Kalgoorlie's 'shovel-ready' water project shut out of federal budget
The drought-proofing water project championed by Kalgoorlie, Australia's largest outback city, missed out on funding in this week's federal budget. The City of Kalgoorlie-Boulder said it will now review its ambitious 'Water Bank' plans. The decision has reopened debate over how the country prioritises rural infrastructure.
The City of Kalgoorlie-Boulder's long-developed 'Water Bank' project did not receive the funding it expected in the federal budget. The plan would turn a disused mine in the heart of the city into a water reservoir, providing long-term water security for a region constantly threatened by drought. The council noted that the project had passed scrutiny under both major parties in earlier years.
The prime minister's office said the budget had concentrated mainly on transport and health items in the eastern states. The city's mayor said the decision read as a systemic answer to the sparser population of Western Australia. Local business voices raised the question of how much of the tax revenue the mining sector pays to the city is passed on to the federal level.
The project is now on hold and the council said it is working on a scaled-back alternative design. The state government is reportedly considering a 'partial contribution' to fill the federal gap. A supplementary budget round in March will reopen funding allocations.
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