Melbourne

Water rights, entitlements, allocations and trade

The National Water Account 2010 (the 2010 Account) acknowledges the varying jurisdictional legislative frameworks that support water resource management in Australia.

The jurisdictional legislative water resource management frameworks vary greatly between jurisdictions, sometimes making comparisons difficult. To facilitate meaningful comparison between the set of water accounting reports included in the 2010 Account, the Bureau of Meteorology has developed and applied an accounting concept to classify and report water entitlements within a water asset/water liability framework. The 2010 Account applies a water accounting conceptual framework of regulated and unregulated to such entitlements and claims to water. The accounting concepts for regulated and unregulated may differ from the legislative interpretation in some jurisdictions.

The application of the 2010 Account water accounting conceptual framework of regulated and unregulated to the entitlements and claims to water in the Melbourne region results in the classification and reporting of water rights, allocations and abstraction in the 2010 Account as detailed in the table below for the 2009–10 reporting period.

Bulk entitlements are listed. These bulk entitlements may contain storage conditions and/or distribution conditions. Relevant conditions are listed in the table below. Average annual entitlement volume is listed, along with the volume diverted in 2009–10. The complete bulk entitlement may be accessed via the Victorian Department of Sustainability and Environment Water Register website.

Victorian bulk entitlements lump storage and distribution functions together. For the National Water Account 2010, storage and distribution are reported as separate line items.

Rights may be held by individuals outside areas supplied under bulk entitlements. The environment also has rights to water, which are complex and may typically be either:

a volumetric entitlement issued to the Victorian Minister for the Environment
or
part of a bulk entitlement whereby certain flow rules or extraction limits are stipulated.

Details available for water transfer-out agreements between water utilities operating within the region are beyond the scope of this table below. These details are presented at the end of this note.

Bulk entitlements: Melbourne region 2009–10*

Catchment

Entitlement holder

Storage licence conditions

Distribution licence conditions

Mean annual entitlement volume (ML)

Volume diverted 2009–10 (ML)

Comment

Werribee

Central Highlands Water – Ballan

Nil

Unregulated – may take up to 451 ML at Colbrook Reservoir in any year at a rate not exceeding 1.73 ML/d, subject to flow sharing arrangements.

451

Reservoir was out of service for 2009–10

Werribee

Central Highlands Water – Blackwood and Barry’s Reef

Nil

Unregulated – may take up to 140 ML from the waterway to supply the Blackwood and Barry's Reef Water Supply System subject to flow sharing arrangements.

140

42.8

Yarra

1. City West Water
2. South East Water
3. Yarra Valley Water

Unregulated – City West Water, South East Water and Yarra Valley Water are jointly entitled to store water up to the reservoir capacities and full supply levels, less any storage capacity reserved for the environment, subject to storage management rules.

Regulated – may take its share of the water resources available under the diversion limit to supply entitlements. City West Water, South East Water and Yarra Valley Water together make up 100% of the water allocated to the Melbourne supply system from the waterway.
In 2009–10, water taken under the three Yarra partner bulk entitlements was also used to supply the Yarra – Western Water bulk entitlement.

City West Water, South East Water and Yarra Valley Water must not exceed a long term average volume of 400,000 ML/y from the Yarra catchment, or 555,000 ML combined from Yarra, Thomson, Silver and Wallaby creeks.

Pooled for three entitlement holders

A total figure of 360,816 appears at line item 14.7.4. It represents all the water taken by City West Water, South East Water, Yarra Valley Water and Western Water from the Melbourne headworks system in 2009–10. See line item 14.7.4 note for more information.

Thomson

1. City West Water
2. South East Water
3. Yarra Valley Water

Unregulated – City West Water, South East Water and Yarra Valley Water are jointly entitled to store up to the reservoir capacities and full supply levels, less any storage capacity reserved for the environment and Southern Rural Water, subject to storage management rules.

Regulated – may take its share of the water resources available under the diversion limit to supply entitlements. This City West Water bulk entitlement is one of three that together make up 100% of the water allocated to the Melbourne supply system from the waterway.

City West Water, South East Water and Yarra Valley Water must not exceed a long term average volume of 171,800 ML/y from the Thomson catchment, or 555,000 ML/y from the Yarra, Thomson and Goulburn catchments for the Melbourne supply system.

Pooled for three entitlement holders

A total figure of 360,816 ML appears at line item 14.7.4. It represents the water taken by City West Water, South East Water, Yarra Valley Water and Western Water under these rights. See Type ii note for line item 14.7.4 for more information.

Goulburn
(Silver and Wallaby Creeks)

1. City West Water
2. South East Water
3. Yarra Valley Water

Unregulated – City West Water, South East Water and Yarra Valley Water are jointly entitled to store all the inflows to weirs and take inflow via the aqueduct.

Regulated – may take its share of the water resources available under the diversion limit to supply entitlements. City West Water, South East Water and Yarra Valley Water bulk entitlements together make up 100% of the water allocated to the Melbourne supply system from the waterway.

City West Water, South East Water and Yarra Valley Water must not take more than 66,000 ML in any three-year period, subject to the total amount for the Melbourne system not exceeding 555,000 ML/yr (long-term average).

Pooled for three entitlement holders

A total figure of 360,816 ML has been entered under line item 14.7.4, It represents the water taken by City West Water, South East Water, Yarra Valley Water and Western Water under these rights. See line item 14.7.4 note for more information.

Bunyip

1. City West Water
2. South East Water
3. Yarra Valley Water

Unregulated – City West Water, South East Water and Yarra Valley Water may jointly store water in Tarago Reservoir up to reservoir capacity and full supply level, less any storage reserved for the environment and Southern Rural Water, subject to storage management rules.

Regulated – City West Water, South East Water and Yarra Valley Water bulk entitlements together make up 100% of the water allocated to the Melbourne supply system from the waterway.
Water taken under these bulk entitlements must supply Melbourne and can be used to supply Gippsland Water.

30,510 ML – City West Water, South East Water and Yarra Valley Water may jointly take an annual average of 24,950 ML from Tarago Reservoir and 5,560 ML from Bunyip Weir over any consecutive 5-year period.

Pooled for three entitlement holders

The diversion against this entitlement is included in the 360,814 ML figure for line item 14.7.4.

Bunyip

Gippsland Water

Nil

Regulated – subject to flow conditions

4,825 ML – may take 480 ML/y from Labertouche Creek at Labertouche Weir; 275 ML/y from Tarago Reservoir interface point; and 4,070 ML/y from the Tarago River at Pederson Weir and the Tarago–Westernport Pipeline interface.

546

Represented in Line item 14.9.

Maribyrnong

Melbourne Water

Unregulated – entitled to a share of 9.5% of the estimated storage capacity of Rosslynne Reservoir (24,670 ML).

Regulated

1,396 ML/y – may take 1,096 ML/y to supply entitlements and 300 ML/y to supply entitlements.

300

Appears as part of line item 14.6.5.6.

Bunyip

Minister for Environment

Unregulated – entitled to a storage capacity of 3,000 ML in Tarago Reservoir.

Regulated – subject to flow conditions.

10.3% of the inflow to Tarago Reservoir less the amount of water released to meet minimum passing flow requirements.

Yarra

Minister for Environment

Unregulated – entitled to a storage capacity of 17,000 ML in Melbourne headworks system reservoirs.

Regulated – subject to agreed environmental flow regimes.

17,000

Bunyip

Southern Rural Water

Unregulated

Southern Rural Water is entitled to a diversion of water from Tarago Reservoir up to annual average amount of 1,260 ML over any five consecutive years to supply primary entitlements, subject to flow rules. Water taken under this bulk entitlement must be used to supply 471.2 ML + 4690.6 ML of primary entitlements.

1,260

Southern Rural Water supplied information on diversions for Bunyip, Maribyrnong and Werribee catchments under line item 14.6.5. See line item 14.6.5 note for more information.

Maribyrnong

Southern Rural Water

Unregulated – Southern Rural Water is entitled to a share of 4.5% of the estimated storage capacity of Rosslynne Reservoir (24,670 ML). Southern Rural Water is entitled, after allowing for passing flow requirements, to 4.5% of inflow to the reservoir.

Southern Rural Water may take up to annual average of 382 ML over period of five consecutive years for some entitlements, and an annual total of 300 ML for other entitlements.

682

Southern Rural Water has supplied information on diversions for Bunyip, Maribyrnong and Werribee catchments under line item 14.6.5. See line item 14.6.5 note for more information.

Werribee

Southern Rural Water – Werribee system irrigation

Unregulated – Southern Rural Water is entitled to:

all the storage capacity of Pykes Creek Reservoir, up to 23,920 ML
all the storage capacity of Melton Reservoir, up to 17,140 ML
a 20% share of the storage capacity of Lake Merrimu.

Southern Rural Water may take from the Werribee River up to an average annual volume of 27,040 ML over any five consecutive years, in order to supply primary entitlements.
Total regulated diversions from Pykes Creek Reservoir, Melton Reservoir and Southern Rural Water's capacity share of Lake Merrimu must not exceed an annual average volume of more than 32,140 ML over the same five-year period. Flow-sharing rules apply.

27,040

Southern Rural Water has supplied information on diversions for Bunyip, Maribyrnong and Werribee catchments under line item 14.6.5. See line item 14.6.5 note for more information.

Southern Rural Water provided information for high-reliability water shares under line item 14.7.2.2 and 14.7.3.2, which would also be diversions under this entitlement.

Yarra

Western Water

Nil

Regulated – subject to flow conditions.

11,250

A total figure of 360,816 ML appears at line item 14.7.4, It represents the water taken by City West Water, South East Water, Yarra Valley Water and Western Water under these rights. See line item 14.7.4 note for more information.

Maribyrnong

Western Water – Barringo Creek

Unregulated

Unregulated – Western Water may take a share of flow of Barringo Creek, subject to flow conditions, up to 585 ML in any one year and up to 1,600 ML in any consecutive five-year period during June–October.

585

Western Water provided the amount of water supplied to customers. See urban water note.

Maribyrnong

Western Water – Lancefield

Unregulated – Western Water may store all of the inflow to Lancefield Reservoir when it is below full supply level and divert all flow passing, subject to passing flow requirements. Western Water is entitled to the full capacity of the storage, up to 45 ML.

Western Water may take up to 315 ML from the Lancefield water supply system annually, subject to flow-sharing rules. Western Water may take, in any year, up to 299 ML from Lancefield Reservoir and 195 ML from the Lancefield Diversion weir.

315

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Maribyrnong

Western Water – Macedon & Mt Macedon

Unregulated – Western Water has the following entitlements as detailed in the following table.

Reservoir	Entitlement (storage) (ML)	Entitlement (distribution) (ML)
1. Kitty English	65	327
2. Frank Mann	65
3. Anderson	23	131
4. McDonalds	82
5. Orde Hill	250	422
6. Willimgongon	25
7. Gillespies Weir	–	80
8. Bawden Spring	–	35

Western Water may take up to 873 ML in any one year and up to 3,225 ML in any consecutive five-year period from four local creeks, subject to flow-sharing rules.

873

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Maribyrnong

Western Water – Maribyrnong

Unregulated – Western Water is entitled to a share of 86% of the 24,670 ML capacity of Rosslynne Reservoir.

Western Water may take from the Maribyrnong River and Jacksons Creek up to an annual average total of 6,100 ML over any period of five consecutive years according to flow-rate rules.

6,100

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Werribee

Western Water – Myrniong

Nil

Western Water may take up to 58 ML from Pykes Creek subject to flow-rate rules.

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Maribyrnong

Western Water – Riddells Creek

Nil

Western Water may take a share of flow of Main Creek, subject to flow-sharing conditions, up to 300 ML in any year from April to January.

300

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Maribyrnong

Western Water – Romsey

Nil

Western Water may take up to 460 ML from Bolinda Creek in any year subject to flow-sharing arrangements.

460

Western Water provided the amount of water supplied to customers. See urban water note for more information.

Werribee

Western Water – Werribee system

Unregulated – Western Water is entitled to all the storage capacity in Djerriwarrh Reservoir up to 980 ML at full supply. Western Water is entitled to a 60% share of the 32,215 ML storage capacity of Lake Merrimu at full supply level.

Western Water may take from the waterway over any period of five consecutive years up to an average annual total of:

up to 8,500 ML from Lake Merrimu at specific flow rates
up to 1,486 ML from Djerriwarrh Reservoir at specific flow rates.

8,500

Western Water provided the amount of water supplied to customers. See urban water note for more information.

* These are stored online at Victorian Water Register
NA = not applicable

List of qualification of rights in 2009–10 that applied in Melbourne region
Qualification & associated amendments	Status at 30 June 2010	Catchment	Expired	Details	Comments
Declaration of temporary qualification of rights in the Melbourne water supply system – March 2007	Active	Thomson	NA	Alters the operational tolerances specified in Schedule 1 of the environment’s Thomson bulk entitlement to provide more flexibility for Melbourne Water to manage diversions from Thomson Reservoir to meet environmental flow obligations.	Continued in 2009–10
Temporary qualification of rights in the Melbourne water supply system – Thomson December 2007	Expired	Thomson	11 September 2009	Allow Melbourne to use eight of the environment’s 10,000 ML of inflows to Thomson Reservoir. The remaining 2,000 ML was also set aside each year for use by Melbourne, if needed, or else was available for use by the environment, if needed.	Expired in 2009–10. Replaced by ‘Temporary Qualification of Rights in the Melbourne water supply system – Thomson River September 2009’
Temporary qualification of rights in the Melbourne water supply system – Thomson River September 2009	Active	Thomson	NA	Reduces passing flows in the Thomson River to retain an average of 10,000 ML of water in storage for Melbourne. Retains use of 8 ML of the environment’s 10,000 ML of inflows to Thomson Reservoir for Melbourne. Allows the remaining 2,000 ML of the environment’s 10,000 ML of inflows to Thomson Reservoir each year to be used for the purpose of maintaining the critical environmental values of the Thomson River.	Commenced in 2009–10
Temporary qualification of rights in the Melbourne water supply system – Yarra October 2007	Expired	Yarra	10 March 2010	Delays the introduction of the new environmental flow regime for the Yarra River. Minimum passing flow requirements specified in the Yarra environmental entitlement reduced by 20,000 ML/y, while the 17,000 ML annual allocation was not granted.	Expired in 2009–10. Replaced by ‘Temporary Qualification of Rights in the Melbourne Water Supply System – Yarra 2010’
Temporary qualification of rights in the Melbourne water supply system – Yarra March 2010	Active	Yarra	NA	Continues to delay the introduction of the new environmental flow regime for the Yarra River to retain water in storages for supply to Melbourne.	Commenced in 2009–10
Victorian Government announcement to return 7,000 ML/y to the Yarra River (02 April 2010)	Active	Yarra	NA	Return 7,000 ML/y to: increase passing flows below Yering Gorge increase flushing flows in summer months.	Commenced in 2009–10
Temporary qualification of Rights to water in the Maribyrnong River 2008	Expired	Maribyrnong	30 June 2010	Reduces passing flows to levels agreed between Melbourne Water, Southern Rural Water and Western Water.	Continued in 2009–10
Temporary qualification of rights in the Werribee water system October 2007	Active	Werribee	NA	Allow Southern Rural Water access to the remaining 490 ML of the 1,200 ML of unallocated water in Lake Merrimu (not used in the previous qualification) as well as a further 310 ML (800 ML in total) to maintain the viability of critical businesses relying on water from the Bacchus Marsh Irrigation System.	Continued in 2009–10
Temporary qualification of rights in the Deutgam water supply protection area June 2009	Expired	Werribee	30 June 2010	Designed to mitigate the continuing risk of saline intrusion. All irrigation and domestic and stock rights are suspended, with the exception of four purposes: underpass dewatering chicken fogging school grounds aquaculture facility. For underpass dewatering, there is no change to the entitlement. For the remaining three purposes, entitlements are reduced rather than suspended.	Commenced in 2009–10

NA = not applicable
Note: Table also includes qualifications of rights in the Thomson catchment that impacted supplies for Melbourne and the Bacchus Marsh/Werribee irrigation districts

Rights and trade

Type of right	Volume (ML)
R1 Surface water rights
R1.2.1 Water access entitlement unregulated flows – stock and domestic class	1,720
R1.2.5.2 Water access entitlement unregulated flows – individual irrigator holder	41,446.8
R1.2.5.7 Water access entitlement unregulated flows – other lumped holders	72,051.6
R1.3.2.2 Water access entitlement regulated flows – high-security, individual irrigator holder	15,016.6
R1.3.3.2 Water access entitlement regulated flows – general and low-security, individual irrigator holder	7,026.2
R3 Landscape water rights
R3.1 Run-off harvesting entitlement	69,000
R4 Agreements and contracts
R4.3 Water transfer-in agreement	16,743.6^#

^#On 27 January 2010, the Melbourne retailers received bulk entitlements for their share of water savings from the Northern Victoria Irrigation Renewal Project (NVIRP). The retailers’ bulk entitlements were disallowed by the Victorian Legislative Council on 25 June 2010. Between 26 and 30 June, water was supplied to the retailers under a supply agreement with Goulburn–Murray Water. A total of 16,743.6 ML of water was taken in 2009–2010.

Type of trade	Volume (ML)
T1.1 Within water resource entity permanent trade of water access entitlement
T1.1.2.9 Within water report entity ownership transfer of water access entitlement regulated flows – other lumped class	538^*
T1.2 Into water report entity permanent trade of water access entitlement
T1.2.2.9 Into water report entity ownership transfer of water access entitlement regulated flows – other lumped class	60^*
T2.1 Within water report entity lease of water access entitlement
T2.1.2.9 Within water report entity lease of water access entitlement regulated flows – other lumped class	60^*
T3.2 Into water report entity allocation trade
T3.2.1.9 Into water report entity allocation trade regulated flows – other lumped class	68^*
T4.1 Within water report entity permanent trade of groundwater entitlement
T4.1.3 Within water report entity permanent trade of groundwater entitlement – other lumped class	6.5

^*Part purchased for the environment

Additional information

T1.1.2.9 Within water report entity ownership transfer of water access entitlement regulated flows – other lumped class

Supporting information

367ML + 171ML = 538ML

Volumes are presented by transfers in ownership of high-reliability and low-reliability water shares in the following tables.

High-reliability water shares (ML)
Source	Destination
Source	Bacchus Marsh Irrigation District	Werribee River	Werribee Irrigation District	Total sales (ML)	Number of sales (no.)
Bacchus Marsh Irrigation District	210	0	0	210	5
Werribee River	0	0	0	0	0
Werribee Irrigation District	0	0	156	157	6
Total purchases (ML)	210	0	156	367	NA
Number of purchases	5	0	6	NA	11

Low-reliability water shares (ML)
Source	Destination

Source	Bacchus Marsh Irrigation District	Werribee River	Werribee Irrigation District	Total sales (ML)	Number of sales no.)
Bacchus Marsh Irrigation District	98	0	0	98	4
Werribee River	0	0	0	0	0
Werribee Irrigation District	0	0	73	73	6
Total purchases (ML)	98	0	73	171	NA
Number of purchases	4	0	6	NA	10

Notes:

This table summarises all recorded water entitlement transfer and divide and transfer applications for high-reliability water shares. Some other trades were still in progress at year end and will be finalised in 2010–11.

Transfer applications result in a change of ownership. In some cases, the change of ownership occurs with a transfer of land. Transfers of ownership that are part of a water/land sale are not separated out.

Delivery systems are grouped to reduce complexity caused by small delivery systems.

T2.1.2.9 Within water report entity lease of water access entitlement regulated flows – other lumped class

Supporting information

High-reliability water shares (ML)
Source	Destination

Source	Bacchus Marsh Irrigation District	Werribee River	Werribee Irrigation District	Total sales (ML)	Number of Sales (no.)
Bacchus Marsh Irrigation District	60	0	0	60	1
Werribee River	0	0	0	0	0
Werribee Irrigation District	0	0	0	0	0
Total purchases (ML)	60	0	0	60	NA
Number of purchases	1	0	0	NA	1

Limited term transfer within authority (low-reliability water shares) = Nil

T3.2.1.9 Into water report entity allocation trade regulated flows – other lumped class

Supporting information

Allocation trade (ML)

Trade volumes are presented by sales and purchases of each trading zone. Trading zones locations are indicated at the Victorian Department of Sustainability and Environment website:
(http://waterregister.vic.gov.au/Public/Documents/trading_zones_map.pdf).

	Buyer
Seller	31AD Bacchus Marsh district	31AR Upper Werribee diverters	31BD Werribee district	Total sold	Number of trades (No.)	Net sold
31AD Bacchus Marsh district	45	17	0	62	16	17
31AR Upper Werribee diverters	0	0	0	0	0	–17
31BD Werribee district	0	0	6	6	1	0
Total purchased	45	17	6	68		0
Number of trades	12	4	1		17

T4.1.3 Within water report entity permanent trade of groundwater entitlement – other lumped class

Supporting information
4.1.3 Within water report entity permanent trade of groundwater water access entitlement – other lumped class: 6.5 ML

Groundwater management unit Merrimu
Volume: 6.5 ML, No. of trades: 2

National Water Account 2010