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Huge fines for wine company and vineyard manager who illegally tapped irrigation pipeline

A former Wentworth region wine company and its manager have together been fined close to half a million dollars by the NSW Land and Environment Court after pleading guilty to illegally tapping into a Western Murray Irrigation (WMI) pipeline and taking water from it.

It is the largest total fine achieved by the Natural Resources Access Regulator (NRAR) since it was established in 2018.

The company was convicted and fined $326,500, while the former vineyard manager was convicted and will pay $172,500.

The defendants have agreed to pay costs of $95,000 to NRAR who brought the case to court.

The offences took place at two separate vineyards between 2016 and 2019 and involved illegal take of just under 365ML of water. The court heard that at the time of the offending, this water had a market value of up to $305,000.

In her judgment handed down yesterday, Justice Sandra Duggan found that the conduct of the offenders was "intentional". She said she was "satisfied beyond reasonable doubt that the offences were committed to the financial benefit of Jindalee Wines".

Justice Duggan also found that the offences formed "part of a planned or organised criminal activity" which took place over a long period of time.

Evidence presented to the court detailed how pipes of various sizes had been used to tap into the main supply pipeline and then bypassed metering equipment. The illegal tapping pipework was buried underground and allowed unmetered water to be taken and used for irrigation.

Western Murray Irrigation first detected the illegal set-up after anomalies appeared in meter readings. This prompted further investigation by WMI staff who found evidence of tampering and reported the allegations to NRAR in March 2020.

NRAR then began its own painstaking investigation before launching the prosecution in April 2023.

This is the first time NRAR has prosecuted under sections 342 and 343 of the Water Management Act 2000, which are intended to protect water supply infrastructure and stop water being taken illegally from it.

NRAR Director Investigations and Enforcement Lisa Stockley said the Court's finding was significant for all NSW water users.

“Communities across NSW have said they want a fair, transparent and enforceable water compliance regime in place to prevent unlawful water take,” Ms Stockley said.

“NRAR will take strong regulatory action when required. Those who commit serious, substantiated and wilful acts of non-compliance will face the full force of the law,” she said.

“NRAR particularly acknowledges the significant contribution of WMI to this successful prosecution, from the initial detection of the offences and throughout the investigation.”

Western Murray Irrigation is a public company responsible for maintaining 184 km of pipelines, pumps and other equipment, which supply and service over 4,100ha of irrigated land in Curlwaa, Coomealla and Buronga.

Read the full judgment

Aerial image of the Murray River at Wentworth where it meets the Darling River
The Murray River at Wentworth where it meets the Darling River