Friday, 4 September 2026

Community group demands revival of mothballed North–South Pipeline

Environmentalists have urged the state government to re-open the disused north-south pipeline from northern Victoria's irrigation areas to send water to Melbourne rather than expand the Victorian Desalination Plant in Wonthaggi.

Bruce Wardley profile image
by Bruce Wardley
Community group demands revival of mothballed North–South Pipeline
No shortage of water on the Bass Coast with Candowie Reservoir 100 per cent full. Watershed Victoria wants the state government to open up Victoria’s North–South Pipeline instead of extending the Victorian Desalination Plant in Wonthaggi. B02_3626

ENVIRONMENTAL advocates have expressed fierce opposition to the potential expansion of the Victorian Desalination Plant in Wonthaggi, urging the state government to look toward existing infrastructure instead of building a fourth water desalination module.

Stephen Cannon a prominent spokesperson for Watershed Victoria, has raised major concerns regarding recent government discussions to extend the Bass Coast facility.

According to Mr Cannon community outrage began when the state government backflipped on an undertaking prior to the December 2006 election that Labor had recycling and conservation solutions in hand to secure Melbourne's water supply.

“In June 2007 the government announced a done deal that Labor would build the second biggest desal plant in the world in Wonthaggi and the local community was incredulous,” said Mr Cannon.

“Desal was not by then just an option, it was happening.”

Those issues remain according to Mr Cannon. “So when the Labor Government is again talking of more desal those same issues should be thoroughly investigated ahead of any planning or decision making.”

The proposal to extend the Wonthaggi desalination plant to its full potential has reignited a fierce political debate surrounding Victoria's rainfall-independent water strategies.

According to Watershed Victoria, adding a fourth stream to expand the grid would cost taxpayers close to $1 billion. “This massive figure comes at a time when Victorians are already facing rising living costs,” warned Mr Cannon.

Victoria's Water Minister has refused to rule out the 50-gigalitre expansion, confirming that the government will meticulously review the state's total water requirements.

“What about the North–South Pipeline from northern Victoria?” asked a frustrated Mr Cannon. The North–South Pipeline (officially named the Sugarloaf Pipeline) is a major 70-kilometre-long water transport project engineered to pump water across the Great Dividing Range which Mr Cannon has claimed is currently sitting dormant.

Connecting the Goulburn River in northern Victoria directly to the Sugarloaf Reservoir in Melbourne's north-east, the North–South pipeline was constructed by Melbourne Water to drought-proof the metropolitan area during the historic peak of the Millennium Drought. The pipeline was completed in February 2010 at a total cost of $800 million.

Following the construction of the Wonthaggi desalination plant the North–South Pipeline was effectively mothballed according to Watershed Victoria.

“Have successive Labor governments since 2007 implemented the promised water-saving works to reduce losses, at what cost, and if not why not?” asked Mr Cannon.

“The North–South Pipeline has never been used,” stated Mr Cannon highlighting a multi-million-dollar asset left to gather rust. “A deal was done to install a pipeline with the capacity to pump water to Melbourne in return for an upgrade of the northern Victorian irrigation system. The water destined for Melbourne would only account for a third of the total irrigation water saved through those upgrades,” Mr Cannon explained.

“Was the whole $800 million spent to construct the North–South pipe a total waste of money? Does the new Premier Ben Carroll support the construction of a fourth line at Wonthaggi while keeping the North–South pipeline unused?” Mr Cannon asked.

Currently, the Victorian Desalination Plant produces up to 150 gigalitres, or 150 billion litres, of drinking water annually. The plant was deliberately designed with future expansion in mind, giving it the structural capability to increase maximum output to 200 gigalitres if triggered by the government.

Water from the Eildon catchment was slated for Melbourne's domestic network as a direct return on investment for capital upgrades funded by city water users. However the government’s latest Water Security Plan continues to list the 50-gigalitre expansion of the Wonthaggi plant as among its primary options.

The strategy is currently being investigated by an expert taskforce to address a wide range of future climate risks, a surging metropolitan population, and a booming, water-hungry artificial intelligence data centre industry.

With the final water security report due in 2027, the state government faces a critical choice between a billion-dollar expansion on the Bass Coast or reviving a controversial pipeline that has spent 16 years on the shelf.

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