NSW Department of Planning and Environment

Improving the infrastructure contributions system

In October 2021, the Department of Planning and Environment exhibited a package of reforms to implement recommendations made by the Productivity Commission, following its review into infrastructure contributions. 

We received 831 submissions from stakeholders and are working with them to try to resolve issues which include possible changes to the policies.  As a result, the legislation that is before Parliament will not be progressing at this stage.
 
The Government is still committed to improvements to the development contribution system. We can still enhance and optimise how the infrastructure contributions system operates.
 
We will continue to work with stakeholders on the improvements, including planning and funding practices, and build the digital service which will modernise and digitise how infrastructure contributions are managed. This digital service will give councils confidence that funds will be collected and improve transparency for all users.
 
We will also work with stakeholders to on-board users onto the digital service, and ensure appropriate training and support is available throughout this period. 
 
We are now preparing a program of work for improvements for consultation which we will share shortly, along with the exhibition summary.
 
We thank all community members, councils and industry stakeholders, for their valuable input.

View our frequently asked questions

What did we exhibit?

As the first step of the reform legislation was introduced to the NSW Parliament. This enabling legislation provides the foundations for a stronger infrastructure contributions system and will be supported by amendments to the Environmental Planning and Assessment Regulation, policy instruments and practice notes. Together these form the framework for a reformed contributions system.

The public exhibition period has now ended. To view the exhibition documents see the relevant link below to the planning portal submission page:

Key benefits

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Find out more about the recommendations and where you can find the recommended policy changes in our exhibition material.

Image of families at Mort Bay park in Balmain, NSW. People, grass, trees and a children’s playground is in the image. Photo by DPIE.

Legislation has been introduced to the NSW Parliament as part of the infrastructure contributions reforms. The new laws will boost productivity, provide certainty for industry and support housing supply and affordability.

Image of a  young man and woman walking in Gardiner Park in Banksia, NSW. Photo by DPIE.

We have heard from councils, industry, and the community that the old system wasn’t working. We will continue to work with stakeholders on implementing the recommendations in our reforms package.

Explore the key aspects of the system

Image of birds-eye view of construction at Shellharbour Marina. Photo by DPIE.

Reforms to how the State Government collects contributions to pay for state infrastructure including the Regional infrastructure contributions (RIC) Framework.

Image of playground on the foreshore of park, NSW. Photo by DPIE.

We are amending the EP&A Act and EP&A Regulation to implement reforms.

Image of an animated design of roads, parks and buildings.

As we update the infrastructure contributions system it’s important to update the practice notes at the same time.

Image of new housing, road and green grass at Oran Park, NSW. Photo by DPIE.

Our reforms change the timing of local contribution plans; and opportunities for dual use and shared use of open space.