The largest state of Australia, West Australia's water authority, announced that they would curtail mining giant Alcoa's water licence by a third due to unsustainable water demands in the region.
Simone McGurk, the WA Water Minister, claimed that a 23 per cent drop in rainfall had led to significant changes in licensed water in the Murray region in the state's southwest.
In addition to cutting the region's access to future available water by 40 per cent, the updated allocations for the Murray groundwater area, located an hour south of Perth, are currently being reviewed to determine if further reductions are needed.
However, it implies that groundwater and shallow aquifer water are only available in places like Pinjarra and Nambeelup.
Jane O'Malley, the CEO of Peel-Harvey Catchment Council, backed the changes and argued that using water as an endless supply was unsustainable. Water trading, transfers, savings and alternative sources are familiar concepts. It should be no surprise to water users, particularly industry, that groundwater allocation must be managed for the future – no question.
Alcoa's water licence for the Cattamarra Coal Measures aquifer in Pinjarra, where its water-hungry alumina refinery is located, will be reduced over time, starting in 2026, by 2.5 billion litres.
According to a spokesperson for the Department of Water and Environmental Regulation (DWER), “The current level of licenced water is unsustainable. We are working with Alcoa to reduce the impacts of their abstraction, contributing to declining trends not only in the Pinjarra but also in the Nambeelup sub-area. Reduced groundwater abstraction can help to manage these risks and impacts. The department will assist Alcoa in the investigation of water use efficiency.”
According to an Alcoa spokesperson, “The Company was aware of the decision but needed to shed light on any success in securing various water sources for their largest refinery. We are investigating alternative water sources for our operational needs at Pinjarra Alumina Refinery.”
In "scarce" regions, such as the Pinjarra facility, Alcoa had already established a goal to cut water use by 5 per cent by 2025. So far, its efforts have only resulted in a 0.8 per cent reduction in water consumption.
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