Pioneer Valley Water Co-operative: Local co-operatives powering sustainable agriculture

From 24 March 2016 Pioneer Valley Water has operated under a dual co-operative business structure comprising Pioneer Valley Water Mutual Co-operative Limited (PVMutual) and Pioneer Valley Water Co-operative Limited (PVWater).

Pioneer Valley Water Co-operative Limited (PVWater) is a small, locally owned and managed co-operative, with offices located in the tropical North Queensland coastal city of Mackay. PVWater distributes irrigation water and maintains irrigation infrastructure on a non-profit, making basis for the benefit of member and non-member irrigators in the Pioneer River Water Supply Scheme (PRWSS), which extends westward and inland from Mackay.

Water for irrigation within PVWater’s distribution area is sourced from natural stream flow in the Pioneer Valley, supplemented as required from Teemburra Dam.

Distribution is achieved by various means including diversion through pump stations, pipelines, earth channels and existing natural watercourses.

The 375 (approx..) water allocations which fall within PVWater’s distribution area are devoted in a very large part to the production of sugar by PVWater’s 250 (approx..) customers.

PVWater is currently responsible for annual distribution of up to 47,390 megalitres of water for irrigation purposes and is also engaged through a service agreement with Pioneer Valley Water Mutual Co-operative Limited (PVMutual) to maintain the irrigation infrastructure through which the allocation is distributed. The Pioneer River Irrigation Scheme infrastructure is owned by water allocation holders through their membership in PVMutual.

PVMutual

Pioneer Valley Irrigation Scheme assets (pump stations, pipelines, balancing storages, meter outlets, SCADA network, etc.) associated property (depot land and buildings, pipeline easements etc.), and renewals reserves are owned by PVMutual. Infrastructure is licensed to PVWater for operational purposes.

Management Structure

PVMutual
The Board of PVMutual consists of 2 Member Directors elected by PVMutual’s members, and 1 Independent Director appointed by the Board. The Board Chair is appointed by the directors.

PVWater
The Board of PVWater consists of 3 Member Directors elected by PVWater’s members, and 1 Independent Directors appointed by the Board. The Board Chair and Deputy Chair are appointed by the directors.On each Board, one director retires annually on a rotational basis but may be eligible to be nominated for re-election/re-appointment. If the number of nominees for election to the Board exceeds the number of Member Directors retiring, a postal ballot is accordingly held. If the Independent Director has retired in the rotation, the Board may nominate the same or another qualified person to fill the vacated seat. This process is ordinarily completed by ratification at the Annual General Meeting.

Personnel
PVWater employs a compact team of dedicated personnel, General Manager, two Operations personnel and an Administration Officer, to provide a reliable and sustainable irrigation water supply to PVWater members.

Administrative Arrangements
A Service Agreement exists between PVMutual as the owner of Pioneer River Irrigation Scheme infrastructure, and PVWater as the Distribution Operations License (DOL) holder for the Pioneer River Water Supply Scheme. Under the Service Agreement, PVWater is engaged to maintain PVMutual’s irrigation infrastructure, and to perform administrative functions on PVMutual’s behalf.

Water Allocation holders are party to a deemed Distribution Contract with PVWater as the Distribution Operations License (DOL) holder for the Pioneer River Water Supply Scheme. The Distribution Contract was developed in consultation with the state government as part of the final round of legislative changes required to enable conversion from the statutory authority (PVWB) to the dual co-operative structure (PVMutual/PVWater) in March of 2016. One of the impacts of the Distribution Contract is that it enables simplification of the rules and administration for both co-operatives.