Case Study

Investing in satellite technology to save irrigation water on a large-scale farm in northern Victoria

Increased precision for irrigation duration and scheduling by using satellite technology and sensors was tested on perennial pasture for dairy production on case study farms in northern Victoria. The profitability of this technology depends on the capital cost, the amount and value of irrigation water saved, and any associated increases in pasture consumption.

If irrigation water is valued at $120/ML it is likely to be a profitable investment with ‘low end’ capital cost. If irrigation water is valued at $300/ML, then the ‘high end’ investment in improved satellite technology and sensors would be an attractive investment if the saved irrigation water was 0.45 ML/ha (IRR 29%).