Media - Nick Xenophon - Independent Senator for South Australia

Independent Senator for South Australia Nick Xenophon says the financial crisis affecting Cubbie Station is proof the enterprise was not sustainable and that state governments cannot be trusted with water policy.

"The Cubbie plan had so many holes in it, it was never going to hold water," Nick said.

The board of the Cubbie Group this afternoon confirmed that Australia's biggest cotton farm will be placed in voluntary administration effective from 5pm tomorrow (Friday 30 October), after being unsuccessful in finding bidders to match its $320 million in debts.

"This is further proof that the Queensland government issuing of water permits has been reckless and damaging to investors and the environment."

"The only way to avoid more "Cubbies" is for there to be an immediate national takeover of our river systems, including the Murray-Darling Basin.

"With one river system, we need one set of rules," Nick said.

Senator Xenophon expressed concerns the impact the financial collapse of Cubbie Station will have on St George and surrounding areas.

"Irresponsible water policy like this exposes communities like St George to these kinds of economic shocks."

"Only a national takeover of the rivers and sensible water management will achieve the certainty our rural communities need and deserve.