The Lowbidgee floodplain is the Murrumbidgee River's major wetland in southeastern Australia. From more than 300,000 ha in the early 1900s, at least 76.5% was destroyed (58%) or degraded (18%) by dams (26 major storages), subsequent diversions and floodplain development. Diversions of about 2,144,000 ML year(-1) from the Murrumbidgee River come from a natural median flow of about 3,380,000 ML year(-1) providing water for Australia's capital, hydroelectricity, and 273,000 ha of irrigation. Diversions have reduced the amount of water reaching the Lowbidgee floodplain by at least 60%, from 1888 to 1998. About 97,000 ha of Lowbidgee wetland was destroyed by development of the floodplain for an irrigation area (1975-1998), including building of 394 km of channels and 2,145 km of levee banks. Over 19 years (1983-2001), waterbird numbers estimated during annual aerial surveys collapsed by 90%, from an average of 139,939 (1983-1986) to 14,170 (1998-2001). Similar declines occurred across all functional groups: piscivores (82%), herbivores (87%), ducks and small grebe species (90%), large wading birds (91%), and small wading birds (95%), indicating a similar decline in the aquatic biota that formed their food base. Numbers of species also declined significantly by 21%. The Lowbidgee floodplain is an example of the ecological consequences of water resource development. Yanga Nature Reserve, within the Lowbidgee floodplain, conserved for its floodplain vegetation communities, will lose these communities because of insufficient water. Until conservation policies adequately protect river flows to important wetland areas, examples such as the Lowbidgee will continue to occur around the world.