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South East Queensland

                                                                                                   

24.6 Adjustment and forfeiture of allocation on regulated flows — high security, urban holder

                             

Supporting information   


High-security urban holders (SEQ Water Grid Manager) could be determined, as entitlements were individually identified and diversions by urban holders were calculated. Please refer to the following specific line item components for more information on notes for high-security urban holders:

  • 25.1.2.4 Allocation announcement on regulated flows – high-security urban holder
  • 14.7.2.4 Allocation diversion of regulated flows – high-security urban holder.

The table below details the calculation of the adjustment and forfeiture of allocation on regulated flows for high-security urban holders.


   
Adjustment and forfeiture of allocation on regulated flows – high-security urban holder
  Water accounting statements line item Gold Coast WRP area (ML) Logan Basin WRP area (ML) Moreton WRP area (ML) Total SEQ region (ML)
  25.1.2.4 Allocation announcement on regulated flows – high-security urban holder 76,295 8,910 337,725 422,930
less 14.7.2.4 Allocation diversion of regulated flows – high-security urban holder 57,457 2,315 115,955 175,727
equals 26.1.2.4 Adjustment and forfeiture of allocation on regulated flows – high-security urban holder 18,838 6,595 221,770 247,203

WRP = water resource plan

The SEQ Water Grid Manager holds high-security (high-priority, for the Queensland Department of Environment and Resource Management [DERM]) entitlements with a volume much greater than the actual historical urban diversion on these entitlements. High-security entitlements are given the same announced allocation percentage for a given water supply scheme (WSS), and therefore the SEQ Water Grid Manager does not obtain any preference over any other high-security entitlement holder.

The 2009–10 reporting period represented a transition from a drought-dominated period to a wet period. In the previous years, water storages were at low levels and, if entitlements were administered in the same manner as currently, under the newly established resource operation plans (ROPs), low announced allocation percentages would have been given to high-security entitlements such as those held by the SEQ Water Grid Manager.

Although urban demand has some elasticity through water restrictions and habit modification, the extent of urban demand elasticity is not sufficient to counter the variations in announced allocation. In wet years such as the 2009-10 reporting year, when announced allocation percentages are high, significant forfeiture of SEQ Water Grid Manager allocations will occur.

The table below shows the surface water allocation carryover reconciliation.

 
Surface water allocation carryover reconciliation for year ending 30 June 2010
Allocation category Opening balance (ML) Announcement (ML) Allocation diversion (ML) Forfeiture (ML) Closing balance (ML)
High-security urban 0 422,930 175,727 247,203 0
High-security other 0 20,860 20,324 64,682 0
General-security other 4,534 71,288 11,676

 

Quantification approach   


Data source

  • DERM, ROP and announced allocations
  • WSS operators and licence holders: Seqwater
  • DERM, ROPs and interim resource operation licence (IROL)
  • DERM, Water Entitlement Register Database and Water Management System database

In Queensland, entitlements and allocations do not have intended use as an attribute, and all metered abstractions do not have entitlement priority or use as attributes. Urban holders of high-security entitlements were individually determined by obtaining all high-security entitlement volumes from the Moreton, Logan Basin and Gold Coast ROP Schedule of Water Allocations listed for the SEQ Water Grid Manager.

The values provided by DERM were modified by identifying and removing the high-security urban holder component.

 

Data provider

Bureau of Meteorology, DERM.

 

Method

The forfeiture of allocation on regulated flows – high-security urban holder was derived using the calculation in the table below.

Calculation Component
Adjustment and forfeiture of allocation on regulated flows – high-security urban holder =
plus
25.1.2.4 Allocation announcement on regulated flows – high-security urban holder
minus
14.7.2.4 Allocation diversion of regulated flows – high-security urban holder

Opening and closing balances were not included in the calculation as carryover does not exist for all allocations, except those that have a different water year from the reporting period. This was not the case for high-security allocations held by urban utilities.

Please refer to the specific line item components used in the calculation for individual quantification approaches.

 

Uncertainty

Certain.

 

Approximations, assumptions, caveats and limitations

Please refer to the specific line items:

  • 25.1.2.4 Allocation announcement on regulated flows – high-security urban holder
  • 14.7.2.4 Allocation diversion of regulated flows – high-security urban holder.