NSW Government Faces Calls to Halt Floodplain Harvesting Amid Regulatory Uncertainty

Calls are growing for the New South Wales government to immediately halt the contentious practice of floodplain harvesting, following revelations that the state's industry watchdog lacks the power to effectively prosecute breaches.

Floodplain harvesting allows landholders to capture and store water flowing across flood plains during rainfall and flood events. The practice has sparked concerns that it significantly reduces downstream flows, degrades river health, and undermines the ecological, cultural, and economic foundations of communities across the basin.

Regulatory Framework 'Fundamentally Flawed'

NSW Greens MP and water spokesperson Cate Faehrmann said the regulatory framework was “so fundamentally flawed that compliance cannot be reliably enforced”. She called on NSW Water Minister Rose Jackson to impose an immediate embargo on floodplain harvesting across NSW.

“The government must act immediately to protect downstream communities, uphold the integrity of the Basin Plan, and restore confidence in NSW's water regulation,” Ms Faehrmann said.

An embargo would prevent the capture of water during future overland flows and reduce water available to irrigators, while allowing more water to remain in the river system. Floodplain harvesting accounts for about five per cent of water taken across the Murray-Darling Basin, or approximately 571 gigalitres a year.

Uncertainty Surrounding Floodplain Harvesting Laws

The NSW Natural Resources Access Regulator (NRAR) chief regulatory officer, Grant Barnes, recently told a parliamentary hearing that the agency was facing “some uncertainty as to the application of the law in regard to floodplain harvesting”.

During the hearing, it was revealed that several NRAR prosecutions for alleged water offences in northern NSW between 2020 and 2025 were withdrawn or dismissed due to problems with the evidence, record-keeping, and findings that offences had not been proven beyond reasonable doubt.

“If the government cannot regulate floodplain harvesting, it must not permit it,” Ms Faehrmann said.

Court Rulings and Enforcement Challenges

South Australia's River Murray commissioner Emma Carmody described Grant Barnes's statements about enforcement uncertainty as an “extraordinary revelation”. She said it was “extremely troubling” that nearly a decade after a major investigation exposed problems with water take from the river and triggered major reforms to water compliance, the regulator still lacked the powers it needed to manage the sector.

In 2020, NRAR prosecuted irrigator Peter Harris and farm manager Justin Timmins over the alleged failure to operate water metering equipment properly at two properties near Walgett. However, the charges were dismissed due to the regulator's failure to prove its case beyond reasonable doubt.

Ms Carmody noted that a second ruling, Emu Rider Pty Ltd v Minister, administering the Water Management Act, handed down in 2025, found that the minister had never sent landholders the notice required before their water volumes were set, rendering the floodplain harvesting access licences invalid.

Government Response and Audit

In response to calls for an embargo, Ms Jackson said the government intended to make changes to the floodplain harvesting framework following recent legal decisions. She stated that she had been briefed on the implications of these legal matters and had directed the department to take steps to quickly resolve issues identified by the courts.

“We will continue to make whatever changes are necessary to achieve our shared goal of a clear regulatory framework,” Ms Jackson said.

The measurement, monitoring, and determination of water take by floodplain harvesting in NSW will be the subject of a federal audit. The audit will examine whether commitments made by NSW during water resource plan accreditation are being implemented as committed.

Inspector-General of Water Compliance in the Murray-Darling Basin, Troy Grant, said the audit would focus on the Border Rivers, Barwon-Darling, and Macquarie-Castlereagh water resource plan areas.

“In many systems, floodplain harvesting is estimated using water models rather than directly measured, leading to reduced confidence in water take data,” Mr Grant said.

Irrigators' Response

NSW Irrigators Council chief executive Madeleine Hartley rejected claims that court decisions have rendered floodplain harvesting difficult to regulate. She defended irrigators' adherence to the rules, stating that they are the most licensed, metered, and compliant with this type of water take across the basin.

“Floodplain harvesting is and has always been lawful and there is already an embargo in place for this type of water take,” Ms Hartley said.