Reform of Water Entitlements
Unbundling of water entitlements is a major reform to improve the management and use of Victoria’s water supplies.
It honours Victoria’s commitment to the National Water Initiative to improve how Australia measures, plans for, prices, and trades water.
Water entitlements held by irrigators and diverters on regulated water systems in northern Victoria were unbundled on 1 July 2007.
Unbundling extended to the Werribee/Bacchus Marsh and Thomson/Macalister water systems in southern Victoria from 1 July 2008.
All water-related entitlements are housed in the Victorian Water Register. These include around 38,000 water shares with a market value of more than $4 billion.
Water trading enables available water resources to be put to their most efficient use. Unbundling has created opportunities to open up water markets and expand interstate trade in line with the National Water Initiative.
As part of the Government’s plan to promote efficient water use, entitlement holders in northern Victoria can now carry over unused water allocations between irrigation seasons.