24 November 2006

EVERY DROP COUNTS

Earlier this week at its Annual General Meeting, Murrumbidgee Irrigation outlined a package of measures designed to help manage the current water shortage. These include relief packages for high security, increased vigilance on water control and theft and internal measures to reduce costs.

Managing Director of Murrumbidgee Irrigation, Brett Tucker said it was critical that the company did as much as possible within the limits of water available to assist customers but that water wastage and water theft would not be tolerated.

"It is heartbreaking for families and the wider community to see many of our broadacre crops left to die as a result of the recent cutbacks. If we had the water to help everyone we would but there is simply not enough to go around. Instead the small amount of water we will achieve through further savings will be targeted at keeping high security crops alive."

Although the cuts resulted in high security moving from 95% allocation to 85%, Murrumbidgee Irrigation will provide up to an additional 5% (or 90% over the full year) for use on-farm for eligible recipients. To be eligible a high security customers' full season use plus trade out prior to the 10th of November must not have exceeded 95% and there can be no further trades out after this date. Full details of relief packages and individual customer account balances will be provided to every customer next week, commencing 27 November.

Mr Tucker also highlighted initiatives to improve water control and curb theft. "We have moved swiftly to ensure there are no unnecessary water losses in our system and have called on our customers to work with us in this area."

"Unfortunately desperate times may result in desperate measures for a small minority of our customers. We will not tolerate water theft and severe penalties will apply to those who take this course of action. Random patrols have commenced and will continue throughout the irrigation season."

Mr Tucker revealed that despite the cutbacks reducing the pool of water available to distribute, management of this water had become increasingly important.

"The careful management of the water available together with increased vigilance mean that our commitment of resources has not lessened. However we are very aware that our services are a direct input cost to farm businesses and as such we are committed to keeping those costs as low as possible. To this end we have reduced our operating expenses by $1.4 million over last year's actual expenditure."