A major irrigation scheme in the Tamar Valley may not go ahead as planned after farmers have failed to reach the viability threshold in water sales, forcing TI to reopen the sales for a further six weeks in an attempt to reach the required megalitres.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
The proposed 24,500 mega-litre Tamar Irrigation Scheme was planned as part of tranche three of Tasmanian Irrigation's schemes, but TI has been forced to reopen water sales after a lower-than-expected response from the state's farmers.
Water sales for the $209 million Tamar Valley Irrigation Scheme opened on April 22 and a viability threshold of 14,700 megalitres was required. However, farmers had only committed to 6000 megalitres for the school, less than half required for viability.
Farmers are required to pre-purchase megalitres from their own budgets, which assists in the construction and development of the scheme.
Tasmanian Irrigation Chief Executive Officer Andrew Kneebone said this result put the put the scheme at risk of not proceeding or being subjected to a major re-design.
"Unfortunately, the Tamar Valley is on the verge of missing out on this investment and the guarantee of high surety irrigation water to give farmers the confidence to expand, diversify, increase rotations and boost production," he said.
Mr Kneebone rebuked the region's farmers who, he said expressed interest in 15,499 mega-litres during the expression of interest phase, but had failed to deliver in sales.
"Tasmanian Irrigation is continuing to work closely with the Australian Government to confirm $180 million and the Tasmanian Government $60 million toward this massive infrastructure project. It is now up to Tamar Valley landowners to put their $50 million contribution on the table through the purchase of water entitlements."
Under the first two tranches, only the Fingal scheme has failed to secure the required water sales threshold required, all the others have met their targets. Tasmanian Irrigation has developed 15 schemes across the state.
There are six schemes in tranche three - Tamar is one. Other projects under development include Don, Fingal, Northern Midlands, Sassafras and Wesley Vale.
It is estimated that the Tamar Irrigation Scheme, once completed, will generate about 411 full-time jobs and 205 indirect jobs, and provide an economic benefit of $589 million.
The scheme covers 89,000 hectares of farming land spanning Westwood, Legana, Beaconsfield, Rowella, Hillwood, Pipers River, Lilydale and Pipers Brook.
Mr Kneebone urged all Tamar landowners to reach out to Tamar Project Manager Josh Marshall to discuss the Water Sales process and seek assistance in completing the application forms.
READ MORE: Zeehan man attacked housemates with hatchet
"The Tamar Irrigation Scheme is a once-in-a-life-time opportunity and we sincerely hope that farmers get behind the scheme so that we can progress the project to detailed design, permits and approvals, and construction - hopefully in late 2023," he said.
Water sales have reopened until July 15 and forms can be downloaded from the Tasmanian Irrigation website.
Our journalists work hard to provide local, up-to-date news to the community. This is how you can continue to access our trusted content:
- Bookmark www.examiner.com.au
- Make sure you are signed up for our breaking and regular headlines newsletters
- Follow us on Twitter: @examineronline
- Follow us on Instagram: @examineronline
Follow us on Google News: The Examiner