Water from the Sugarloaf Pipeline has started flowing into Melbourne’s reservoirs five months ahead of schedule, providing the biggest single boost to the city’s water supply system in more than a quarter of a century.

The $750 million pipeline project, a key part of the Victorian Government’s Water Plan, will bring 75 billion litres of water to Melbourne this year and a third of water savings from Stage 1 of irrigation upgrades in northern Victoria every year after that.

The pipeline is an integral part of the biggest investment in irrigation upgrades in 100 years with water savings in northern Victoria’s irrigation region to be shared with Melbourne to secure its water supplies.

The Sugarloaf Pipeline has delivered other major benefits including:

• More than 1200 full-time jobs – 40 per cent of workers were from the region;

• Boosting Victoria’s economy by $200 million and providing work for 300 Victorian businesses;

• More than $5 million in grants to support local community initiatives; and

• Six permanent CFA access points along the pipeline to boost the region’s fire-fighting capacity and help save lives and property.

The power required for the two pump stations will be offset through the purchase of renewable energy and a newly-completed hydro plant will generate electricity as water from the pipe flows into Sugarloaf Reservoir, helping make the project carbon neutral.