The OIC is required to obtain a surface water licence under Section 5c of the Rights in Water Irrigation Act 1914 from the Department of Environment.

The surface water licence contains conditions that require the OIC to complete an Operating Strategy for the diversion, distribution and management of water supplied through the Stage 1 Channel System Supply Area of the Ord River.

This Operating Strategy explains how the OIC will implement the terms and conditions of their surface water licence. Specifically, the Operating Strategy identifies water management targets, performance monitoring requirements and reporting responsibilities.

In addition, the surface water licence contains conditions that require the OIC to develop and implement a Water Use Improvement Program (WUIP). The WUIP identifies strategies and actions which describe how the OIC will achieve the improved water management targets identified in the Operating Strategy.