Media Release: Victorian Environmental Water Holder to trade carryover space

The Victorian Environmental Water Holder (VEWH) intends to lease temporary carryover space in high-reliability water entitlement in Goulburn and Murray systems between April and June 2024.

The carryover space will be traded on the water market from mid-April up to 30 June 2024 in the Goulburn and Murray systems.

Leasing temporary carryover space – also known as carryover parking – is a form of trade where parties with unused carryover space lease it to other parties that have water allocation.

VEWH CEO Dr Sarina Loo said the VEWH requires less carryover in 2024-25 to meet expected environmental demand because water available for allocation in 2024-25 is expected to be high.

“The VEWH has carryover storage space it does not intend to use in the 2024-25 watering year because environmental water delivery and allocation trade have made space available.

“As a result of our recent trade of allocation water and through delivery of environmental water, the VEWH is expecting to have available carryover space at the end of 2023-24.

“The VEWH will make up to 30,000 megalitres (ML) of carryover space available for lease on the market and we expect this will benefit water users who want to carry over volumes that exceed their existing carryover limits.”

In February the VEWH announced a sale on the market of up to 47,000 (ML) of allocation water, also known as temporary water, in the Murray, Goulburn and Campaspe systems.

This was after an assessment that planned environmental watering needs for northern Victoria would be achieved in 2023-24.

The possibility of trading temporary carryover space was forecast in the VEWH’s 2023-24 water allocation trading strategy.

Revenue from the trade will be invested in activities and strategic projects that fulfil the VEWH’s existing and new policy obligations.

These include complementary works and measures projects, research and knowledge to improve Victoria’s environmental watering program, and progressing Traditional Owner self-determination where cultural values align with environmental outcomes.

The temporary carryover space will be made available through selected brokers in the best way possible to minimise adverse impacts on the market.

Media queries: 0402 750 953
Email: general.enquiries@vewh.vic.gov.au

Fast facts

• The Victorian Environmental Water Holder (VEWH) is an independent statutory body established in 2011 under Victoria’s Water Act 1989 as an ‘accountable, independent guardian’ to transparently manage environmental water entitlements.
• The VEWH decides why, where, when and how available water for the environment is used, carried over or traded to support the health of Victoria’s rivers, wetlands and floodplains.
• Under the Water Act the VEWH can buy, sell or exchange water to meet environmental needs.
• Carryover and trade are tools the VEWH uses to manage seasonal water availability and maximise benefits for the environment. Trade can include carryover parking.
• There is more about the VEWH’s water allocation trading strategy, including the possibility of trading carryover parking, at https://www.vewh.vic.gov.au/watering-program/trading