Victorian Water Minister Lisa Neville has defended her handling of a pipeline for the Grampians region amid claims she waited too long to apply for funding.
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Ms Neville told a Public Accounts and Estimates Committee hearing on the state budget that the East Grampians Pipeline was a “really critical” project
The state government, in its own budget, has contributed $32 million towards the pipeline extension project that is designed to improve water reliability for farms and towns from Great Western to Streatham.
The state government’s plan relied on money from the federal government to meet the pipeline’s $82.5 million total price tag.
“The business case was overwhelmingly in favour of this investment,” Ms Neville told the committee.
“We are going to commence that work, the planning.
“We are hoping that the commonwealth comes up with a new round of funding in this area in order to support this really incredible project that stacks up enormously and will make such a big difference to that community and to Victoria’s economic wealth.”
Committee member and Gippsland South Nationals MP Danny O’Brien asked why she had waited until after the federal budget was handed down to apply for Commonwealth funding.
“We put in for the second round of their water infrastructure programs which closed on 21 September,” Ms Neville said.
“The business case for East Grampians was not completed by then. We have sent that in, but there is no funding round for that.”
Mr O’Brien then interjected, stating “you still blamed the commonwealth for not funding it” before the hearing was brought to order by the committee chair, Labor Essendon MP Danny Pearson.
The East Grampians Pipeline project called for 1600 new kilometres of pipeline to service 530,000 hectares, including Ararat, Willaura, Tatyoon and Buangor.
Grampians Wimmera Mallee Water submitted its business case for the pipeline to Ms Neville in October.
It was estimated the pipeline would bring $215 million in economic benefit to 1500 enterprises in the region.
In May, Nationals Euroa MP Steph Ryan said an application was finally submitted on the day of the federal budget.
“Lisa Neville’s been caught in a lie on rural water security and she’s trying to divert attention by shifting the blame,” Ms Ryan said.
“Lisa Neville’s decision to use the East Grampians Water Supply Pipeline as a political football has denied East Grampians landholders the opportunity for the project to be delivered in full.”