Townsville City Council will allocate a further $6 million to the Haughton Pipeline Project.
An operational improvement of $700,000 compared to the budget adopted in July the previous year was announced by newly elected Mayor Nick Dametto despite 18 months of disruptions and major weather events .
“This $6 million brings Council’s total investment in the Haughton Pipeline Project to $85 million and enables all the pipeline to be installed, except a pump station and three sections of trenchless pipeline,” Dametto said.
“We are committed to delivering this project and I have been in discussions with the Premier and Deputy Premier to chart a way forward that ensures shared responsibility and a sustainable solution.
It comes after the City Council adopted a mid-year review of the 2025/26 Budget.
Councillor Dametto said his focus for the organisation was getting back to basics through the delivery of the services alongside Council’s capital plan.
“While I have only been elected several months ago, I am optimistic seeing Council moving in the right direction, even during challenging times, but there is plenty of work left to do and I look forward to continuing to deliver for our city as we continue to grow Townsville.”
The Haughton Pipeline Project is being delivered in stages. Stage 1 involved duplication and enlargement of the existing Haughton River Pipeline and was completed in 2021.
Stage 2 extends the Stage 1 pipeline from the Haughton River to the Burdekin River and includes additional pipeline sections, pump station infrastructure, control systems and commissioning works required for the system to operate as a complete asset.
Construction of Stage 2 commenced in 2023 and has involved the establishment of a construction corridor of approximately 40 metres in width, along with access roads to support delivery along the 28.5 kilometre alignment.
Where possible, Australian-manufactured materials have been used, including Glass Reinforced Polymer (GRP) and Mild Steel Cement Lined (MSCL) pipes along much of the corridor.
The current pipeline will meet community needs until 2032. The Haughton Pipeline must be fully operational by then, to support Townsville’s growth and meet projected water demands as the population moves past 200,000.
To date, the approved investment for Stage 2 is $280 million, including $195 million in funding from the Queensland Government.
Rising construction and materials costs since the COVID-19 event, together with a number of technical challenges – particularly relating to pump station design and delivery – have placed additional pressure on the project budget.
Townsville Council expects to deliver an operating surplus of $3.4m in the 2026-27 financial year.
“It’s no secret Townsville has had a rough trot in recent times, and while I have no doubt there are still some hurdles to jump, it’s great to see Council’s financial position improve in the mid-year review,” said Dametto.
“Coming into Council I wanted to get this city back on track, deliver the basics well and restore pride and prosperity to Townsville – and to do that our finances need to be in a good position first and foremost.
“There’s been a lot of picking up the pieces after the record-breaking weather event at the beginning of last year, and I’m pleased to see that even despite the added cost of recovery, the organisation’s operating position is improving.
“Council had borne significant disaster response and recovery costs following last year’s prolonged deluge but, despite this, is set to deliver an operational improvement of $700,000 compared to the budget adopted in July last year.”
In early 2023 an external review was initiated by council officers to understand if forecast cost blowouts on the Haughton Pipeline Project could be mitigated.
That review identified various causes for the cost increase and further work was completed that identified several significant issues with the location and design of the intended pumpstation.