The Part 17 approval pathway contained in the Planning and Development Act 2005 (P&D Act) was intended to be a temporary measure to prioritise significant developments that were construction-ready during the COVID-19 pandemic. The modified approval pathway was considered necessary to ensure there was a pipeline of shovel-ready projects when there was a need to create jobs and provide certainty, in an otherwise uncertain environment. The Part 17 approval pathway was operational during the original recovery period, which concluded on 7 January 2022.
Recently legislation has been passed to amend the P&D Act to re-activate the Part 17 approval pathway and to extend the substantial commencement period.
It was envisaged that the Part 17 approval pathway would be replaced by a special matters development assessment panel. However, following extensive consultation by the McGowan government, more time is needed to ensure the policy settings are appropriate and community and stakeholder concerns are adequately addressed.
Currently we have a potentially ‘overheated’ construction market where labour and materials are in short supply and transportation costs are increasing, which is directly impacting housing affordability. In such an environment, questions have been asked as to why it is necessary to continue with the modified approval pathway, which directly relates to significant developments and has little to do with affordable house and land packages that are often purchased by first home buyers.
The concern is that due to labour and supply shortages, developers have been unable to commence construction and approvals obtained via the Part 17 approval pathway will lapse, requiring proponents to re-apply for approval.
It is one thing to grant an extension to an existing or recently lapsed approval where significant investment and delays have occurred, it is quite another to continue with the Part 17 approval pathway which was only intended to be a temporary measure during the COVID-19 pandemic for shovel-ready developments, and which largely curtailed community and council involvement.
Under the interim and proposed future approval pathways for significant developments, it is anticipated that developments will be approved based on the content of draft planning schemes, after being advertised but prior to having gone through a full consultation period and ratification by the WA Planning Commission. This will impact on the role local governments have traditionally fulfilled in preparing and administering local planning schemes which are, or were, traditionally focused on local community-based outcomes.
Ultimately, these modified approval pathways which started as a temporary means to fast-track developments during COVID-19, will have a significant impact on the amenity of local communities and, more significantly, the weight that ought to be afforded to draft planning schemes. This is particularly relevant with respect to significant developments which, due to their size and value, may be controversial at a local level but are considered by others to be of state or regional importance.
For more information, please contact our Planning team.