Water sharing plan costs users millions

In late August, irrigators saw $60million worth of water flow down the Lachlan River, classed as environmental flows within the WSP for the Lachlan Regulated River.

Inflow and more than 50 millimetres of rainfall triggered the translucent environmental flow which saw 74,000 megalitres pass through the river system.

Irrigators slammed the plan, which they said locked up water that should have been utilised to benefit farmers and the wider community.

Lachlan Valley Water chairman Tom Green, Forbes, said the water, if stored, could have returned $38 million in income at the farm gate and an additional $23m in flow-on benefits for the regional economy.

"Each 1000ML that passes in environmental flow represents half a million dollars in farm income that won't be earned," Mr Green said.

"We have to ask what additional benefit the environment receives as a result of this water, and does it justify the cost to the community of taking it out of production."

Mr Green said state government's water sharing plan was unbalanced and outdated.

"There have been major changes since the WSP was developed 15 years ago, including more knowledge about environmental requirements and more experience with how and when translucent flows occur," he said.

"The translucent flows are a result of the environmental flow rules in the WSP which provides 75 per cent of the average annual flow in the river for the environment allowing only 25pc for town water supply, stock and domestic users and agricultural production.

"Our experience is that the consumptive use hasn't actually reached 25pc."

"With that in place it's hard to understand why the NSW and Commonwealth governments have acquired an additional 125,000ML of licences over the last six years for environmental purposes," he said.

"This is a double blow for the community."

The Commonwealth and state governments bought 20pc of the Lachlan's general security water which has changed the sharing ratio from 75:25 to 80:20, further reducing the supply of water to the market place, Mr Green said.

The WSP for Lachlan Regulated River is under review by the Department of Primary Industries and Water.

Mr Green said there had been no recommendations or progress made in that time.

An Office of Water spokesman said the department had established a stakeholder advisory panel as part of the water resource planning process and translucent releases would be the first issue dealt with as part of the review.

"This issue is being reviewed as part of the development of the Lachlan Water Resource Plan due for completion in 2018," the spokesman said.

However, this timeframe doesn't sit well with Lachlan irrigators who have already been waiting for two years to see any progress.

"The loss of water from productive use shows how urgent it is the NSW Government complete the review of the Water Sharing Plan and make changes that deliver a balance between production, community and the environment," Mr Green said.

"The environment is important but we should also acknowledge there is a real cost to the community in farm income foregone, less money circulating through the community and fewer jobs."

"We've reached the point where there must be changes to the flow rules to restore the balance between the environmental and productive shares."