The carryover space will be traded on the water market from mid-April up to June 30 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 chief executive officer 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,” Dr Loo said.
“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 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.
VEWH said the temporary carryover space would be made available through selected brokers in the best way possible to minimise adverse impacts on the market.
