The Federal Government has committed up to $200 million to secure Townsville’s long-term water supply, with $195 million to fully fund Stage 2 of the Haughton Pipeline extension and $5 million to compile the project’s business case.

Infrastructure, Transport and Regional Development Minister Michael McCormack said work would start immediately on the business case.

“Over the past 18-months the Townsville Water Security Taskforce—initiated through the $250 million Townsville City Deal delivered by this Government—has been examining options for delivering Townsville’s water security,” he said.

“Stage 1 and Stage 2—coupled with the recycled water, demand management, leakage and pricing reforms which the taskforce recommended be implemented by council—will provide Townsville a long term, reliable and cost-effective water supply system.”

Funding committed through the City Deal for the Townsville Eastern Access Rail Corridor’s (TEARC) development would be re-allocated to enhance opportunities for Townsville’s development, including to support Stage 2 of the Haughton pipeline, he said.