Water markets are not perfect, but vital to the future of the Murray-Darling Basin



kaman985shu/Shutterstock

Neal Hughes, Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES)

Water markets have come in for some bad press lately, fuelled in part by the severe drought of 2019 and resulting high water prices.

They have also been the subject of an Australian Competition and Consumer Commission inquiry, whose interim report released last year documented a range of problems with the way water markets work in the Murray-Darling Basin. The final report was handed to the treasurer last week.

While water markets are far from perfect, new research from the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) has found they are vital in helping the region cope with drought and climate change, producing benefits in the order of A$117 million per year.

To make the most of water markets, we will need to keep improving the rules and systems which support them. But with few “off-the-shelf” solutions, further reform will require both perseverance and innovation.

Water markets generate big benefits

Australia’s biggest and most active water markets are in the southern Murray-Darling Basin, which covers the Murray River and its tributaries in Victoria, NSW and South Australia.

Murray Darling Basin.
MDBA

Each year water right holders are assigned “allocations”: shares of water in the rivers’ major dams. These allocations can be traded across the river system, helping to get water where it is most needed.

Water markets also allow for “carryover”: where rights holders store rather than use their allocations, holding them in dams for use in future droughts.

Our research estimates that water trading and carryover generate benefits to water users in the southern Murray-Darling, of A$117 million on average per year (around 12% of the value of water rights) with even larger gains in dry years. Carryover plays a key role, accounting for around half of these benefits.

Together water trading and carryover act to smooth variability in water prices, while also slightly lowering average prices across the basin.

There’s room for improvement

One of many issues raised in the Australian Competition and Consumer Commission interim report was the design of the trading rules, including limits on how much water can move between regions.

These rules are intended to reflect the physical limits of the river system, however getting them right is extremely difficult.

The rules we have are relatively blunt, such that there is potential at different times for either too much water to be traded or too little.

National Electricity Market.
AGL

One possible refinement is a shift from a rules-based system to one with more central coordination.

For example, in electricity, these problems are addressed via so-called “smart markets”: centralised computer systems which balance demand and supply across the grid in real-time.

Such an approach is unlikely to be feasible for water in the foreseeable future.

But a similar outcome could be achieved by establishing a central agency to determine inter-regional trade volumes, taking into account user demands, river constraints, seasonal conditions and environmental objectives.

While novel in Australia, the approach has parallels in the government-operated “drought water banks” that have emerged in some parts of the United States.

Some of the good ideas are our own

Another possible refinement involves water sharing rules, which specify how water allocations are determined and how they are carried over between years.

At present these rules are often complex and lacking in transparency. This can lead to a perceived disconnect between water allocations and physical water supply, creating uncertainty for users and undermining confidence in the market.

Although markets in the northern Murray-Darling Basin are generally less advanced than the south, some sophisticated water sharing systems have evolved in the north to deal with the region’s unique hydrology (highly variable river flows and small dams).

Beardmore Dam at St George in Southern Queensland, where water markets operate under a capacity sharing system.
ABARES

There is potential for the southern basin to make use of these northern innovations (known as “capacity sharing” or “continuous accounting”) to improve transparency and carryover decisions.

Don’t throw the market out with the river water

Governance failures in the water market have led to understandable frustration.

But it is important to remember how vital trading and carryover are in smoothing variations in water prices and making sure water gets where it is needed, especially during droughts.

The ACCC’s final report (due soon) will provide an opportunity to take stock and develop a roadmap for the future.


Water markets will be discussed at Today’s ABARES Outlook 2021 conference in an online panel session at 3-4pm AEDT.The Conversation

Neal Hughes, Senior Economist, Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES)

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Victoria just gave 2 billion litres of water back to Indigenous people. Here’s what that means for the rest of Australia



GLaWAC

Troy McDonald, Indigenous Knowledge and Erin O’Donnell, University of Melbourne

For the first time in Victoria’s history, the state government has handed back water to traditional owners, giving them rights to a river system they have managed sustainably for thousands of years.

The two billion litres of water returned to the Gunaikurnai Land and Waters Aboriginal Corporation (GLaWAC) this month means traditional owners can now determine how and where water is used for cultural, environmental or economic purposes.

The decision recognises that water rights are crucial for Indigenous people to restore customs, protect their culture, become economically independent and heal Country.

The hand-back to Gunaikurnai people is the crucial first step in a bigger, statewide process of recognising Indigenous people’s deep connection to water. It also serves as an example to the rest of Australia, where Indigenous rights to water are grossly inadequate.

Water from the river has
Gunaikurnai woman Alice Pepper on the banks of the Mitchell River. Water from the river has been handed back to traditional owners.
GLaWAC

Water’s rightful home

Gunaikurnai people hold native title over much of Gippsland, from the mountains to the sea.

The water hand-back comes ten years since this native title was secured, and since Gunaikurnai people entered into the state’s first Traditional Owner Settlement Agreement with the government. Under this agreement, GLaWAC is a joint manager, with Parks Victoria, of ten parks and reserves in Gippsland, including the Mitchell River National Park.

Victorian water minister Lisa Neville said the hand-back was a key milestone in her government’s 2016 Aboriginal Water Policy. That plan aims to:

  • recognise Aboriginal values and objectives of water
  • include Aboriginal values and traditional ecological knowledge in water planning
  • support Aboriginal access to water for economic development
  • build capacity to increase Aboriginal participation in water management.

GLaWAC engages closely with government agencies that control how water is shared and used and these partnerships are highly valued. But it is only through owning water that traditional owners can really control how water is used to care for Country and for people.

For the moment, the water will be staying in the river. Its use will be decided after discussions between GLaWAC and Gunaikurnai community members.

The Mitchell River
Indigenous poeple must own water to control how they care for Country.
GLaWAC

Barriers to water ownership

In 2016, the Victorian government committed A$5 million to a plan to increase Aboriginal access to water rights, including funding for traditional owners to develop feasibility plans to support water-based businesses.

There are significant barriers to reallocating water to Victoria’s traditional owners. Water is expensive to buy, hold and use. Annual fees and charges can easily run to tens of thousands of dollars a year in some locations.

Using water to care for Country supports well-being, the environment and other water uses, including tourism and recreation. But, unlike using water for irrigation, there may not be any direct economic return from a water hand-back. This means water recovery for traditional owners must include ways to cover fees and charges.




Read more:
Australia has an ugly legacy of denying water rights to Aboriginal people. Not much has changed


Victoria’s water entitlement framework is also consumption-based – it is designed for water to be taken out of rivers, not left in. This can make it hard for traditional owners to leave water in the river for the benefit of the environment. So water entitlements and rules should be changed to reflect how traditional owners want to manage water.

Lastly, many traditional owners lack access to land where they can use the water. Or they may wish to use water in areas that, under natural conditions, would be watered when rivers flood, but which are now disconnected from the waterway. To help overcome this, traditional owners should be given access to Crown land, including joint management of parks. GLaWAC’s partnership agreements are a good example of how this might happen in future.

GLaWAC water team Uncle Lloyd Hood and Tim Paton.
GLaWAC water team Uncle Lloyd Hood and Tim Paton. Water rules should be changed to reflect how traditional owners manage water.
GLaWAC

Change is possible

While significant barriers to water access remain, this hand-back shows how real water outcomes for traditional owners can be achieved when there is political will and ministerial support.

The water is part of six billion litres on the Mitchell River identified as unallocated, meaning no-one yet has rights over it. The remaining four billion litres will be made available on the open market, for use by irrigators or other industries. It can be extracted only during the colder months from July 1 to October 31.

The extraction and use of the water by Gunaikurnai people will be linked to specific locations, and the licence is up for renewal every 15 years. GLaWAC will work with state agency Southern Rural Water to ensure that the licence conditions match the water plans of traditional owners.

This step is crucial. There have been many instances in other states where traditional owners have obtained water, but been unable to use it due to barriers on how it can be used, and annual fees and charges.

Mitchell River scene
Water extraction form the Mitchell River will be limited to colder months.
GLaWAC

Overcoming a history of injustice

Traditional owners across Australia never ceded their rights to water. Yet Aboriginal people own less than 1% of the nation’s water rights. Righting this wrong is the “unfinished business” of national water reform.

Even when political commitments are made, there has been little progress. For example, in 2018 the federal government committed A$40 million to acquire water rights for Aboriginal people in the Murray-Darling Basin, but no purchase of water rights has yet occurred.

This woeful and unjust situation is also reflected in Victoria. Before the Gunaikurnai hand-back, only a tiny handful of Aboriginal-owned organisations and one traditional owner, Taungurung, owned water rights in Victoria, and the volumes were small. In these cases, water recovery was not a formal hand-back from the state, and included a donation from a farmer.

Across Australia, Aboriginal people are watching the Victorian water reform process with great interest. The water returned to Gunaikurnai people builds momentum, and increases pressure on governments across Australia to take water justice seriously.




Read more:
Aboriginal voices are missing from the Murray-Darling Basin crisis


The Conversation


Troy McDonald, Chairman of Gunaikurnai Land and Waters Aboriginal Corporation, Indigenous Knowledge and Erin O’Donnell, Early Career Academic Fellow, Centre for Resources, Energy and Environment Law, University of Melbourne

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Australia’s smallest fish among 22 at risk of extinction within two decades



Red-finned blue-eye
Bush Heritage Australia / Adam Kerezsy

Mark Lintermans, University of Canberra; Hayley Geyle, Charles Darwin University; Jaana Dielenberg, The University of Queensland; John Woinarski, Charles Darwin University; Stephen Beatty, Murdoch University, and Stephen Garnett, Charles Darwin University

The tragic fish kills in the lower Darling River drew attention to the plight of Australia’s freshwater fish, but they’ve been in trouble for a long time.

Many species have declined sharply in recent decades, and as many as 90 of Australia’s 315 freshwater fish species may now meet international criteria as threatened.




Read more:
We wrote the report for the minister on fish deaths in the lower Darling – here’s why it could happen again


No Australian fish species is yet listed officially as extinct, but some have almost certainly been lost before scientists even knew they existed. With so many species at risk, understanding which are in greatest peril is a vital first step in preventing extinctions.

This is what our new research has done. We’ve identified 20 freshwater fish species with a 50% or greater probability of extinction within the next two decades, and a further two with a 40-50% chance – unless there’s new targeted conservation action.

The Australian freshwater fishes at greatest risk of extinction.

Slipping through the conservation cracks

Many small-bodied species, including Australia’s smallest fish the red-finned blue-eye, look likely to be lost within a single human generation. These fish have evolved over millions of years.

Twelve of the species identified have only been formally described in the past decade, and seven are still awaiting description.

This highlights the urgent need to act before species are listed under the national legislation that gives fishes their conservation status, and even before they’re formally described.

These processes can take many years, at which point it may be too late for some species.

More than half the species on our list are galaxiids – small, scaleless fish, that live in cooler, upland streams and lakes. Trout, an introduced, predatory species, also favour these habitats, and the trout have taken a heavy toll on galaxiids and many other small species in southern Australia.

Shaw galaxias, a long light-brown fish.
Victoria’s Shaw galaxias – one of 14 galaxias species identified at high risk of extinction.
Tarmo Raadik

For example, the Victorian Shaw galaxias has been eaten out of much of its former range. Now just 80 individuals survive, protected by a waterfall from the trout below. We estimate the Shaw galaxias has an 80% chance or more of extinction within the next 20 years.




Read more:
Double trouble: this plucky little fish survived Black Summer, but there’s worse to come


Many galaxiids do not thrive or readily breed in captivity, so suitable trout-free streams are essential for their survival.

Improving trout management requires an urgent, sustained conservation effort, including collaborations with recreational fishers, increased awareness and changing values among government and key sectors of society.

Without this, trout will almost certainly cause many native galaxiids to go extinct.

Two researchers face a waterfall surounded by bushland.
This waterfall in NSW is all that protects the last population of stocky galaxias from the predatory trout below.
Mark Lintermans

Native fish out of their natural place can also be a problem. For example, sooty and khaki grunters – native fishing species people in northern Australia have widely moved – threatening the ancient Bloomfield River cod.

One disaster can lead to extinction

All of the most imperilled species are now highly localised, which means they’re restricted to very small areas. Their distributions range from only four to 44 square kilometres.

A single catastrophic event could completely wipe out these species, such as a large bushfire that fills their streams with ash and robs them of oxygen.

The SW Victoria River blackfish persists as three very small, isolated populations. The main threat to this species is recreational angling.
Tarmo Raadik

For example, until 2019 the Yalmy galaxias had survived in the cool creeks of the Snowy River National Park. But after the devastating Black Summer fires, just two individuals survived, one male and one female, in separate areas.

Millions of years of evolution could be lost if a planned reunion is too late.

One of the key steps to reduce this risk is moving fish to new safe locations so there are more populations. Researchers choose these new locations carefully to make sure they’re suitable for different species.

Climate change is another threat to all identified species, as it’s likely to reduce flows and water quality, or increase fires, storms and flooding. Many species have been forced to the edge of their range and a prolonged drought could dry their remaining habitat.

The short-tail galaxias existed in two small separated populations in creeks of the upper Tuross River Catchment, in the south coast of NSW. One stream dried in the recent drought, and the other was burnt in the subsequent fires.

Luckily the species is still hanging on in the burnt catchment, but only a single individual has been found in the drought-affected creek.

Rainbowfish swim among reeds
The main threat to the Daintree rainbowfish is loss of stream flow due to drought, climate change and water extraction.
Michael Hammer / Museum and Art Gallery of the Northern Territory, Author provided

Unlisted, unprotected

Our study is part of a larger project to identify plants and animals at high risk of extinction.

We found the extinction risks of the 22 freshwater fish species are much higher than those of the top 20 birds or mammals, yet receive far less conservation effort.

Only three of the highly imperilled fish species are currently listed as threatened under national environmental legislation: the red-finned blue-eye, Swan galaxias and little pygmy perch.

Listing species is vital to provide protection to survivors and can prompt recovery action. Given our research, 19 fish species should urgently be added to the national threatened species list, but conservation action should start now.

The little pygmy perch in the far south-west corner of WA is one of only three of the 22 imperilled species identified that’s formally protected under Australian laws.
Stephen Beatty/Harry Butler Institute, Murdoch University

Small native freshwater fishes are worth saving. They play a vital role in our aquatic ecosystems, such as predating on pest insect larvae, and are part of our natural heritage.

By identifying and drawing attention to their plight, we are aiming to change their fates. We cannot continue with business as usual if we want to prevent their extinctions.The Conversation

Mark Lintermans, Associate professor, University of Canberra; Hayley Geyle, Research Assistant, Charles Darwin University; Jaana Dielenberg, Science Communication Manager, The University of Queensland; John Woinarski, Professor (conservation biology), Charles Darwin University; Stephen Beatty, Research Leader (Catchments to Coast), Centre for Sustainable Aquatic Ecosystems, Harry Butler Institute, Murdoch University, and Stephen Garnett, Professor of Conservation and Sustainable Livelihoods, Charles Darwin University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

New Zealand government ignores expert advice in its plan to improve water quality in rivers and lakes



Tracey McNamara/Shutterstock

Michael (Mike) Joy, Te Herenga Waka — Victoria University of Wellington

New Zealand’s government has been praised for listening to health experts in its pandemic response, but when it comes to dealing with pollution of the country’s waterways, scientific advice seems less important.

Today, the government released a long-awaited NZ$700 million package to address freshwater pollution. The new rules include higher standards around cleanliness of swimming spots, set controls for some farming practices and how much synthetic fertiliser is used, and require mandatory and enforceable farm environment plans.

But the package is flawed. It does not include any measurable limits on key nutrients (such as nitrogen and phosphorus) and the rules’ implementation is left to regional authorities. Over the 30 years they have been managing the environment, the health of lakes and rivers has continued to decline.

For full disclosure, I was part of the 18-person science technical advisory group that made the recommendations. Despite more than a year of consultation and evidence-based science, the government has deferred or ignored our advice on introducing measurable limits on nitrogen and phosphorus.




Read more:
Polluted, drained, and drying out: new warnings on New Zealand’s rivers and lakes


Waterways in decline

The declining state of rivers, lakes and wetlands was the most important environmental issue for 80% of New Zealanders in a recent survey. It was also an election issue in 2017, so there was a clear mandate for significant change.

But despite years of work from government appointed expert panels, including the technical advisory group I was part of, the Māori freshwater forum Kahui Wai Māori and the Freshwater Leaders groups, crucial advice was ignored.

The technical advisory group, supported by research, was unequivocal that specific nitrogen and phosphorus limits are necessary to protect the quality of people’s drinking water and the ecological health of waterways.

The proposed nutrient limits were key to achieving real change, and far from being extreme, would have brought New Zealand into line with the rest of the world. For example, in China, the limit for nitrogen in rivers is 1 milligram per litre – the same limit as our technical advisory group recommended. In New Zealand, 85% of waterways in pasture catchments (which make up half of the country’s waterways, if measured by length) now exceed nitrate limit guidelines.

Instead, Minister for the Environment David Parker decided to postpone this discussion by another year – meaning New Zealand will continue to lag other nations in having clear, enforceable nutrient limits.

This delay will inevitably result in a continued decline of water quality, with a corresponding decline in a suite of ecological, cultural, social and economic values a healthy environment could support.




Read more:
New Zealand’s urban freshwater is improving, but a major report reveals huge gaps in our knowledge


The government’s package includes a cap on the use of nitrogen fertiliser.
Alexey Stiop/Shutterstock

Capping use of nitrogen fertiliser

The other main policy the expert panels pushed for was a cap on the use of nitrogen fertiliser. This was indeed part of the announcement, which is a positive and important step forward. But the cap is set at 190kg per hectare per year, which is too high. This is like telling someone they should reduce smoking from three to two and a half packets a day to be healthier.

I believe claims from the dairy industry that the tightening of environmental standards for freshwater would threaten New Zealand’s economic recovery are exaggerated. They also ignore the fact clean water and a healthy environment provide the foundation for our current and future economic well-being.

And they fly in the face of modelling by the Ministry for the Environment, which shows implementation of freshwater reforms would save NZ$3.8 billion.

Excess nitrogen is not just an issue for ecosystem health. Nitrate (which forms when nitrogen combines with oxygen) in drinking water has been linked to colon cancer, which is disproportionately high in many parts of New Zealand.

The New Zealand College of Public Health Medicine and the Hawkes Bay district health board both made submissions calling for a nitrate limit in rivers and aquifers to protect people’s health – at the same level the technical advisory group recommended to protect ecosystems.




Read more:
Drinking water study raises health concerns for New Zealanders


Our dependence on synthetic nitrogen fertiliser is unsustainable, and it is adding to New Zealand’s greenhouse gas footprint through nitrous oxide emissions. There is growing evidence farmers can make more profit by reducing their use of artificial fertilisers.

Continued use will only further degrade soils across productive landscapes and reduce the farming sector’s resilience in a changing climate.

The irony is that for a century, New Zealand produced milk without synthetic nitrogen fertiliser. Instead, farmers grew clover which converts nitrogen from the air. If we want to strive for better water quality for future generations, we need to front up to the unsustainable use of artificial fertiliser and seek more regenerative farming practices.The Conversation

Michael (Mike) Joy, Senior Researcher; Institute for Governance and Policy Studies, Te Herenga Waka — Victoria University of Wellington

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Australia, it’s time to talk about our water emergency



Dean Lewins/AAP

Quentin Grafton, Crawford School of Public Policy, Australian National University; Matthew Colloff, Australian National University; Paul Wyrwoll, Australian National University, and Virginia Marshall, Australian National University

The last bushfire season showed Australians they can no longer pretend climate change will not affect them. But there’s another climate change influence we must also face up to: increasingly scarce water on our continent.

Under climate change, rainfall will become more unpredictable. Extreme weather events such as cyclones will be more intense. This will challenge water managers already struggling to respond to Australia’s natural boom and bust of droughts and floods.

Thirty years since Australia’s water reform project began, it’s clear our efforts have largely failed. Drought-stricken rural towns have literally run out of water. Despite the recent rains, the Murray Darling river system is being run dry and struggles to support the communities that depend on it.

We must find another way. So let’s start the conversation.

It’s time for a new national discussion about water policy.
Joe Castro/AAP

How did we get here?

Sadly, inequitable water outcomes in Australia are not new.

The first water “reform” occurred when European settlers acquired water sources from First Peoples without consent or compensation. Overlaying this dispossession, British common law gave new settlers land access rights to freshwater. These later converted into state-owned rights, and are now allocated as privately held water entitlements.

Some 200 years later, the first steps towards long-term water reform arguably began in the 1990s. The process accelerated during the Millennium Drought and in 2004 led to the National Water Initiative, an intergovernmental water agreement. This was followed in 2007 by a federal Water Act, upending exclusive state jurisdiction over water.




Read more:
While towns run dry, cotton extracts 5 Sydney Harbours’ worth of Murray Darling water a year. It’s time to reset the balance


Under the National Water Initiative, state and territory water plans were to be verified through water accounting to ensure “adequate measurement, monitoring and reporting systems” across the country.

This would have boosted public and investor confidence in the amount of water being traded, extracted and recovered – both for the environment and the public good.

This vision has not been realised. Instead, a narrow view now dominates in which water is valuable only when extracted, and water reform is about subsidising water infrastructure such as dams, to enable this extraction.

The National Water Initiative has failed.
Dean Lewins/AAP

Why we should all care

In the current drought, rural towns have literally run out of fresh drinking water. These towns are not just dots on a map. They are communities whose very existence is now threatened.

In some small towns, drinking water can taste unpleasant or contain high levels of nitrate, threatening the health of babies. Drinking water in some remote Indigenous communities is not always treated, and the quality rarely checked.

In the Murray-Darling Basin, poor management and low rainfall have caused dry rivers, mass fish kills, and distress in Aboriginal communities. Key aspects of the basin plan have not been implemented. This, coupled with bushfire damage, has caused long-term ecological harm.

How do we fix the water emergency?

Rivers, lakes and wetlands must have enough water at the right time. Only then will the needs of humans and the environment be met equitably – including access to and use of water by First Peoples.

Water for the environment and water for irrigation is not a zero-sum trade-off. Without healthy rivers, irrigation farming and rural communities cannot survive.

A national conversation on water reform is needed. It should recognise and include First Peoples’ values and knowledge of land, water and fire.

Our water brief, Water Reform For All,
proposes six principles to build a national water dialogue:

  1. establish shared visions and goals
  2. develop clarity of roles and responsibilities
  3. implement adaptation as a way to respond to an escalation of stresses, including climate change and governance failures
  4. invest in advanced technology to monitor, predict and understand changes in water availability
  5. integrate bottom-up and community-based adaptation, including from Indigenous communities, into improved water governance arrangements
  6. undertake policy experiments to test new ways of managing water for all
The Darling River is in poor health.
Dean Lewins/AAP

Ask the right questions

As researchers, we don’t have all the answers on how to create a sustainable, equitable water future. No-one does. But in any national conversation, we believe these fundamental questions must be asked:

  1. who is responsible for water governance? How do decisions and actions of one group affect access and availability of water for others?

  2. what volumes of water are extracted from surface and groundwater systems? Where, when, by whom and for what?

  3. what can we predict about a future climate and other long-term drivers of change?

  4. how can we better understand and measure the multiple values that water holds for communities and society?

  5. where do our visions for the future of water align? Where do they differ?

  6. what principles, protocols and processes will help deliver the water reform needed?

  7. how do existing rules and institutions constrain, or enable, efforts to achieve a shared vision of a sustainable water future?

  8. how do we integrate new knowledge, such as water availability under climate change, into our goals?

  9. what restitution is needed in relation to water and Country for First Peoples?

  10. what economic sectors and processes would be better suited to a water-scarce future, and how might we foster them?

Water reform for all

These questions, if part of a national conversation, would reinvigorate the water debate and help put Australia on track to a sustainable water future.

Now is the time to start the discussion. Long-accepted policy approaches in support of sustainable water futures are in question. In the Murray-Darling Basin, some states even question the value of catchment-wide management. The formula for water-sharing between states is under attack.




Read more:
It’s official: expert review rejects NSW plan to let seawater flow into the Murray River


Even science that previously underpinned water reform is being questioned

We must return to basics, reassess what’s sensible and feasible, and debate new ways forward.

We are not naive. All of us have been involved in water reform and some of us, like many others, suffer from reform fatigue.

But without a fresh debate, Australia’s water emergency will only get worse. Reform can – and must – happen, for the benefit of all Australians.


The following contributed to this piece and co-authored the report on which it was based: Daniel Connell, Katherine Daniell, Joseph Guillaume, Lorrae van Kerkoff, Aparna Lal, Ehsan Nabavi, Jamie Pittock, Katherine Taylor, Paul Tregoning, and John WilliamsThe Conversation

Quentin Grafton, Director of the Centre for Water Economics, Environment and Policy, Crawford School of Public Policy, Australian National University; Matthew Colloff, Honorary Senior Lecturer, Australian National University; Paul Wyrwoll, Research fellow, Australian National University, and Virginia Marshall, Inaugural Indigenous Postdoctoral Fellow, Australian National University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Aren’t we in a drought? The Australian black coal industry uses enough water for over 5 million people


Ian Overton, University of Adelaide

Water is a highly contested resource in this long, oppressive drought, and the coal industry is one of Australia’s biggest water users.

Research released today, funded by the Australian Conservation Foundation, has identified how much water coal mining and coal-fired power stations actually use in New South Wales and Queensland. The answer? About 383 billion litres of fresh water every year.

That’s the same amount 5.2 million people, or more than the entire population of Greater Sydney, uses in the same period. And it’s about 120 times the water used by wind and solar to generate the same amount of electricity.




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Cutting ‘green tape’ may be good politicking, but it’s bad policy. Here are 5 examples of regulation failure


Monitoring how much water is used by industry is vital for sustainable water management. But a lack of transparency about how much water Australia’s coal industry uses makes this very difficult.

Adani’s controversial Carmichael mine in central Queensland was granted a water licence that allows the company to take as much groundwater as it wants, despite fears it will damage aquifers and groundwater-dependent rivers.

Now more than ever, we must make sure water use by coal mines and power stations are better monitored and managed.

Data on total water use by coal mines is not publicly available.
Shutterstock

Why does coal need so much water?

Mines in NSW and Queensland account for 96% of Australia’s black coal production.

Almost all water used in coal mines is consumed and cannot be reused. Water is used for coal processing, handling and preparation, dust suppression, on-site facilities, irrigation, vehicle washing and more.

Coal mining’s water use rate equates to a total consumption of almost 225 billion litres a year in NSW and Queensland, which can be extrapolated to 234 billion litres for Australia, for black coal without considering brown coal.

About 80% of this water is freshwater from rainfall and runoff, extracted from rivers and water bodies, groundwater inflows or transferred from other mines. Mines are located in regions such as the Darling Downs, the Hunter River and the Namoi River in the Murray-Darling Basin.




Read more:
When it comes to climate change, Australia’s mining giants are an accessory to the crime


The other 20% comes from water already contained in tailings (mine residue), recycled water or seepage from the mines.

The burning of coal to generate energy is also a large water user. Water use in coal-fired power stations is even harder to quantify, with a report from 2009 providing the only available data.

Water is used for cooling with power stations using either a once-through flow or recirculating water system.

The water consumed becomes toxic wastewater stored in ash ponds or is evaporated during cooling processes. Water withdrawn is returned to rivers which can damage aquatic life due to the increased temperature.

No transparency

Data on total water use by coal mines is not publicly available. Despite the development of Australian and international water accounting frameworks, there is no reporting to these standards in coal mine reports.

This lack of consistent and available data means water use by the coal industry, and its negative effects, is not widely reported or understood. The problem is compounded by complex regulatory frameworks that allow gaps in water-use reporting.

A patchwork of government agencies in each state regulate water licences, quality and discharge, coal mine planning, annual reviews of mine operations and water and environmental impacts. This means that problems can fall through the gaps.

Digging for data

An analysis of annual reviews from 39 coal mines in NSW, provided data on water licences and details of water used in different parts of the mine.

Although they are part of mandatory reporting, the method of reporting water use is not standardised. The reviews are required to report against surface water and groundwater licences, but aren’t required to show a comprehensive water balanced account. Annual reviews for Queensland coal mines were not available.

Collated water use — both water consumption and water withdrawal – showed coal mining consumes approximately 653 litres for each tonne of coal produced.

This rate is 2.5 times more than a previous water-use rate of 250 litres per tonne, from research in 2010.

Using this rate the total water consumed by coal mining is 40% more than the total amount of water reported for all types of mining in NSW and Queensland by the Australian Bureau of Statistics in the same year.

By the numbers

NSW and Queensland coal-fired power stations annually consume 158,300 megalitres of water. One megalitre is equivalent to one million litres.

A typical 1,000-megawatt coal-fired power station uses enough water in one year to meet the basic water needs of nearly 700,000 people. NSW and Queensland have 18,000 megawatts of capacity.

Coal-fired generation uses significantly more water than other types of energy.

In total, coal mining and coal-fired power stations in NSW and Queensland consume 383 billion litres of freshwater a year – about 4.3% of all freshwater available in those states.

The value of this water is between A$770 million and A$2.49 billion (using a range of low to high security water licence costs).

They withdraw 2,353 billion litres of freshwater per year.


Author provided/The Conversation, CC BY-ND

The problem with large water use

Coal mining is concentrated in a few regions, such as the Hunter Valley and the Bowen Basin, which are also important for farming and agriculture.

In NSW and Queensland, the coal industry withdraws about 30% as much water as is withdrawn for agriculture, and this is concentrated in the few regions.

Coal mining and power stations use water through licenses to access surface water and groundwater, and from unlicensed capturing of rainfall and runoff.

This can reduce stream flow and groundwater levels, which can threaten ecosystem habitats if not managed in context of other water users. Cumulative effects of multiple mines in one region can increase the risk to other water users.

The need for an holistic approach

A lack of available data remains a significant challenge to understanding the true impact of coal mining and coal-fired power on Australia’s water resources.

To improve transparency and increase trust in the coal industry, accounting for water consumed, withdrawn and impacted by coal mining should be standardised to report on full water account balances.




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The coal industry should also be subject to mandatory monthly reporting and a single, open-access point of water data must be created. Comprehensive water modelling must be updated yearly and audited.

Coal water use must be managed in a holistic manner with the elevation of water accounting to a single government agency or common database.

Australia has a scarce water supply, and our environment and economy depend on the sustainable and equitable sharing of this resource.The Conversation

Ian Overton, Adjunct Associate Professor, Centre for Global Food and Resources, University of Adelaide

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Heavy rains are great news for Sydney’s dams, but they come with a big caveat


Ian Wright, Western Sydney University and Jason Reynolds, Western Sydney University

Throughout summer, Sydney’s water storage level fell alarmingly. Level 2 water restrictions were imposed and the New South Wales government prepared to double the capacity of its desalination plant.

But then it began to rain, and rain. Sydney water storages jumped from 41% in early February to 75% now – the highest of any capital city in Australia.

This is great news for the city, but it comes with a big caveat. Floodwaters will undoubtedly wash bushfire debris into reservoirs – possibly overwhelming water treatment systems. We must prepare now for that worst-case pollution scenario.

Reservoirs filled with rain

The water level of Sydney’s massive Lake Burragorang – the reservoir behind Warragamba Dam – rose by more than 11 meters this week. Warragamba supplies more than 80% of Sydney’s water.

Other Sydney water storages, including Nepean and Tallowa dams, are now at 100%.
WaterNSW report that 865,078 megalitres of extra water has been captured this week across all Greater Sydney’s dams.

This dwarfs the volume of water produced by Sydney’s desalination plant, which produces 250 megalitres a day when operating at full capacity. Even at this rate, it would take more than 3,400 days (or nine years) to match the volume of water to added to Sydney’s supply this week.

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The Warragamba Dam before the drought and after the recent heavy rains.

But then comes the pollution

Thankfully, the rain appears to have extinguished bushfires burning in the Warragamba catchment for months.

But the water will also pick up bushfire debris and wash it into dams.

Over the summer, bushfires burnt about 30% of Warragamba Dam’s massive 905,000 hectare water catchment, reducing protective ground cover vegetation. This increases the risk of soil erosion. Rain will wash ash and sediment loads into waterways – adding more nitrogen, phosphorous and organic carbon into water storages.




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Bushfires threaten drinking water safety. The consequences could last for decades


Waterways and ecosystems require nutrients like phosphorous and nitrogen, but excess nutrients aren’t a good thing. They bring contamination risks, such as the rapid growth of toxic blue-green algae.

Drinking water catchments will always have some degree of contamination and water treatment consistently provides high quality drinking water. But poor water quality after catchment floods is not without precedent.

We’ve seen this before

In August 1998, extreme wet weather and flooding rivers filled the drought-affected Warragamba Dam in just a few days.

This triggered the Cryptosporidium crisis, when the protozoan parasite and the pathogen Giardia were detected in Sydney’s water supplies. It triggered health warnings, and Sydneysiders were instructed to boil water before drinking it. This event did not involve a bushfire.




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The Canberra bushfires in January 2003 triggered multiple water quality problems. Most of the region’s Cotter River catchments, which hold three dams, were burned. Intense thunderstorms in the months after the bushfire washed enormous loads of ash, soil and debris into catchment rivers and water reservoirs.

This led to turbidity (murkiness), as well as iron, manganese, nitrogen, phosphorus and carbon in reservoir waters. The inflow of organic material also depleted dissolved oxygen which triggered the release of metals from reservoir sediment. At times, water quality was so poor it couldn’t be treated and supplied to consumers.

The ACT Government was forced to impose water restrictions, and built a A$38 million water treatment plant.

Have we come far enough?

Technology in water treatment plants has developed over the past 20 years, and water supply systems operates according to Australian drinking water guidelines.

Unlike the 1998 Sydney water crisis, WaterNSW, Sydney Water and NSW Health now have advanced tests and procedures to detect and manage water quality problems.

In December last year, WaterNSW said it was aware of the risk bushfires posed to water supplies, and it had a number of measures at its disposal, including using booms and curtains to isolate affected flows.

However at the time, bushfire ash had already reportedly entered the Warragamba system.

The authors crossing the Coxs River during very low flow last September.
Author provided

Look to recycled water

Sydney’s water storages may have filled, but residents should not stop saving water. We recommend Level 2 water restrictions, which ban the use of garden hoses, be relaxed to Level 1 restrictions which ban most sprinklers and watering systems, and the hosing of hard surfaces.

While this measure is in place, longer term solutions can be explored. Expanding desalination is a popular but expensive option, however greater use of recycled wastewater is also needed.




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Highly treated recycled water including urban stormwater and even treated sewage should be purified and incorporated into the water supply. Singapore is a world leader and has proven the measure can gain community acceptance.

It’s too early to tell what impact the combination of bushfires and floods will have on water storages. But as extreme weather events increase in frequency and severity, all options should be on the table to shore up drinking water supplies.The Conversation

Ian Wright, Senior Lecturer in Environmental Science, Western Sydney University and Jason Reynolds, Senior Lecturer in Geochemistry, Western Sydney University

This article is republished from The Conversation under a Creative Commons license. Read the original article.

Bushfires threaten drinking water safety. The consequences could last for decades



Warnings about poor drinking water quality are in place in some areas affected by the bushfires.
From shutterstock.com

Stuart Khan, UNSW

Bushfires pose serious short- and long-term impacts to public drinking water quality. They can damage water supply infrastructure and water catchments, impeding the treatment processes that normally make our water safe to drink.

Several areas in New South Wales and Victoria have already been issued with warnings about the quality of their drinking water.

Here’s what we know about the short- and long-term risks.




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Short-term risks

Bushfires can damage or disrupt water supply infrastructure as they burn. And the risks can persist after the fires are out.

A loss of power, for example, disables important water treatment processes such as chlorine disinfection, needed to kill microorganisms and make our water safe to drink.

Drinking water for the towns of Eden and Boydtown on the NSW south coast has been affected in this way over recent days. Residents have been advised to boil their water before drinking it and using it for cooking, teeth brushing, and so on.

Other towns including Cobargo and Bermagui received similar warnings on New Year’s Eve.




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In some cases, untreated water, straight from a river supply, may be fed directly into drinking water systems. Water treatment plants are bypassed completely, due to damage, power loss, or an inability to keep pace with high volumes of water required for firefighting.

We’ve seen this in a number of southern NSW towns this week including Batlow, Adelong, Tumbarumba, and the southern region of Eurobodalla Council, stretching from Moruya to Tilba. Residents of these areas have also been urged to boil their drinking water.

Untreated river water, or river water which has not been properly disinfected with chlorine, is usually not safe for drinking in Australia. Various types of bacteria, as well as the parasites giardia and cryptosporidium, could be in such water.

Animals including cattle, birds and kangaroos can excrete these microorganisms into river water. Septic tanks and sewage treatment plants may also discharge effluents into waterways, adding harmful microorganisms.

Human infection with these microorganisms can cause a range of illnesses, including gastrointestinal diseases with symptoms of diarrhoea and vomiting.




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Long-term risks

Bushfires can damage drinking water catchments, which can lead to longer term threats to drinking water. Drinking water catchments are typically forested areas, and so are vulnerable to bushfire damage.

Severe impacts to waterways may not occur until after intense rainfall. Heavy rain can wash ash and eroded soil from the fires into waterways, affecting drinking water supplies downstream.

For example, bushfire ash contains nutrients, such as nitrogen and phosphorous. Increased nutrient concentrations can stimulate the growth of cyanobacteria, commonly known as “blue-green algae”.

Cyanobacteria produce chemicals which may cause a range of water quality problems, including poor taste and odour. Some cyanobacteria can produce toxic chemicals, requiring very careful management to protect treated drinking water.

Boiling water will kill microorganisms, but not chemical substances.
From shutterstock.com

Many water treatment plants include filtration processes to filter small suspended particles from the water. But an increase in suspended particles, like that which we see after bushfires, would challenge most filtration plants. The suspended particles would be removed, but they would clog the filters, requiring them to be more frequently pulled from normal operation and cleaned.

This cleaning, or backwashing, is a normal part of the treatment process. But if more time must be spent backwashing, that’s less time the filters are working to produce drinking water. And if the rate of drinking water filtration is slowed and fails to keep pace with demand, authorities may place limitations on water use.




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Boiling water isn’t always enough

In order to reduce the risk of gastrointestinal and other illnesses, water suppliers and health departments may issue a boil water alert, as we’ve seen in the past week. Bringing water to a “rolling boil” can reliably kill most of the microorganisms of concern.

In cases where water may be contaminated with chemical substances rather than microorganisms, boiling is usually not effective. So where there’s a risk of chemical contamination, public health messages are usually “do not drink tap water”. This means bottled water only.

Such “do not drink” alerts were issued this week following bushfire impacts to water treatment plants supplying the Victorian towns of Buchan and Omeo.




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Impacts to catchments from bushfires and subsequent erosion can have long-lasting effects, potentially worsening untreated drinking water quality for many years, even decades.

Following these bushfires, many water treatment plant operators and catchment managers will need to adapt to changed conditions and brace for more extreme weather events in the future.The Conversation

Stuart Khan, Professor of Civil & Environmental Engineering, UNSW

This article is republished from The Conversation under a Creative Commons license. Read the original article.