One Nation and Irrigators Push to Unlock Environmental Water for Murray-Darling Agriculture

A political push is underway to make environmental water in the Murray-Darling Basin available for agricultural production this season, as dry conditions and low crop forecasts impact regional farming communities. According to reporting by ABC News, One Nation MP David Farley introduced a motion in federal parliament proposing that 75 per cent of available environmental water be allocated to irrigators through a transparent, market-based process.

The proposal follows recent job losses in the agricultural sector. Australia's largest rice processor, SunRice, laid off 80 workers last month at its mills in Leeton and Deniliquin following low crop production. The company has asked the federal government to consider making a portion of environmental water available for sale to irrigators over the summer.

Mr Farley urged the federal government to respond to the motion by early October, ahead of the summer crop planting season. He argued in parliament that missing the window would cause regional economies to contract for another year, whereas acting could bring an immediate response given that land, equipment, and markets are ready.

The Commonwealth Environmental Water Holder manages a portfolio of more than 3,200 gigalitres intended to improve river, wetland, and floodplain health across the basin. Commonwealth Environmental Water Holder Simon Banks noted that the entitlements held by the government are subject to the same allocation rules as those applied to irrigators, meaning less water is available during dry periods. He emphasized that his primary responsibility remains protecting and restoring the basin's natural ecosystems.

Federal Water Minister Murray Watt was not available for a direct interview but stated that government policy ensures water is sold fairly, without bias, and only when and where it will not harm the environment.

Environmental groups have strongly opposed the plan. Murray-Darling Conservation Alliance co-director Craig Wilkins rejected the premise that environmental water is inactive, arguing that water is urgently needed to support ecological outcomes, manage ongoing dry trends linked to El Niño, and protect wildlife populations from challenges such as bird flu.

Meanwhile, official forecasts underline the mounting pressures on agricultural output. The Australian Bureau of Agricultural and Resource Economics and Sciences September crop report predicts that rice production will decline by another 22 per cent to 130,000 tonnes, while cotton planting is projected to drop by a third due to the dry season.

Recent rainfall has provided modest relief for irrigators in southern New South Wales. Water allocations for general security licence holders have increased by 10 per cent to 28 per cent of entitlement in the NSW Murray Valley, and by 7 per cent to 41 per cent in the Murrumbidgee Valley.

Individual farmers are responding to the tightened conditions in different ways. Burraboi farmers Brian and Alex Martin have set aside 60 hectares for rice, describing it as a highly valuable crop, while warning that government water buybacks have reduced active irrigated farmland in the Edward Kolety-Wakool region and rippled through local town economies. Conversely, Berrigan district farmer Noel Baxter reported he has shifted away from rice after decades, choosing instead to plant cotton and maize due to high water costs, scarcity, and tighter profit margins.