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Last updated: 7 Jul 2025

The Inspector-General of Water Compliance has regulatory functions and powers. They are set out in the Water Act 2007 (Cth).

The agency's approach to regulatory functions and powers is in its Regulatory Policy. A series of frameworks support the Regulatory Policy. These guide how and when the agency uses its regulatory functions and powers. They also give transparency about how the agency undertakes regulation of Murray-Darling Basin matters.

Regulatory Policy

The Regulatory Policy explains the Inspector-General of Water Compliance's regulatory roles and responsibilities. It sets out when and how the Inspector-General of Water Compliance will use regulatory powers.

The Regulatory Policy was last updated in July 2024. The Inspector-General of Water Compliance will continue to review and update this policy.

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Regulatory Policy (PDF 7.9 MB)
Regulatory Policy (DOCX 3 MB)

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Regulatory frameworks

The Inspector-General of Water Compliance has 4 regulatory frameworks:

  • audit
  • compliance and enforcement
  • guidelines and standards
  • inquiry.

These frameworks describe how the Inspector-General of Water Compliance can use regulatory powers in certain circumstances. The Regulatory Policy describes those circumstances.

Audit Framework

The Inspector-General of Water Compliance may conduct, or appoint someone to conduct, audits into:

  • compliance with the Basin Plan 2012 and water resource plans
  • water market information obligations
  • Murray-Darling Basin Authority calculations of adjustments to sustainable diversion limits.

Audits assess the extend of compliance with the above matters. They ensure accountability and provide assurance.

Compliance and Enforcement Framework

The Inspector-General of Water Compliance determines whether Basin governments and agencies have complied with requirements in:

To do this, the Inspector-General of Water Compliance may investigate. Where there is non-compliance, the Inspector-General of Water Compliance may take steps to enforce compliance.

Guidelines and Standards Framework

The Inspector-General of Water Compliance may issue guidelines and standards to Basin governments and agencies managing Basin water resources. Guidelines and standards can improve consistency in and provide clarity to those agencies.

Inquiry Framework

The Inspector-General of Water Compliance may conduct inquiries into Basin governments and agencies' performance of responsibilities and obligations under:

  • the Water Act
  • the Water Regulations 2008 (Cth)
  • the Basin Plan
  • Water Resource Plans.

The Inspector-General of Water Compliance may also inquire into Basin governments and agencies' performance under intergovernmental agreements. These agreements include commitments in delivering this legislation.

The Inspector-General of Water Compliance may further inquire into the drivers of Basin governments and agencies water management practice.

Inquiries can help identify areas for Basin governments and agencies to improve performance.

Compliance-specific frameworks

The Inspector-General of Water Compliance has two compliance-specific frameworks:

  • Sustainable Diversion Limit Compliance
  • Water Resource Plan Compliance and Enforcement.

These set out the Inspector-General of Water Compliance's expectations and approach to assess compliance in these areas.

Sustainable Diversion Limit Compliance Framework

Sustainable diversion limits set the amounts of acceptable water-take in the Basin.

The Inspector-General of Water Compliance assesses whether Basin governments and agencies have complied with sustainable diversion limits. Assessments do not measure the amount of water taken by individual entitlement holders.

The Murray-Darling Basin Authority includes the Inspector-General of Water Compliance's assessment of compliance in their registers. To aid in making sure sustainable diversion limits are met, the Inspector-General of Water Compliance may also issue guidelines on:

  • how to develop Basin governments and agencies' action plans if there is non-compliance with a sustainable diversion limit
  • periodic reporting requirements for Basin governments and agencies' action plans.

Download

Sustainable Diversion Limit Compliance Framework (PDF 781 KB)
Sustainable Diversion Limit Compliance Framework (DOCX 1.5 MB)

Water Resource Plan Compliance and Enforcement Framework

This framework explains the Inspector-General's role in making sure Water Resource Plan rules are followed. It tells Basin governments and agencies what is expected of them. It also explains what happens if the rules are not followed.

The framework shows how the Inspector-General checks performance and reporting. This helps make water management transparent and accountable.

The Basin State governments and agencies:

  • propose and follow Water Resource Plans
  • enforce compliance with Basin State laws that underpin the plans.

The Murray-Darling Basin Authority:

  • reviews proposed water resource plans
  • recommends or withholds plan accreditation.

The Australian Government water minister:

  • approves accreditation of water resource plans.

The Inspector-General of Water Compliance:

  • is the enforcement agency for Water Resource Plans
  • monitors and oversees water resource plans.

Download

Water Resource Plan Compliance and Enforcement Framework (PDF 366 KB)
Water Resource Plan Compliance and Enforcement Framework (DOCX 1.1 MB)

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