Irrigation pricing discounts 2021-24

Summary

  • Discounts will be applied to prices that the Queensland Competition Authority (QCA) recommend for the previous year.
  • For irrigators supplied by Sunwater and Seqwater, this discount will be 15%.
  • Horticulture irrigators will be eligible for an additional 35% discount (resulting in a total 50% discount).
  • Queensland Rural and Industry Development Authority has been appointed to administer this additional discount for horticulture irrigators.

Irrigation prices for water supply schemes owned by Sunwater and Seqwater will now have the following discounts applied for the 3-year period from 2021-22 to 2023-24:

  • 50% discount for irrigation of horticulture crops
  • 15% discount for all other irrigation.

Prices being discounted

The discounts will apply to all components of each tariff group. This will include Part A and Part B prices and, where applicable, Part C and Part D prices.

Following the Queensland Government’s decision to freeze (or decrease) irrigation prices for the 2020‑21 financial year in response to the COVID-19 pandemic, the discounts for 2021-22 to 2023-24 will be applied to the prices that QCA recommended for 2020-21 to 2022-23.

The QCA recommended a 4-year price path commencing from 2020-21. The following table shows how the prices set by government relate to these QCA recommendations.

  2020-21 2021-22 2022-23 2023-24
QCA recommended price QCA Year 1 prices QCA Year 2 prices QCA Year 3 prices QCA Year 4 prices
Prices set by government Price freeze at or below 2019-20 levels Discounted QCA Year 1 Prices Discounted QCA Year 2 Prices Discounted QCA Year 3 Prices

This means that:

  • the irrigation prices for the financial year 2021-22 will be discounted from what the QCA recommended for the previous year (2020-21)
  • the irrigation prices for the financial year 2022-23 will be discounted from what the QCA recommended for the previous year (2021-22)
  • the irrigation prices for the financial year 2023-24 will be discounted from what the QCA recommended for the previous year (2022-23).

Learn more about the QCA recommended price path.

Discounts for all irrigators

Irrigators supplied by Sunwater and Seqwater-owned schemes will automatically receive the 15% discount through the prices used to calculate their bills.

Prices that are charged by entities other than Sunwater and Seqwater, such as those by Local Management Arrangement (LMA) entities, are a matter for those entities and not the Queensland Government.

LMA irrigators will automatically have the 15% discount applied to the Part A and Part B prices charged by Sunwater.

Discounts for horticultural growers

Horticultural growers will be able to apply to receive the balance of their 50% discount through a 35% rebate, which will be administered and assessed by the Queensland Rural and Industry Development Authority (QRIDA).

Over the coming months, we will be working with QRIDA to finalise the rebate program, including how you can estimate your water usage eligible for the 35% rebate.

Crops eligible for the additional 35% rebate

The 35% rebate will apply to water used to grow all horticultural crops.

Water used to grow broadacre crops such as grains, cotton, sugar cane and legumes will not be eligible for the rebate.

The definition of horticulture crops will be based on the following Australian and New Zealand Standard Industry Classification (ANZSIC) codes:

  • 011 – Nursery and Floriculture Production
  • 012 – Mushroom and Vegetable Growing
  • 013 – Fruit and Tree Nut Growing.

Receiving the rebate where no water is available

The program will be flexible enough to accommodate all forms of eligible horticultural farm businesses and water entitlement arrangements across the State. This includes accommodating circumstances where water may not be currently available but has historically been used to produce horticultural crops.

Next steps

Irrigation prices for 2021-22 to 2023-24 will be published online prior to 1 July 2021.

This page will be updated as more information becomes available.

Learn more about Seqwater and Sunwater irrigation pricing.

Last updated: 26 May 2021