Eight people were arrested in Victoria yesterday from a group of 80 protestors opposed to the controversial North-South pipeline currently under construction in the Yarra Ranges.

"These people are protesting against a project that is little more than State Government-sanctioned environmental vandalism," Sen Xenophon said.

"This pipeline will take water away from the Murray-Darling Basin to Melbourne.

"It is madness to take water away from a dying river system."

Sen Xenophon is calling on the Federal Government to intervene to stop the pipeline project which will divert an estimated 75 billion litres of water a year.

"The water in the Murray-Darling basin should stay in the Murray-Darling Basin," he said.

"The construction of the pipeline is further proof that State governments can’t be trusted to act in the national interest.

"And it's sad to see the Victorian government is continuing to use police to enforce their bad decisions."