Fears buyback to short-change irrigators
Posted
Updated
There are fears irrigators will underestimate the value of their water and properties in the Government's buyback tender process. (ABC News)
The South Australian Murray Irrigators group says it fears Riverland irrigators will underestimate the value of their water and properties in the Government's buyback tender process.
Federal Water Minister Penny Wong will open tenders tomorrow for water entitlements in the southern Murray-Darling Basin, in its plan to return water to the environment.
Vice-chairman Tom Martin says the Government is offering market price for water at just over $2,000 a megalitre, but irrigators deserve at least $4,000.
Mr Martin says he fears irrigators will not register a fair price for their water, in order to secure a sale.
"The Minister's duty is to buy as much water at as small a value as she can, she says that's how she is expected to spend taxpayers' money," he said.
"We don't have any issue with that, except that we think the value to sell to the Government is higher than what might be determined as market values."
