What are development contributions?

    Development contributions (also known as local infrastructure contributions) are charged by Council when new development occurs. 

    These contributions fund local infrastructure needed to support an increased number of residents in the area. This type of local infrastructure typically includes local roads, stormwater and drainage, shared pathways, parks, playspaces or other recreational areas, environmental land and community facilities.  

    Contributions may be in the form of cash payments, transfer or dedication of land (such as land for a new park), works in kind or the provision of public amenities or services not included in a contributions plan. 

    The NSW Government sets the legislation and policy framework for how Council collects and administers contributions, which is governed by the Environmental Planning and Assessment Act 1979.

    What is a voluntary Planning Agreement?

    A Voluntary Planning Agreement (VPA) is an agreement entered into by a planning authority and a developer.  Under an agreement a developer agrees to provide or fund:

    • public amenities and public services;
    • affordable housing; and
    • transport or other infrastructure.

    Contributions can be made through:

    • dedication of land;
    • monetary contributions;
    • construction of infrastructure; and/or
    • provision of materials for public benefit and/or use.

    VPAs cannot be entered into unless public notice has been given and an explanatory note is made available for inspection for at least 28 days.

    The Environmental Planning and Assessment Regulation 2000 requires that Council maintain a planning agreement register for public inspection.  The register must include:

    • a short description of any VPA that applies to the area of the Council,
    • the date the agreement was entered into,
    • the names of the parties, and
    • the land to which it applies.

    Who is involved in this Planning Agreement?

    The parties entering into this Planning Agreement are:

    Cessnock City Council ABN 60 919 148 928 of 62-78 Vincent Street, CESSNOCK NSW 2325 (Council)

    &

    Snowy Hydro Limited ABN 17 090 574 431 of Monaro Highway, Cooma (Developer)

    What is the proposed development?

    The development of the Hunter Power Project (Kurri Kurri Gas-Fired Power Station) in accordance with the Infrastructure Approval granted by the Minister for Planning and Public Spaces on 17 December 2021.

    What is the goal of the Planning Agreement?

    To meet the requirements of Conditions A25 to A27 of the Infrastructure Approval which requires the Developer to contribute $880,000 to agreed project or projects with community benefit and a demonstrated link to the Development.

    What is the effect of the Planning Agreement?

    The Draft Planning Agreement:

    • relates to the carrying out of the Development by the Developer;
    • provides for a funding contribution of $880,000 to assist with the embellishment of Lot 1 Sec 39 DP 758590, known as Booth Park Kurri Kurri, for the public purpose of a netball facility; and
    • provides for the payment of the contribution within 10 days after execution of the agreement.