22 March 2006

MEDIA RELEASE

Thirty three rural and regional councils in NSW will introduce a water saving program at a total cost of $22 million which will produce savings of more than $250 million over 25 years by repairing leaks in existing town water and sewerage utilities.

The water loss management program is part of the $1.6 billion Water Smart Australian Program for which the first round of recipients were announced today by the Australian Government.

A joint initiative of the Local Government and Shires Associations of New South Wales (LGSA), and the Water Directorate (WD), which comprises 95 councils who operate water supply and sewerage services, the program will recover its costs over the fours years of its implementation.

Participating NSW councils will contribute on a $2 for $1 basis an average $450,000 each ($14.752 million). A further $7.387 million constitutes a grant from the Water Smart Australia Program.

Water losses in Australian urban supply and reticulated treatment systems typically run as high as 30 percent. The project will create a reduction of 10-15 percent in water losses through leakages, potentially saving some councils up to $1 million annually.

A six-member steering committee will select the first round of participating NSW councils within the next nine months.

The President of the Local Government Association, Cr Genia McCaffery , said the scheme will reduce leakages in existing networks, and in some cases postpone the need for new infrastructure such as treatment plants.

“The project is bold and ambitious and highlights the strength of local government, and this has been recognised by the Australian Government, especially the Parliamentary Secretary for Water, Malcolm Turnbull.

“Mr Turnbull should be commended for his commitment to save water and we look forward to him promoting our partnership at our water conference in Broken Hill in June,” Cr McCaffery said.

“Our priority is to establish strategic alliance agreements where we can to achieve savings across the entire spectrum of local government.

“The water loss management program does this, and it is far cheaper to conserve treated water than to increase collection, and it will save energy costs for pumping and chemical dosage.

“We are looking here at improved environmental outcomes from conserving our existing water supplies in times of drought, and reducing seepage which impacts on water tables, including additional salinity problems in some cases.

“We are estimating a $250 million saving over 25 years, and that is at the bottom end of the estimates in the program. Savings over this period could go as high as $400 million,” Cr McCaffery said.

The President of the Shires Association, Cr Col Sullivan OAM , praised the Australian Government for its contribution.

“That grant was crucial to get this program up and running and enthuse our local government membership.

“The councils involved will not only purchase specialist water loss detection equipment, but will seal and line storages and share resources and information between us on further savings.

“When we complete the program, it has the potential to be extended to other councils across NSW,”

“The program demonstrates what can be achieved when different spheres of government work together.

“Our Associations value highly our close working relationship with the Water Directorate, and the commitment of the Australian Government to this ambitious landmark project,” Cr Sullivan said.

The Chair of the Water Directorate, Mr Daryl McGregor, said the benefits of the water loss program will go well beyond water savings, equivalent to 15,000 Olympic swimming pools in the first year of operation.

“Apart from millions of dollars saved, the coordinated approach by a number of councils will lead to increased knowledge of the distribution system and skills.

“Our principal aim is to maximise efficiencies in the operation and management of town water supply systems,” Mr McGregor said.

Cr Robert Bell, Chair of the LGSA’s Water Management Committee, said regional councils will be contacted over coming months with more detailed information on how they can be involved in the water loss program.

“This is a return for taxpayers in NSW through federal and state contributions to the National Water Initiative.

“For too long, we have treated water as a cheap and abundant resource without any thought for how to conserve such a precious commodity.

“In the scale of things, this might seem a small contribution. But it’s a start, and if it returns participating councils up to $400 million for a $22 million outlay, it is worth its weight in gold,” he said.

Media Officer:          Michael Ross     0419 406 400

Media comment:          Cr Genia McCaffery   0419 404 867

Media comment:          Cr Col Sullivan     0418 660 276

Media Comment:   

Daryl McGregor, Chair Water Directorate         0417 271 618

Media Comment:

Cr Robert Bell, Chair LGSA Water Management Committee     0418 432 754