Murray-Darling Basin
13.2 Adjustment and forfeiture of surface water allocation - urban water system

Supporting Information

The volumetric value for the line item for the 2010–11 year was 271,398 ML. The line item includes adjustment and forfeiture of surface water allocation (273,003 ML) and other surface water liability adjustments (–1,605 ML) for urban water systems in the Murray–Darling Basin (MDB) region.

Adjustment and forfeiture of surface water allocation

The following two tables provide a summary and breakdown information on adjustment and forfeiture of surface water allocationsfor urban water systems within the region. 

 

Summary of adjustment and forfeiture of surface water allocation for urban water systems in the MDB region
Water resource plan area

State

 Volume (ML) for the 2010–11 year 

 Code

Name

SW19 Warrego – Paroo – Nebine Qld 0
SW18 Condamine–Balonne Qld 0
SW17 Moonie Qld na
SW16 Qld Border Rivers Qld 0
SW15 NSW Border Rivers NSW 193
SW11 Barwon–Darling watercourse NSW 0
SW12 NSW Intersecting Streams NSW na
SW14 Gwydir NSW 1,746
SW13 Namoi NSW 14,783
SW10 Macquarie–Castlereagh NSW 9,884
Sub-total Northern Basin 26,606
SW9 Lachlan NSW 11,186
SW8 Murrumbidgee NSW NSW 15,578
SW7 NSW Murray and Lower Darling NSW 25,516
SW3 Northern Victoria Vic 70,547
SW2 Vic Murray Vic 18,514
SW4 Wimmera–Mallee Vic na
SW6 Eastern Mount Lofty Ranges SA na
SW5 SA Murray SA 75,000
SW1 ACT ACT 30,056
Sub-total Southern Basin 246,397
Total for the region 273,003

na = not applicable

 

Details of adjustment and forfeiture of surface water allocation for urban water systems in the MDB region

Water resource plan area

 

Sustainable diversion limit area

State

Entitlement class

 Volume (ML) for the 2010–11 year

Code

Name

NSW Border Rivers

SS23

NSW Border Rivers

NSW

Local water utility

193

Gwydir

SS22

Gwydir

NSW

Local water utility

1,746

Namoi

SS21

Namoi

NSW

Local water utility

14,783

Macquarie–Castlereagh

SS20

Macquarie–Castlereagh

NSW

Local water utility

9,844

NSW

High security – town water supply

40

NSW

Sub-total 

9,884

Lachlan

SS16

Lachlan

NSW

Local water utility

11,186

Murrumbidgee NSW

SS15

Murrumbidgee NSW

NSW

Local water utility

15,578

High security – town water supply

0

Sub-total 

15,578

NSW Murray and Lower Darling

SS18

Lower Darling

NSW

Local water utility

9,174

SS14

NSW Murray

NSW

Local water utility

16,342

High security – town water supply

0

Sub-total 

16,342

Sub-total New South Wales

78,886

Northern Victoria

SS4

Ovens

Vic

Urban – regulated

4,679

SS5

Broken

Vic

Urban – regulated

1118

SS6

Goulburn

Vic

Urban – regulated

21,291

SS7

Campaspe

Vic

Urban – regulated

40,954

SS8

Loddon

Vic

Urban – regulated

2,505

Vic Murray

SS2

Vic Murray

Vic

Urban

18,514

Sub-total Victoria

89,061

Eastern Mount Lofty Ranges

SS13

Eastern Mount Lofty Ranges

SA

Urban

SA Murray

SS11

SA Murray

SA

Class 2 – other urban (country town) water supply

Class 6 – Metro-Adelaide water supply scheme

Combined classes urban

75,000

Sub-total 

75,000

SS10

SA Non-prescribed areas

SA

Urban

Eastern Mount Lofty Ranges

SS12

Marne–Saunders

SA

Urban

Sub-total South Australia

75,000

ACT

SS1

ACT

ACT

Urban – regulated

30,056

Total for the region

273,003

 – = Data not available

 

Queensland

In Queensland, the resource operation plans (ROPs) distinguish between high and medium priority of supplemented water allocation. The water audit monitoring (WAM) data, which are the data source for the 2011 Account, only distinguish between supplemented and unsupplemented entitlements. Both urban and non-urban entitlements are included within supplemented entitlement class. Supplemented urban and supplemented non-urban volumes on allocations, diversions and other attributes were received together and it is not possible for these to be separated out for two purposes. Therefore, adjustment and forfeiture of surface water allocation for both urban and non-urban supplemented entitlements are included in line item 13.1 Adjustment and forfeiture of surface water allocation.     

New South Wales

New South Wales volumes reported in this line item contain the adjustment and forfeituremade under major and local water utility classes as well as the high security town water supply class.

Victoria

 Victorian allocation adjustment and forfeiture are shown in the source valley, even though the water was taken in a different destination valley. Therefore all entitlements in the Goulburn sustainable diversion limit (SDL) area have their allocation adjustments and forfeiture shown in that area, rather than the destination valleys of the Loddon or the Campaspe.

South Australia

In this line item for South Australia, adjustment and forfeiture volumes include the classes 2 and 6 as a combined class urban. 

Australian Capital Territory

In the Australian Capital Territory, no formal allocation announcement is made to extract water from storages. The allocation announcement for the year is assumed to be equal to the total entitlement volume. The difference between the allocation announcement and the allocation diversion is considered as forfeited.

 Other adjustments made on surface water liabilities

Other adjustments made in this line item include accounting of:

  • liabilities arising from allocation and tagged trade in the region
  • other unaccounted liabilities.

These two attributes are currently not taken into account in the reconciliation of surface water allocation–related line items in the Bureau of Meteorology (the Bureau)'s accounting process.  These attributes have been taken into account as adjustments in this line item to represent them in the water accounting statements. The following table provides information on these adjustments.

 

Other surface water liability adjustments
Description

Northern Basin (ML)

Southern Basin (ML)

Whole region (ML)

Liability increase from surface water allocation and tagged trade and unaccounted surface water liabilities 0 1,605 1,605

Details of surface water allocation and tagged trade are available in the Water market activity region note. Unaccounted surface water liability was due to allocation trade imbalance (which has not been reflected in the liability data available for allocation and tagged trade) between New South Wales and Queensland.

Quantification Approach

Data Source

(1) New South Wales: NSW Office of Water's Water Accounting section; and (2) WAM data received from Queensland (22 December 2011), South Australia (07 February 2012) and Victoria (31 January 2012), and stored in the Murray–Darling Basin Authority HYDRO database.

Provided by

Murray–Darling Basin Authority and the Bureau.

Method

In Queensland allocation remaining is generally not available in the supplemented systems for urban holders and therefore all allocation remaining at the end of the year is forfeited. This does not apply in the St George (Condamine–Balonne SDL area), Border Rivers and Macintyre Brook (Queensland Border Rivers SDL area) water supply schemes, which are continuous share schemes. Allocation adjustment and forfeiture is calculated using WAM data on a water balance approach.

NSW Office of Water – supplied data are prepared on a water balance approach. The forfeitures and adjustments have been checked to ensure that the closing balance reconciles.

Victorian adjustment and forfeiture was calculated using a water balance approach with data from WAM, and the allocation remaining (carry-over) volumes supplied by the Victorian Department of Sustainability and Environment (DSE). DSE carry-over was used instead of WAM carry-over as more information was available on how these figures were derived and carry-over volumes were provided for more valleys.

In South Australia, unused urban allocation is not available for carry-over into the next year. The allocation adjustment and forfeiture is calculated as the difference between the allocation announced and the allocation diverted. Despite this, provision has been made under the Murray–Darling Basin Agreement to store and support delivery of South Australian's critical human water needs for the forthcoming year (as a share of the South Australian's entitlement to River Murray water).

Assumptions, Limitations, Caveats and Approximations

Uncertainty reported by NSW Office of Water accounts for possible errors in the quantification of diversion and in the data handling processes.

Information provided in this line item may have been based on Cap valleys in the HYDRO database, which may not align perfectly with SDL areas.

Uncertainty Information

WAM supplied data are either measured, modelled or estimated. Uncertainty for volumes provided for New South Wales was estimated to be +/– 10%. The uncertainty estimate was not quantified for all other adjustment and forfeiture volumes included in this line item.

Comparative year

This line item corresponds to line items listed in the following table and reported in the 2010 Account. In the 2011 Account, the following change was made that caused the 2009–10 year value to be restated:

  • Presentation and classification of the line items has changed since the 2010 Account.

The changes and their respective values are detailed in the following table.

 

Restatement of comparative year information made for the line item 13.2 Adjustment and forfeiture of surface water allocation – urban water system
Description

Northern Basin (ML)

Southern Basin (ML)

Whole region (ML)

Line item names and values reported for the 2009–10 year in the 2010 Account 26.1.2.4 Adjustment and forfeiture of allocation on regulated flows – high security, urban holder 2,997 87,195 90,192
26.1.4 Adjustment and forfeiture of allocation/claim on regulated flows – urban water access entitlement/arrangement 20,609 34,198 54,807
26.1.9.4 Adjustment and forfeiture of allocation on regulated flows – urban holder 4,679 0 4,679
Total value reported for the 2010 Account 28,285 121,393 149,678
Changes in the value reported in the 2010 Account due to regrouping of line items  –3,057 41,658 38,601
Value reported for in the 2011 Account  25,228 163,051 188,279

 

Changes in the value reported in the 2010 Account due to regrouping, presentation and classification change of line items were due to the following reasons:

  • The high security entitlement classes within New South Wales for research, industrial, cultural, community and education were reported under urban line items in the 2010 Account. Remaining allocations associated with these entitlement classes were designated as non-urban and excluded from this line item for the 2011 Account.  

  • Liability changes associated with allocation and tagged trade and unaccounted liability for urban water systems were accounted in line item 13.2 (this line item) for the 2011 Account. For the 2010 Account, unaccounted liability was included in line item 25.6 Other lumped surface water liability increases.  This regrouping was made because the accounting system currently available for the 2011 Account has limitations in accounting allocation and tagged trade and unaccounted liability.

  • In the 2010 Account, adjustment and forfeiture volume for Australian Capital Territory water resource plan (WRP) area was zero considering the allocation was equal to diverted volume. For the 2011 Account, allocation was considered as the total water access entitlement, aligning with information provided in the Canberra water account.  As a result, 2009-10 adjustment and forfeiture volume for Australian Capital Territory WRP area in the 2011 Account was 25,779 ML.