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Synlait joins Central Plains irrigation scheme
Synlait joins Central Plains irrigation scheme
Central Plains Water Limited (CPW) and Synlait Limited have signed an agreement to combine their resources to advance the scheme that will provide irrigation water to Central Canterbury.
CPW Chairman Pat Morrison and Synlait CEO John Penno jointly called the agreement a welcome step forward for agriculture in the region, with Pat Morrison saying it was good news for CPW shareholders.
“Synlait holds resource consents to take water from the Rakaia River. Under the agreement it will transfer these to CPW while also increasing its shareholding in CPW.
“Resolution of the competing claims to water between the two parties means both can commit to work together to develop the CPW scheme and deliver water as soon as practicable,” he said.
Synlait CEO John Penno said the partnership with CPW would enable his company to irrigate the approximately 2,500 hectares of land it currently owns in Te Pirita.
“This is the way forward for farming and the environment, with positive medium and long term consequences.
“Using the water that is available in the Rakaia to ease pressure on the aquifers while also improving the profitability of agriculture in this area is the initial goal. Ultimately, to make the proposed scheme part of much larger infrastructure able to more effectively manage Canterbury’s water resources, would be ideal for the whole region,” he said.
Under the agreement with Synlait, CPW will advance the construction of the CPW scheme in the Te Pirita area, providing irrigation to around 6,000 hectares by using water already consented to Synlait.
“By making best use of the resource consents that Synlait has already been granted, it should be possible to commence the CPW scheme within the next two years.
“We believe this partnership and the irrigation scheme we expect to grow from it, can be a significant step towards a much more comprehensive water management scheme for Central Canterbury, which has been the objective of CPW and our shareholders since the company was established,” Pat Morrison said.
ENDS
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