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Factors considered in a water extraction licence decision

When you apply for a Northern Territory (NT) water extraction licence, the water controller will assess your application and decide whether to grant or refuse you a licence.

When assessing your application, the controller must take into account:

  • all written comments made about the application
  • any factor listed in section 90(1) of the Water Act 1992 that is relevant to the decision.

Find out more below.

Availability of water

The controller will consider:

  • the scale, geological formation and flow pattern of the resource
  • the geographical area and extent of the resource
  • its location to other NT features that may rely on it
  • availability of water from a water allocation plan or technical report
  • licensed and unlicensed existing use from the water resource
  • any other important features or qualities.

Water allocation plan

If the application relates to an area that has a declared water allocation plan (WAP), it must be considered.

A WAP sets out goals for managing water in the area. It also outlines the rules for how water resources must be managed including:

  • allocation to specified beneficial uses
  • location of extraction bores
  • protection of groundwater dependent ecosystems (GDEs)
  • environmental flow criteria
  • trade opportunities
  • monitoring requirements
  • adaptive management.

A WAP may also identify matters that need to be addressed by appropriate licence conditions.

Likely future demand for domestic water use

The controller will consider:

  • how much water will be needed for domestic purposes and
  • how the licence application might affect the amount of water available for future demand.

To work this out, they look at information about the area and water resource such as:

  • the proximity of towns, communities and homelands, and the size and growth of those places
  • land zoning and regional land use plans
  • proposals for land development, and possible increase in resident populations.

If there is no specific proposal for development, the controller can only estimate what the future demand and average domestic use will be.

Possible negative effects on other users

The controller must consider how the supply of water might negatively affect other people.

This includes:

  • the rate or quantity of water extraction by other users
  • effects on water quality resulting from the proposed extraction.

For example, if you apply to extract groundwater, the controller will look at the impact on other licensed users who pump groundwater from nearby bores.

That is because the ability to take water is influenced by changes in groundwater levels. In this case, the controller must consider how this impacts extraction rates or available volumes.

Use of other available water resources

The applicant may be entitled to access an amount or quality of water from other resources.

The controller must consider:

  • if the applicant:
    • holds other water extraction licences
    • has any exemption under the Act that provides access to a resource under specific circumstances
    • can use a reticulated water supply for the beneficial use
  • if there are other water resources that may be more suitable or available to access.

If the water is for a beneficial use

If the water you want to extract is for a beneficial use, the controller will consider any water quality standards that might apply.

They will also consider the affect extraction could have on other beneficial uses that might need better water quality.

Any agreements in place with other states

This doesn't apply as the NT doesn't currently have any agreements in place with a state around sharing water.

Drainage water and facilities for managing use

The controller must consider any effects of drainage water that come from extraction. When released, drainage water can affect the land, groundwater or surface water.

For example, sinkholes present a risk to the underlying aquifer as they can provide a direct drainage point to the aquifer. This increases the risk of pollutants and nutrients entering the groundwater system.

The controller must also take into account at any existing or proposed facilities that will be used to manage drainage water.

Requirements under the Planning Act 1999

For some water extraction applications, the Planning Act 1999 won't apply. This includes most mining and petroleum related activities.

For other applications, the use of the water will be linked to an activity that may need a permit under the Act and the NT Planning Scheme.

If your water use is discretionary, and you have already submitted an application and awaiting approval, the controller will take this into account.

If the activity is prohibited, the controller should address in his reasons how the applicant will lawfully carry out the activity.

Other factors the controller considers

There are other factors that don't fall within the categories stated in the Act which might be important to the controller's decision.

The only criteria is that they are relevant to the particular application.

Examples include:

  • departmental policies
  • new or updated facts or information
    • in these cases, they must be identified and explained how they are relevant
  • impacts of extraction on environmental and cultural values
  • checking if there is a need
  • extraction from an Aboriginal water reserve – section 71BA
  • other regulatory approvals
  • whether the extraction will interfere with a waterway – section 40(7)
  • submissions received in response to a notice of intention to make a water extraction licence decision – section 71C(2).