Council makes ‘commonsense’ decision not to accept Sunwater offer to take ownership of Fairbairn Dam…

Today Central Highlands Regional Council voted to reject an offer from Sunwater Limited for council to take ownership of the Fairbairn Dam recreation area and the LN1 irrigation and stormwater drain as a combined package.

‘Council knows how much the community and our visitors value the recreational and amenity opportunities of Lake Maraboon,’ Mayor Janice Moriarty said.

‘It’s an important contributor to Emerald’s lifestyle and major industries in the region. That’s why we have spent the last 4 years negotiating and investigating this proposal thoroughly.

‘After weighing up the financial and non-financial risks of taking ownership of these two assets, council made the commonsense decision not to proceed with the latest offer on the table in the best interests of our ratepayers.’

Mayor Moriarty said one of the most significant considerations was the financial cost to upgrade both the facilities of the recreation area and the LN1 drain, as well as the ongoing maintenance.

‘Sunwater had offered council a little over $3.1 million to upgrade both the LN1 drain and the Fairbairn Dam Recreation Area facilities, such as the amenities blocks, picnic areas, roads and boat ramp, which we are grateful for,’ she said.

‘However, the reality is this is well short of the millions of dollars needed upfront to bring the LN1 drain and the aged facilities at the Fairbairn Dam up to a higher standard and does not take into account the ongoing operational costs which would need to be met by ratepayers.’

Mayor Moriarty said another challenge was the inability for council to control the quality and quantity of upstream inputs into the LN1 drain, which was historically constructed to provide irrigation drainage, making management of the drain risky.

‘There is also little flood mitigation benefit in taking on ownership of the LN1 drain given that the State Government has not agreed to widen the culverts and drain at the Gregory Highway, which is a vital evacuation route to the north for Emerald residents,’ she said.

‘While we will not be accepting this offer, we are still committed to finding a way to improve the usability of the recreation area.’

Mayor Moriarty said council would be open to partnering with Sunwater to assist in maintaining the recreation area as a service provider. ‘Council will continue discussions with Sunwater with a view to improving the Fairbairn Dam Recreation area for both tourism and local liveability,’ she said.