Water accounting
Access information and resources to help you understand your water account.
End of water year
Every year, you have the opportunity to manage your water account to ensure any unused water allocation (subject to the carryover rules of your water sharing plan) is traded or used by the season end date below.
Find out how to make the most of your available water before the end of the water year.
End of water year
Did you know that any remaining water in your account during the end of water year could be subject to the carryover rules that apply to your water sharing plan (WSP)?
Below are tips to help you stay on top of your water account and make the most of your available water before the end of water year:
- Check your potential carryover and water account balances in our online Water Accounting System (iWAS).
- Enter any outstanding meter reads or non-metered water take in iWAS to ensure your water account has an accurate balance.
- Read about your water sharing plan to ensure you understand the rules that apply to your water access licence including your carryover rules.
- Choose to trade/assign or use any of the remaining, unused water, available in your account after the carryover limit is applied.
- To trade water, you will need to submit an application and pay the associated fee.
WaterNSW will not accept customer requests to backdate or amend a water allocation trade application after the above season close dates.
What is carryover? Carryover is a determined volume of unused water in your account at the end of the water year according to the rules of your water sharing plan, that may be added to your opening balance the following water year.
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Dam wall debiting
When a water order is placed by a regulated river licence holder in the Border Rivers, Gwydir or Lower Namoi valleys, the account is debited at the time of release from the dam. This debit will remain even if the water is not used, so licence holders should ensure that where possible, usage matches water orders. This accounting rule is known as dam wall debiting.
What does it mean for you?
This allows you to create space in your account to receive an incoming trade or an available water determination (AWD) based on the water account limit rules in your water sharing plan. This is because your account would be debited on the day the water is released from the dam instead of waiting until it reaches your property.
Dam wall debiting
How does it work?
See the example below based on the following scenario:
- 100 unit share licence
- 2ML per unit share account limit
- 10-day order lead time
| Day 1 | Day 5 | Day 10 | Day 15 onwards |
|---|---|---|---|
Account balance = 200ML Order of 50ML placed for pumping in 15 days time Account balance today = 200ML | 50ML is released from the storage for extraction in 10 days Account debited on release date Account balance is now = 150ML | An available water determination (AWD) volume of 0.5ML per share is announced, i.e. 50ML 50ML is in transit yet to be extracted Account balance is now = 200ML | 50ML delivered and a meter read entered after extraction is completed. Meter read reconciles water to the pumping date. |
*any water extracted in excess of the ordered volume will be debited from your account balance.
What happens if you can’t pump after water has been released?
If you are unable to pump your ordered volume, please get in touch with WaterNSW to see if the ordered volume can be re-assigned. If the volume cannot be re-assigned, your water account is debited based on orders, however you will not be charged usage fees.
View our dam wall debiting fact sheet for further information.
Lachlan evaporation rule
In January 2024, WaterNSW introduced a new way to determine how carryover evaporation deductions would be calculated for customers in the water sharing plan for Lachlan Regulated River Water Source 2016. Responding to feedback and changes to the water sharing plan made in early October 2024, WaterNSW has made further system amendments to allow a new simplified method of calculation. The new calculation is applied and debited once a year on 30 June.
How does it work?
At the end of each water year, WaterNSW will use the new calculation method to debit your account for evaporation reduction. The new calculation is applied only once a year around 30 days after the water year closes on 30 June. The deduction is applied to the final water account balance in all general security water accounts at the end of the water year.
To find out more and view an example, read this fact sheet.
Water use limits
The Lower Namoi Regulated River water source operates on a continuous accounting system that runs from 1 October to 30 September every year. We have created examples below to help you understand how the use limits are calculated and where to find the information on your water account statement.
For customers in the Lower Namoi Regulated River water source, there are two applicable use limits; annual and three-year use limits. The available water is determined by the lowest value among the annual use limit, the three-year use limit, and the account balance.
- The annual use limit is 1.25ML x share component +/- temporary allocation assignments
- The three-year use limit is the maximum volume allowable for usage or trade for a water access licence over a rolling three-year period.
For more information on annual and three-year use limits, please view our fact sheet.
Inherited liability
Inherited liability occurs as a result of either;
- an assignment of share components between water access licences (WAL)
- a sub-divide and/or change to a WAL or
- an exit of a co-held WAL
where debits from the seller's licence are transferred to the buyer’s licence. This refers to concepts such as carryover, available water determination (AWD) volume, usage and uncontrolled flow (UCF) transactions.
The buyer’s licence will have pro-rated liabilities from the seller’s licence in addition to the share component being transferred. This ensures the water account balance is accurate during any of the dealings listed above.
General principles of liability transfer
The general principles of liability transfer are:
- The amount of liabilities transferred equals the amount of liabilities received
- The seller’s licence liabilities are reduced by any liabilities transferred to the buyer
- The buyer’s licence liabilities are thus increased by any liabilities transferred from the seller
- The existing liabilities are used in accounting limit calculations on both licences.
The total inherited liabilities can be seen on the buyer’s water account statement or in our online Water Accounting System (iWAS), for the selected water year.
Understanding the types of inherited liabilities
The current types of liabilities transferred are:
- Carryover - The carryover liability is calculated based on the carryover in and the total unit shares of the seller’s licence on 1 July of the applicable water year.
- Available water determination (AWD) - The AWD liability is calculated based on the AWD balance up to the ‘dealing’ date, and the total unit shares of the originating licence.
- Usage – Water that is taken for the purpose of use, such as domestic use and irrigation.
- Uncontrolled flow (UCF) usage - The usage and UCF usage liability is calculated based on the extracted usage, and the total unit shares of the originating licence.
Please note: This usage liability is adjusted automatically if further usage is debited to the originating licence after the ‘dealing’ has been processed. UCF usage will be debited against the UCF limit balance and included in any accounting limits applied to the licence category. - Use limits in - Any water that has gone into the water account which attributes to the use limits, such as traded allocation water.
- Use limits out - Any water that has been taken out of the water account and thus removed from the use limits. This includes traded allocation water.
- Allocation assignments in - This is when a trade of allocation water goes into a water account.
- Allocation assignments out - This is when a trade of allocation water comes out of a water account.
A historical record is also kept of each transferred liability for the first and second year for use in three-year use limit, three-year access limit and five-year use limit calculations. For more information on annual and three-year use limits, please view our fact sheet.
Other considerations in Inherited liability calculations
Where a water source includes any account or use limit rule, inherited liability is included in a buyer’s ‘limits’ calculation.
Any volume credited to the licence above the ‘limit’ is forfeited from the account.
Limits can be viewed in iWAS or in your water account statements under ‘Account Parameters’.
Related links
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