manner in which such prices are to be calculated or otherwise determined; (b) the expenditure forecasts contained in the Water Plan must refl ect the effi cient delivery of the proposed outcomes contained in the Water Plan and take into account a planning horizon that extends beyond the term of the Water Plan. Regulation of Service Quality 15. Specifying standards and conditions The Commission may specify standards and conditions of services and supply with which a regulated entity is obliged to comply in connection with the provision by it of declared services: (a) by approving standards and conditions of services and supply which a regulated entity has included in its Water Plan; or (b) by specifying standards and conditions of services and supply in a Code issued under section 4F of the Act; or (c) by any combination of the means specifi ed in paragraphs (a) and (b). Monitoring, Performance Reporting and Auditing 16. Performance Monitoring and Reporting The Commission has the function of monitoring and reporting publicly on the performance of the regulated water industry. 17. Auditing The Commission has the function of carrying out audits in relation to: (a) the compliance of regulated entities with the standards and conditions of service and supply specifi ed by the Commission in any Code or set out in their Water Plans, and the systems and processes established by the regulated entity to ensure such compliance;

182 Appendices

(b) the reliability and quality of information reported by regulated entities to the Commission and the conformity of that information with any specifi cation issued by the Commission; and (c) the compliance of regulated entities with obligations imposed in any Statement of Obligations issued to them in respect of the management of their assets. In the case of any such audits: (d) the Commission may decide the scope and frequency of such audits provided that such audits are not conducted more frequently than once in any given financial year; (e) conducted pursuant to paragraph (c), the Commission must include in that audit any matters requested by the Minister.

18. Audits requested by Minister The Minister may request the Commission to audit the compliance of a regulated entity with such obligations as are identifi ed by the Minister and as are imposed on that regulated entity under the Statement of Obligations that is issued to it, in which case the Commission must carry out that audit in accordance with that request. 19. Publication of audit results The Commission must publicly report on the results of all audits conducted under clause 17 or 18. Dispute Resolution

20. Disputes between regulated entities In such circumstances as the Commission determines, the Commission has the function of facilitating the resolution of a dispute in relation to prices and standards and conditions of service and supply provided for in an agreement between two regulated entities to supply storage operator and bulk water services, bulk sewerage services and bulk recycled water services. The Commission may carry out this function by requiring mediation or arbitration or by any other means the Commission considers appropriate. Dated: 16 December 2003 Responsible Minister: John Thwaites Minister for Water Clerk of the Executive Council

Schedule 1 Definitions In this Order: “Act” means the Water Industry Act 1994; “business day” means a day on which banks are open for general banking business in Melbourne, not being a Saturday or a Sunday; “bulk recycled water service” means a service provided by Melbourne Water in connection with the provision of a supply of recycled water; “bulk sewerage service” means a service provided by Melbourne Water in connection with the conveyance, treatment and disposal of wastewater for a regulated entity; “Code” means a code under section 4F of the Act; “Commission” means the Essential Services Commission established under the ESC Act; “connection service” means the connection of a serviced property to a water supply system or sewerage system; “declared services” means the services described in clause 6 of this Order; “developer charges” means:

183 Appendices

(a) contributions to the cost of works imposed under sections 27, 28 and 29 of the Act; (b) contributions to the costs of works imposed under Division 6 of Part 13 of the Water Act 1989; and (c) contributions to the cost of drainage works imposed under section 269A of the Melbourne and Metropolitan Board of Works Act 1958; “diversion service” means a service provided by a regulated entity in connection with the management, extraction or use of groundwater or surface water; “ESC Act” means the Essential Services Commission Act 2001; “financial year” means a year ending 30 June; “irrigation drainage services” means a service provided by a Rural Water Authority in connection with the removal and disposal of run-off from irrigation; “Melbourne Water” means the Corporation as that term is defi ned in Melbourne Water Corporation Act 1992; “metropolitan drainage service” means a service provided by Melbourne Water in connection with the performance of its functions under Part X of the Melbourne and Metropolitan Board of Works Act 1958; “metropolitan retail water company” means: (a) City West Water Limited (ACN 066 902 467); (b) South East Water Limited (ACN 066 902 547); or (c) Yarra Valley Water Limited (ACN 066 902 501); “Minister” means the Minister administering the Act; “Order” means this Water Industry Regulatory Order 2003; “prescribed services” means the services described in clause 6 of this Order; “Procedural Requirements” means the procedures referred to in clause 13 of this Order; “Regional Urban Water Authority” has the meaning given in section 4A of the Act; “regulated entity” has the meaning given in section 4A of the Act; “regulatory period” means a period over which a decision of the Commission under clause 8 of this Order is to apply; “Regulatory Principles” means the principles set out in clause 14 and 14A of this Order; “regulated water industry” has the meaning given in section 4A of the Act; “retail recycled water service” means as service provided by a regulated entity in connection with the provision of a supply of recycled water; “retail sewerage service” means a service provided by a metropolitan retail water company or by a Regional Urban Water Authority in connection with the removal, treatment and disposal of sewage and trade waste; “retail water service” means a service provided by a regulated entity in connection with the provision of a supply of water to a person other than a regulated entity; “Rural Water Authority” has the meaning given in section 4A of the Act; “Statement of Obligations” means a Statement of Obligations issued by the Minister under section 4I(2) or section 8(1) of the Act; “storage operator and bulk water service” means a service provided by a regulated entity in connection with the provision of a supply of water to a regulated entity; “trade waste” means any waterborne waste (other than sewage) which is suitable, according to the criteria of a regulated entity, for discharge into the regulated entity’s sewerage system; “urban water users” means customers who receive an urban water service from Grampians Wimmera Mallee Water Authority or Lower Murray Urban and Rural Water Authority; “Water Plan” means a water plan that is required to be delivered to the Commission by a regulated entity under a Statement of Obligations.

184 Glossary Glossary Aquifer – Underground sediments or fractured rock that hold water and allow water to fl ow through them. Aquifers include confi ned, unconfi ned and artesian types.

Aquifer Storage and Recovery –Involves the process of recharging water into an aquifer for the purpose of storage and subsequent withdrawal.

Augmentation – provision of additional water supply, normally achieved through construction of new infrastructure

Biodiversity – A shortening of the term biological diversity, which means the variety of all life forms.

Blackwater – Wastewater containing, or likely to be contaminated by, human waste matter (e.g. toilet wastewater or waters contaminated by toilet wastewater).

Brownfield sites – Development on sites that have previously been used for urban land uses.

Catchment – An area of land that collects rainfall and contributes to surface water (streams, rivers, wetlands) or to groundwater.

Climate change – Variations in historic weather patterns due to increases in the Earth’s average temperature resulting from increased greenhouse gases in the atmosphere

Critical human water needs – Minimum amount of water that can reasonably be provided from the Murray-Darling Basin, required to meet core human consumption requirements and non-human consumption where failure to do so would cause prohibitively high costs

Commercial use – Commercial uses can include, but are not limited to, automotive/ equipment showrooms, food outlets, restaurants, hotels, garden centres, motels, offi ces, supermarkets and shops.

Demand management – An approach that is used to intentionally reduce the consumption of water through specifi c initiatives, normally either to conserve supplies or defer augmentations.

Desalination – The process of removing dissolved salts from seawater (or brackish water) so that it becomes suitable for drinking or other productive uses.

Detention – Short-term storage of runoff. The objective of a detention facility is to regulate the runoff from a given rainfall event to reduce the impact on downstream stormwater systems and improve water quality.

Drinking water (potable water) – Water that is fi t for human consumption.

Ecological footprint – Total area of land and/or water required to sustain a given population, organisation or activity.

Ecosystem – A community of plants, animals and microorganisms that are linked by energy and nutrient fl ows and that interact which each other and with the physical environment.

Effluent – The outfl ow of wastewater from any water processing system or device.

Environmental flow release – Release from a water storage intended to maintain appropriate environmental conditions in a waterway.

Externalities – When setting price, consideration should be given to the full cost to society of providing the water including the costs or benefi ts arising from an individual’s consumption that affects others, such as social and environmental impacts. These impacts are known as externalities

Greenfield sites – Development on open land (usually greater than 4000 square metres) that has not previously been developed for urban land uses.

Greywater – Household wastewater from the laundry, bathroom and kitchen.

185 Glossary Groundwater – Sub-surface water, particularly that which is held in aquifers. Industrial wastewater – The liquid waste from any industry, business, trade or manufacturing premises, other than domestic sewage, which is disposed of to the sewer. Also known as trade waste Irrigation – The application of water to cultivated land or open space to promote the growth of vegetation or crops Natural recharge – The infi ltration of water into an aquifer from the surface (rainfall, stream fl ow, irrigation etc). Natural resources management – All activities that involve the use, development or protection of natural resources and/or that impact on the state and condition of natural resources, whether positively or negatively. Prescribed Water Resource – A prescribed water resource may be surface water, groundwater, a watercourse, or a combination of these. Recycled water – Water derived from wastewater systems or stormwater drainage systems that has been treated to a standard that is appropriate for its intended use. Run-off – That part of precipitation that fl ows from a catchment area into rivers, lakes, watercourses, reservoirs or dams. Security of supply – Reliability or surety of meeting water supply demand. Storages provide the capability to ensure a certain level of supply is available despite seasonal variations in stream fl ow Sewerage system – The network of collection, conveyance, treatment and disposal facilities for wastewater. Also known as wastewater system Sewer mining – The localized harvesting of raw sewage that is treated to a safe level as required for a particular use Stormwater – Water that fl ows off roofs, properties and roads during rain events Surface water – water fl owing over land or collected in a dam or reservoir Third party access – Arrangement whereby a new provider can apply for and be granted access to a monopoly’s infrastructure to transport their product to customers To take water – process of pumping, siphoning or diverting water from a watercourse. Also includes permitting stock to drink from a watercourse, a natural or artifi cial lake, a dam or reservoir. Transfer/distribution system – A system of conduits (e.g. pipes, channels and aqueducts) used to supply water to customers. A distribution system is typically made up of large supply ‘mains’, which convey the water from major storages to smaller service reservoirs; these then feed into smaller ‘service’ pipes which deliver the water to the customers. Trunk mains – major pipelines that transfer bulk water from its source (river, reservoir, treatment plant, bore fi eld) to the distribution system. Wastewater – Contaminated water before it undergoes any form of treatment. The water may be contaminated with solids, chemicals, or changes in temperature. Water allocation plan – A legal document detailing the rules for the allocation, use and transfer of water from prescribed water resources, as well as the water-affecting activities that require permits. Water licence – Volume of water that the licensee is authorised to take or to hold, representing a share of water from a prescribed water resource as defi ned in the relevant water allocation plan Water sensitive urban design – An approach to urban planning that integrates the management of the total water cycle into the design of new developments to improve water use effi ciency without adversely affecting lifestyle. Water trading – Process of buying and selling either permanent or temporary water entitlements under an established set of rules.

186 Abbreviations Abbreviations AARD – Aboriginal Affairs and Reconciliation Division ABS – Australian Bureau of Statistics ACCC – Australian Competition and Consumer Council AMLR NRM Board – Adelaide and Mount Lofty Ranges Natural Resources Management Board ASR – Aquifer Storage and Recovery ASTR – Aquifer Storage, Transfer and Recovery AuSSI – Australian Sustainable Schools Initiative AWRIS – Australian Water Resource Information System BASIX – Building Sustainability Index (NSW) BoM – Bureau of Meteorology, Australia. BSMS – Basin Salinity Management Strategy

CH4 – Methane

CO2 – Carbon Dioxide COAG – Council of Australian Governments CRC – Cooperative Research Centre CSIRO – Commonwealth Scientifi c and Industrial Research Organisation CSO – Community Service Obligation DECS – Department of Education and Children’s Services (Government of South Australia) DEH – Department for Environment and Heritage (Government of South Australia) DFC – Department for Families and Communities (Government of South Australia) DFEEST – Department of Further Education, Employment, Science and Technology (Government of South Australia) DPC – Department of the Premier and Cabinet (Government of South Australia) DP&LG – Department of Planning and Local Government (Government of South Australia) DSTO – Defence Science and Technology Organisation DTED – Department of Trade and Economic Development (Government of South Australia) DTEI – Department for Transport, Energy and Infrastructure (Government of South Australia) DTF – Department of Treasury and Finance (Government of South Australia) DWLBC – Department of Water, Land and Biodiversity Conservation (Government of South Australia) EC – Electrical Conductivity EDB – Economic Development Board EIS – Environmental Impact Statement EPA – Environment Protection Authority (Government of South Australia) ESCOSA – Essential Services Commission of South Australia EV – Environmental Value EWR – Environmental Water Reserve GL – gigalitre GL/a – gigalitres per annum GWh – gigawatt hours

187 Abbreviations ICE WaRM – International Centre of Excellence for Water Resource Management ICT – Information and Communications Technology IPCC – Inter-Governmental Panel on Climate Change IPOS – Code of Practice for Irrigated Public Open Space kL – kilolitre kL/a – kilolitres per annum kL/day – kilolitres per day LGA – Local Government Association of South Australia LMC – Land Management Corporation LRMC – Long Run Marginal Cost MAR – Managed Aquifer Recharge MDB – Murray-Darling Basin MDBA – Murray-Darling Basin Authority ML – megalitre ML/a – megalitres per annum ML/d – megalitres per day MLR – Mount Lofty Ranges NRM – Natural Resources Management NWI – National Water Initiative NWQMS – National Water Quality Management Strategy OWS – Offi ce for Water Security (Government of South Australia) PIRSA – Primary Industries and Resources South Australia (Government of South Australia) RMEM – River Murray Environmental Manager SACES – South Australian Centre for Economic Studies SAMDB NRM Board – South Australian Murray-Darling Basin Natural Resources Management Board SARDI – South Australian Research and Development Institute, a division within PIRSA SA Water – South Australian Water Corporation (Government of South Australia) SIS – Salt Interception Scheme SMA – Stormwater Management Authority WAP – Water Allocation Plan Watershed – the Mount Lofty Ranges drinking water catchments WELS – Water Effi ciency Labelling and Standards Scheme WIA – Water Industry Alliance WIRO – Water Industry Regulatory Order WNARS – Waterproofi ng Northern Adelaide Regional Subsidiary WPA – Water Proofi ng Adelaide WQO – Water Quality Objective WSAA – Water Services Association of Australia WSUD – Water Sensitive Urban Design WWTP – Waste Water Treatment Plant

188 Bibliography Bibliography ABS 2009 National Income, Expenditure and Product. Catalogue no. 5206.0

ABS 2009 Water Use on Australian Farms. Catalogue no. 4618

Brown, R, Keath, N & Wong, T 2008, ‘Transitioning to Water Sensitive Cities: Historical, Current and Future Transition States’, 11th International Conference on Urban Drainage, Edinburgh, Scotland, UK

Council of Australian Governments 2004, Intergovernmental Agreement on a National Water Initiative 2004, Council of Australian Governments, Canberra

Council of Australian Governments 2008, Intergovernmental Agreement on Murray- Darling Basin Reform, Council of Australian Governments, Canberra

CSIRO 2007, Adelaide Coastal Waters Study: Final Report Volume 1 Study Findings, CSIRO, Adelaide

Department of Treasury and Finance 2009, Transparency Statement – 2009-10 Water and Wastewater, Department of Treasury and Finance, Adelaide

Economic Development Board 2009, Economic Statement, South Australia’s Prospects for Growth, Economic Development Board, Adelaide

Essential Services Commission of South Australia (ESCOSA) 2007, Transparency Statement 2006-07, Essential Services Commission of South Australia, Adelaide

Independent Pricing and Regulatory Tribunal of New South Wales (IPART) 2005, Sydney Water Corporation, Hunter Water Corporation, Sydney Catchment Authority - Prices Of Water Supply, Wastewater And Stormwater Services, IPART, Sydney

Independent Pricing and Regulatory Tribunal of New South Wales (IPART) 2008, Water scarcity: Does it exist and can price help solve the problem? IPART, Sydney

Local Government Association of South Australia (LGA) 2009, Local Government’s Current and Potential Role in Water Management and Conservation, Final Report, prepared by the SA Centre for Economics Studies for the LGA, Adelaide

National Competition Council (NCC) 2009, Water Industry Competition Act 2006 (NSW), Application for Certifi cation of the NSW Water Industry Infrastructure Services Access Regime Draft Recommendation, National Competition Council, Canberra

National Water Commission (NWC) 2007, NWI First Biennial Assessment of Progress in Implementation, 2007, National Water Commission, Canberra

National Water Commission (NWC) 2008, Submission to ESCOSA for Inquiry into 2008/09 Water and Wastewater Pricing Process, National Water Commission, Canberra

NWI Steering Group on Water Charges (NWI SGWC) 2007, Water Planning and Management Stocktake, Cost Recovery for Water Planning and Management In Australia, NWI Steering Group on Water Charges, Canberra

NWI Steering Group on Water Charges (NWI SGWC) 2007, Water Storage and Delivery Charges and Water Planning and Management Costs in The Rural and Urban Water Sectors in Australia, NWI Steering Group on Water Charges, Canberra

Plantations for Australia: The 2020 Vision, 2002, Revision, An Industry/Government Initiative for Plantation Forestry in Australia. Available at:

Productivity Commission 2008, Towards Urban Water Reform – A Discussion Paper, Australian Government, Productivity Commission, Canberra

SA Water 2008, Meeting Future Demand: SA Water’s Long Term Plan for Eyre Region, SA Water, Adelaide

189 Bibliography SA Water 2008, Report on Wastewater Reuse: From SA Water Wastewater Treatment Plants, SA Water, Adelaide

South Australian Government 2005, Water Proofi ng Adelaide, a thirst for change 2005-2025, Adelaide

Stormwater Management Authority 2009, Urban Stormwater Harvesting Options Study report prepared by Wallbridge and Gilbert for the Stormwater Management Authority, Adelaide

Water Services Association of Australia Ltd. (WSAA) and the National Water Commission (NWC) 2009, National Performance Report 2007-08 – Urban Water Utilities, the National Water Commission, Canberra

Water Services Association of Australia Ltd. (WSAA) 2009, Vision for a Sustainable Urban Water Future, Position Paper No. 03, Water Services Association of Australia, Melbourne

Waterproofi ng Northern Adelaide Regional Subsidiary 2008, WaterWise Adelaide: The Stormwater Resource, A Submission to the South Australian Water Security Council, Waterproofi ng Northern Adelaide Regional Subsidiary, Adelaide.

190 Water for Good

Water is our most valuable resource. It’s fundamental to our health, our way of life, our economy and our environment.

Our growing population and reduced rainfall means South Australians think more about water than ever before. We are not only more aware of water issues, we are also placing greater value on water and instinctively taking action to save it.

Water is vital for the preservation of both quality of life and the environment for all South Australians. It also underpins growth in population and the economy – and these are critical to the State’s future prosperity.

Water for Good is a plan that ensures there will always be enough water in South Australia. Most importantly, it will enable us to diversify our supplies to reduce our reliance on the River Murray and other rain- dependent water sources.

Report published June 2009. Reprinted June 2010.

Disclaimer The Crown in right of the State of South Australia and its employees do not warrant or make any representation regarding the use, or results of use of the information contained herein as to its correctness, accuracy, reliability, currency or otherwise. The Crown in right of the State of South Australia and its employees expressly disclaim all liability or responsibility to any person using the information or advice.

Copyright Acknowledgements © Government of South Australia, through the Department of Water, Land and Biodiversity Conservation 2009. This work is Copyright. Apart from any use permitted under the Copyright Act The Office for Water Security would like to acknowledge the support provided by the 1968 (Cwlth), no part may be reproduced by any process without prior written permission obtained Project Steering Group, Interagency Advisory Committee and the many others who from the Department of Water, Land and Biodiversity Conservation. Requests and enquiries concerning reproduction and rights should be directed to the Chief Executive, Department of Water, have contributed to the development of Water for Good. Land and Biodiversity Conservation, GPO Box 2834, Adelaide SA 5001. 5172. Office for Water Security Level 12, 211 Victoria Square, Adelaide SA 5000 GPO Box 2834, Adelaide SA 5001 A plan to ensure our water future to 2050 ISBN 978-1-921528-34-7

Telephone National (08) 8463 7412 International +61 8 8463 7412 Facsimile National (08) 8463 7420 International +61 8 8463 7420 Website www.waterforgood.sa.gov.au