Agribusiness at the Western Treatment Plant

Melbourne Water invited private sector agribusiness organisations to tender expressions of interest and ideas for running a mixed primary production enterprise on 5000 hectares of land at the Western Treatment Plant.

This land is currently managed by Melbourne Water as part of a buffer zone that surrounds the sewage treatment and designated conservation areas.

Following a change to sewage treatment processes at the site, we developed and endorsed a land use strategy for the property based on sustainability principles in 2006.

Using a triple bottom line assessment, the strategy recommends a land use system that maximises sustainability, protects conservation values and allows for future agriculture development opportunities. The economic component of the assessment cannot be confirmed until the exact mix of agricultural activities and financial outcomes are confirmed by field trials and market assessment.

An investigation has begun to review the strategy and define the onsite recycled water requirements for salinity and soil management to stabilise soil degradation and improve biological health for onsite environmental requirements.?The findings from these investigations will be confirmed when field trials are finalised with input from the private sector partner.

The potential impacts from the agricultural scenarios under consideration are being discussed with environmental regulators.

Expressions of interest from potential operators were assessed in June. A shortlist will be determined in late 2008.

The selected organisation will have the capability and capacity to operate an agriculture enterprise on a concession basis. Options for the enterprise and its sustainability benefits could include reduced greenhouse gas emissions through less livestock and more sequestration activities, and increased biodiversity across the site through a greater mix of crops, fodder and agro-forestry.