NSW New Rules for Flooding Private Land for Environmental Water Management

Water Management Amendment (Easements for Inundation) Bill 2026

26 May 2026: Passed by Parliament and signed off by the governor.

This bill kicks in: TBA

Legislative Council

Legislative Assembly

Assent

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Topics

environmental protection flood management land use water management

Introduced by: The Hon Rose Jackson (ALP); Rose Jackson MLC (ALP); The Hon Steve Whan MP (ALP)

Links to official parliament websites

Official page: progress through parliament

Official page: bill text and explanatory notes

Effects of this bill

If this bill passes, it means that:

Water NSW gains the legal power to hold easements that allow it to flood privately owned land for environmental purposes, without needing to own adjacent land.
The Water Minister can transfer existing inundation easements from the Ministerial Corporation to Water NSW by publishing an order in the Gazette.
When an easement is transferred to Water NSW it takes effect automatically — no separate conveyance or legal paperwork is required.
State taxes are not payable on the transfer of inundation easements under this Act.

News articles and press releases

Water Management Amendment (Easements for Inundation) Bill 2026

Mr STEVE WHAN, Minister for Skills — 2026-05-13

The amendments in this bill will enable WaterNSW—the river operator for both the Murrumbidgee and Gwydir rivers—to be the beneficiary of easements acquired for the occasional inundation of land for environmental purposes. The bill also establishes a regulation-making power to allow Commonwealth and interstate water authorities to be the beneficiaries of New South Wales inundation easements, should this be required for future constraints relaxation projects, such as along the Murray River. These amendments are administrative in nature but vital in effect. They will ensure that the Landholder Negotiation Scheme established last year can be rolled out as intended to compensate landholders for new environmental flows.