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Home / Business / Companies / Agribusiness

Days of easy water over, says Irrigation NZ chief

Jamie Gray
By Jamie Gray
Business Reporter·NZME.·
20 Jul, 2015 05:00 PM4 mins to read

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Most of New Zealand's big-ticket irrigation projects could be in place by 2025.

Most of New Zealand's big-ticket irrigation projects could be in place by 2025.

New Zealand New Zealand already has about 750,000ha of land under irrigation and has potential to go to 1.1 million ha, but the days of "easy water" are over, says Irrigation New Zealand chief executive Andrew Curtis.

He said the next big thing for irrigation will be water storage, which requires far more investment and which broadens the scope of what can be achieved.

As it stands, about 80 per cent of the country's irrigation is in the Canterbury-North Otago region, but he said other parts of the country - such as the drought-prone Far North - would clearly benefit.

Curtis saw potential for a further 200,000ha to go under irrigation in Canterbury and North Otago.

"There are also some unique opportunities, particularly in Northland. In the far North, for example, it has been recognised that there is about 10,000ha that can be done."

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He said irrigation in Northland could open up opportunities to growers to get vegetables into the Auckland market with an early-season premium. Parts of the Bay of Plenty held similar potential.

For the most part though, the potential was in the Canterbury Plains, which is where most of New Zealand's flat land lies. Curtis expects most of the country's big-ticket irrigation projects to be in place by 2025.

In the South Island, irrigation is mostly confined to pastoral use - dairy and more intensive beef and sheep farming. In the North, the potential was in high-value crops, such as fruit and vegetables.

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Parts of Northland have proven to contain some of the most drought-prone land in the country.

The problem with irrigation is that too much water can promote the leaching of nutrients, but Curtis said technology had moved ahead in leaps and bounds in the past 10 years.

Soil moisture sensors can ensure the right amount of water for the right piece of land at the right time.

Water storage schemes could help augment river flows, mimic natural floods to flush out river systems and supplement town water supplies.

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Commenting on the Ruataniwha water storage scheme in Hawkes Bay where no appeals were lodged in the legal consent process, Curtis said the board of inquiry process had been very long and expensive "and we are pleased the process can move on".

"Hawkes Bay is New Zealand's second biggest regional contributor to horticulture in terms of hectares and with access to reliable water we will see this region flourish," he said.

Irrigation NZ is a membership-funded industry body representing the interests of more than 3600 irrigators and 150 service providers.

Consent okay brings controversial water storage closer to reality

The controversial $275 million Ruataniwha water storage scheme in Hawkes Bay is a step closer after the High Court said no appeals had been lodged in the consent process.

Hawkes Bay Regional Council chairman Fenton Wilson said confirmation of the Tukituki Plan Change and consents for the scheme "means we are one step closer to the potential development of a scheme which would inject millions of dollars into the region through its construction, on-farm development and further processing opportunities, as well as creating more than 2000 jobs and giving us a better result for the Tukituki River."

The council now needed to decide whether to confirm its $80 million investment in the scheme through its investment arm, the Hawkes Bay Regional Investment Company.

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The company was required to pre-sell about 45 per cent of the dam's annual water capacity to Central Hawkes Bay farmers whose properties will be within reach of the irrigation scheme, Hawkes Bay Today reported.

However, Hawkes Bay regional councillor Rick Barker said the council's investment company faced "significant challenges" in securing farmer sign-ups, given declining dairy returns and the high price of water from the scheme.

"When the dam was first promoted, dairy prices were substantially higher than they are now," Barker said.

"The financial landscape for the dam has changed dramatically."

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