Horticulture Australia Council says announcement on water buy‐back a “good move forward”
The Horticulture Australia Council (HAC) welcomes Prime Minister Rudd’s announcement that struggling small irrigators in the Murray‐Darling Basin will be able to sell their water entitlements to the Commonwealth, exit the industry if they wish, and remain in their family home. HAC Chair, Stuart Swaddling, says this was a “good move in the right direction.”
“We have been advocating changes to the way drought and disaster support are handled, for intensive irrigated industries such as Horticulture, for some time. We have made a full suite of recommendations to both the Expert Panel on social Impacts of the drought and the Productivity Commission’s Review of Drought Support Policy – and this was one specific recommendation.
“As a result of the below‐survival water allocations, particularly in the lower Southern Basin (such as the Riverland), we are seeing a major, unprecedented and unplanned process of structural adjustment. In other words, we have an industry-wide natural disaster happening in front of our eyes; more devastating and widespread than Cyclone Larry, just more gradual. As Horticulture is the primary economic driver in many of these regions, it is not just the growers who suffer, but also the communities which rely on them.
“One specific issue we have raised is that, to date, there have been barriers in the way for those adversely impacted in the lower Basin to be eligible for Exit Packages under the Exceptional Circumstances rules. In addition, various policy settings have inadvertently meant that articulation of the various support programs has not been operating for those growers who – because of age; non‐viability in the new climate; or because they’ve had to watch their orchards/vineyards die for lack of water, and can’t face starting over – wish to exit the industry.
The key elements in the proposed changes are:
• Open to farmers on blocks of up to 15 hectares;
• Irrigators affected by drought and climate change can quit farming, while remaining on their blocks (and in their family homes);
• They will have a source of income from the sale of some or all of their water; plus eligibility for EC Exit Package assistance ($150,000).
• Growers will also be eligible for grants of up to $10,000 for advice and training; and up to $10,000 to help them remove permanent plantings and other farming infrastructure.
• Growers can remain in their community; some may wish to offer environmental services to the community;
• The environment will benefit by a return 48 billion litres to the river system.
“We are keen to see more detail on the proposed changes, but believe they are a good step forward, and a ‘Win‐Win’ outcome – for growers and their communities, and for a sustainable Basin.”, Mr Swaddling said.
* From HAC press release September 22, 2008
