NSW Department of Planning and Environment

Compliance levies

Certainty sought for compliance funding

The NSW Government is shaping the compliance funding framework as part of reforms to build a faster and simpler planning system.

What are the changes?

The key changes are:

  • councils are no longer able to charge compliance-related fees or levies on development applications
  • simplified compliance cost notes for consistency and certainty.

We will continue to support councils undertaking compliance on issues relating to local development.

Compliance cost notices

A compliance cost notice allows councils to recover the reasonable cost and expenses they have incurred from compliance activities.

These notices are issued alongside a compliance order to recoup costs when a builder has broken the rules.

The NSW Government has updated this framework to make cost recovery easier.

These changes ensure councils have the resources they need to ensure builders are following the rules, while minimising the impact on those seeking to do the right thing.

The new framework means councils will now:

  • be able to collect $750 for costs associated with a notice of intention to issue an order
  • be able to collect the reasonable costs and expenses associated with an investigation, with the removal of the previous limit of a maximum of a $1,000
  • need only to list the costs and expenses incurred when issuing the notice instead of a prescriptive breakdown on the basis of the costs.

What happens next?

The NSW Government acknowledges the important role councils play in ensuring compliance with planning law at the local level.

We will keep working with councils and stakeholders to ensure council compliance functions are well funded and efficiencies are realised.

More information

Please read the frequently asked questions (PDF, 87 KB).

Page last updated: 27/02/2023