North East Water has secured $5 million in federal funding for a $12 million upgrade of the Rutherglen/Wahgunyah wastewater treatment plant.
Construction of the new wastewater treatment plant and a 170-megalitre storage lagoon is set to commence shortly and conclude by June 2028.
Managing director, Jo Murdoch, emphasised the significance of the upgrade in delivering sustainable water solutions that meet the evolving needs of the community.
“The improved infrastructure will support population, industry and tourism growth by unlocking an estimated 500 housing lots in the area,” Ms Murdoch said.
“The upgrade will elevate the quality of recycled water produced at the plant from Class C to a higher fit-for-purpose quality, which will allow for more diverse irrigation uses including water for local agriculture.
“This will give the industry more security in times of dry periods as they won’t be subjected to water restrictions during drought.
“While in times of wet weather, the higher fit-for-purpose water can be safely discharged into the Murray River without impacting the environment.”
Indigo Shire mayor, Sophie Price said the transformative project addressed two critical needs; it unlocks housing development capacity and enhances agricultural irrigation options.
"This is exactly the kind of infrastructure investment our growing community needs,” Cr Price said.
“For too long, development constraints around Rutherglen have limited our ability to provide housing options for families wanting to call our region home, and this upgrade changes that."
Cr Price said the project's dual benefit extended to the vital agricultural sector, with the improved plant producing higher quality recycled water suitable for diverse irrigation uses.
“This enhanced water security will support our local farmers, particularly during dry periods when they won't be subject to the same water restrictions,” she said.
The Australian Government has committed the money through the National Water Grid Fund's Water Infrastructure for Sustainable and Efficient Regions initiative as part of a co-contribution to enhance the plant’s capacity, supporting housing growth and improving environmental outcomes.