Interview with Kieran Gilbert, News24

KIERAN GILBERT: The Albanese and Malinauskas Governments have announced a joint package to try and support River Murray communities dealing with water buybacks and other government policies that are causing some dramas for many of those communities. Earlier I caught up with the Environment and Water Minister, Murray Watt. MURRAY WATT: Yeah.

So, I'm joining you today from Waikerie, which is a little town in the Riverland District of South Australia, Kieran. It's a very big agricultural area, and you can see the banks of the River Murray behind me. You would be aware that our government has been really taking a lot of action to try to restore the environmental health of the River Murray over the last four years.

We have undertaken voluntary buybacks as well as over $800 million in investment in water infrastructure. And we’ve always said that we recognise that those buybacks may have some impacts on some communities. Overall, agriculture has actually grown as an industry in the Murray-Darling Basin since we've undertaken this work, but there have been some impacts on some communities.

And what I've announced today is the beginning of $12.7 million in funding towards South Australian communities that have been impacted by buybacks. That's part of $300 million in investment overall from our government towards structural adjustment for communities. And today, for example, we've announced a grant at Nippy's citrus packing facility, and that will help them put in place a new fruit grading line that will protect jobs in this region and, of course, expand their industry production into the future.

So, it's a big vote of confidence in the agriculture sector across the basin. KIERAN GILBERT: I want to pick up two things you said there. Obviously voluntary buybacks, yes, but when a farmer might sell it voluntarily that has a flow-on effect to the rice mill, to the mechanic in the town, to so many others across the community.

So, you're recognising that with this adjustment payment, is that right? And if it's the first instalment, do you recognise there will need to be a lot more to keep some of these communities alive? MURRAY WATT: Yeah.

I guess the first point to make, Kieran, is that because of over-allocation of water over the decades the River Murray is in great environmental distress. Earlier this year on the advice of scientific experts I listed the Lower Murray as critically endangered, that is how serious the environmental impact of over-allocation of water has been. That's why we've had to take the steps that we have taken to voluntary water buybacks, the investment in infrastructure.

But we do recognise that there are some economic impacts on some industries and some communities, and that's what this funding is for. You're right, this is only one round of this funding. We have previously allocated funding in New South Wales We aren't too far off being able to allocate more for New South Wales This is the first such investment in South Australia but we will be having a second round of this funding as well.

Because we want to see these communities thrive into the future. But the reality is that you can't have sustainable long-term communities and industries in the Murray-Darling Basin if you don't have a sustainable river environment. So, we've got to do both rather than just clean up the environment and not support communities.

KIERAN GILBERT: You know - your critics, including David Farley, the Member for Farrer, he says- he makes the point that you invest $2.5 billion to keep Tomago afloat, whereas 1,000 gigalitres would keep the New South Wales cotton and rice industry going and that wouldn’t cost you a thing. MURRAY WATT: Well, you've got to think also about the environmental cost, Kieran, and what that means for these industries long term.

If we continue to overuse water in the Murray-Darling Basin, in that we have for the last few decades, that will mean the end for many of these communities down the track - and we don't want that to happen. We want them to be viable communities. In some places, they are going to be different.

Another one of the grants that we’ve provided today, for example, is to assist wine growers in this region move towards olive oil growing and olive oil production, which is a diversification measure. Because we want these communities to exist. We want the growers, the jobs to exist.

Some of them will be doing different crops to what they've done in the past. But we can't ignore the very serious environmental damage that has occurred to the Murray River and the Murray-Darling Basin over the last few decades. And if we ignore that and continue allocating water at the rate we have, that is condemning these communities to a very dire future.

KIERAN GILBERT: SunRice, dozens of jobs lost there in Leeton and Deniliquin. How many jobs will it cost to afford the water buybacks? MURRAY WATT: Well, there have obviously recently been job cuts at one of SunRice's processing plants in Deniliquin.

SunRice themselves have said that water buybacks is not only the factor that has contributed to that. They have had a long period of dry weather here which has impacted rice production. But I acknowledge that water buybacks, based on what SunRice have said, have had an impact.

As I say, we have seen the agriculture sector across the Murray Darling Basin continue to grow over the last four years while we've been doing these water buybacks. But there are particular communities that there are impacts, and we want to stand with those communities by making the kind of investments like what I've announced today. You know, we've announced grants in the agriculture sector to expand production here and elsewhere.

There's grants towards building the local tourism industry because, of course, that's a major economic driver in the River Murray and the basin as well. And all up, as I say, we've allocated $300 million - which is not a small amount of money - to support these communities to grow. KIERAN GILBERT: And we're almost out of time, I know I've got to let you go, I've only got about 30 seconds left.

But we're talking about a population, 35, 40 million by 2050. We've got to feed them, don't we? I mean, that's a priority, obviously, for you.

MURRAY WATT: Absolutely. And you know, Kieran, I'm a former Agriculture Minister, a big believer in the sector. It's also we've got to feed our communities here in Australia.

We also feed the world. There's about 70 per cent of Australia's agricultural production is exported. And the point of this exercise is to make sure that we- KIERAN GILBERT: And this isn’t sabotaging that?

MURRAY WATT: No, no. This is about preserving the agriculture sector in the long run. If we continue down the path we have over the last few decades, especially in a drying climate in this part of Australia, we are going to see communities just not exist in the future, and we want them to survive.

KIERAN GILBERT: Environment and Water Minister Murray Watt joining us from Waikerie in beautiful South Australia, appreciate it. Thanks for making the time. MURRAY WATT: Good on you, Kieran.

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