Chief Executive’s overview

The Murray-Darling Basin remained gripped by drought with significant economic and social impacts on both dryland and irrigation communities. Irrigation allocations commenced at low levels and were gradually increased during the season, particularly for many NSW Murray irrigators. This was the second year of critically low allocations in New South Wales.

The Darling system failed to produce significant inflows into Menindee Lakes for both the winter-spring period and also for the late summer monsoonal period. The salinities on the Darling below Menindee Lakes reached critical levels with significant impacts on production.

The River Murray remained fully regulated during summer and autumn, except for a period of six weeks when approximately 280 GL was released from Lake Alexandrina to the sea. This release had little impact on the Murray Mouth, with dredging of the Mouth continuing. A total of more than $9 million has been expended since dredging commenced in October 2002 to keep the Mouth open and the Coorong connected to the southern ocean.

Salinity levels along the Murray, except for Lake Alexandrina, remained at low levels for the year as a result of the dry conditions and the water being sourced from the upper Murray. Salinities in the lower lakes (lakes Alexandrina and Albert) were high throughout the year, reflecting the lack of river flushing flows passing through the lakes and the Murray Mouth. In these circumstances, lakes act as terminal lakes with consequential increases in the concentration of salts. The salt interception schemes all operated effectively during the year with new ones approved for Bookpurnong and Loxton in South Australia. The salt spike that entered the Murray from the Darling was effectively diluted through Lake Victoria operations.

The Living Murray entered a new stage of development after the Council of Australian Governments (COAG) agreed on 29 August 2003 to develop at COAG a National Water Initiative. The Basin states agreed at the August meeting to contribute $500 million to recover water to address over-allocated systems to assist the long-term sustainability of Basin water resources.

At the June meeting COAG settled an intergovernmental agreement for the National Water Initiative, which clears the way for enhanced interstate water trade. In addition, the Australian Government, together with New South Wales, Victoria and South Australia, signed an intergovernmental agreement for water recovery and environmental management under The Living Murray to be overseen by the Murray-Darling Basin Ministerial Council.

The review of the Community Advisory Committee (CAC) initiated in 2002-03 was completed and a new CAC appointed on 1 May 2004. The CAC, while slightly smaller in size, has new terms of reference that include a stronger role in communicating with Basin communities, enabling it to more effectively assist the Ministerial Council in dealing with the emerging policy agenda in the Basin.

Work continued in implementing onground measures to ensure that any water currently available for environmental purposes is effectively managed. These works included the construction of fishways at Locks 7 and 8 and at the Barrages and replacement of a fishway at Euston Weir. Initial indications are that the fishways are working extremely well and will make a significant contribution to the future sustainability of fish populations.

A trial watering of River red gums was conducted at Chowilla to assess whether a highly stressed component of the floodplain could be effectively rehabilitated. The initial response from this River red gum community has been positive but there is a long way to go to determine overall effectiveness.

Implementation of the Basin Salinity Management Strategy continued, with the first independent audit being undertaken. The requirements of Schedule C to the Murray-Darling Basin Agreement that baseline conditions, salinity modelling and end-of-valley targets be finalised by March 2004 have been largely met. While the strategy is still in its early days, it continues to be best practice and sets a framework in which both dryland and irrigation salinity can be managed effectively within the Basin.

On 14 November 2003 the Murray-Darling Basin Ministerial Council took the historic decision to implement a ‘first step’ for The Living Murray, focused on ecological outcomes at six significant ecological assets and requiring on average up to 500 GL per annum of additional environmental water to be recovered over five years.

The Cap on water diversions continues to be an effective method of managing water supply. Ninety-six per cent of the water consumed within the Basin was within cap limits. The remaining 4 per cent, which is over the Cap, is being addressed in the states in which it occurred. The Cap requires that these valleys be brought back into balance. The Independent Audit Group for the Cap made a submission to the Queensland Government that will assist in finalising the Cap in that state.

On 24 March 2004 the Hon. Warren Truss, MP, on behalf of the Prime Minister and also representing the MDBC Ministerial Council, launched the Hume Dam upgrade works. This celebration represented the formal handover of the dam as a fully functioning community asset, in which the MDBC governments have invested more than $80 million over the past decade to ensure the dam meets modern standards.

The legacy of the January 2003 bushfires on the health of the catchments of the Murray still lingers. Preliminary studies have indicated that, as the vegetation regrows, this could have a significant impact on the water yields from these catchments with the ‘memory’ of fires possibly still being felt in thirty years. Work has been commissioned by the Victorian Government to better understand these impacts, supported by the MDBC.

2003-04 saw a significant turnover in the senior management of the MDBC. The President of the MDBC, Dr Roy Green, completed his term on 30 November 2003. The Rt. Hon. Ian Sinclair was appointed as his replacement from 1 December 2003. The MDBC’s Chief Executive, Don Blackmore, retired after fourteen years in the role, as did the General Manager River Murray Water, David Dole. The General Manager Natural Resources, Kevin Goss, resigned to take up the post of Chief Executive Officer of the CRC for Plant Based Management of Dryland Salinity. The Director Corporate Services, Graham Petty, also resigned from the MDBC to take up a new post. David Dole temporarily returned to the MDBC as Acting Chief Executive in the leadup to Dr Craik’s commencement as Chief Executive. Dr Wendy Craik was appointed as the incoming Chief Executive of the MDBC, to commence duties in August 2004.

MDBC would like to record its warm appreciation for all their contributions and wishes them well in their future endeavours.

The staff of the MDBC continued to work tirelessly under trying conditions throughout the ongoing development of The Living Murray, the impact of the drought on water supply and the transition of the senior management team.

David Dole

Acting Chief Executive

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