There has been a lukewarm response to federal government plans to introduce a register of foreign ownership of water access entitlements.
Agriculture Minister Barnaby Joyce and Treasurer Scott Morrison have released a consultation paper, as part of the setting up such a register. Mr Joyce said the register would give greater oversight of the ownership of Australian water assets.
“Foreign investment plays an important role in the growth and productivity of our agriculture sector, and the government continues to welcome foreign investment wherever it will support our long-term national interests,” Mr Joyce said.
“However, we have also listened to the community’s calls for greater clarity and oversight when it comes to foreign ownership of water access entitlements. This is why we have committed to developing a national register that will give us a clear and accurate picture of foreign investment in our water access entitlements.”
But one of Tasmania’s biggest water rights holders, investment banker David Williams said the register could be a “waste of time”.
There is one water baron in the whole country and that’s the Feds - they have 30 per cent of the water.
- David Williams
“There is one water baron in the whole country and that’s the Feds – they have 30 per cent of the water,” Mr Williams said.
“There is very little water owned by foreign investors.”
Mr Williams bought about 10,000 megalitres of annual water entitlements in Tasmania’s Midlands Water Scheme and South Esk Irrigation Scheme.
He said a register might only add another bureaucratic layer and take the fluidity out of the system, if it required foreign investors to go through an extensive process of seeking permission to sell.
Mr Joyce said a register would improve transparency, as would one for foreign land ownership.
Victorian Farmers Federation (VFF) water council chair Richard Anderson said there was not a lot of proof foreign companies owned water rights or were speculating in them.
“Everybody has been screaming blue murder about transparency,” Mr Anderson said.
“People are saying there are speculators in the market, from here, there and everywhere – but the truth of the matter is that we don’t find any real proof of it.”
Mr Anderson said the VFF had supported a national land register.
“I will be interested to see who owns what, I suppose rural land and water go together,” he said.
“It will be interesting to see what the results are; if they get it right, we welcome that transparency.”