Last week she questioned Ms Neville in parliament over the agreement which was reached in 2018 between the states and federal government.
Ms Neville agreed with the concerns: "In my view they are in breach of the law".
The dispute revolves around a meeting of water ministers in 2018 which concluded that an extra 450 Gl of water would not be sought for the environment unless there was no negative impacts on rural communities.
Ms Sheed said it had become apparent that the federal Department of Agriculture, Water and the Environment had continued to seek expressions of interest to carry out on-farm project primarily in South Australia and without regard to the terms of the agreement.
Speaking in parliament, Minister Neville said she would be taking the matter to her state and federal counterparts.
“I am absolutely aware of the proposals, particularly from South Australia, that are absolutely in breach of the agreement that was reached in 2018. In my view they are in breach of the law. The agreement is actually very clear: you cannot deliver this water if it has a negative impact, and we know that that sort of water recovery, those sorts of projects, will continue to have a negative impact,” Ms Neville said before going on to criticise the Federal Department of Agriculture, Water and the Environment.
“I have raised this issue with the federal minister, both in writing and verbally, and I will continue to do that. It is my view that the federal department is out of step with the federal minister on this and that the federal department continues to run their own agenda.”
In light of the recent federal ministerial reshuffle, Ms Sheed called on the new Federal Water Minister Keith Pitt to bring his bureaucrats and South Australian counterparts into line.
Ms Sheed also raised the issue of damage to the rivers being caused by the transfer of water for downstream developments.
Ms Neville said her government was seeking assessment on the potential damage.
“I would say again, just to put on record, my disappointment with the (MDBA) authority, which is continuing to put high flows down the Goulburn despite what we have said to them. They need to lift their game.”
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