The Federal Government has turned up the heat on the Victorian Opposition, warning the second phase of the $1 billion Foodbowl Modernisation Project won't get funding until Victoria passes legislation authorising a bulk entitlement for the north-south pipeline.
Federal Water Minister Penny Wong has written to Victorian Water Minister Tim Holding saying she will not commit Commonwealth money without a guarantee of the entitlement.
The Coalition said it was opposed to the pipeline taking water from the stressed northern rivers to Melbourne and so voted it down in the Legislative Council. It was joined by the Greens.
The Victorian Government said without the bulk entitlement, the environment and Goulburn Valley irrigators will miss out on their one-third shares of savings generated.
Premier John Brumby described the upper house opponents as "ratbags".
"The onus is on the Liberal party, the National party and the Greens to think about the stupid decision they made."
The second stage of funding for the foodbowl project is dependant on a business case which won't be available until next year.
But Foodbowl Unlimited co-chairman John Corboy said the "cold, hard reality" was that without access to that water the Federal Government would not hand over the money.
"People need to know there is a return on their investment," Mr Corboy said.
He said the Victorian opposition was playing politics and putting the second stage of the project at risk.
Mr Corboy said the political point scoring by the opposition was not in the interests of Goulburn Murray irrigators.
The government is expected to re-present the legislation this year.