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Major $23M investment in Victoria’s water security

by Katie Livingston
August 13, 2025
in News, Projects, Spotlight, Sustainability, Water
Reading Time: 4 mins read
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Image: jacquimartin/stock.adobe.com

Image: jacquimartin/stock.adobe.com

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Works has begun on key water infrastructure projects in regional Victoria following a $23.8 million funding boost from the Federal and State governments to safeguard town water supplies and boost regional water security. 

The three projects in regional Victoria have received a combined $10.1 million through the Federal Government’s National Water Grid Fund and $13.7 million from the Victorian Government via Gippsland Water, Grampians Wimmera Mallee Water and Central Highlands Water, who are delivering the projects. 

Gippsland Water’s $9.57 million Traralgon-Tyers Interconnect project involves constructing a pipeline from the Tyers water supply system to Traralgon – a larger, more reliable and resilient system. 

The project will significantly increase water security and quality for the towns of Glengarry, Toongabbie, Cowwarr, Willung and Rosedale, while making the region more resilient to climate change. The secure supply will also ensure the region has capacity to accommodate a growing population. 

Central Highlands Water’s Forest Hill Water Supply Connection project will benefit from $600,000 to investigate an opportunity to connect six towns, including Allendale, Broomfield, Kingston, Newlyn, Smeaton and Springmount to the Ballarat water supply network.  

While currently serviced by groundwater, connecting to the Ballarat system instead would provide a more secure and climate resilient drinking water supply to 1200 residents and enable the existing groundwater resource to be considered for agriculture, environment and Traditional Owner self-determined uses. 

Grampians Wimmera Mallee Water’s groundbreaking $13.6 million Clean Water for North-West Rural Communities project will construct dedicated treatment facilities at raw-water offtakes in the towns of Nyah and Piangil and at the Waranga Western Channel pump station. 

These treatment facilities will improve reliability and provide safer water supply to rural and urban areas which are vulnerable to blue-green algae blooms and blackwater events. 

Federal Minister for the Environment and Water, Murray Watt, said no matter where you live across Australia you deserve access to clean drinking water,  

“These projects will ensure new high-quality drinking water supplies for our regional Victorian communities,” he said. 

“The Federal Government is pleased to partner with the Victorian Government to deliver these crucial projects to safeguard our water resources for the communities, industries and environments that rely on them.” 

 Victorian Minister for Water, Gayle Tierney, said the State Government knows how vital it is to continue to fund projects that enable the state to build on the water security in its regional communities as well as supporting its farmers. 

“I’m pleased to be able to partner with the Federal Government to deliver these projects that not only improve water quality in our regions but prepare us for population growth and the challenges of living with a drying climate,” she said. 

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