Palaszczuk Government locks in $1 Billion Fitzroy to Gladstone pipeline

Published Thursday, 23 February, 2023 at 09:46 AM


Premier and Minister for the Olympic and Paralympic Games
The Honourable Annastacia Palaszczuk

Treasurer and Minister for Trade and Investment
The Honourable Cameron Dick

Minister for Regional Development and Manufacturing and Minister for Water
The Honourable Glenn Butcher


  • Nearly $1 billion locked in for Fitzroy to Gladstone pipeline project.
  • Create 400 local jobs during construction.
  • Construction expected to be complete in 2026
  • Locks in water security for existing industries
  • Unlocks jobs in renewable hydrogen and manufacturing

The Palaszczuk Labor Government has delivered a big win for Central Queensland, with the $983 million Fitzroy to Gladstone pipeline officially approved for construction. 

The Fitzroy to Gladstone Pipeline will deliver water security to the Gladstone region – needed to support more job creating industries.

Right now, industry in Gladstone generates $6 billion in gross regional product every year and these activities depend on significant quantities of water now and into the future.

Hydrogen proponents under development with future water requirements include the Fortescue Future Industries hydrogen electrolyser manufacturing facility, Mitsubishi Gas’s proposal for a hydrogen to green methanol plant, the Stanwell / Iwatani Central Queensland Hydrogen Project, Orica and H2U’s proposed green ammonia plant and Rio Tinto and Sumitomo’s proposed hydrogen plant.

The infrastructure approval also aligns with recommendations made in the Bradfield Report, commissioned by the Palaszczuk Labor Government and prepared by the expert Bradfield Regional Assessment and Development Panel.

Gladstone Area Water Board was appointed by the State Government in August 2021 to deliver pre-construction activities for the pipeline, which included undertaking procurement activities, addressing land access arrangements and determining long lead time items to ensure construction readiness for the pipeline.

Works are underway and the expected project completion is late 2026.

Quotes attributable to the Premier:

“My Government is committed to building the infrastructure Queensland needs to support good jobs in new industries during the clean energy industrial revolution.

“Nearly $1 billion has been committed to this important project, which guarantees water security and sends a powerful signal to the hydrogen sector that Queensland is the place to be for clean energy.

“Gladstone will be the engine room when it comes to delivering our landmark Queensland Energy and Jobs Plan – that means good secure jobs now, and into the future.”

Quotes attributable to the Treasurer and Minister for Trade and Investment Cameron Dick:

“The Palaszczuk Government’s contribution towards this vital infrastructure for Central Queensland is the first investment from our new progressive coal royalty tiers.

This revenue was generated in Central Queensland and as we promised, it will be invested in regional Queensland.”

Quotes attributable to Water Minister and Member for Gladstone, Glenn Butcher:

“This 117-kilometre pipeline will run from the Lower Fitzroy River in Rockhampton and connect to Gladstone Area Water Board’s existing water network at Yarwun.

“It will support the emerging hydrogen and renewables sector that is set to expand in Gladstone, with several companies expressing interest in coming to the region.

“The Bradfield panel recommended investing in the use of water closer to where it falls as well as developing Regional Water Grids, and this is exactly what we are doing.

“The Fitzroy to Gladstone Pipeline is clear evidence the Palaszczuk Government is serious about listening to experts and taking action to ensure water security in Queensland.

“This pipeline will also allow Gladstone to access their water allocation from Rookwood Weir, which we know means security in good jobs and the delivery of safe and reliable water services to enhance the liveability of our region.”

Quotes attributable to Gladstone Area Water Board CEO Darren Barlow:

“Today’s announcement is pivotal in securing water for Gladstone’s industry and will support the hydrogen and renewables industry, as well as help sustain the Queensland economy and provide jobs, and I thank both the Queensland Government and Minister Butcher for their decision.

“As the Delivery Authority for the project, we look forward to partnering with local suppliers to deliver tangible benefits to the Gladstone region such as jobs, supply contracts and local capability raising.”

Further information:

A Detailed Business Case and assessment, led by the Department of Regional Development, Manufacturing and Water recommended a 117-kilometre pipeline with capacity to transfer 30 gigalitres of water per annum (GL/a) from the Lower Fitzroy River to Gladstone.

More than 25 apprenticeships and traineeships will be provided through the project, as well as more than 10,000 hours of training.

The project anticipates spending approximately $10 million with suppliers and businesses owned by First Nations Australians, in addition to 10,000 hours for workforce participation. 

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Media contact:

Emilia Hutchinson – 0437 060 435