I would like to air two possible proposals ( one mine , one that of another person) for resolving the water and energy crisis in Australia.

My idea is to use desalination of ocean water to send clean water through a network of canals all over the Outback, while also using desalinated water to fulfil the water needs of the current population. The water can then be used to recreate rainforest and to create farmland, the first creating greenery to help contain carbon dioxide emissions, and the second adding to Australia's food output, making it possible for Australia to sustain a larger population and become a more globally significant country.

The other proposal is even better. It is called the Hydrogen Transmission Network. Using solar or nuclear energy to perform electrolysis of ocean water, HTN envisions sending hydrogen from the reaction through a cross-country network of pipes, to be reacted on the spot with oxygen in the air. This would produce both clean water and clean energy, and clean energy and clean water can be delivered to Australia's homes, offices, industrial and commercial installation, for the price of one.

The inventor of HTN, Arindam Banerjee, has described his invention in greater detail at

http://www.users.bigpond.com/adda1234/HP.htm

Interesting ideas CEF

The nuclear option may cause more problems than it solves with the issue of radioactive waste, storage etc but solar could work. (I don't know much about the hydrogen option)

We are in desperate times and certainly areas like the Coorong could use an injection of fresh water from the Murray. If the system could be rejuvenated by diverting water from other sources it might go some way in solving the problem. The real issue is continued growing of water-intensive crops like cotton and rice and allocation of irrigation rights.

Desalination would appear to bring its own problems as well and like all policies they have to be weighed up for the greater good. I am keeping an open mind on this issue for the moment. Certainly if desalination could be implemented in an environmentally friendly way it might be worth further investigation. The links below raise some concerns about desalination.

http://www.friendsofwater.com/Desalination.html
http://www.foodandwaterwatch.org/water/desalination/seawater-desalination-new-solution-or-new-problem
http://www.smh.com.au/news/opinion/desalination-is-a-quick-fix-that-could-have-longterm-problems/2005/11/03/1130823341885.html

The real problem is overpopulation and the continued mantra of economic growth to the detriment of any other factors. As well as practical solutions we also need to find the courage to move away from the excesses of capitalism and look toward a more sustainable system both environmentally and economically.

In a word "Energy".
Water is heavy. The cost of pumping the water in the quantities you
visulise is almost certainly prohibitive.
Even solar electricity costs money and on your suggested scale there
may not be enough equipment available at any cost.

The ERoEI with hydrogen is one of the reasons we are not driving
hydrogen cars already, and it is unlikely we ever will.
No matter how the power is generated the pumps will need enormous
amounts of electricity. Why don't you sit down and calculate the
amount of water needed for your plan, calculate the lift required on
the presumption that you need to get across the Divide to get to the
headwaters of the Murrumbidgee and Macquarie etc.
Then go and price the size of the pumps required and the amount of
power required. I think you will be shocked.