Paradise Dam federal funding remains, but state LNP stay silent

The $50 million in this year's federal budget will go to funding a detailed business case and the dam's restoration early works.

The wall at Paradise Dam was assessed after it was lowered almost six metres in 2020 due to safety concerns.

There had been fears the dam could collapse after it was so badly damaged during ex-tropical cyclone Oswald in 2013 that the water level had to be lowered 5.8m to prevent a disaster.

Work on restoring the dam wall began last year, with the state and federal governments each committing $600 million in funding.

According to insiders, federal water minister Tanya Plibersek wrote to Queensland's water minister Glenn Butcher to reassure that the remainder of their $600 million commitment is still on the table and will be released following the submission of our detailed business.

The budget announcement drew strong criticism from the state's federal coalition members, including from Flynn federal MP, Colin Boyce who said Labor's federal budget had failed to provide new money for regional programs.

"Labor's decision to slash funding to restore Paradise Dam is a kick in the guts to not only the Bundaberg area but the agricultural industry as a whole," Mr Boyce said.

State water minister Glenn Butcher argued Labor's support for Paradise Dam's rebuild was clear.

He called on the opposition to announce their water policy or funding commitment for Paradise Dam's rebuild.

"The Miles Labor government is getting on with the new wall for Paradise Dam and is committed to restoring the full water supply delivered by the original dam," Mr Butcher said.

"There's geotech work and road upgrades happening right now."

Sunwater has been tasked by the state government with developing a detailed business case (DBC) for constructing a new dam wall downstream of the existing one.

This will help determine timelines and costs.

The federal government has affirmed its commitment of $600 million towards the project, earmarking funds for the DBC and early works on the new wall.

Mr Butcher said further funding allocation from the federal government will be decided upon submission of the DBC.

In a statement, Sunwater said it remained committed to building a new Paradise Dam wall to deliver water security for the Bundaberg region.

"The budget allocates funds to support the detailed business case and early work, with the balance to be provided once it has been submitted," Sunwater CEO Glenn Stockton said.

"This is not unusual as we work through government approvals and investment processes for major infrastructure projects."

Wide Bay grower Judy Plath said irrigators in the Bundaberg region were deeply disappointed to see the federal government had not committed any funds to the immediate re-building of Paradise Dam.

"This region is one year closer to our next drought and without Paradise Dam at its original height, the $2 billion of agricultural output from this region is in grave danger," Ms Plath said.

"It appears the state and federal Labor governments are happy for the Bundaberg region to be stuck with a half sized Paradise Dam and only giving lip service to providing water security to regional communities like ours."

However, Ms Plath said growers were still waiting for a policy or funding commitment on Paradise Dam from the state's opposition party, the LNP.

"Farmers in the Bundaberg region are watching closely to see if David Crusafuli's LNP will commit to funding the rebuild of Paradise Dam if they are elected at the next state election," she said.

"However, it's very likely the building of a new wall for Paradise Dam that the state government is now proposing is going to cost well over $3 billion so a federal government funding commitment will be very important to ensuring the dam is built as soon as possible."

Queensland Country Life contacted the LNP's water and construction of dams spokeswoman, Deb Frecklington for a Paradise Dam rebuild funding commitment from the LNP.

While the LNP still haven't announced any policy or funding for Paradise Dam rebuild, Ms Frecklington said water security for Queensland was a priority for the LNP.

"We have already committed to rebuilding Paradise Dam and providing growers with the water security they need for the future," she said.

"This is possibly the biggest infrastructure failure in this state's history and after four years Labor still has no credible plan to fix it."