Water security - Budget package includes new dam

Deputy Premier Andrew Stoner told the NSW Nationals annual conference in Queanbeyan on Friday that $325 million would be used to fund infrastructure that would secure water supplies and to drought-proof communities.

This would include building a new dam on the Belubula River, near Canowindra, otherwise known as Needles Gap Dam.

“The site on the Belubula River offers the chance to maximise use of our water resources for the region without adverse environmental outcomes,” Mr Stoner said.

“With an initial construction cost estimate of around $150 million, we will be looking to partner with the Commonwealth and local council to make this project a reality.”

Recent droughts in the New England, north west, central west and north coast meant water security was a major concern for regional communities, Mr Stoner said.

“Improving regional water security and supply will not only better prepare our regional communities for drought, we will also potentially increase agricultural productivity and boost regional populations,” he said.

The announcement came only a day after federal member for New England Barnaby Joyce called for the reinstatement of the shelved Apsley River dam project near Walcha.

Mr Joyce, chairman of the federal government’s Dams Task Force, said the dam, last discussed in 1983, would deliver jobs, zero-emission electricity and much-needed water for the Murray Darling Basin system. 

As well as water security, Mr Stoner said tomorrow’s  state budget would also include $110 million for a new Regional Tourism Infrastructure Fund and $50 million for a new Western NSW Freight Productivity Program.

The tourism fund will be used for airport upgrades and cruise and rail infrastructure.

The Split Rock Dam near Barraba was completed in 1987.