Water and wastewater security
Delivery of the REZ will need water to make materials for construction, such as concrete, and for workers to use at construction sites and workforce accommodation. Construction activities will also produce wastewater which will need to be managed and treated.
EnergyCo carried out a study into water and wastewater security for major infrastructure projects in and around the region to understand available local water resources and the capacity of water and wastewater systems to support the development of the REZ.
The study investigated:
Existing water sources and treatment facilities in the region.
How much water and wastewater treatment projects will likely need.
Whether current facilities can handle the extra demand from projects in the region.
Ways to reduce and manage potential water and wastewater impacts.
Key terms
Non-potable water
Water that is not safe for human consumption but can be used for other purposes like irrigation or dust suppression during construction.
Potable water
Water safe for human consumption, such as for drinking, cooking and other direct uses.
Key findings
Renewable energy developments will increase demand for potable and non-potable water, in particular during construction. The study included modelling of a base case and development case.
Total water demand across the entire study area (for potable and non-potable water) for the peak construction year could reach up to about 61 megalitres (ML) per day on top of base case demand of 187 ML per day.
Increased demand for water will vary across the different local government areas (LGAs) based on the locations of projects.
Modelling carried out for the study identified that intervention may be required to manage the increased demand for potable water across the region. Potable water demand may be an extra 35.2 ML per day at construction peak around 2031.
Modelling estimates for average potable water demand found that additional treatment capacity may be needed in three out of the 11 LGAs: Uralla, Walcha and Muswellbrook. This modelling was based on conservative approaches. For example, potable water demand for concrete and assuming that no water management practices were in place. Further work is required to refine the assessment and to determine solutions to address the demands.
Wastewater modelling found that there is a projected surplus (i.e. spare capacity) in wastewater treatment infrastructure capacity in most LGAs.
Further work is required to understand the efficiency of the respective wastewater treatment plants, the mechanisms to manage increased volumes of wastewater to be treated, and the extent to which these mechanisms are considered effective, especially in wet weather events.
What we learned
The study identified several challenges that will require careful planning:
Water availability is a key issue for the region.
There will be an increased need for both potable and non-potable water, particularly during construction.
This increase in demand for potable water comes from human activities (e.g. drinking, showers), as well as the need for potable water for concrete (e.g. structure foundations). In LGAs with more development, this additional demand could place strain on the existing water treatment infrastructure.
Water supply challenges will be increase during dry periods and extra preparation is needed for these events.
Based on the study modelling and with the current water treatment capacity in the region, it will be challenging to treat the expected water volumes needed as development increases.
Further investigation is required, including to define the type and amount of water needed for projects, and how shared water sources will be managed, especially during dry periods.
Opportunities for REZ delivery
By working across government, councils and with renewable energy project developers, EnergyCo can better understand how to manage water and wastewater volumes and identify opportunities to support the region through development.
Opportunities could include:
Working with councils and developers to review regional water management strategies to help improve water management practices and prepare for dry periods.
Coordinating project timelines to reduce peak water demand, especially in high pressure areas like Armidale, Uralla and Walcha.
Designing supporting infrastructure like workforce accommodation to help upgrade and expand the regional water and wastewater network to cater for future population growth.
Increasing treatment capacity to support REZ development and population growth.
Coordinating the use of shared water sources like the Hunter River between REZs.
Incentivising renewable energy project developers to incorporate sustainable water management in their project designs.
Investigating the feasibility of increasing the use of alternative water sources, such as recycled water.
Help shape initiatives for your local area
EnergyCo is holding a community feedback period to hear your thoughts on local issues and priorities for REZ delivery.
Don’t miss the chance to submit your feedback by Friday 20 February, 2026.
Next steps
EnergyCo will consider the study findings in addition to community and stakeholder feedback. EnergyCo will then work with other government agencies, energy project developers and local councils to develop potential community benefit initiatives and strategies to manage impacts for the New England REZ.
EnergyCo will provide regular updates to the community on the progress of this work, including sharing the findings from the community feedback period in a report early next year.