The Sunraysia Irrigation Modernisation Project has failed Commonwealth due diligence and is being reworked in an attempt to satisfy Federal Government requirements.

 

The plan was announced three years ago with a $100 million funding promise from the Commonwealth, however it is understood the project was deemed not to save enough water.

 

Victoria's Water Minister, Peter Walsh, says he has secured an undertaking from the Commonwealth that the money is still earmarked for the Sunraysia project.

 

He says a new funding formula is now being worked out he hopes will satisfy the Federal Government's requirements.

 

"It is imperative the Commonwealth actually start to get some of this funding that's been promised actually out on the ground because if they release a draft basin plan without resolution to issues like the Sunraysia and like foodbowl 2 in the Goulburn Valley, they will have very little credibility at all when it comes to a basin plan," he said.

 

A spokesman from the Department of Sustainability, Environment, Water, Population and Communities said "The Sunraysia project is one of the state priority projects for which Victoria has sought funding under the Intergovernmental Agreement on Murray Darling Basin Reform."


"The project is the subject of ongoing discussions between the Australian and Victorian Governments."

 

"Governments have also been engaging in productive discussions to accelerate the speed of infrastructure spending and to simplify the approvals process.