URBAN WATER STRATEGY 2017-2065 Optimising water resources for a liveable, productive and sustainable south west Victoria. Now and into the future. March 2017 Report Name: Wannon Water – Urban Water Strategy – 2017-2065 Report Custodian: Checked by: Approved by: Date: 29 March 2017 Version No: 9 Document Control Revision Date Author(s) Brief Description of Change No 1 4/8/2016 Tim Harrold Rough draft based on wsds2012 with toc updates 2 14/2/2017 Tim Harrold New sewerage section; revised appendices 3 22/2/2017 Tim Harrold, Ian First draft for independent review by Julia Barnes, Peter Thompson 4 24/2/2017 Julia Thompson Tracked Changes and exec summary by Julia 5 1/3/2017 Tim Harrold Draft for DELWP review including updated major customer forecasts 8 9/3/2017 Tim Harrold For review by Board 9 29/3/2017 Tim Harrold; Peter Minor updates, completion of option data, updated Wilson; Andrew Forward Jeffers Cover photo: Gellibrand River Estuary. © Wannon Region Water Corporation PO Box 1158 Warrnambool 3280 Dated: March 2017 Page 2 of 95 FOREWORD The south-west of Victoria has been fortunate to have a climate that has delivered a reliable annual rainfall over the past 120 years to meet the water supply needs of urban and rural communities throughout the region. However, as a result of a drying climate, we cannot assume that this historical rainfall reliability will continue. This Urban Water Strategy provides a 50-year forecast of both water supply and demand to ensure that our region’s water supplies will remain sustainable and that Wannon Water will continue to meet the needs of our customers and community now and well into the future. This strategy is not just about accounting for the projected decline in rainfall and streamflow in south- eastern Australia. It also addresses water use patterns in urban communities and using water efficiently so that future generations in the south-west can continue to flourish. Sustainable management principles are a key focus of this Urban Water Strategy. The streams and aquifers which underpin the south-west’s water supply also sustain natural systems which are vital to the liveability of our region. These natural systems will also experience the stresses of climate change. This strategy outlines a program of targeted demand reduction and actions, such as exploring options to reduce the summer flow stress on the Gellibrand River, which will ensure that natural systems are not deprived by urban water extractions. The climate modelling used within this strategy represents the most contemporary climate science available, ensuring that the information used in the various climate scenarios is as accurate as possible. This strategy also includes an assessment of Wannon Water’s sewerage services for the first time and identifies that the Warrnambool Water Reclamation Plant is required to be upgraded within the next five years. Wannon Water’s customers and community have been involved in the creation of this strategy through community surveys, regional community workshops, local government presentations, industry and engagement with business, catchment and groundwater management agencies and traditional owner groups. The feedback, learnings and insights received from this engagement has been incorporated into the strategy. Our ultimate aim is to create a long-term, secure water supply and sewerage services that are environmentally sustainable, socially equitable and cost-effective. With our customers’ help and support, this strategy will contribute to a more liveable, productive and sustainable south-west Victoria for the existing community and its future generations. Jacinta Ermacora Andrew Jeffers CHAIR MANAGING DIRECTOR WANNON WATER WANNON WATER Page 3 of 95 CONTENTS FOREWORD ..................................................................................................................................................................................... 3 CONTENTS ....................................................................................................................................................................................... 4 EXECUTIVE SUMMARY ................................................................................................................................................................. 6 SECTION 1. PLANNING FOR A SECURE WATER FUTURE...................................................................................... 8 1.1 Role of Urban Water Strategies............................................................................................... 8 1.2 Objectives ............................................................................................................................... 8 1.3 The South West Region........................................................................................................... 9 1.4 State Framework ................................................................................................................... 12 1.5 Integrated Water Management Planning Framework............................................................. 13 1.6 Framework for Customer and Stakeholder Consultation........................................................ 13 SECTION 2. STRATEGY DEVELOPMENT PROCESSES ..............................................................................................14 2.1 Outcomes of Implementing the 2012-2060 Water Supply Demand Strategy.......................... 14 2.2 Outcomes of Implementing Drought Response Plans............................................................ 14 2.3 Climate Scenarios ................................................................................................................. 15 2.4 Stakeholder Engagement ...................................................................................................... 17 2.4.1 Engagement objectives .................................................................................................................... 17 2.4.2 Engagement methods ...................................................................................................................... 17 2.4.3 Findings from customer survey ....................................................................................................... 18 2.5 Engagement with Traditional Owners .................................................................................... 21 2.6 Integrated Water Management Planning ............................................................................... 21 2.7 Balancing Supply and Demand.............................................................................................. 22 SECTION 3. OUR WATER RESOURCES AND USE TRENDS..................................................................................23 3.1 Review of Regional Water Resources ................................................................................... 23 3.1.1 Rivers and Streams .......................................................................................................................... 23 3.1.2 Groundwater.................................................................................................................................... 25 3.1.3 Rainwater and Stormwater.............................................................................................................. 27 3.1.4 Recycled Water ................................................................................................................................ 27 3.1.5 Seawater .......................................................................................................................................... 29 3.2 Water Use Patterns and Directions........................................................................................ 30 3.2.1 Households ...................................................................................................................................... 30 3.2.2 Major Customers ............................................................................................................................. 36 3.2.3 Rural Customers ............................................................................................................................... 36 3.2.4 Non-Residential Customers ............................................................................................................. 38 3.2.5 Public Open Space ........................................................................................................................... 39 3.2.6 Non-revenue Water ......................................................................................................................... 41 3.2.7 WTP and Systems Losses ................................................................................................................. 41 SECTION 4. CHALLENGES AND CHANGE .................................................................................................................43 4.1 Population Growth and Population Decline............................................................................ 43 4.2 Patterns of Industrial Water Use............................................................................................ 44 4.3 Climate Impacts..................................................................................................................... 46 4.4 Contributing to Healthy Rivers ............................................................................................... 46 4.5 Aquifer Protection and Utilisation..........................................................................................