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BackControversial NSW water legislation aims to secure environmental flows
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ABC Top Stories5/21/2026Politics3 min readAustralia

Controversial NSW water legislation aims to secure environmental flows

Quick Look

  • NSW parliament passed the Water Management Amendment (Easements for Inundation) Bill, allowing private land inundation for environmental water flows.
  • While a river ecologist supports it, some landholders oppose it, citing lack of consultation and compensation.

AI-generated summary

Why It Matters

New legislation in NSW allows for the inundation of private land for environmental water flows, a key part of the Murray-Darling Basin Plan. This aims to support ecosystems like the Gwydir Wetlands, but has faced opposition from some landholders concerned about consultation and compensation.

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Controversial new legislation could secure critical water supplies for delicate ecosystems while delivering benefits to the Murray-Darling Basin's agricultural sector, a leading river ecologist says.

Last week, NSW parliament passed the Water Management Amendment (Easements for Inundation) Bill, allowing the inundation of private land for environmental water flows.

The flows are a cornerstone of the Murray-Darling Basin Plan, aiming to provide water to important natural ecosystems.

These include the Gwydir Wetlands, where water flows were halted in April after a landholder threatened legal action.

The move has angered some landholders, who argue they have not been adequately consulted or compensated with regard to easements on their land.

University of NSW Centre for Ecosystem Science director Richard Kingsford said the flows were "really critical".

"They're essentially what's sustaining a lot of environments on the rivers," he said.

"That water is helping native fish get up and down the rivers, it's going out to flood river red gums and some of the really special places we have in the Murray Darling Basin.

"Just remembering, all the water in the rivers used to go to the environment before we built dams and diverted that water."

A nine-page frequently asked questions document was provided to the ABC by the Department of Climate Change, Energy, the Environment and Water (DCEEW) in response to questions about the legislation.

"The Bill does not introduce increased inundation under existing rules [and] does not provide unfettered powers to inundate private land," the document said.

"Without amendments, there is a risk that Water NSW would not be confident to make other [water] releases, such as [for] town, irrigation, domestic and stock, and flood mitigation."

Professor Kingsford said it should be acknowledged that prior to development, water flowed naturally through large parts of the basin.

"The idea of easements, where you identify where that water might go and there are opportunities to 'rent' those for a certain time or compensate in some way for landholders that may be affected, I think that's generally a good model," he said.

"There's certainly a discussion that needs to be had there about what's a middle ground and the best way of achieving what's best for the health of those rivers and the communities downstream."

Amendment sought

Last week independent Member for Murray Helen Dalton failed in an attempt to refer the bill for inquiry or have it amended.

She is now working with the Parliamentary Counsel's Office to draft an act that would recognise food production as a strategic priority of NSW in response.

"To protect and enhance irrigated agricultural land and water security, and to require consideration of food production impacts in planning and infrastructure decisions," Ms Dalton said.

The DCEEW said targeted consultation was undertaken in November last year relating to the bill, but given its sensitivity and urgency, a wider consultation process was not undertaken before its introduction to parliament on May 7.

Professor Kingsford said the policy could lead to benefits for the agricultural community.

"I really would like to see that we get out of the 'them v us' type mentality and start thinking about how we might actually might badge different rivers for the sustainability and environmental partnerships that show communities are working together," he said.

Food production protection act proposed

The state government has confirmed the new law does not affect ongoing negotiations for the Reconnecting River Country and Reconnecting Watercourse Country programs, Murray-Darling Basin Plan initiatives that to improve the delivery and effectiveness of environmental water flows.

"The NSW Government remains committed to negotiating with all affected landholders," the DCEEW spokesperson said.

"The passage of the Bill does not affect current or future negotiations. Affected landholders will continue to have the opportunity to negotiate enduring agreements and be compensated.

"The program remains committed to delivering alternatives to easements … and will begin rolling these out in the coming months."

Ms Dalton and Professor Kingsford described the new law as a "big stick".

Ms Dalton said management of environmental water in each of the state's river valleys should be looked at individually, rather than be covered by overarching legislation.

"They're asking us to trust them," she said.

"The trust has been eroded long ago with the government."

What to Watch

AI outlook — possibilities, not facts

  • Helen Dalton will draft and propose an act recognizing food production as a strategic priority of NSW.

    Very likely · Within months

  • The NSW Government will continue negotiating with affected landholders for enduring agreements and compensation.

    Very likely · Within months

Open Questions

  • What specific compensation will be offered to affected landholders?
  • What is the timeline for rolling out alternatives to easements?
  • How will the 'middle ground' for landholder compensation and river health be determined?
  • What are the specific impacts on food production that Helen Dalton's proposed act will address?

Related Topics

This article was originally published by ABC Top Stories.

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