Bungendore water supply pipeline
- Project value$2.08M (investigations) | Construction costs TBC
Work Completed
A preferred route for the proposed pipeline was primarily determined in a feasibility study in 2023. Since then, design and technical specifications have been developed to bring the project closer to 'tender-ready' stage. We have also completed a detailed field land survey, geotechnical investigation, biodiversity studies, and European and Aboriginal Heritage studies. We have prepared a comprehensive Review of Environmental Factors, which was endorsed at the Council meeting on 26 November 2025.
There are six critical criteria that must be achieved before Council can consider whether to proceed with the project or not. The first two of these is the design and technical work mentioned above, and the Review of Environmental Factors. The other four criteria are explained below.
What's next
- Intergovernmental approvals - The ACT and NSW Potable Water Steering Committee have reached consensus on a revised Memorandum of Understanding on the cross-border water supply of ACT water to NSW. Subject to agreement and execution by the Commonwealth, ACT and NSW Governments, the MoU would facilitate the supply of water from the ACT to the growing township of Bungendore. The Australian, NSW and ACT governments have cooperated over many decades to provide water from the Territory's water supply to Queanbeyan, the closest neighbouring city to the ACT. At present, an MoU signed in 2006 guides how water is transferred between the ACT and areas in the former Queanbeyan City Council, including Googong, Jerrabomberra and Tralee. With changes to Council boundaries in NSW and growth in the town of Bungendore, an interagency committee representing all levels of government have been negotiating this necessary update of the 2006 MoU, since 2022. The MoU will now proceed with the separate processes within the Australian, NSW and ACT governments for their review and formal approval.
- We applied for funding under the Australian Government's National Water Grid Fund, which was prioritised by NSW and submitted to the Australian Government in June 2025. We received notice in May 2026 that this application was not successful, with the Australian Government not providing funding to any projects in Australia through this budget process. The strategy is to seek funding from the forthcoming Local Infrastructure Fund.
- Council authorised beginning of land acquisition in April 2025. This process continues to progress.
- Water (and Sewer) Pricing - The financial modelling process was conducted as part of the harmonisation of the QPRC Water Funds and the QPRC Sewerage Funds. We engaged with the community around this through the Palerang Communities Integrated Water Cycle Management Strategy. Development Servicing Plans are currently the subject of an independent external audit.
Background
Council is investigating a pipeline between east Queanbeyan and Bungendore as the long-term solution to the future water supply for Bungendore. Without a sustainable water supply solution Council will need to press pause on any more development.
A feasibility study was presented to the Council meeting held on 12 April 2023 which considered the viability, approvals pathway and the economics of the proposal. Council resolved to proceed with the next stage of investigation.
The proposed route would see a new water pumping station at the site of a former reservoir in east Queanbeyan and a set of 375mm and 300mm diameter water mains would then run through a series of Council-owned land, road reserves, community title land, private property, Crown land, watercourses, State Road, rail corridor, and Commonwealth land.
If it was to be constructed, it is expected that it would be paid for by external grants and developer contributions received for water supply. With a large upfront investment required, we expect that a loan would be required, that would be paid off by developer contributions.
The project is also reliant on securing the required intergovernmental approvals to extract water from its Queanbeyan Water Supply Agreement. This is an agreement between the Australian, NSW and ACT Governments that allows us to access bulk potable water from the ACT.
The map below shows the proposed route between Queanbeyan and Bungendore.
Review of Environmental Factors
QPRC News articles and Factsheets
Proposed alignment
Reports to Council