WITH the close last Thursday of the second round of water sales for its proposed Scottsdale Irrigation Scheme, state-owned company Tasmanian Irrigation is confident the scheme can now go ahead.
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Chief executive Chris Oldfield said that although the scheme's future was not guaranteed, Tasmanian Irrigation personnel would continue talks with several more interested parties over the next few weeks.
"Having revamped the original scheme to meet the less-than-expected demand from landowners, we are now within reach of the 75 per cent take-up that we set for the 8600 megalitre, $46 million scheme," Mr Oldfield said.
"The scheme was designed to cover an area of about 17,000 ha between Springfield and Waterhouse and the second round of sales delivered tantalisingly close to the 75 per cent threshold of 6450 megalitres.
"That should see the Scottsdale Irrigation Scheme go ahead."
Mr Oldfield said that a sub-6450 megalitre figure would probably require board approval of an amended business case.
"This would see water delivered to Waterhouse properties via pipeline instead of the original plan of pumping extra water into the Great Forester River," he said.
"That method had inherent transmission and pressure losses — I am very confident we can do this."
Dorset Economic Development Group chairman Stephen Love said that he was quietly confident of the outcome of the second round of waters sales for the scheme.
Mr Love said that interest from a number of new landholders had been "quite positive" in discussions with Irrigation Tasmanian.
"The Scottsdale Irrigation Scheme is an opportunity that North East farmers are unlikely to see in many years - perhaps even many generations," he said.
Mr Love said that though the purchase of scheme water was a significant investment, increased production capacity would quickly flow through to higher property values.
"This is an important, but perhaps sometimes overlooked, consideration landholders need to be aware of as they balance the numbers to make their investment profitable in the longer term," he said.
"An interesting aspect of the impact reliable water adds to property values is something that has not often been noted, but the recent sale of the Conara property for 20million dollars highlights that connection."
A reliable water supply would seem to have been a cornerstone of the interest in that particular property, Mr Love said.
