Victoria has paused four major environmental projects under the Murray-Darling Basin Plan. 

The move has opened the door to more water buybacks in the state, which may be necessary if the environmental works of the four paused projects are not completed by June 30, 2024, the funding deadline. 

Victoria's water minister, Harriet Shing, says that the four paused projects would have delivered 60 gigalitres of water back into the system, but would not be complete by the deadline. 

The Sustainable Diversion Limit Adjustment Mechanism allows states to propose projects to provide environmental benefits while reducing the amount of water required under the basin plan. 

Victoria had proposed nine such projects, with five worth 15 gigalitres currently underway. 

The four paused projects would have contributed an additional 60 gigalitres, which will not be available unless the government extends the funding deadline.

Shing is pushing the federal government and other states for a two-year extension to the basin plan deadlines. 

Without the extension, Victoria's environmental works of the four paused projects would not be completed by June 2024, and the state would not be paid for them by the Commonwealth. 

Shing believes that a two-year extension would allow Victoria to meet 98 per cent of its commitments under the plan.

Critics argue that without the works being completed, the federal government will need to buy back more water from irrigation communities. 

Nationals senator and federal shadow water minister, Perin Davey, understands the Victorian government's position, saying; “Without the agreement for an extension, the federal funding is not guaranteed, and I can totally understand why the state minister would be reluctant to commence or commission any contracts if they are not sure they are going to get the funding for it”. 

If the federal government needs to buy back more water, it may need to enter the market and recommence water buybacks in the region. 

“That's gigalitres of water that's going to have to come from somewhere because the offsets won't be met through the infrastructure projects,” Davey says. 

“It's also a big loss for the environment because these projects were specifically designed to better manage how to get water flows to special environmental target sites.”

Shing stressed that the Victorian government remains committed to its policy against further water buybacks for the Murray-Darling Basin Plan in the state, adding; “I would like to see that we can return water, but it has to be with positive or neutral socio-economic outcomes”.