$20m grant program opens to support River Murray community

A new $20 million grant program has opened to help South Australia’s River Murray communities adapt and diversify as water recovery continues under the Murray–Darling Basin Plan.

A $20 million grant program designed to support South Australia’s River Murray communities as water is recovered under the Murray–Darling Basin Plan has officially opened, marking a new phase in efforts to balance environmental restoration with regional resilience.

The South Australian Sustainable Communities Program is funded through the Australian Government’s Sustainable Communities Program and targets communities most affected by water recovery. The initiative recognises that while restoring river health delivers long-term environmental benefits, it can also create social and economic adjustment pressures for towns and industries along the river system.

Announced at Goolwa, the program brings together federal and state commitments to ensure community transition is planned, targeted and locally driven.

Two funding streams to meet different needs

The first funding round offers two distinct grant pathways, designed to support projects at different stages of readiness.

Investment Feasibility grants will fund early-stage work such as feasibility studies, business cases and planning activities, with the intent of helping proponents develop investment-ready proposals for future rounds.

Investment-Ready grants will support shovel-ready projects that can move quickly into delivery, focusing on economic diversification, innovation, liveability, and long-term resilience in eligible River Murray communities.

Primary Industries and Regions SA is leading delivery of the program on behalf of the South Australian Government, with applications open until 5 pm on March 31, 2026.

Linking water recovery with regional outcomes

The program sits alongside ongoing efforts to deliver environmental water recovery under the Basin Plan, including the final 450 gigalitres committed to protecting key wetlands and river ecosystems.

Federal Minister for the Environment and Water Murray Watt said the funding is intended to ensure communities are supported as reform continues.

“We’re backing River Murray communities with targeted investment to create jobs, stimulate growth, and strengthen long-term resilience,” Watt said. “The Sustainable Communities Program builds on the work both levels of government are doing to ensure a strong, healthy river system for the future through the Murray–Darling Basin Plan.”

A proactive approach to resilience

South Australian Minister for Primary Industries and Regional Development Clare Scriven said the program acknowledges the scale of change facing river communities.

“The Sustainable Communities Program will help address the social and economic impacts of the Commonwealth’s water recovery and support the most vulnerable communities to prepare for a future with less water,” Scriven said.

She said the funding provides opportunities across a range of project types.

“With the first round now open, I encourage eligible applicants, whether their projects are shovel-ready or still in the planning stage, to take advantage of this important grant program,” she said.

Environmental health and community wellbeing

Minister for Climate, Environment and Water Lucy Hood said restoring river health and supporting communities must go hand in hand.

“River communities transitioning to a sustainable future will have access to new supports as we continue our efforts to restore the health of the Basin,” Hood said.

She said delivering the remaining environmental water under the Basin Plan is critical to maintaining wetland refuges and preventing species loss during dry periods.

From recovery to renewal

For the water sector, the Sustainable Communities Program reflects a broader shift in how Basin Plan implementation is being framed. Rather than treating environmental recovery and community impacts as separate issues, the program positions targeted regional investment as a core part of successful reform.

As water recovery continues, the effectiveness of initiatives like this will be measured not only by economic outcomes, but by whether River Murray communities are equipped to adapt, diversify and thrive alongside a healthier river system.

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