The $16.1 million Coldstream Recycled Water Pipeline Scheme is one step closer to becoming a reality.
The Federal Government announced $250,000 towards co-funding the project with landowners.
The pipeline would be buried at least 60 centimetres below the surface in line with industry pipeline standards, and would support agribusinesses and landowners in the Coldstream and Gruyere district.
“This funding will support a project that will benefit the Yarra Valley and its local industries by ensuring the area will receive water for decades to come,” Yarra Ranges Mayor Tony Stevenson said.
“I would like thank the community for their ongoing work and efforts to create awareness and secure funding.
“It will mean the design can be finalised and the processes for it to progress to construction can take place.”
Cr Stevenson said the council had been advocating to the state and federal governments for the project to receive more funding for several years.
Casey MP Tony Smith said the project was subject to gaining planning approvals and design work.
“If built, agricultural production, tourism and seasonal employment relating to food and fibre all stand to gain, helping support our exports such as cool-climate wines, strawberry farms, fruit orchards and livestock,” he said.
The community-owned and operated scheme would be governed by a Community Water Supply and Access Agreement (CWSAA).
The Federal Government’s National Water Infrastructure Development Fund funds water projects for regional communities around Australia.