Fed: Cap cities should have mandatory water restrictions: Ando

00-00-0000
Fed: Cap cities should have mandatory water restrictions: Ando

By Shane Wright

CANBERRA, Aug 8 AAP - Mandatory water restrictions should be imposed on all the nation'scapitals, Deputy Prime Minister John Anderson said today.

Mr Anderson said urban Australians had to start using water more efficiently.

Around 250,000 litres of water was used by the average Australian household every year,about 30 per cent higher than the OECD average, he said.

Mr Anderson said apart from that level of water consumption being unsustainable, itgenerated resentment in country communities forced to go without water because of thedrought.

He said all cities should join Canberra, Perth, Adelaide in Melbourne in continuous restrictions.

"I believe ... that the states and territories should now impose permanent, mandatorywater restrictions on the cities even after the drought ends," he said.

"We live in a dry country. The days of running sprinklers in the noon-day sun shouldbe over forever."

Mr Anderson attacked claims by Liberal senator Bill Heffernan that the government'ssupport for nationwide tradeable water rights will lead to the creation of water barons.

A plan by Mr Anderson to create water property rights, which would then be tradeable,will go to the Council of Australian Governments at month's end.

Senator Heffernan has argued the idea could lead to speculators gaining control ofwater, bidding up the price to make it impossible for farmers to afford.

But Mr Anderson said there was no way the government would allow the situation to develop.

"I want to put to rest the suggestion that water trading may see the emergence of sinisterwater barons, based overseas or on the beach at Noosa.

"The water market, like any other market in a critical commodity, will be highly regulated."

Meanwhile, parliamentary secretary to the agriculture minister, Judith Troeth, saidan increasing number of financial institutions believed the government's water reformplans will boost investment in country Australia.

She said at a meeting this week, banks had indicated water will be vital for countryareas and farm development.

"The main message out of (the) meeting was that many farm financiers believe the bankabilityof water access entitlements will become a key determinant of future investment in Australianfarming," she said in a statement.

"There was increasing recognition that decoupling land and water access entitlementswithin a secure trading system has the potential to deliver considerable productivitygains for Australian agriculture.

"In many instances, the ability to access water already represents the most valuablecomponent of the farming business."

AAP sw/sb/was/de

KEYWORD: WATER