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Global rules on foreign direct investment (FDI)
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Australia | Publication | fevereiro 2022
Following a major consultation process with local councils and other stakeholders, the Department of Planning and Environment released its long awaited discussion paper “A new approach to rezonings” late in December 2021.
The Discussion Paper heralds a new approach to rezoning land. The proposed changes aim to significantly reduce the time, cost and complexity of the process.
Following public comment on the Discussion Paper, it is expected that a bill will be prepared and introduced into Parliament later this year.
The key changes proposed are:
Over the last five or so years, there has been a much greater focus on strategic planning in order to reduce the need for ‘ad hoc’ rezonings. However, practice has shown that amendments to planning instruments remain an important tool for the orderly and economic use of land.
The problems with the current process include:
The Discussion Paper puts forward the following key reforms:
The Discussion Paper is a high-level document and questions remain as to the effectiveness and fairness of providing councils with far greater control over each stage of the rezoning process for private proponent-led rezoning applications. There are likely to be corruption concerns in handing back rezoning power to Council for proposals by private landowners and developers.
The imposition of maximum timeframes for key stages of the rezoning process and the omission of the Gateway process are an improvement, although more detail is required as to how these benchmark timeframes will be enforced.
A right of appeal is also a welcome change that enables the merits of a rezoning application to be independently tested.
The reforms are not, however, without their potential pitfalls and risks to developers.
There is a risk that potential applications are effectively stalled at the scoping stage prior to lodgement as the rezoning authority would have the power to refuse to issue study requirements for the proposal on the grounds of strategic merit (a matter over which reasonable planning officers may differ).
This could be a pinch-point for many rezoning applications and there is no way, under the proposed scheme, of initiating a review of a rezoning authority’s decision to effectively reject the application at this interval or compel the rezoning authority to issue study requirements.
As the prospect of an appeal to the Court or IPC effectively arises upon the lodgement of the rezoning application, Councils may guard the issue of study requirement tightly because there is no other interval for the rezoning authority to scuttle or delay the process.
The Discussion Paper includes some specific questions that the Department is seeking feedback on. The Discussion Paper and a survey in response to the questions posed therein is available at A new approach to rezonings in NSW | Planning Portal - Department of Planning and Environment.
The Department is receiving comments on the proposed reforms until Monday, 28 February 2022.
Please contact Dr Nick Brunton, Partner in our Environment and Planning team if you would like further information about how the proposed legislative review might impact your particular situation.
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