Australian State begins a greywater recycling system trial
The Australian state of Victoria is investing €123,000 in an advanced greywater recycling trial that will use Hydraloop’s technology to reuse as much water as possible during prolonged dry conditions.

Unseasonably dry Victorian winter
Victoria has been experiencing prolonged dry periods, which have led officials to introduce water usage restrictions during the winter months. Even in some of the (traditionally) wettest areas, water authorities have brought in restrictions, following a second year of drought and with further dry periods predicted.
Barwon Water introduced restrictions after the region suffered its second driest year on record, with water storage levels at just under 26 per cent in June (2025) compared to almost 97 per cent a year earlier.
Goulburn Valley Water has experienced its lowest water storage levels since 2019, while Central Highlands Water has also introduced restrictions.
Victoria’s plan for water
Planning for climate change and population growth, the state introduced the Water for Victoria programme in 2016. In total, 69 projects were identified that would create a modern, efficient, future-focused, affordable water system.
By late 2023, 57 of the 69 projects had been completed, with the final 12 well underway. However, Water for Victoria was replaced by more focused projects in 2024, including the Water Cycle Adaptation Action Plan 2022-2026. Victoria has adaptation plans for seven systems that are at risk from climate change, including water, the natural environment, and the built environment.
The Water Cycle Adaptation Action Plan (WCAAP) snapshot 2022-2026 identifies 21 actions that will help climate change adaptation across the water cycle system, including rainwater harvesting, research into the use of sustainable sources, such as rainwater and stormwater, tree planting, and more.
Advanced greywater recycling system
The Victorian Advanced Grey Water Recycling System trial is a collaborative project led by Intelligent Water Networks (IWN), the Victorian government, Barwon Water, Greater Western Water, South East Water, and the Netherlands-based company Hydraloop.
Seven greywater recycling units will be installed in settings across the state to assess the system’s potential for wider deployment. It will be Australia’s first advanced greywater system. The trials will evaluate how much water can be recycled and, therefore, how much is saved.
Writing on social media, Hydraloop said: “Performance data will be collected and analysed across multiple sites, both residential and non-residential, to demonstrate how Hydraloop’s water recycling systems can:
- Cut water waste
- Support communities with smarter water use
- Help shape Victoria’s regulatory approvals for new water technologies.”
Greywater recycling is being explored by businesses and national agencies around the world to reduce the pressure on freshwater sources. It forms a large component of the Dutch government’s National Plan of Action to Save Drinking Water.
With many countries experiencing water security and scarcity issues, and with rising populations and growing demand from industry and agriculture, the market for water reuse and recycling technologies will continue to grow.
Barwon Water installing large-sized unit to address water shortages
Barwon Water is installing three units in caravan parks along the Surf Coast and Great Ocean Road, including Australia's first large-sized unit at the Torquay Foreshore Caravan Park. The trial will also assess the technology's viability for at-home use, with Greater Western Water installing Victoria's first in-home system.
A demonstration site is also being used at the Gordon Technical and Further Education (TAFE) Institute in Geelong. This site will feature a greywater recycling unit operating in a purpose-built bathroom and laundry.
Victoria’s minister for water, Gayle Tierney, told local media: “This trial shows Victoria's water sector embracing new ideas and working with our TAFEs to build the technology needed for the future.”
She added: “New ways to reuse the water from our sinks and showers will have positive impacts for all Victorians – every litre of water we can recycle is one less litre of water coming out of our waterways.”
Hydraloop’s water recycling technology
Hydraloop’s H600 units will be used for the trials. The ‘fit and forget’ system can recycle water from showers, washing machines, hand washing basins, sinks, and even the condensation that builds up in washer-dryers, heat pumps and air conditioning units.
Water from the H600 can then be used for gardens, toilets, and swimming pool top-ups. Company estimates suggest that the H600 can cut tap water usage by 25-45 per cent, helping to preserve the state’s already reduced stored water supplies.
Hydraloop uses six sustainable methods to clean and recycle water: sedimentation, flotation, dissolved air flotation, foam fractionation, an aerobic bioreactor, and UV disinfection.

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