Study puts a dampener on Nullinga Dam hopes

A detailed business case for the Nullinga Dam in Far North Queensland shows water from the proposed project would cost five to six times more than any prospective water users could pay. Revealing the findings today, the State Government said it would protect the proposed Nullinga Dam site and pursue alternative water supply options for the region. The dam, on the Walsh River about 24km south-west of Mareeba, has been costed at up to $975 million. The business case was completed by Building Queensland in partnership with Sunwater, with funding from the National Water Infrastructure Development Fund. “The State Government will pursue other water supply options to support development and jobs and lock down the dam site as a precautionary measure for the future,” Natural Resources and Mines Minister Anthony Lynham said. “We’re doing our bit for FNQ. The Morrison Government have said they can fully fund this project and now there’s nothing stopping them." He said Sunwater and the State Government would work with local irrigators to identify more affordable water projects to ensure industry could expand and create jobs. The Nullinga Dam business case identifies that: Cairns Regional Council has plans in place to cover water supply for at least the next 40 yearswater would cost upward from $15,900 per megalitre but customers only wanted to, and could, pay around $2000-$3000 per megalitre.both the smaller and larger dam options considered “would result in poor economic returns and poor financial outcomes” Building Queensland chief executive officer Damien Gould said the business case analysis revealed construction of the proposed Nullinga Dam was neither financially or economically viable. "The proposed Nullinga Dam site is located in a poor performing catchment requiring a costly build solution. To construct a dam that would meet identified demand would require an extended and costly construction program relative to the volume of water that would be available," he said. Look to North Johnstone Transfer says Katter Federal Member for Kennedy Bob Katter expressed relief that the Nullinga Dam had been taken off the table as a solution to Cairns’ water security future. “Southern Cairns, which I represent, needs water badly, if it’s going to expand. It cannot get water from Nullinga,” he said. Mr Katter advocates the North Johnstone Transfer as a more reasonable solution. By raising the Tinaroo dam, in conjunction with the North Johnstone Transfer, Mr Katter believes that Innisfail will be provided with some protection against future flooding events and it would provide farmers with an emergency supply. “We want some long-term development of the water for Cairns and I don’t think there’s any alternative but to look at Flaggy Creek and to look at Rifle Creek,” he said View full details of the Nullinga Dam business case HERE

Study puts a dampener on Nullinga Dam hopes

Industry Queensland

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