The Commonwealth and Governments of New South Wales, Victoria, South Australia and Queensland agreed or noted at this morning’s water summit on the Southern Murray Darling Basin (MDB):
1. The need for a shared understanding of the likely water availability over the next year and a half.
2. The need for an informed whole of Basin approach to be developed collaboratively, not by jurisdictions acting without regard to the consequences for other States.
3. Establish a group of high-level officials drawn from First Ministers’ Departments and the MDB Commission to examine contingency planning to secure urban and town supplies during 2007-08. This group will report to First Ministers by 15 December 2006.
4. Accelerate the implementation of key aspects of the NWI, especially on water trading, overallocation, water accounting and data sharing. Ensure that permanent interstate trading will commence in the southern MDB States by 1 January 2007 as recommended by the National Water Commission. New South Wales, Victoria, South Australia and Queensland also agreed in substance to accept the advice from the Australian Competition and Consumer Commission on exit fees.
5. Not intervene in Snowy Hydro Ltd commercial arrangements this year.
6. Commission the CSIRO to report progressively by the end of 2007 on sustainable yields of surface and groundwater systems within the MDB, including an examination of assumptions about sustainable yield in light of changes in climate and other issues.
7. The Commonwealth will process speedily its response to major projects under the Australian Government Water Fund.
8. The Commonwealth indicated it was providing over $2.3 billion for a wide range of drought assistance in EC-affected areas, and announced a new initiative (costing approximately $210 million over two years) to extend income support and interest rate subsidies to the owners of small businesses that receive 70 per cent of their income from farm businesses.
9. The States have agreed to pay 10 per cent of interest costs under the Commonwealth’s small business announcement. The States have also agreed to consider a Commonwealth proposal that they follow the lead of Victoria in providing a 50 per cent rebate for municipal and shire rates to eligible recipients, and also to waive or rebate water charges (or equivalents thereof) in EC declared areas where water allocations have been substantially reduced.
10. It has already been agreed that water and climate change would be items for consideration at the next COAG meeting.
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I wrote a blog piece earlier today entitled ‘Murray River: Last Year Biggest Environmental Flow, This Year Water Crisis’ on the water shortage issue.

Jennifer Marohasy BSc PhD has worked in industry and government. She is currently researching a novel technique for long-range weather forecasting funded by the B. Macfie Family Foundation.