The Queensland Government has commissioned a New South Wales Government department to investigate why a dam, south-west of Bundaberg, was so badly damaged in January's floods.
Repairs at Paradise Dam, in the wake of ex-tropical cyclone Oswald, are costing more than $20 million.
The NSW Department of Public Works has been commissioned to undertake an independent review into the repair bill.
Water Minister Mark McArdle says it is concerning a dam built in 2005 was so badly damaged in January's floods.
Repair work at the dam is continuing and Mr McArdle says some of the crevices caused by the floods are more than 12 metres deep.
"That's a big hole - we need to understand how a dam that is so new copped so much damage," he said.
Mr McArdle says the review will investigate if engineering construction standards were met and if SunWater's response after earlier floods was adequate.
"Has public money in the past been spent on a dam that did not meet specifications or was work not undertaken on the dam post 2010/2011 floods?" he said.
A written report is expected to be delivered to the State Government in two weeks.
© ABC 2013
11:08 EDT Very powerful surf is currently battering the central and southern NSW coast.