Lockyer Valley and Somerset Water Collaborative

Newsletter #2 – February 2025

CHAIR'S MESSAGE

Congratulations to the Minister for Local Government, Water and Volunteers, Hon Ann Leahy on her appointment. Our Collaborative is excited by the opportunity to engage with the Minister.

The State commitment to enhancing water for irrigation and its support for agriculture aligns perfectly with the Collaborative’s goals. We look forward to working with the Minister to realise our enormous agricultural and economic potential and secure a reliable irrigation water source for the Lockyer Valley and Somerset regions.

Using the SEQ City Deal funding arrangements, the Water Collaborative continues its mission to secure and deliver additional irrigation water to the Lockyer Valley and Somerset. We will continue to highlight the economic and environmental benefits of the water scheme, not just for the Lockyer Valley and Somerset regions but for the nation as a whole.

The Collaborative, seeks clarification of the Queensland Government’s Water Policy, the pre-election intent to remove reliance on manufactured (recycled) water from the SEQ Water Security Plan as a drought response and the impact of that change on the potential for irrigation supplies to be sourced from Wivenhoe Dam.

Clarification of changes to water policy will remove the current uncertainty around the use of the Bundamba Advanced Water Treatment Plant as an alternative to Wivenhoe Dam as a water source for the Lockyer and Somerset Scheme. So as to not waste any City Deal funds or the time the growers and government, we are seeking urgent confirmation of the changes to water policy. In short, we want to get on with the job by looking at realistic alternatives and letting you focus on what you do best – farm.

I would like to commend the commitment of the project team as they diligently progress through the necessary steps to ensure all necessary information is available for the State and Federal governments to make an informed investment decision to fund the construction of the Lockyer Valley and Somerset Water Security Scheme. They have been working tirelessly with other stakeholders to get everything right and all the facts and analysis assembled.

PROJECT UPDATES

The second milestone of the City Deal funded project works, a Viability Assessment Report, is complete and was recently submitted to the Queensland and Australian Governments to officially close out Phase 1.

Viability Assessment Report (VAR)

The VAR builds on the project’s 2020 Business Case to demonstrate the Water Security Scheme Project should proceed to Phase 2 (further optimisation to present the project to government for an investment decision) and provides the broad and anticipated economic benefits to the regional community and the State.

Two water sourcing options were examined in detail;

Raw water is sourced from Wivenhoe Dam, with a ‘top up’ of manufactured water when required, for existing irrigation dams and a new pipeline distribution network in the Lockyer and Somerset regions.
Manufactured water direct from Bundamba Advanced Water Treatment Plant supplies existing irrigation dams and a new pipeline distribution network in the Lockyer Valley and Somerset regions.

The report contains updated cost estimates for the Water Security Scheme as outlined in the 2020 Detailed Business Case. It also provides information and analysis on the alternate options sourcing water direct from the Bundamba Advanced Water Treatment Plant.

A multi criteria assessment was used to assess the identified options. The assessment determined that option 2 above, utilising manufactured water, is the strongest and preferred option to progress to Phase 2 of the project. The merit of both options, utilising Wivenhoe Dam identified under the Detailed Business Case or utilising the Bundamba Advanced Water Treatment Plant directly and without Wivenhoe, is reliant on policy decisions of State Government relating to urban water security.

Additionally, the report includes the results and analysis of the latest demand assessment. Demand and economic assessments confirm, as expected, that the lower the annual charge, the higher the demand for water and resulting economic benefit.

PROJECT UPDATES

NEXT STEPS

The project team are currently undertaking procurement to select and engage specialist engineering consultants to assist with delivering Phase 2 of the project.

Phase 2, funded by the SEQ City Deal, involves an Optimisation Assessment. The goal of the Collaborative and the optimisation efforts is to achieve the lowest possible cost of delivering water, thereby maximising the water demand. This approach aims to provide the greatest benefit to water users and enhance the overall economic benefits.

The Phase 2 activities include:

Concept design with a focus on optimisation and sustainability for both capital and operational costs,
Detailed work determining qualitative and quantitative benefits of the project,
Identification of constraints and planning overlays, along with an approval pathway,
Further demand/customer consultation,
Financial and economic analysis, and
Legal arrangements

DID YOU KNOW

A. The Premier’s charter letter to our Minister dated 8 November 2024 specifically mentions the criticality of water for the economic growth of our State:

“Focus on delivering generational water infrastructure across Queensland that will secure supply and foster economic growth.”

B. In Queensland there are 5 locally managed irrigation schemes and each of them has a different corporate structure.

Non trading cooperative without shares
Company limited by Guarantee
Large Company limited by shares
Small propriety company limited by shares
Dual cooperative – one to operate and the second to own the infrastructure

Each scheme was built and owned by Government before being transferred as an existing operation to a local management enterprise.