Commonwealth Consolidated Acts

WATER ACT 2007 - SCHEDULE 3A

Note:   See section   74A.

Part   1 -- Clauses   48 to 50 of the National Water Initiative

48.         Water access entitlement holders are to bear the risks of any reduction or less reliable water allocation, under their water access entitlements , arising from reductions to the consumptive pool as a result of:

  (i)   seasonal or long - term changes in climate; and

  (ii)   periodic natural events such as bushfires and drought.

49.        The risks of any reduction or less reliable water allocation under a water access entitlement , arising as a result of bona fide improvements in the knowledge of water systems' capacity to sustain particular extraction levels are to be borne by users up to 2014. Risks arising under comprehensive water plans commencing or renewed after 2014 are to be shared over each ten year period in the following way:

  i)   water access entitlement holders to bear the first 3% reduction in water allocation under a water access entitlement;

  ii)   State/Territory governments and the Commonwealth Government to share one - third and two - thirds respectively reductions in water allocation under water access entitlements of between 3% and 6%; and

  iii)   State/Territory and Commonwealth governments to equally share reductions in water allocation under water access entitlements greater than 6% .

50.        Governments are to bear the risks of any reduction or less reliable water allocation that is not previously provided for, arising from changes in government policy (for example, new environmental objectives). In such cases, governments may recover this water in accordance with the principles for assessing the most efficient and cost effective measures for water recovery.

Part   2 -- Clause   10.1.3 of the Agreement on Murray - Darling Basin Reform of 3   July 2008

10.1.3     Commonwealth undertakes to use its best endeavours to enact legislation to amend Division   4 of Part   2 of the Water Act so that:

In respect of those Basin States who choose to apply the National Water Initiative risk assignment framework:

  a)   the Commonwealth's share of a reduction in a long - term average sustainable diversion limit includes, in any 10 year period, all of the new knowledge components of the reductions that exceed three per cent of the relevant diversion limit; and

  b)   for a water resource plan area in the Murray - Darling Basin with a transitional or interim water resource plan, the Commonwealth will take responsibility for its share of the new knowledge component of a reduction in the long - term average sustainable diversion limit for the water resources of that plan area arising after the transitional or interim water resource plan ceases to have effect.