The Federal Government has approved $10 million in funding for a new water treatment plant to help improve Geelong's water security.

The $38 million Black Rock Water Treatment Plant will have the capacity to produce 570 million litres of recycled water suitable for urban use and 2,430 million litres of recycled water for irrigation each year.

Minister for Climate Change and Water, Senator Penny Wong, said the innovative project would produce Class A recycled water for third pipe schemes and community recreational facilities in the growth corridor of Armstrong Creek and the Torquay area, and low-salinity recycled water for agriculture.

Providing recycled water to Armstrong Creek will reduce pressure on potable water supply by providing an alternative source of water for uses such as toilet flushing and to irrigate parkland and recreational space.

"As we work to prepare Australia for a future with less water in the face of climate change, projects like the Black Rock Water Treatment Plant have a crucial role to play," Senator Wong said.

"The announcement today of $10 million Federal funding for this project fulfils an election commitment under the National Water Security Plan for Cities and Towns, and is part of the Rudd Government's $12.9 billion Water for the Future plan."

Federal Member for Corangamite, Darren Cheeseman MP, said the project would provide greater water security for the Geelong region by making more recycled water available.

"This project offers a strategic solution to wastewater management and will help secure the water supply of one of Victoria's fastest growing regions," Mr Cheeseman said.

"An additional benefit will be a reduction in the volume of treated water discharged to the ocean.

"The project will also create employment in the construction phase and support jobs in an emerging market gardening and agri-business industry."

Approval of the funding follows completion of a detailed business case by local water corporation, Barwon Water.

Key components to the project being undertaken by Barwon Water are:

• A new recycled water plant with the capacity to produce 570 million litres of recycled water suitable for urban use and 2,430 million litres of recycled water for irrigation each year.
• Construction of a pipeline between the Black Rock environmental precinct and the Armstrong Creek development.
• Construction of a pumping station and additional storages to meet peak water demands.

Barwon Water plans to complete detailed design of the new plant in mid-2010. Construction is due to commence in late 2010 and expected to be completed in late 2011.

When fully commissioned, the plant will have the potential to provide recycled water to 22,000 homes in the Armstrong Creek development, in addition to commercial customers.

More information about Water for the Future is available at: www.environment.gov.au/water