The NSW Government is issuing an ultimatum to the Federal Government over the Murray-Darling Basin Plan and has threatened to walk away if demands aren't met.

Key points: John Barilaro said South Australia was benefitting from the plan to the detriment of NSW

John Barilaro said South Australia was benefitting from the plan to the detriment of NSW The NSW Government has demanded all water resource plans be put on hold until after the drought was broken

The NSW Government has demanded all water resource plans be put on hold until after the drought was broken The State Government will argue for its list of changes at a water minister's meeting in two weeks

The Berejiklian Government said the 2012 plan needed to have more flexibility in times of drought.

At the top of a list of demands, the State Government has asked to be made exempt from contributing to the extra 450 gigalitres of water that must be put back into the river system by 2024.

"We just don't have any more water to give," Deputy Premier John Barilaro said.

"We have a commitment of 450 gigalitres of water to go back into the system which we can't achieve, we want that taken off the table and out of the plan."

There has long been tension between NSW and South Australia over the amount of water in the system flowing into to the southern state.

The Deputy Premier said South Australia was benefitting to the detriment of NSW.

"When we were forced to release the water from Menindee lakes we saw of course many native fish die," Mr Barilaro said.

"That in turn meant water ran down to the lakes of South Australia where 15 million carp reside."

The State Government also wants the barrages on the lower lakes lifted to allow seawater back into South Australia's Lake Alexandrina.

It has also demanded all water resource plans, which were required as part of the agreement, to be put on hold until after the drought was broken.

These demands come after a convoy of farmers travelled to Canberra on Monday urging the Federal Government to 'Can the Plan'.

The convoy said the agreement is hurting communities because of the lack of water.

"It's taken a protest of over 2,000 farmers and irrigators to descend on the steps of parliament yesterday for the Federal Government to respond," Mr Barilaro said.

"For me, that is disappointing because for me it is the same argument that we have been making for months and months.

"We believe that the Federal Government has opened the door for a conversation."

The State Government will argue for these changes at the water minister's meeting in two weeks.

The Federal Water Minister David Littleproud has responded by saying the Commonwealth doesn’t have the power to make these changes, all Basin states have to agree.

“It’s not a decision the Federal Government can take unilaterally,” Mr Littleproud said.

“While everybody points their guns at us, they’ve got to understand that my job in many respects is to herd the cats and the real power comes in us having cooperation.”