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Collaborating on Australia’s future water needs

Written by The Hon Murray Watt | Mar 22, 2026 9:38:31 PM

In Australia, the country of droughts and floods, we know a thing or two about having too little, or too much water. Sometimes at the same time in different parts of the country, like we’re seeing right now.

Managing Australia’s finite water resources in the national interest is a complex and contested business. It’s one the water services industry, water users and governments all have a role in.

I’m pleased to be joining the AWA National Policy Forum in Canberra this week to outline the Albanese Government’s priorities in the water space.

The forum is your opportunity to voice your views, ideas and frustrations when it comes to the practicalities of delivering freshwater and sanitation services to Australians.

Some of these are new challenges, others have been around for some time. There’s always been many – and diverse calls on our water sources, from urban and remote communities, from energy generation and agriculture, and from the environment.

The 2004 National Water Initiative set a consistent framework across Australia, enabling water trading, setting pricing principles, and making sure the environment was factored in.

A couple of decades later, we need to improve that framework to include First Nations interests, climate change impacts, and emerging industries, like data centres.

The new National Water Agreement (NWA) has been developed with input from the spectrum of water users so we can take full advantage of new opportunities and prepare for new challenges we’ll inevitably face in the next 20 years.

Through the NWA, we’ll establish and update guidance for practitioners in six key areas including water administration, water planning and management, and independent economic regulation and water services pricing.

This work will be led by my department – the Department of Climate Change, Energy, the Environment and Water – in consultation with State and Territory governments. And we’ll rely on input from water stakeholders, which will take place later this year.

We’ll also develop a Commonwealth Action Plan outlining how the Australian Government will contribute to delivering the objectives and outcomes of the NWA.

Both these pieces of work will be done over the next two years.

Periodic reviews and scrutiny for our policies and legislation will be a feature of this work to make sure it transparently delivers effective outcomes as intended now and in the future.

2026 is a year of review and renewal at the Commonwealth level.

I recently launched the statutory review of the Water Act, led by independent reviewer, Anthea Harris. The Water Act was introduced to create a coordinated, national approach to managing the Murray–Darling Basin. It also puts in place Australia’s nation-wide system for collecting and sharing essential water data.

The Act must be reviewed before the end of 2027. The review will consider whether it’s fit for purpose, objectives are being met, and identify opportunities to better reflect the principles of the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP).

The review will also examine opportunities to align the Water Act with the objectives set out in the NWA, and consider areas such as governance, First Nations, environmental water, water security and water resource plans.

Several other important water reviews are also underway:

  • the Murray–Darling Basin Authority’s Basin Plan review
  • the review of the Inspector‑General of Water Compliance
  • the review of the Snowy Water Inquiry Outcomes Implementation Deed.

This is a historic opportunity to shape how our water frameworks can support a thriving Australia well into the future.

I encourage everyone – from communities, industries, First Nations groups, environmentalists, scientists, and policymakers – to get involved and to share their honest and frank insights.

Your voice is critical to helping us ensure we prioritise policies and approaches that continue to serve the national interest and maintain our role as a global leader in sustainable water management.

I look forward to meeting some of you at the AWA National Policy Forum this week, and working with you into the future.