WORK STARTS ON $47.6M JONES HILL WATER TREATMENT PLANT UPGRADE IN GYMPIE
Jones Hill Water Treatment Plant Upgrade Starts in Gympie

Work has started on the Jones Hill Water Treatment Plant upgrade in Gympie, marking a major step forward for the region’s water security and infrastructure capacity.
The project begins with replacement of the existing sedimentation tank at the Jones Hill Water Treatment Plant, a critical part of Gympie Regional Council’s water supply network.
Council has described the work as the first major project under its newly established Water Alliance and the first stage of a broader multi-year upgrade program.
For contractors and suppliers, this is a strong Project Watch story because construction is already underway and the wider program is expected to include future water treatment and process upgrades.
The broader package has been reported as a $47.6 million critical infrastructure investment, with future staged works expected to improve the plant’s capacity and reliability as Gympie prepares for population growth and future housing demand.
WHY THIS PROJECT MATTERS
Water infrastructure is one of the most important enabling assets for regional growth.
Without reliable treatment capacity, regions can struggle to support new housing, industrial development, public services and long-term community growth.
The Jones Hill Water Treatment Plant plays a critical role in supplying safe and reliable drinking water to Gympie and surrounding communities.
The current work focuses on replacing the existing sedimentation tank, which Council says has reached the end of its serviceable life.
Sedimentation tanks are a key part of the water treatment process because they help remove suspended particles before further treatment stages.
When this infrastructure ages, it can create reliability, maintenance and capacity risks.
Replacing the tank is therefore an important first step in modernising the plant.
A MULTI-YEAR STAGED UPGRADE PROGRAM
The current sedimentation tank replacement is only the beginning.
The Jones Hill Water Treatment Plant upgrade is part of a broader staged program to address ageing infrastructure across the plant.
Future works are expected to include:
- four new sedimentation tanks
- a new flow splitter
- increased water processing capacity
- staged process upgrades
- supporting infrastructure works
- future capacity improvements
This staged approach matters because water treatment plants must often remain operational while upgrades are delivered.
That creates a complex construction environment requiring careful staging, safety planning, commissioning and coordination between contractors and operators.
For engineering and construction firms, that means the project is likely to require capability across live-plant works, process infrastructure, civil works and water treatment systems.

CONTRACTOR OPPORTUNITIES
Water treatment plant upgrades create opportunities across a broad range of contractor disciplines.
Potential areas of work may include:
- civil construction
- excavation
- concrete structures
- sedimentation tank construction
- process pipework
- pump installation
- valve installation
- mechanical equipment
- electrical systems
- instrumentation
- control systems
- access platforms
- safety systems
- commissioning
- site services
- temporary works
- environmental management
- design and engineering support
The project may also create demand for local suppliers providing materials, equipment, plant hire, transport, fabrication and workforce support.
Because the upgrade is staged over multiple years, contractors should watch closely for future packages beyond the initial sedimentation tank replacement.
WHY WATER INFRASTRUCTURE IS LINKED TO HOUSING GROWTH
The Jones Hill Water Treatment Plant upgrade is also connected to the broader issue of housing supply.
Recent reporting links the project to Queensland’s Residential Activation Fund, which is designed to support infrastructure that unlocks housing development.
The Gympie region is expected to require significant investment in water infrastructure to support future growth.
Reliable trunk water infrastructure can help unlock land for new homes by ensuring future communities have access to safe, reliable and sufficient water supply.
This is why water treatment projects are increasingly being discussed as housing-enabling infrastructure.
For regional councils, investment in water assets is not optional.
It is fundamental to long-term growth.
WHY INDUSTRY SHOULD WATCH GYMPIE
Gympie is not usually viewed in the same way as Gladstone, Mackay, Toowoomba or Townsville when it comes to major infrastructure.
However, this project shows that regional water infrastructure is becoming a major work category across Queensland.
Many councils are dealing with:
- ageing treatment plants
- population growth
- housing pressure
- water security concerns
- climate resilience requirements
- rising construction costs
- stricter compliance requirements
- increasing demand for staged capital works
That creates opportunities for engineering firms, civil contractors, water specialists, process equipment suppliers and electrical contractors.
The Jones Hill project is a good example of a regional council moving from reactive maintenance toward planned, staged infrastructure renewal.
TECHNICAL WORKS TO WATCH
The most important technical elements to watch are the sedimentation tank replacement and future process capacity upgrades.
Sedimentation tank works may involve:
- demolition or decommissioning of old assets
- excavation and earthworks
- reinforced concrete construction
- tank lining
- hydraulic connections
- process pipework
- access systems
- safety barriers
- temporary bypasses
- commissioning
- integration with existing treatment processes
Future stages involving additional tanks and flow splitter infrastructure could create more complex process and hydraulic works.
This is where mechanical, electrical, instrumentation and control systems contractors may become increasingly important.
WHY THIS IS A PROJECT WATCH STORY
The Jones Hill Water Treatment Plant upgrade is a strong Project Watch story because it has:
- confirmed construction commencement
- a clear infrastructure value
- a defined first stage
- future staged works
- water security relevance
- housing-enabling infrastructure angle
- civil, mechanical and electrical work opportunities
- regional Queensland growth relevance
This is exactly the type of project contractors should track.
It may not be as high-profile as a mine expansion or rail project, but water infrastructure is essential and often creates steady, practical work opportunities.

WHAT HAPPENS NEXT?
The immediate work is focused on replacing the existing sedimentation tank at Jones Hill Water Treatment Plant.
As the broader staged upgrade progresses, industry participants should watch for:
- future tender packages
- sedimentation tank works
- process upgrade contracts
- pipework packages
- electrical and controls scopes
- mechanical equipment procurement
- commissioning requirements
- flow splitter works
- additional tank construction
- water network staging
- housing infrastructure funding updates
The project is already underway, meaning contractors should monitor Gympie Regional Council procurement channels and related project announcements closely.
WHY THIS MATTERS FOR BOWEN BASIN INDEX READERS
Gympie is outside the Bowen Basin, but the project is relevant to BBI because it fits the wider Queensland infrastructure pipeline.
Many contractors and suppliers who work in mining, energy and industrial services also support water infrastructure, civil works, mechanical installation and electrical projects.
Water treatment plant upgrades often require the same skills used across industrial and mining projects:
- pipework
- pumps
- valves
- steelwork
- concrete structures
- access systems
- electrical installation
- controls
- commissioning
- maintenance planning
For regional contractors, water infrastructure can provide a valuable pipeline of work alongside mining, energy, rail and manufacturing projects.
FINAL VIEW
The Jones Hill Water Treatment Plant upgrade is a strong regional infrastructure story because real work has started and future staged works are expected.
It has a clear contractor angle, a housing-enabling infrastructure link and practical relevance to civil, mechanical, electrical and water treatment suppliers.
For Gympie, it is about water reliability and future growth.
For contractors, it is about another live Queensland infrastructure project entering delivery.
For BBI Project Watch, this is exactly the kind of project worth tracking early.
DISCLAIMER
This article is based on publicly available information and recent media reporting at the time of publication. Bowen Basin Index does not claim that any specific tender, procurement package or subcontracting opportunity has been confirmed unless announced by the relevant council, government agency or project owner. Contractors and suppliers should verify project status, tender opportunities and commercial details directly with Gympie Regional Council or authorised project representatives.
Sources
Gympie Regional Council – Major water security project starts at Gympie’s Jones Hill WTP
The Courier-Mail – Work starts on Gympie’s Jones Hill Water Treatment Plant upgrade
Gympie Regional Council – New Reservoir Strengthens Gympie’s Water Infrastructure
Queensland Government – Residential Activation Fund
https://www.housing.qld.gov.au/initiatives/residential-activation-fund
Queensland Government – Local Government Infrastructure
https://www.localgovernment.qld.gov.au
Queensland Government – Water

Project Snapshot
Project
Jones Hill Water Treatment Plant Upgrade
Operator
Gympie Regional Council
Location
Gympie, Queensland
Sector
Water Infrastructure / Utilities
Status
Construction started. $47.6 million critical infrastructure package according to recent reporting.
Key Focus
Multi-year staged upgrade
Opportunities for Industry
- Civil construction
- Contractor Opportunities
- Concrete works
- Tank construction
- Mechanical installation
- Engineering firms
- Electrical services
- Mechanical services
- Instrumentation and controls
- Process upgrades
- Surveying
- Design support
- Commissioning
- Water treatment equipment
- Pumps and valves
- Pipework
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