Australia. Landmark 10 year plan secures water for Burdekin Basin

Wednesday, 22 August 2007

Water Resources Minister Craig Wallace today released the groundbreaking Burdekin Basin Water Resource Plan, which provides a blueprint for supplying water to the Burdekin Basin over the next decade. Highpoints of the plan are: The creation of over 1.2 million megalitres of new tradeable water allocations to irrigators worth an estimated $650 million to them. It also provides for up to 540 megalitres more water a year for urban, rural and industrial growth in the region. Full Story

Point to Non-point Trades Stir Debate about VA and PA Programs

The effects of some nutrient reductions efforts in the Chesapeake Bay area today may not be realized for years due to the varied timeframes it takes nutrients to pass through slow-moving groundwater conduits. Some nutrients released by non-point sources can reach streams in a matter of weeks or months. However, the USGS estimates that it takes, on average, a decade before half of the nitrogen that sinks into groundwater seeps into a stream, and more time for the other half. This 'groundwater lag' raises concerns as some states look at nutrient trading regimes that would allow point to non-point trades, rather than solely point-to-point trades. The Pennsylvania and Virginia trading programs, recently created programs that allow point-to-non-point source trades. Both programs use the Watershed Model, a model for developing reduction strategies to meet annual caps, though the model doesn't directly account for the groundwater lag.

– View the Bay Journal article

Thumbs Up: Interstate Water Trading for Queensland and New South Wales

Earlier this month, an amendment to the Border Rivers water resource plan allowed for water trading between Queensland and New South Wales for the first time. This development will hopefully enable water users, especially farmers to make more efficient use of their water allocations. Specifically, the amendment allows Queensland irrigators to either sell or lease all or part of their allocation in either Queensland or New South Wales. Also, Queensland irrigators can enter the New South Wales market to buy more water if they are looking to expand their production, and vice versa.

– View the Media Newswire article

NSX Acquires Waterexchange for First Australian Water-Based Trading

In mid-July, the Waterexchange Ltd was acquired by the operator of the Newcastle and Bendigo stock exchanges, NSX Ltd, for $10.75 million. Almost 14 years old, the Waterexchange has about 20,000 Australia clients, usually farmers, who use the exchange to physically trade water between one another. This move establishes Australia's first water-based derivative products trade. The Waterexchange and NSX also announced plans to soon launch a carbon emissions trading platform. Trading in water-based futures and derivatives trading will begin before the end of the year. NSX, with approximately 110 securities and total value of $1 billion, recently signed up two companies to a new sustainability board which will be officially launched on September 14, 2007 by former US vice-president Al Gore in Sydney.

– View The Sidney Morning Herald article
– View The Age article