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Summary

IPART is reviewing components of the infrastructure contributions system to ensure contributions plans reflect development-contingent costs only.

Section 7.11 of the Environment Planning and Assessment Act 1979 allows councils to levy contributions towards the cost of providing local infrastructure. Contributions plans set out the local infrastructure required to meet the demand from new development, and the contributions a council can levy on developers to fund the necessary land and works.

Currently, contributions plans that propose contributions above $30,000 per lot or dwelling in identified greenfield areas and $20,000 per dwelling in other areas must comply with an essential works list and other criteria set out in the Department of Planning and Environment’s Infrastructure Contributions Practice Note (2019 Practice Note).

We have been asked to provide advice to inform an essential works list that would apply to all section 7.11 contributions plans. We have also been asked to provide advice on an approach councils should use to determine the most efficient local infrastructure to meet the needs of new development, applying the principle of nexus.

This review is to support the NSW Government’s proposed reform of the infrastructure contributions system in NSW.

We have also been asked to develop and maintain standardised benchmark costs for local infrastructure that reflect the efficient costs of provision. Information related to this review can be found on our website here.

We have included the contents of both reviews in the same draft report, which was released on 29 October 2021.

If you would like to have your say on the draft report, please make it clear which review your submission relates to. If your submission relates to both reviews, please make this clear and provide your feedback in a single submission.

IPART will present a Final Report to the Minister for Planning and Public Spaces by 18 February 2022.

Media

For media enquiries, please contact Adrian Flood by email to media@ipart.nsw.gov.au or by phone on 0427 105 865.

Key contact
Ineke Ogilvy
02 9290 8473