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Dam projects

New Dungowan Dam and Pipeline

Replacing the current Dungowan Dam with a new, larger dam would improve water availability and security in the Peel Valley.

Transition to Water Infrastructure NSW

As of 1 July 2021, responsibility for the proposed Dungowan Dam project transitioned from WaterNSW to the Department of Planning, Industry and Environment’s Water Infrastructure NSW, which is a Division of the Water Group.

For project continuity, key project staff have also moved across and previous WaterNSW project specific contact points (i.e. email and phone numbers) are being forwarded.

What's happening in October?

  • Early EIS community consultation webinars continue on October 5. This month focuses on climate change risk, environmental sustainable development and bush fire impact assessment. RSVP to the webinar.
  • Local business webinars will be held on October 6 to discuss key project updates and ongoing opportunities for involvement. RSVP to the webinar.
  • A catch up webinar will be held on October 19 to provide a recap of the topics presented at previous Environmental Impact Statement consultation sessions. RSVP to the webinar.


The NSW Government has released a 20-year infrastructure options study for rural river valleys which addresses future challenges in operating regulated river systems. The objective of the study was to guide water infrastructure investment by all levels of government.

Prime Minister Scott Morrison and NSW Premier Gladys Berejiklian have announced a jointly funded package of around $1.1 billion for the planning and delivery of three new or augmented dams in NSW. This includes the replacement of the existing Dungowan Dam near Tamworth.

The Peel Valley supports Tamworth and other smaller townships, as well as irrigated agriculture and industry.

The principle objective of the Dungowan Dam project is to secure the long-term water supply security for the regional city of Tamworth. Further, the project will enable future population growth for Tamworth, which together with an already-augmented Chaffey Dam will maintain a productive level of general security reliability and water use for irrigation. Over time, this objective is expected to underpin water affordability that will support broader agricultural productivity benefits for the region.


  • a new proposed dam approximately 3.5km downstream of the existing Dungowan Dam
  • a new proposed 55km pipeline from the new Dungowan Dam to the Calala Water Treatment Plant
  • increased town water supply
  • improved general security reliability and delivery efficiencies
  • increased supply for agriculture
  • supporting Peel drought work
  • replacing ageing infrastructure
  • maximising local opportunities from the construction of the project.

Location map

Peel Valley Region Map including Dungowan map
Map of Dungowan Dam

Estimated project timeline

  • October 2019 - Commenced project planning
  • January 2020 - Initiated environmental assessment
  • March 2020 - Commence detailed investigations and design
  • October 2020 - Commence early works
  • Late 2021 - Complete final business case
  • Late 2021 - Exhibition of Environmental Impact Assessment
  • Late 2021 - Commence construction. Construction is expected to take four years dependent on design
Important information

Note that project timelines can be affected by a range of factors including weather conditions, increased time to carry out consultation and where technical analysis and assessments require further work or investigation. Water Infrastructure NSW places the highest priority on the safety and wellbeing of its staff and the communities we work with. We are closely adhering to the current COVID-19 Public Health Orders which may have an impact on project activities and timelines. This website will be regularly updated to reflect this and communities will be notified of any changes.

Latest project updates

View a full list of project updates.

Planning and delivery

For detailed project planning information please visit the NSW Government Planning portal.

View the Environmental Assessment Requirements (PDF, 234.56 KB)

Frequently Asked Questions

See answers to Frequently Asked Questions about the Dungowan Dam and Pipeline project.

Environmental Impact Statement

Water Infrastructure NSW is developing an Environmental Impact Statement (EIS) as we seek approval to construct the project from the NSW Minister for Planning and Public Spaces and the Australian Minister for the Environment.

The EIS will assess the economic, environmental, and social impacts of the proposed Dungowan Dam and Pipeline and identify measures to mitigate these impacts.

A comprehensive range of environmental, technical and heritage studies is underway for the EIS, which will go on public display in 2021.

Find out more about the EIS

Social impact assessment

The EIS process includes a Social Impact Assessment (SIA) to address the potential social impacts and benefits of the project to the local area, the region and the state. The SIA survey is now closed, thank you to everyone who participated.

View more information about the Social Impact Assessment and EIS (PDF, 176.65 KB).

Contact us

To speak with the project team, phone 1800 318 045 or email dungowandamproject@dpie.nsw.gov.au

Sign up To receive project updates via email, sign up.

Facebook logo Facebook users can also join the Water Infrastructure NSW Dungowan Dam project community group.

Local business register

Water Infrastructure NSW is encouraging local businesses to register as a supplier for the new Dungowan Dam and pipeline project. The local business register will be provided to the major construction contractors so they can demonstrate how they will maximise local business and employment opportunities as part of the tender process.

For this project local business is defined as 150km from the project area.

Please note, registering your interest does not guarantee employment.

Register your business

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