Background

Australia leads the world in the development of efficient water markets. However, successfully navigating water market rules and regulations can be difficult, especially in the face of increasing water scarcity and fluctuating water prices.

Aither’s team is recognised within Australia and internationally as leading advisors to water market participants. We help our government and private clients understand water market dynamics and make decisions with confidence.

Aither applies leading modelling and analytical tools to help our clients form cost-effective and risk-based portfolio management strategies. Aither’s team blends sophisticated analytical skills with ongoing market intelligence and insights.

Read our water markets reports here.

Subservices

  • Commercial advice providing market-leading advice on urban and rural transactions – based on our deep understanding and in-house market resources
  • Strategy development offering advice on water portfolio management to optimise supply for irrigated agriculture and other water users and safeguard against constantly changing supply conditions
  • Quantitative modelling and economics using custom-designed water management frameworks and market modelling tools
  • Investment appraisal and valuations offering water asset valuation services and other portfolio advice
  • Regulation and compliance given our extensive government background and networks, we can offer timely and relevant advice on regulatory risks and opportunities
  • Governance helping organisations with decision making, reporting and best practice portfolio management

Selected project experience

Regulatory advice and economic modelling (2018)

Aither advised a major entitlement portfolio manager on trading strategies. We undertook an assessment of regulatory risks and developed an economic model to estimate future water allocation and entitlement prices in the southern Murray–Darling Basin. The project provided confidence to the portfolio owner and enabled further investment.

Water trading strategy

Aither was engaged by the Victorian Water Corporation to develop a water allocation trading strategy which focused on within-season timing of trading decisions to manage risk, and addressed governance and procurement issues. The developed strategy is now being implemented.

The impacts of water trading in the southern Murray-Darling Basin: an economic, social and environmental assessment (2012)

Aither team members undertook the National Water Commission’s comprehensive assessments and reports on the impacts of water trading released in 2010 and 2012. This extensive body of work underpins our knowledge of the water market, market participants, and key trends and drivers.