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ANNUAL REPORT 2006/07 G-MW Our Mission To deliver sustainable water services that meet customer and stakeholder needs and support regional economic growth, while balancing social, economic and environmental considerations. Our Values Human safety, the environment and customer service are our highest priorities Sustainability is our commitment to future generations Co-operation based on the involvement of people is the key to progress Openness builds trust, knowledge and understanding Integrity, respect and pride are valued characteristics of our people Continual improvement is essential and underpins our future MW G- Contents 4 Our Performance at a Glance 6 Modernisation Feature 15 Governance 21 Economic Sustainability 31 Social Sustainability 43 Environmental Sustainability 63 Financial Statements 89 Appendices G-MW Annual Report 2006/07 Report from the Chairperson What a year! The worst drought to sideline our responsibilities to the on record and the lowest irrigation environment and recreation. We allocations. Yet these events brought have worked with our Catchment water to the forefront of Government Management Authority partners on the and community interest. This interest has rivers and wetlands and through private been manifested in an unprecedented partnerships with the many lessees and offering of public funds to upgrade the developers who use our water resources irrigation system, both from the Federal to provide for public recreation. The and State Governments. While there is $8 million Jayco re-development of the concern around some aspects of both Nagambie Lakes caravan park was the National Water Security Plan from launched by the former Minister for the Federal Government and the Water, Environment and Climate Change Foodbowl Modernisation Project from John Thwaites and we expect completion the State Government both offer the before the end of 2007. potential for large amounts of money to re-build our system. The Board looks forward to a more normal year for inflows and a consequent Meanwhile Goulburn-Murray Water easing of the difficult circumstances our has undertaken the extensive planning customers have experienced recently. required to bring in unbundling and We will continue to enhance our system made good progress with our and seek out funds to ensure the reconfiguration plans across all districts. prosperity of irrigation in the north of Victoria. The drought resulted in direct funding from the State Government to help This is the final year of appointment customers meet their water delivery bills for this Board which ends in September on the systems which delivered less than 2007 and as Russell Cooper has changed 50% allocation and the government paid title to Managing Director from July, it is for the pumping of Waranga Basin to appropriate to thank him here for his extract another 7% for the Goulburn constant and extensive commitment irrigators. The Board, with the assistance to Goulburn-Murray Water and his of the Water Service Committees, was remarkable zeal in securing outcomes instrumental in arguing for and obtaining for our customers. Chairperson Don Cummins (left), Managing Director Russell Cooper (right). these amounts. At the same time the Board instituted a Tariff Review to I would also like to thank the other investigate alternative pricing and funding directors for the quite extraordinary work proposals for future low allocation years. each has put in during this difficult period. They have guided Goulburn-Murray Despite these dramatic changes to our Water through its most difficult period normal business, management was able and can be proud of the strong and to maintain our Advanced Maintenance respected position the organisation is in. Program, capital works program, institute the Watertight 2020 program and begin work on the Shepparton Modernisation project. This year we also completed the Tungamah Pipeline project well under time and below budget which has saved a substantial quantity of water as part of Don Cummins the Mokoan Return to Wetland project. Chairperson Nor have we allowed this difficult year 2 Report from the Chairperson Report from the Managing Director we also invested extensive resources Management Authorities and relevant into building public awareness of the Departments including Department unbundling of water entitlements that of Primary Industry and Department took effect from 1 July 2007. of Sustainability and Environment all actively involved in shaping the future The current drought confirmed that the for irrigated agriculture in their region. long-term viability of irrigated agriculture across northern Victoria hinges on the We are also investing our knowledge efficiency and performance of our irrigation and experience in improving the supply network. It is therefore pleasing to performance of modernisation technology. report that our existing modernisation In partnership with Water for Rivers and and reconfiguration projects including the Rubicon Systems we provided guidance Shepparton Modernisation Project, the to improve the channel automation Future Management Strategy in Pyramid- technology and in particular the quality Boort, the Torrumbarry Reconfiguration control processes of manufacturing. We and Asset Modernisation Strategy (TRAMS) can all now have greater confidence in and the reconfigured Tungamah system all the future application of this technology took great strides forward in 2006/07. across our region. In August 2006 we launched an ambitious Throughout the year we called on our new water-savings initiative to capitalise Water Services Committees to assist in on these projects and to harness our adapting and refining our strategies for accumulated expertise from right across managing very limited water supplies. Goulburn-Murray Water. WaterTight Goulburn-Murray Water is extremely 2020 aims to identify and capture grateful to the members of the various 400 GL of water savings by 2020. committees for their ongoing support and commitment during a very Rigorous measurement and analysis challenging season. I am also extremely is essential to understanding the proud of the staff of Goulburn-Murray performance of our irrigation Water for their commitment, along with infrastructure and identifying the Board and Executive team for their opportunities for improvement. leadership across a very trying season. The year proved to be extremely This year we substantially improved challenging for all our customers, our the speed and quality of our analysis The Foodbowl Modernisation Project employees and the wider Goulburn- through a range of initiatives including announced in June 2007 has delivered Murray communities. With record low the installation of measurement an important opportunity for our region. allocations, we undertook a number equipment across the network as part I believe our existing projects provide a of initiatives such as pumping Waranga of our Strategic Measurement Project springboard from which our region can Basin to boost supplies for irrigators, and (SMP), the launch of a fully integrated capture the benefits of the $1 billion introduced new communication efforts Geographic Information System (GIS), investment. It is a very positive position to ensure customers were kept informed as well as the development of the first from which to take on such a challenge as the season progressed. Pumping of ever portable test rig that measures the and we look forward to partnering with Lake Buffalo also delivered essential stock accuracy of irrigation meters in situ. stakeholders across the region to realise and domestic supplies for residents along the project’s potential. the Buffalo and Ovens rivers. But identification is only the first step to improving the irrigation system. With water in such short supply Community consultation is vital to we saw unprecedented water trading understanding the needs of our activity. Watermove was vital to building customers, and ensures local knowledge confidence in the water trading market is reflected in our reconfiguration and ensured buyers, sellers and the efforts. Our community engagement wider public had access to transparent processes continue to improve, with pricing benchmarks. Throughout the year customers, local councils, Catchment Russell Cooper Managing Director G-MW Annual Report 2006/07 Our Performance at a glance 2006/07 Governance Economic Sustainability Objective The Board aims to continuously improve its We will actively pursue new and improved ways to operate our We will contribute to Government water governance practices and strive to achieve high levels business to achieve the most cost effective total water system reforms, developing and adapting the of transparency, trust and stewardship. management whilst meeting all our (statutory financial and appropriate assets, technology and systems that customer) obligations. meet the future needs of our customers and communities and enable regional growth. Highlights Significant progress in the implementation of a We undertook a Tariff Review to investigate alternative pricing Commenced work on Cairn Curran Dam Safety whole-of-business risk management framework. and funding proposals for future low allocation years. Upgrade. The Board undertook a review of its performance in We undertook an intensive communication program targeting We completed work on the Tungamah Pipeline accordance with the Minister’s guidelines, conducted customers and their advisers to explain the process and which will improve supply and service to with an external
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