Murray-Darling Basin Act 1993

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Environment, Water, Heritage and the Arts

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C2004C00787

26 June 2003 - 20 December 2005

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amend certain provisions of the Principal Agreement which do not apply to Queensland; and
add a further Schedule G to the Principal Agreement, which will not apply to Queensland,
In the following clauses of this Agreement, “the Agreement” means the Principal Agreement.
Clause 2 of the Agreement is amended—
by omitting the definition of “Authority”;
by inserting the following definition—
by omitting the definition of “period of restriction”; and
by omitting the definition of “Snowy Mountains Agreement”.
Clause 46 of the Agreement is amended by adding the following sub clause—
Clause 91 of the Agreement is amended as follows—
by omitting paragraph (b) of sub clause (1) and inserting the following paragraph in its stead—
by deleting from paragraph (c) of sub clause (1) the word “and”; and
by inserting in paragraph (d) of sub clause (1), after the word “Point” the word “and”; and
by adding to sub clause (1) a paragraph—
Clause 98 of the Agreement is amended—
by omitting paragraph (d) and inserting the following paragraph in its stead—
by omitting paragraph (e) and inserting the following paragraph in its stead—
Clause 103 of the Agreement is amended by omitting sub clause (1) and inserting the following sub clause in its stead—
Clause 105 of the Agreement is amended—
by inserting the number “(1)” after the number “105”; and
by adding the following sub clauses—
Clause 106 of the Agreement is omitted and the following clause inserted in its stead—
“106. New South Wales and Victoria are respectively deemed to use the quantity of water—
diverted from the upper River Murray by an offtake under the jurisdiction of that State, unless the Commission determines otherwise; and
calculated under sub clause 12(1) of Schedule G, in the case of New South Wales; and
calculated under sub clause 12(2) of Schedule G, in the case of Victoria.”.
Clause 107 of the Agreement is omitted.
Clause 112 of the Agreement is omitted.
Clause 122 of the Agreement is amended by omitting sub clause (3).
Part XII of the Agreement is amended by omitting from the heading of that Part the words “MOUNTAINS AGREEMENT” and inserting in their stead the word “SCHEME”.
Clause 132 of the Agreement is deleted and the following clause inserted in its stead—
“132. The Commission must determine the respective allocations to New South Wales and Victoria of water made available from the Snowy Scheme for the purposes of this Agreement, in the manner set out in Schedule G.”.
The Agreement is amended by inserting after Schedule F the following new Schedule—
the infrastructure supplying water;
the rules for allocating water and for water management systems applying;
the operating efficiency of water management systems; and
existing entitlements to take and use water and the extent to which those entitlements were used,
a category of environmental water referred to in section 8 of the Water Management Act 2000 (NSW); and
a bulk entitlement granted under the Water Act 1989 (Vic) that includes conditions relating to environmental purposes;
the River Murray;
all tributaries entering the River Murray upstream of Doctors Point;
the Ovens River; and
the Lower Darling River System;
for that part of the entitlement whose availability is determined by reference to seasonal allocations: the final seasonal allocation announcement of the relevant State during the previous Water Year; and
for that part of the entitlement whose availability is determined by reference to the entitlement of South Australia: the allocated volume received during the previous Water Year by South Australia as a proportion of its entitlement during that Water Year under this Agreement;
the Murray 1 Power Station in the case of the Snowy Murray Development; or
Jounama Pondage in the case of the Snowy Tumut Development,
a bulk entitlement granted under the Water Act 1989 (Vic) that includes conditions relating to the protection of the environment,
in the case of the Snowy Murray Development: the calculated active volume of water belonging to the Snowy Murray Development stored in Eucumbene Reservoir exceeding 2,019 GL and accounted as a loss from the Snowy Murray Development and a gain to the Snowy Tumut Development;
in the case of Snowy Tumut Development: the calculated active volume of water belonging to the Snowy Tumut Development stored in Eucumbene Reservoir exceeding 2,348 GL and accounted as a loss from the Snowy Tumut Development and a gain to the Snowy Murray Development;
an access licence granted under the Water Management Act 2000 (NSW); and
a water right, licence to take and use water or bulk entitlement under the Water Act 1989 (Vic) together with any transferable allocation of sales water made to the holder of such a water right or licence,
environmental flows from the Snowy Scheme; and
River Murray Increased Flows;
by reducing transmission losses, evaporation or system inefficiencies; or
by achieving either or both of water management and environmental improvements,
In this Agreement, “Water Available to the Snowy Murray Development” means:
In this Agreement, “Net Snowy Murray Development Diversions to the River Murray” means the volume of water calculated as follows:
In this Agreement, “Murray to Murrumbidgee Inter Valley Transfer” means the volume of Water Available to the Snowy Murray Development released by the Snowy Scheme to the catchment of the Murrumbidgee River.
In this Agreement, “Water Available to the Snowy Tumut Development” means:
In this Agreement, “Murrumbidgee to Murray Inter Valley Transfer” means the volume of Water Available to the Snowy Tumut Development released by the Snowy Scheme to the catchment of the River Murray upstream of Hume Dam.
water releases as at Murray 1 Power Station; and
any water that would have passed through the Murray 1 Power Station but does not:
The volume of water referred to in sub clause 105(2) of the Agreement is calculated as follows:
The volume of water referred to in sub clause 105(3) of the Agreement is calculated as follows:
The quantity of water referred to in paragraph 106(b) of the Agreement is calculated as follows:
The quantity of water referred to in paragraph 106(c) of the Agreement is calculated as follows:
If at the end of a Water Year there is a Required Annual Release Shortfall, the Required Annual Release Shortfall is to be accounted for by the Commission in accordance with Table One.
The volume of any Required Annual Release Shortfall from the previous Water Year must be allocated equally between New South Wales and Victoria until the balance of Required Annual Release Shortfalls for either State is zero and thereafter wholly to the other State.
Where under this Schedule the Commission is required to adjust accounts in connection with the Snowy Murray Development Annual Allocation, it must make those adjustments in equal Monthly quantities.
Where under this Schedule the Commission is required to adjust accounts in connection with inter valley transfer, it must make those adjustments in equal Monthly quantities during the balance of the Water Year in which New South Wales notifies the Commission of the relevant inter valley transfer.
Each release of River Murray Increased Flows must be allocated half to New South Wales and half to Victoria.
New South Wales and Victoria must each transfer Water Savings and Water Entitlements to its respective Snowy Murray Development (River Murray) Environmental Entitlement in accordance with Translation Factors agreed between each of them and the Commission.
New South Wales, Victoria and the Commission must ensure that:
the Translation Factors are determined in a manner consistent with the principles used to determine exchange rates in the relevant Water Market at the time of each transfer under sub clause 18(2) of this Schedule; and
the use of Translation Factors to transfer Water Savings and Water Entitlements to a Snowy Murray Development (River Murray) Environmental Entitlement will not have a significant adverse impact on:
the Snowy River Apportioned Entitlement; and
the River Murray Apportioned Entitlement.
New South Wales or Victoria transfers either or both of Water Savings and Water Entitlements to an Environmental Entitlement; and
the source of that water is from a valley for which the Commission maintains a valley account,
Prior to New South Wales or Victoria transferring either or both of Water Savings and Water Entitlements to an Environmental Entitlement, the relevant State must calculate the equivalent volume by which its Long Term Diversion Cap must be reduced.
If New South Wales or Victoria transfers either or both of Water Savings and Water Entitlements to an Environmental Entitlement, at the same time the relevant State must advise the Commission of its calculation as to the volume by which its Long Term Diversion Cap must be reduced.
If the Commission is satisfied with the appropriateness of a calculation advised under sub clause 18(2), it must recommend to the Ministerial Council that the relevant Long Term Diversion Cap be amended in accordance with the calculation.
If the Commission is not satisfied with the appropriateness of a calculation advised under sub clause 18(2), the Commission must arrange for the relevant volume referred to in sub clause 18(1) to be re calculated in consultation with the relevant State.
If a majority of the Commissioners is satisfied with the appropriateness of a calculation made under sub clause 18(4), the Commission must recommend to the Ministerial Council that the relevant Long Term Diversion Cap be amended in accordance with the calculation.
Despite paragraph 8(b) of Schedule F, the Ministerial Council must amend a Long Term Diversion Cap in accordance with any recommendation made by the Commission under sub clause 18(3) or 18(5).
Before the commencement of the second complete Water Year after the Corporatisation Date, the Ministerial Council must determine:
a strategy for retaining and releasing River Murray Increased Flows to be implemented by the Commission; and
the environmental objectives for the River Murray Increased Flows,
The Strategy:
must include a provision to the effect that River Murray Increased Flows have first priority from River Murray Above Target Releases;
may provide that water credited to the River Murray Increased Flows in Commission Storages Account need not be released during the Water Year in which it is credited;
unless the Ministerial Council otherwise determines, must not have a significant adverse impact upon the security of entitlements to water;
must integrate the environmental objectives for the River Murray Increased Flows with other environmental initiatives on the River Murray;
must include adaptive management principles to allow the ability to optimise environmental benefits; and
must prescribe appropriate environmental reporting and monitoring conditions.
The Ministerial Council must determine the environmental objectives and Strategy in accordance with the following principles:
Natural diversity of habitats and biota within the river channel, riparian zone and the floodplain should be maintained or enhanced.
Natural linkages between the river and the floodplain should be maintained or enhanced.
Natural metabolic functioning of aquatic ecosystems should be maintained or enhanced.
Elements of the natural flow regime, in particular, seasonality should be retained or enhanced as far as possible, in the interests of conserving a niche for native rather than invasive exotic species and in maintaining the natural functions of the river.
Consistent and constant flow and water level regimes should be avoided where practical, as this is contrary to the naturally variable flow regime of the River Murray.
The general principles of ecosystem services should be recognised.
Environmental benefit should be optimised.
The Ministerial Council may from time to time by resolution amend the environmental objectives and the Strategy.
As soon as practicable after the end of each Water Year, the Commission must report to the Contracting Governments on the environmental outcomes of the River Murray Increased Flows during that Water Year, in the light of the objectives determined by the Ministerial Council for those Increased Flows.
The Commission must maintain continuous water accounts of the River Murray Increased Flows to be known as:
the Initial River Murray Increased Flows Account; and
the River Murray Increased Flows in Commission Storages Account.
The Commission must:
credit the Initial River Murray Increased Flows Account with the River Murray Annual Allocation notified by New South Wales;
transfer from the Initial River Murray Increased Flows Account to the River Murray Increased Flows in Commission Storages Account, River Murray Above Target Releases allocated to the River Murray Increased Flows in accordance with the Strategy;
record in the River Murray Increased Flows in Commission Storages Account the transfer of water in that account between Commission storages; and
record in the River Murray Increased Flows in Commission Storages Account the release of River Murray Increased Flows from Commission storages.
The River Murray Increased Flows Accounts must be independently audited unless the Commission by resolution declares otherwise.
As soon as practicable after the completion of each audit, the Commission must send a copy of the audited River Murray Increased Flows Accounts to the Contracting Governments.
the beginning of the second complete Water Year occurring after the Corporatisation Date; and
the receipt by Hume Reservoir from the Snowy Scheme of River Murray Above Target Releases allocated to the River Murray Increased Flows.
Despite any other provision in this Agreement, the Commission must:
allocate River Murray Above Target Releases to the River Murray Increased Flows Accounts; and
manage the water in and releases of water from the River Murray Increased Flows in Commission Storages Account,
to achieve Water Savings or to purchase Water Entitlements for the purpose of transferring those Water Savings or Water Entitlements to the Environmental Entitlements; or
to modify the reliability of a supply of water pursuant to an Environmental Entitlement,
The parties acknowledge that as a result of provisions in the Snowy Water Licence and a deed between the Commonwealth, New South Wales and Victoria as at the Corporatisation Date, the Licensee is bound to consult with others, including the Commission, while developing each Annual Water Operating Plan and any variation to each Plan.
The Commonwealth, New South Wales and Victoria must:
ensure the direct participation by the Commission in each consultation referred to in sub clause 25(1) or held under any varied consultation arrangements; and
consult with the Commission before varying existing consultation arrangements.
Each Contracting Government must, at the time specified by the Commission, notify the Commission of such water volumes and estimates as are reasonably requested by the Commission to enable it to make calculations referred to in this Schedule.
The Commission must, at any time specified by New South Wales, notify New South Wales of such water volumes and estimates calculated by the Commission by reference to the Baseline Conditions as are reasonably requested by New South Wales, to enable New South Wales to calculate the Required Annual Release.
The Commission must develop an analytical model for determining, in the case of the River Murray System:
storage volumes; and
total diversions,
New South Wales must develop an analytical model for determining, in the case of the Murrumbidgee River System:
An analytical model developed under this clause:
must be the best model available to the Commission or New South Wales, from time to time, for the purpose of calculating the timing and quantity of the Relaxation Volume under Baseline Conditions; and
must be tested against relevant historical data to determine the accuracy of the model.
New South Wales may at its own cost engage an independent auditor to evaluate whether the model developed under sub clause 27(1) of this Schedule is:
the best available to the Commission; and
accurate.
To facilitate water transfers, the Commission may request New South Wales to release:
Water Available to the Snowy Murray Development to each or both of the Tumut River catchment and the Murrumbidgee River catchment; or
Water Available to the Snowy Tumut Development to the River Murray catchment upstream of Hume Dam.
If New South Wales agrees with the request made under sub clause 28(1) of this Schedule, any inter valley transfer referred to in sub clause 28(1) must be converted into an allocation to New South Wales of water in Hume Reservoir.

Murray-Darling Basin Act 1993

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