Unveiled last week, the $500,000 project will divert stormwater on the site into the course's lake to be used for irrigation.

Monash Mayor Paul Klisaris said the project would provide a more certain water supply and save the equivalent of 1200 backyard swimming pools of water each year.

"In addition to this massive water saving, local waterway pollution will be reduced with about 20tonnes of litter and 600kilograms of nitrogen prevented from entering the Dandenong Creek every year," Cr Klisaris said.

He said any negative environmental impact would be minimal.

"The plans will ensure that no major trees are disturbed and environmental flows for Dandenong Creek will not be impacted as a result of the diversion."

The project was jointly funded by Monash City Council, Melbourne Water and the Federal Government.

Federal Environment Minister Peter Garrett said the stormwater harvesting project was a water-saving model for others to follow.

"We all have a role to play in protecting and nurturing our environment and I applaud communities such as Monash that are making a real difference in their local area."

Melbourne Water waterways general manager Chris Chesterfield said reduced stormwater runoff would greatly improve the creek's health.