STATE WATER CHARGES TO RISE

30 September 2004

State Water, who operates the river, has announced increased charges for bulk water supply to river diverters for the 2003 - 2004 water year.

Geoff Hipkins Chief Executive of Murrumbidgee Irrigation, reminds shareholders that those State Water charges reflect in company charges and must be passed on. The new rates are available on the Company website www.mirrigation.com.au. The result will be a minor increase in combined water charges for the new year.

Directors have again decided that due to current conditions, other Company charges will remain unchanged for the new year.

A review of company prices generally is presently under way.