Mt Martha Water Recycling Plant

Major Victorian water utility South East Water has announced its $1.5 billion investment in major capital projects is officially underway, including a contract for the $72 million Dingley Recycled Water Scheme.

Victorian Minister for Water, Harriet Shing, announced that the contract for the Dingley Recycled Water Scheme has been awarded to ABK, which will kick off the partnership.

Works have also been awarded to new industry partners Abergeldie, BMD & KBR (ABK) and BecaHunterH20, Fulton Hogan & Interflow (BFHI).

The ten-year contracts will see BFHI and ABK plan and deliver major infrastructure upgrades in partnership with South East Water as part of a new integrated capital works planning and delivery model.

The 42km Dingley pipeline is set to unlock 1.8GL per annum of recycled water to 46 public and private sites across Oakleigh South, Sandringham and Cheltenham.

Expanding recycled water infrastructure and diversifying water sources plays an important role in securing water supplies for the future, which is a key objective outlined in the Victorian Government’s $56.6 million investment in the Central and Gippsland Region Sustainable Water Strategy.

Using recycled water on gardens, golf courses and public green spaces takes pressure off drinking water supplies and ensures water is used sustainably while keeping these places green and healthy all year round.

“Using fit-for-purpose water is an important sustainability initiative in our response to climate change – it’s projects like this that are securing long-term water supplies for our growing communities and keeping our open spaces green,” Ms Shing said.

The Victorian Government has contributed $24.8 million towards the Dingley Recycled Water Scheme, which is expected to start delivering recycled water by 2025.

The project, co-funded by the Victorian Government and South East Water, is set to generate $92 million for the local economy and support local communities with more than 240 jobs for international golf tourism, agriculture and nursery businesses in the region.

Other awarded shovel-ready projects include:

  • Mount Martha Water Recycling Plant clarifier upgrade ($32 million) – BFHI
  • Caulfield West branch sewer renewal ($4 million) – BFHI
  • Water main renewals ($4.7 million) – ABK

South East Water Managing Director, Lara Olsen, said the new partnership brought opportunities for innovation and optimisation in the organisation’s delivery of essential infrastructure across Melbourne’s south-east.

“We’re thrilled to welcome ABK and BFHI to the South East Water team and look forward to working together to ensure quality and reliable water, sewerage and recycled water services for 1.8 million people, now and into the future,” said Ms Olsen.

ABK Program Director, Daniel Turcinovich, said ABK was thrilled to be partnering with South East Water and the BFHI team in such a collaborative integrated planning and delivery model.

“Together, we will embrace our collective diversity to provide value driven outcomes for South East Water, its customers, and the broader community,” Mr Turcinovich said.

BFHI Program Director Martin Sutherland also welcomed the news.

“BFHI is very excited to be part of this journey in the next evolution of integrated capital works planning and delivery to best serve Melbourne’s South East community. 

“This ten-year program provides a special opportunity to work and grow within a truly integrated partnership with both South East Water and ABK and realise the many benefits and efficiencies for end users.  The BFHI team and I are delighted to be part of this collaboration,” Mr Sutherland said.

South East Water’s major projects form part of the organisation’s record-breaking $1.9 billion infrastructure program highlighted in its five-year customer commitment recently endorsed by the Essential Services Commission.

Featured image: Chadwick Reserve (managed by City of Kingston) will be one of the first areas to be connected to the $72 million Dingley Recycled Water Scheme. Courtesy of South East Water.

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