Hells Gates Dam project in QLD to receive $5.4bn funding

The Australian Government is supporting another massive project that will help secure water supply as well as create thousands of jobs in North Queensland. 

Through the Australian Government’s 2022-23 Budget, $5.4 billion in funding has been locked in for the construction of Hells Gates Dam, subject to the completion of the final business case that is due to be completed in June 2022. 

“We need to build more dams in Australia. Building dams makes our economy stronger by supporting our agricultural industries to realise their true potential. 

“Water is a precious resource and we need more dams to better use that resource,” Prime Minister Scott Morrison said. 

The proposed dam is expected to open up around 60,000 hectares of irrigation across three agricultural zones in the Burdekin region, which will be supported by a 2,100-gigalitre dam and boosted by three downstream irrigation weirs. 

During its construction phase alone, the Hells Gates Dam is anticipated to create over 7,000 jobs and inject up to $1.3 billion of Gross Regional Product (GRP) in the North Queensland economy. Once operational, new and expanded agricultural opportunities resulting from the dam are projected to support more than 3,000 regional jobs as well as generate about $6 billion in GRP. 

“We’ve done the homework on Hells Gates Dam and it’s now time to get on and build it. We have put our money on the table, so let’s cut the green tape, get the approvals and get it done. 

“This dam will help turn the Burdekin region into an agricultural powerhouse, helping our farmers to stock supermarkets and feed Australia while also securing North Queensland’s water supply and security. 

“This investment will kick off a jobs boom across North Queensland for years to come, creating thousands of jobs while generating work for small businesses across the entire north, including in Townsville,” the Prime Minister said. 

According to Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development Barnaby Joyce, this multi-billion-dollar investment from the Australian Government would help North Queensland realise its full potential as an agricultural hub. 

“Irrigating the regional soils of the Burdekin will help the region realise its full potential as a producer of the food Australians and the world needs, driving us closer to taking agricultural production to over $100 billion a year by 2030. This will create more jobs and generate more wealth for our nation. 

“The sooner water flows in the west, the sooner we can sell more products to the world and earn the money that will help make Australia as strong as possible as quickly as possible. 

“We have put the money to build Hells Gates in the bank and we are ready ti get on with the job,” Minister Joyce said. 

In addition to the benefits the project will bring to the Burdekin region, it will also have a significant flow-on effect on Townsville. 

“We've backed this project right from the start because it is something that will create jobs and drive the economy forward. 

“The Townsville Port is well-placed to handle exports from the region, especially after our forward planning and investment into the channel widening project,” Federal Member for Herbert Phillip Thompson said. 

Special Envoy for Northern Australia and Senator for Queensland Susan McDonald said that the Australian Government is “serious about big-ticket projects in Northern Australia”. These projects are not only targeting water storage but also to drive industry, agriculture, renewable energy as well as generate jobs for the growing regional populations. 

“The focus on our north has never been greater, and this focus has been backed by real action and a renewed vigour in how we provide the funding and regulatory framework needed to drive mining, grow business confidence, boost primary production and increase Indigenous involvement. 

“We’re building roads, streamlining environmental approvals processes, and encouraging our mineral sector, making it easier for business to recruit workers and ensuring communities can thrive. 

“The Northern Australia agenda is a significant undertaking that we are committed to seeing through,” Senator McDonald said. 

The funding announcement for Hells Gates Dam build on several dams and water infrastructure projects that the Australian Government is already investing in and delivering across Queensland. The investments include: 

• $600 million towards the restoration of Paradise Dam 
• $505.65 million towards the delivery and construction of Urannah Dam 
• $183.6 million towards the Rookwood Weir 
• $180 million towards the Hughenden Irrigation Scheme 
• $30 million towards the Big Rocks Weir 

Source: Minister for Infrastructure, Transport and Regional Development; ABC News; Townsville Enterprise; SMEC ; Hells Gates Project