The Australian Government contributed $80 million through the National Water Grid Fund toward Dungowan Pipeline - Stage 1 project, which included the development of a business case.
This project saw the construction of a new delivery pipeline that connects the Calala Water Treatment Plant to the Dungowan Showground. The new 21KM delivery pipeline establishes a reliable connection from the Chaffey Dam pipeline to Tamworth’s town water supply.
It replaces 70-year-old infrastructure that was leading to 2.2 megalitres in water losses every day.
The new pipeline can transfer 22 megalitres of untreated water a day from the Dungowan Dam to the Calala Water Treatment Plant for residential and commercial use.
Construction of the pipeline was completed in August 2023.
To support the project, a detailed business case for the proposed new Dungowan Dam and pipeline project was undertaken. The Australian Government contributed $80 million to the Dungowan Pipeline Stage 1 project and business case development.
The Australian Government is committed to responsible investment in water infrastructure, based on scientific evidence and business cases that stack up economically and environmentally.
Australian Government is no longer proceeding with construction of the Dungowan Dam.
The detailed business case did not justify proceeding with construction of the proposed new Dungowan Dam and identified viable alternative, lower cost water security options.
Infrastructure Australia published an evaluation summary of the former Dungowan Dam and Pipeline project in August 2022.
The Australian Government is committed to working with the New South Wales Government to identify water security solutions for regional and remote communities, including in the Tamworth region.
The Australian Government’s $595 million commitment for the Dungowan Dam project has been cancelled.
Key project benefits
- Read the evaluation summary of the former Dungowan Dam and Pipeline project published by Infrastructure Australia in August 2022.
- Learn more about the National Water Grid Fund as our primary program for responsible investment in water projects.
- Find out about our Science Program and how it’s helping to inform the work of the National Water Grid Authority.