NSW Sustainable Communities Program

Supporting NSW communities to reduce the social and economic impacts of water recovery for the 450 GL target under the Murray-Darling Basin Plan.

an aerial photo of a country town (Griffith in NSW). Buildings are laid out in a circle and there are roads and trees around the buildings. The sky is blue and has lots of wispy white clouds

The Department of Primary Industries and Regional Development (the department) is delivering the Sustainable Communities Program in NSW.  

The program provides $160 million for projects and initiatives to sustain and create jobs, grow and diversify local industries and help Basin communities adjust to a future with less water.  

A coordinated, multi-investment round approach is being taken for the program to deliver targeted support and long-term social and economic benefits in affected Basin communities.

Consultation, undertaken in parallel with an initial early round of investment has helped to shape the coming investment rounds of the program. 

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Investments

Early Investment round

The $16.3 million Early Investment Round provided initial support for NSW southern Basin communities exposed and vulnerable to early rounds of water purchasing.

Projects funded under this round are supporting communities to create jobs, boost tourism and encourage business innovation.

Applications closed.
 

Economic Development and Infrastructure Round

The $70 million Economic Development and Infrastructure Round aims to minimise the impacts of water recovery on NSW Basin communities by creating and supporting jobs and new industries, encouraging innovation and delivering critical infrastructure that helps people to live and work locally.
View more information.

 View more information. 

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An aerial view of houses and trees as the sun sets behind the mountains.

Next phase of investment

Further funding will be available in the future and will focus on:

  • Supporting Basin businesses and industries to grow and create jobs by investing in skills, encouraging innovation, improving productivity and helping them expand and diversify products.
  • Empowering and building stronger communities through support for local-led initiatives that improve community participation and wellbeing, and support for Aboriginal economic and cultural participation.

Consultation

Read the NSW Sustainable Communities Program: What We Heard Consultation Report. (PDF 862.38KB)

From March to June 2025, the Department of Primary Industries and Regional Development (the department) consulted with exposed and vulnerable NSW southern Murray-Darling Basin communities to understand local priorities and needs.

More than 130 people took part in local workshops and online sessions, and over 100 submissions were received through the Have Your Say platform.

Community feedback has helped shape future funding rounds helping ensure investment is targeted where it’s needed most.

How community feedback is being used

Community input is assisting the department better understand the challenges, opportunities and priorities across affected NSW southern Basin communities.

This feedback is helping to shape the design of future funding rounds, including:

  • Funding: investment rounds and grant sizes that support a range of social and economic priorities
  • Process: eligibility and application requirements proportionate to the size and nature of support
  • Support: improved applicant support, including early eligibility feedback and clarifying how both agricultural and other industries can access funding.

This consultation complements other evidence to ensure funding is targeted where it’s most needed, including:

  • community adjustment assistance principles in the Australian Government’s Restoring Our Rivers Framework
  • information and advice on anticipated water recovery impacts
  • regional and local economic development strategies and plans
  • complementary regional development programs and initiatives
  • lessons learnt from previous community adjustment assistance programs.
  • lessons learnt from previous community adjustment assistance programs.

Webinar

 

17:34

Sustainable Communities Program webinar recording

Background

In August 2023, Basin governments agreed to implement the Murray-Darling Basin Plan.

As part of that Basin Plan, the Australian Government reaffirmed its commitment to recover 450 GL of additional environmental water for the Basin.

The Restoring Our Rivers Framework sets out the Australian Government's approach to achieving this target, which includes water purchasing (buybacks).

The NSW Government has advocated for more time and flexibility to deliver Basin Plan commitments without buybacks (see the NSW Alternatives to Buybacks Plan) and secured $160 million funding to support affected communities and industries.

This program forms part of the Australian Government’s $300 million Sustainable Communities Program provides Basin states with funding to help communities mitigate the socio-economic impacts of water recovery. 

More information

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