NEW England MP Barnaby Joyce believes funding will flow for two key water projects this weekend.
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Mr Joyce said he understood the Prime Minister would pledge money towards Dungowan Dam and Mole River to help shore up water security in Tamworth and Tenterfield respectively.
However, he said the state government would need to come to the party.
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"Our hard work is coming to fruition," he said.
"It's not just me, it's the work of the communities and the councils who have been pushing for the upgrade of Dungowan Dam and Mole River.
"Nobody would be announcing dam funding unless we did the homework."
Mr Joyce said he didn't know how much the government was going to put towards Dungowan.
The project has an estimated cost of $480 million.
The former deputy prime minister had said there was $75 million in federal funds reserved for Dungowan; a tranche announced three years ago.
"It's always going to require support from the state," he said.
"The state owns water assets; when you pay for a water licence, you pay it to the state.
"You can't go renovating your neighbour's kitchen."
He said if the funding didn't become a reality, "you could rule a line under how big Tamworth could get" and tough water restrictions would become the norm.
Mr Joyce said he was buoyed by the recent work of NSW Planning Minister Rob Stokes and Water Minister Melinda Pavey.
"Minister Pavey has reportedly told those bureaucrats who don't want to build dams to get out," he said.
"That's the attitude I have been calling for."
The planning minister vowed to fast-track new water infrastructure proposals.
Mr Stokes will reportedly declare applications "critical state significant infrastructure" and personally give the tick of approval, superseding an independent public hearing process.
The Prime Minister's office was contacted for comment but did not respond to the Leader's questions before deadline.
At a doorstop interview in Sydney, Scott Morrison pointed the finger at the state government.
"The commonwealth government can't dig a hole anywhere for building a dam unless the state government is on board," he said.
"And we've been working closely with the NSW government.
"The Premier and I have been in very close contact on this issue for some time now, and we look forward to making some announcements."
Reports have been circulating for a number of weeks suggesting Mr Morrison was ready to make an announcement on a slew of dam projects after his return from the United States.
The infrastructure minister's office said it was investigating a range of water security projects.