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State Planning Agreements: A Comprehensive Guide

State Planning Agreements (SPAs) are one of the most crucial tools for effective land use planning and development in Australia. They are agreements between local councils and state governments that outline the contributions that developers must make to local communities in exchange for permission to build more residential or commercial properties.

Here’s everything you need to know about State Planning Agreements:

What are State Planning Agreements?

State Planning Agreements are contracts between councils and developers that enable the sharing of the costs and benefits of development. They are legal agreements that can take several forms, including voluntary planning agreements, planning agreements, and development contributions plans.

Voluntary Planning Agreements (VPAs) are agreements between developers and local councils, which outline the contributions they will make to the local community in exchange for approval to build. Planning Agreements (PAs) are agreements between developers and the State government, which sets out what the developer must do in exchange for approval to build. Development contributions plans (DCPs) set out the contributions that developers make to provide infrastructure such as roads, parks, and community facilities.

Why are State Planning Agreements important?

State Planning Agreements are important because they provide a means of ensuring that developers pay their fair share of the costs of new development. They allow councils and the state government to ensure that infrastructure like roads, schools, and parks are provided to cater to the needs of the community.

At a city or state level, SPAs also ensure that development is based on a strategic approach to land use and development. This approach includes considering the capacity of existing infrastructure, the availability of public transport, and the potential impact on the environment.

How do SPAs work?

The process of creating a SPA typically begins when a developer submits a development application to the local council. The council will assess the proposal and determine if it requires a SPA. If so, the council and developer will negotiate an agreement that outlines the contributions the developer will make. The agreement may be revised before it is finally approved, and the developer will then be required to fulfill the commitments outlined in the agreement.

What are the benefits of State Planning Agreements?

The benefits of SPAs to the community are numerous. They provide a means of ensuring that infrastructure is provided to cater to the needs of the community, and that developers pay their fair share of the costs of new development. This creates better-designed communities with higher-quality infrastructure, which can attract more residents and businesses to the area. They can also provide potential for a developer to gain approval for a development that they may have otherwise been unable to move forward with.

Conclusion

State Planning Agreements are an essential tool for balanced, sustainable development, ensuring that both developers and communities benefit from new development. They provide a means of ensuring that infrastructure is provided to cater to the needs of the community and that developers pay their fair share of the costs of new development. As such, they are a crucial part of the planning process for new development, ensuring that communities are designed with long-term sustainability in mind.