Tough new penalties to boost water security
The Minns Labor Government is continuing work to protect the state’s water assets with tougher consequences for breaking water laws now in place.
Implemented by the Natural Resources Access Regulator (NRAR), penalty notice amounts for breaches of water law increased in September, taking amounts for severe offences from $750 to $7,700 for individuals and from $1,500 to $15,400 for corporations.
For other offences such as constructing or using a water supply work without, or otherwise than as authorised by a water supply work approval, the penalty notice amounts have also been raised, from $750 to $3,000 for individuals and from $1,500 to $6,000 for corporations.
This is the first time penalty notice amounts have been increased in nearly 20 years, despite an increased understanding of the vital importance of water security across the state. This update ensures that consequences now match the severity of the offence of water theft and align New South Wales with other states within the Murray Darling Basin.
Further, the NSW Government has also enhanced NRAR’s compliance tools to ensure it can continue to effectively enforce water rules.
This includes updating the calculation method for the value of illegally taken water under the Act meaning the cost of water taken illegally will increase for perpetrators. In some cases, this will increase the value of water by more than $400 per megalitre, with NRAR able to impose a charge of up to five times the value of stolen water.
This calculation method is informed by research and data, promotes transparency, and reflects the value of water to the state.
These changes have been outlined in the Water Management (General) Regulation 2018 and commenced on 20 September 2024.
NRAR determines the appropriate regulatory action by considering the nature and seriousness of the breach, the degree of harm caused and the culpability of the person who took the water illegally.
For more information on increased penalty notices, visit: Penalty notices - Natural Resources Access Regulator
For more information on changes to Section 60G, visit: New method to calculate value of illegal water take
Minister for Water, Rose Jackson, said:
“I know that many farmers and other water users do the right thing. These changes are about ensuring fairness for operating lawfully, and accountability for those who break the rules.
“These changes are long overdue, and they significantly improve NRAR’s ability to protect our vital waterways and water resources across the state.
“Water is our most precious asset and is the lifeblood of our regional and rural communities. To ensure it’s taken fairly, equitably and sustainably, it’s vital that the regulator has teeth.
“In some cases, penalty notice amounts have increased 10-fold. We’re sending a strong message to those breaking the rules – if you steal water in NSW, you will pay the price.”
NRAR Chief Regulatory Officer, Grant Barnes, said:
“The increase sends a clear message about the critical importance of a strong regulator to protect water in this state.
“These changes represent a significant win for the people of New South Wales, who depend on secure and well-managed water resources and expect the law to be enforced effectively.
"This is about punishing those who violate regulations, not responsible water users who seek our support to meet compliance standards.
"With water entitlements in NSW valued at up to $41 billion, the penalties for illegally taking this resource need to reflect its worth.
“84% of respondents in a 2023 public water sector survey supported further action to combat water theft, which highlights widespread support for these changes.”
