Climate change and the rental Briefing sector: Mapping the legislative Paper SEVEN and policy context: Local

government

Palmer, J., Instone, L., Mee, K., Williams, M., Vaughan, N. (2012) Centre for Urban and

Regional Studies Acknowledgements: School of Environmental and Life Sciences University of Newcastle Callaghan, NSW, 2308 http://www.newcastle.e du.au//research- centre/urban-and- regional-studies

SUSTAINING RENTAL LIFE SERIES NOTE

The Briefing Paper series of the ‘ Rental housing, climate change and adaptive capacity: a case study of Newcastle NSW’ project seeks to provide readers with access to current research on rental sector adaptation to climate change. Briefing Papers produced by the project team are working documents that provide a forum on theoretical, methodological and practical issues related to climate change adaption in rental housing. The project is funded by the National Climate change Adaptation Facility (NCCARF) for 2012. The publication as a ‘Briefing Paper’ does not preclude subsequent publication in scholarly journals, books or reports. Unless otherwise stated, ‘Rental housing, climate change and adaptive capacity’ publications are presented as contributions to debate and discussion and represent our developing thinking about the research. We are hoping that they may facilitate feedback from readers, researchers, renters and housing managers.

Briefing Papers are available in electronic format and may be downloaded from the Sustaining Rental Life website: http://www.newcastle.edu.au//research-centre/urban-and- regional-studies

The correct citation for this publication is:

Palmer, J., Instone, L., Mee, K., Vaughan, N., and Williams, M. (2012) ‘Climate change and the rental sector: Mapping the legislative and policy context: Local government’, Centre for Urban and Regional Studies, University of Newcastle, Sustaining Rental Life Briefing Paper 7.

Also visit us on Facebook at https://www.facebook.com/SustainingRentalLife

Enquiries may be directed to:

Dr Lesley Instone & Dr Kathy Mee Geography and Environmental Studies University of Newcastle Callaghan, NSW, Australia

University Telephone: +61 2 49216637 or +61 2 4921 6451

Email: [email protected] or [email protected]

Cover image by J Palmer, from maps by Geoscience Australia:

© Commonwealth of Australia (Geoscience Australia) 2012.

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Contents Newcastle Community Strategic Plan ...... 14 Introduction ...... 3 Newcastle Local Environment Plan Role of local government ...... 3 2003 ...... 14 1. Legislative provisions for local Newcastle City Centre Local government ...... 3 Environment Plan 2003 ...... 14 2. Local Government and ESD ..... 4 Newcastle City Council Affordable City of Lake Macquarie Housing Strategy ...... 15 Environmental Sustainability 10. Lake Macquarie local Action Plan ...... 6 government planning ...... 16 3. ESD resources for councils ..... 6 Lake Macquarie Local 4. Local government and climate Environment Plan 2004 ...... 16 change ...... 7 Local government services ...... 16 5. Flood management ...... 8 11. Waste Management ...... 16 Overview ...... 8 12. Transport and pedestrian Newcastle City-Wide Floodplain networks ...... 17 Risk Management Study and Plan Cycling networks ...... 18 ...... 8 Pedestrian networks ...... 18 Lake Macquarie Flood Studies ..... 9 13. Water ...... 19 Lake Macquarie City Council response to Flood Studies ...... 10 14. Electricity ...... 19 Sea Level notifications (S149(5)) Local government incentive ...... 10 programs ...... 19 6. Climate change resources for 15. Incentives for landlords ...... 19 councils ...... 11 Sustainable Building Advisory Climate Change Action Pack ..... 11 Service, Newcastle ...... 19 City of Lake Macquarie Sea Level 16. Incentives for communities ... 20 Rise Assessment Tool ...... 11 Incentives for recycling ...... 20 7. Funding of local government . 11 Lake Macquarie City Council Infrastructure funding for local Sustainable Neighbourhoods councils...... 12 Program ...... 20 Local government land use planning References ...... 21 ...... 13 Contacts for further Information ..... 25 8. Overview ...... 13 9. Newcastle local government planning ...... 14

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INTRODUCTION engage in sustainable practices and to adapt to climate change. This briefing paper is one of a series that supports our research project on This Briefing Paper is the third in the set climate change and the rental sector, of four on this topic, and provides an focusing on the Newcastle and Lake overview of role of local government, Macquarie areas of . particularly in Newcastle and Lake Macquarie in New South Wales, which The research project takes an asset- are our two study areas. based approach (see Briefing Papers 1 and 2) to identify the skills and Commonwealth and State Government capacities of tenants to contribute to legislative and policy roles are climate change adaptation and discussed in Briefing Papers 5 and 6 sustainability. respectively.

The project also examines those Briefing Paper 8 analyzes the conditions which either enable, or act as implications of this legislative and barriers to, adaptation and sustainability political context for the capacity of in the rental sector. In addition to tenants, landlords and property obtaining advice on these issues during managers to adapt to climate change. interviews and focus groups, we examine in Briefing Papers 5-8 the ROLE OF LOCAL GOVERNMENT wider context of legislation and policy at 1. Legislative provisions for all levels of government. local government

Briefing Papers 5, 6 and 7 provide an The Australian Constitution makes no overview of Commonwealth, State or explicit mention of local government local government’s policy and legislative (Hyder Consulting 2011), and the role, focusing on: powers and responsibilities of councils in NSW derive mainly from the NSW • ecologically sustainable Local Government Act 1993 1. development (ESD) • response to climate change However councils are independent • land use planning corporate bodies, and the NSW Minister • affordable and sustainable rental for Local Government and Department housing of Local Government do not have the • sustainability of services such as authority to direct councils’ day-to-day water, energy and transport decision-making in areas such as • incentives to encourage planning, resource allocation or sustainable housing, enforcement decisions (DLG undated). communities and households.

These Briefing Papers canvas policy, 1 The current Commonwealth Government has regulation and programs which are likely proposed that the issue of constitutional recognition of to affect the capacities of tenants, local government be referred to a Parliamentary landlords or property managers to Committee to assess whether a referendum on the issue is likely to be successful (Karvelas 2012).

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Some key Council responsibilities under land) (NSW Environmental State law include: Planning and Assessment Act 1979 (Department of Planning)) • council social or community plans • subdivision of land (NSW (NSW Local Government Act Environmental Planning and 1993) Assessment Act 1979 • development affecting waterways (Department of Planning)) (NSW Rivers & Foreshores • waste management (NSW Improvement Act 1948 Environmental Planning and (Department of Planning)) Assessment Act 1979 • development applications and (Department of Environment and consents (NSW Environmental Conservation)) Planning and Assessment Act • water supply (NSW Water Supply 1979 (NSW Department of Authorities Act 1987 (Department Planning)) of Planning, Department of • greywater reuse (NSW Local Environment and Conservation, Government Act 1993 Department of Lands, Department (Department of Local Government of Local Government)) (adapted and NSW Health)) from DLG undated). • land use/environmental planning (NSW Environmental Planning 2. Local Government and ESD and Assessment Act 1979 The responsibilities of local government (Department of Planning)) for ecologically sustainable • pollution (NSW Protection of the development (ESD) are described in Environment Operations Act 1997 general terms in the 1992 (Department of Environment and ‘Intergovernmental Agreement on the Conservation (Environment Environment’ (see Briefing Paper 5). Protection Agency)) The Agreement states that: • rates and charges (NSW Local Government Act 1993) • local government has a • rainwater tanks (NSW Code of responsibility for the development Practice for Plumbing and and implementation of locally Drainage Regulation (Department relevant and applicable of Energy, Utilities and environmental policies within its Sustainability)) jurisdiction in co-operation with • rezoning of land (NSW other levels of Government and Environmental Planning and the local community. Assessment Act 1979 • local government units have an (Department of Planning)) interest in the environment of their • roads (NSW Roads Act 1993 localities and in the environments (Roads and Traffic Authority, to which they are linked Department of Lands, Department (DSEWPC 2010). of Local Government)) • stormwater drainage The Agreement was endorsed by the (development consent for private Australian Local Government

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Association but did not bind Councils to Improvement Payment program (Hyder observe its terms. However the NSW Consulting 2011), and engagement of Land and Environment Court has stated local community groups in that “a proper exercise of the powers of environmental projects (see for example local government authorities would LMCC 2011a; NCC 2012b). Activities mean that they would apply the ESD related to sustainable planning and policy unless there were cogent reasons development, and responses to climate to depart from it” (Biscoe 2007). change, are discussed below.

The NSW Local Government Act (1993) In the areas under study in our project, states that ecologically sustainable the principles of ESD are referred to in development requires the effective the Newcastle Local Environment Plan integration of economic and (LEP) (2003 (updated June 2011)) and environmental considerations in the Newcastle City Centre LEP (2008). planning (LGSA undated-a, s.402). The Newcastle LEP aims for “community wellbeing developed in a A Council’s charter as set out in the socially and environmentally responsible Local Government Act includes: manner” which reflects one of the • to properly manage, develop, objectives of the Community Strategic protect, restore, enhance and Plan: a caring and inclusive community conserve the environment of the (NCC 2011b). The LEP also aims for area for which it is responsible, in increased use of public transport and a manner that is consistent with housing in locations which improves and promotes the principles of access to employment. ecologically sustainable The Newcastle Community Strategic development Plan, Newcastle 2030 (NCC 2011b) • to have regard to the long term specifically refers to the pillars of ESD: and cumulative effects of its the precautionary principle, inter- decisions generational equity (and social justice • to engage in long-term strategic for current generations), conservation of planning on behalf of the local biodiversity and including environmental community costs in pricing mechanisms (the • to exercise its functions in a polluter pays principle) (NCC 2011b). manner that is consistent with and promotes social justice principles The Lake Macquarie LEP (2004 of equity, access, participation and (updated July 2012)) has as its rights (Local Government Act overarching objective “the development 1993). of land in accordance with the principles of ecologically sustainable Examples of local government development”. sustainability activities include environmental monitoring (see for These local land use plans are example under ‘Water’ below), more discussed further below. robust waste recycling systems such as the Waste and Sustainability

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City of Lake Macquarie 3. ESD resources for councils Environmental Sustainability Action Plan Until 2011 councils could apply to the Urban Sustainability Support Alliance In addition to incorporating ESD into its (USSA) for: Local Environment Plan, Lake Macquarie City Council has developed • seed funding, to assist councils to an Environmental Sustainability Action develop local sustainability plans Plan. This Plan (LMCC 2011b) in partnership with their local incorporates sustainability actions community identified in the range of Council • major project grants, for projects strategic planning documents. It is addressing sustainability issues in based on the principles of the an integrated manner Community Plan 2008-2018 (LMCC • the Urban Waterways Initiative, for 2012a), which makes reference to projects looking to enhance equity and environmental sustainability sustainability in the priority urban not only at the local level but at regional catchments (NSW Environmental and global levels. The aims of the Trust 2010). Community Plan are: USSA was coordinated by the Local • to provide integrated Government and Shires Associations of environmental management, NSW and funded by the NSW strategic planning, services and Environmental Trust. This funding waste management to enhance finished in 2011, and the Alliance is no and sustain the natural, social, longer functioning. However it has cultural and built environment and produced a number of publications for contribute to an equitable regional councils: and global ecological footprint • • to advocate for and develop Sustainability Tool Selector: A opportunities that will ensure all Guide for Local Government residents have equal opportunity • Barriers and Drivers to to participate in the economic and Sustainability in Local social life of the community Government • to maintain and develop a • Local Government Sustainability: sustainable road and drainage Professional Development Needs. network and facilitate continual The Local Government and Shires improvement of the city’s transport Association (LGSA) now offers network resources to councils based on • that the city’s economy prospers, knowledge gained from USSA, and with managed growth that including: enhances the quality of life, while balancing employment and • subscriptions to sustainability environmental aims (LMCC news 2012a). • events and training • a list of sustainability resources

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• case studies on current discussion under ‘Funding of local sustainability projects (LGSA government’ below and in Briefing undated-a). Paper 8).

4. Local government and climate The Lake Macquarie Environmental change Sustainability Action Plan (discussed above) includes a target of “[n]o net A recent statement by the NSW Office increase in exposure of Council and the of Environment and Heritage on working community to risks from climate change” with other governments “recognises the (LMCC 2011b); it too is largely focused principal role that Local Government on preparing for sea level rise and on has in responding to climate change flood planning and prevention, including impacts” (NSW OEH 2012). security of infrastructure (LMCC 2011b Examples of initiatives by local councils Section 8 Climate Change Adaptation). to reduce greenhouse gas emissions The Plan does however outline include: responses including risk assessments and planning for more frequent storms • Newcastle City Council’s 20% and bushfire, and a public awareness reduction in greenhouse gas campaign on risks of heat stress emissions below projected 2008 (NCCARF undated). levels, achieved through a range of community programs, including the Newcastle City Council’s strategies for Climate Cam program climate change adaptation are contained with its Community Strategic • City Council’s reduction Plan, Newcastle 2030 , with an in its emissions by 41% between emphasis on communication and 1996/97 and 2006/07 community awareness. The Community Plan aims to: • Ku-ring-gai Council’s development of a climate change adaptation tool • develop and communicate a clear which ranks climate change risk on understanding of environmental a local scale, such as local storm and climate change risks events (Pillora 2010). • engage the community in risk management processes and However council responses to climate ensure transparency in change have focused mainly on rising communicating decisions on risk sea levels and flood protection treatment options (discussed later in this paper) • ensure that all actions, decisions Management of the coastal zone and and policy response to climate flooding has devolved largely to councils change remains current and through their land use planning reflects capacity, community responsibilities, and in line with other ESD initiatives commenced at to Integrated Coastal Zone Management’ (ICZM), it has Commonwealth and State levels 2 (see been noted that “governance arrangements for the Australian coastal zone have been characterised as 2 complex, highly fragmented, and, at times, Despite agreement between Commonwealth and inconsistent” (De Sousa et al. 2010). State Governments in 2003 to a ‘Cooperative Approach

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expectations and changes in community their exposure and environmental and climate change responses to flood risks. information (NCC 2011b, It includes a scheme to encourage Objective 2.3). residents to provide a flood refuge, high Local government planning for flood and enough to be free from flooding and sea level rise in the Newcastle and Lake which would not collapse during Macquarie areas is discussed in the extreme floods. The first stage of the following sections. draft Management Plan, a ‘5 Year Plan’, aims for 200 new flood-free refuges to 5. Flood management be provided on a voluntary basis by Overview property owners.

Tenants represent a substantial The Plan suggests that encouragement proportion of residents in low-lying and incentives for landowners to areas of Newcastle (45-50% of construct refuges could relate to residents in Carrington and “certification” of the refuge. A Wickham/Maryville for example). Flood certification scheme for ‘flash flood free’ management plans which call into refuges could be linked to the S149 question the future viability of these notification process, meaning that if the suburbs, or call for widespread notification indicates the property has a retrofitting of flood refuges to existing flood risk, then it should also indicate housing stock, or raising of houses, whether it has a valid flash flood free have particular significance for the refuge. The current Newcastle Flood housing security of these groups. DCP requires an on-site flood refuge where there is a present risk to life. Under the NSW Government Flood Policy (DEH 2011), the management of The draft Plan also proposes a ‘shared flood liable land is the responsibility of refuge’ scheme similar to local government. The State “Neighbourhood Watch” whereby Government subsidises flood mitigation properties that have flood free refuge works to alleviate existing problems and are identified by a window/letterbox provides specialist technical advice to sticker or plaque. This could most assist councils in the discharge of their readily occur in newer developments floodplain management responsibilities providing the refuge is accessible from (WMAwater 2011a). the street.

Newcastle City-Wide Floodplain Risk The Plan recommends that occupants Management Study and Plan of business, government and residential premises have private flash flood The Newcastle City Council’s draft emergency response plans which where Floodplain Risk Management Plan practical have evacuation as the (BMT WBM 2012) is based on the NSW preferred initial response. Government’s 2005 Flood Plain Development Manual . It provides Some councils already have a subsidy guidelines for management of flood scheme for owners to raise houses to prone lands and education of the ensure that floor levels are above flood

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levels. in the marginal additional cost”. Australian region operates a house raising Building Codes are now being modified scheme which pays up to $81,000 to to make greater provision for flood residential property owners whose resilience, especially in the light of the houses are low enough to qualify. 2010 floods. Owners can then choose to invest this subsidy into raising the house, or to The Plan notes that other planning instruments and strategies which have demolish and rebuild the house at a higher floor level. the potential to change land use, such as the Lower Hunter Regional strategy, The Newcastle Risk Management Plan the Newcastle City LEP and other city suggests that in Newcastle, where many revitalisation strategies, will also need to houses suitable for raising are located take into account the findings of the within low-lying suburbs, the long term Risk Management Plan. viability and management of these Lake Macquarie Flood Studies suburbs needs to be addressed first. With streets currently at a level of about To develop its Flood Risk Management 1m AHD, some Newcastle suburbs will Plan, Lake Macquarie City Council become unlivable with a sea level rise of commissioned two studies: a metre or so. • a Waterway Flood Study to A rescue plan for these suburbs would determine the nature and extent of require broadscale filling, which would the flood problem (WMAwater involve (compulsory) acquisition of 2011b) many hundreds of properties at great • a Waterway Flood Risk cost. However the draft Plan suggests Management Study to evaluate that voluntary purchase by local management options for the government of flood-prone properties floodplain, for both existing and could be economically feasible when the proposed development potential for damage due to future (WMAwater 2011a). climate change was taken into account. The studies used the methods required The alternative would be to abandon by the NSW Floodplain Development these suburbs allowing them to revert Manual (DEH 2011) and the August back to swampland, which would result 2010 Flood Risk Management Guide in an economic loss in excess of $1 (DECCW 2010). billion of existing property value. The Plan recommends that development Modelling used predicted sea level rises controls take this into account within the of 0.4m by the year 2050 and 0.9 next 10 years. metres by the year 2100, based on predictions of the Intergovernmental Other strategies canvassed in the Plan Panel on Climate Change (IPCC) and include changes to building materials to the CSIRO Technical Review for reduce damage during flood, which Australia. The predicted SLRs, at the could be undertaken by building owners time of the studies, formed part of the during renovations “at a relatively NSW State Government guidelines, but

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the State Government stated in Plans, before being decided by Council September 2012 that councils were no (LMCC 2011c). longer required to adopt these figures Sea Level notifications (S149(5)) (Higgins 2012) (see section on ‘Sea Level Notifications’ below, and Briefing As noted in Briefing Paper 6, in Paper 6). September 2012 the NSW State Government responded to pressure Modelling in the Lake Macquarie flood from residents about the effect of studies showed significant areas of predicted sea level rises on property inundation of residential and commercial values, and withdrew the requirement properties by the year 2100. that sea level rises modelled by the Lake Macquarie City Council IPCC and CSIRO be used by councils in response to Flood Studies their flood management plans (Higgins 2012). The Council’s review of the studies (LMCC 2012b) included consultation Earlier, in July 2012, a NSW Council with residents, community groups, had already overturned a key part of its business, and industry. The outcomes coastal management strategy, the of this consultation are to be issuing of sea level rise notifications incorporated into a final Lake Macquarie attached to Planning Certificates. Flood Study and Lake Macquarie Waterway Risk Management Study and S149 Planning Certificates are legal Plan. documents issued by Council under the provisions of Section 149 of the Council has stated that it is working to Environmental Planning and develop long-term land-use planning Assessment Act 1979. Under NSW and development controls in vulnerable conveyancing regulations, every areas (LMCC 2011c). Measures already contract for the sale of land must have a in use for new developments include Section 149 certificate attached to it by minimum floor height requirements, set- the vendor (NCC 2012a). The basic backs from the foreshore, adaptable Section 149(2) certificate contains building design, and avoiding notifications including applicable intensifying development in low-lying planning controls, zoning, and areas: complying development on the land. However the full Section 149(2 plus 5) All properties around the lake Certificate contains additional foreshore below 3 metres AHD have notifications about such matters as risk the potential to be affected, although assessment studies, geotechnical local factors will be considered in each reports, and drainage (NCC 2012a). case (LMCC 2011c). The City Council had previously The Council’s policy statement notes required these notifications to include that any major changes will involve the exposure of a property to predicted community collaboration in the sea level rise in the next 100 years. In development of local Area Adaptation deciding not to proceed with the SLR notifications, the Council responded to

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pressure from residents, who claimed 7. Funding of local government that the notifications “had sent property values plummeting and had seen a As noted above, many of the climate huge rise in insurance premiums” change responses by government and (Collins 2012). the implementation of ESD objectives have devolved to the local government 6. Climate change resources for level, particularly in the area of land use councils planning. Funding for these responsibilities has been a recurring Climate Change Action Pack issue. The Climate Change Action Pack Funding from the Federal Government developed for the Local Government occurs through the Federal Local Association of NSW and the Shires Government (Financial Assistance) Act Association of NSW aims to enhance 1995 , and State-based Local local government understanding of the Government Grants Commissions. impact of climate change and assist General Purpose Grants to councils councils to mitigate and adapt to climate under this Act have no requirements on change (NSW OEH 2012). how they are to be spent, but allocations The Action Pack includes templates and by the State Commissions must comply guidelines for developing a climate with the following principles: change action plan, technical • ensure that each council is able to references, risk assessment tools and function at a standard not lower case studies of other councils (LGSA than the average standard of other undated-b). councils City of Lake Macquarie Sea Level • the policies of individual councils Rise Assessment Tool in terms of expenditure and revenue efforts will not affect the The eShorance tool was developed for grant determination Lake Macquarie City Council with • the minimum grant for a council is financial assistance from the NSW to be not less than the amount to Government’s Estuary Management which it would be entitled if 30 per Grants program (LMCC 2010). cent of the total amount were It is intended for use by all managers of allocated on a per capita basis estuarine shores, to help them • other relevant grant support is to understand how the local shoreline may be taken into account respond to rising sea levels. eShorance • to be allocated by councils in a estimates the shift in the shoreline from way which recognises the needs inundation (flooding of the land) and of Aboriginal peoples and Torres possible erosion (movement of Strait Islanders sediment). • for four years after councils are amalgamated, the grant should be (See also guides produced by the the same as the total provided to Victorian Department of Sustainability and Environment 2012)

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the former bodies (Hyder services …as well as the provision of Consulting 2011: 21). health services and cultural, leisure and sporting facilities. The adequacy of A 1974 Commonwealth referendum to resources available to local government allow the Australian Government to is significantly impacted by cost shifting directly fund local government rather onto local government” (Australian than having to pass the funds through Government et al. 2006). state and territory governments, was defeated (Hyder Consulting 2011). The purpose of the Intergovernmental However there is some Federal Agreement was to ensure that “when a government funding of councils through responsibility is devolved to local direct grants (Hyder Consulting 2011: government, local government is 19). consulted and the financial and other impacts on local government are taken Most of the revenue received by into account” (Australian Government et councils comes from rates payments by al. 2006). land-owners (especially in cities), sales of goods and services (such as However a 2012 review of local payments for licenses and permits, government infrastructure funding noted development contributions, user that there are significant restrictions on charges for water and sewerage income for councils in NSW, where the services, parking, libraries, and other Local Government Act 1993 allows the community facilities), and government Minister for Local Government to set a grants (Ernst and Young 2012). limit on the percentage increase in total general income that councils can raise In 2006 an ‘Inter-Governmental from rates (Ernst and Young 2012: 20; Agreement Establishing Principles see also McKay and Rauscher 2005). Guiding Inter-Governmental Relations on Local Government Matters’ was Shortfalls in local government funding developed between the Australian have been noted in several areas Government, all State and Territory including environmental sustainability Governments, and the Australian Local (McKay and Rauscher 2005), Government Association 3. It noted that infrastructure (Ernst and Young 2012) local government “is responsible for and public health services such as more than just roads, rates and rubbish. environmental monitoring and waste It plays a critical role in town planning, management (NPHP 2002). The funding health and environmental protection, the issues discussed in the example below provision of water and sanitation are canvassed further in Briefing Paper 8. 3 The Australian Local Government Association Infrastructure funding for local is a federation of state and territory local councils government associations representing 560 councils. ALGA's President is on the Council of Australian Governments (COAG). The ALGA In Australia, all three tiers of Board consists of two representatives from each government share responsibility for of the member associations and two from the publicly provided infrastructure. Local ACT Government (ALGA 2012). government is required to maintain a

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minimum quantity and quality of by local government and its infrastructure to fulfil its legislative responsibilities to provide services and mandate to local communities (Ernst infrastructure to the community means and Young 2012). that it is entirely appropriate for a portion of taxation revenues to be A recent review of local government passed down to councils by the infrastructure funding noted Australian, state and territory [A] range of challenges … continue to governments (Ernst and Young 2012: make it extremely hard for councils to 22). meet their obligations to the The review proposed a demonstration community. First among these is that project be marketed to private investors, more and more is being taken on by such as a ‘waste-to-energy’ project, and the sector, both on its own accord or noted that irrigation projects already passed down from other tiers of underway in would be a government. As a result, the useful precedent. infrastructure obligations of most councils continue to grow. The NSW Government has established a Local Infrastructure Renewal Scheme The evidence suggests that there is (LIRS) which provides councils with a not enough engagement with local subsidy towards interest costs to make government during the early stages of it affordable for them to take out major significant [infrastructure] projects or bank loans to fund their projects: policy changes. Long-term planning by the sector is unnecessarily This investment in debt funding has complicated by late or partial been proven to be far less expensive disclosure of actions which are than paying for the long-term recurring material to their prioritisation of maintenance requirements of projects and ultimately their financial deteriorating assets (DPC 2012). position (Ernst and Young 2012). LOCAL GOVERNMENT LAND USE This report recommended that Federal PLANNING and state governments commit to completing ‘local government impact 8. Overview statements’ to support new policy Briefing Paper 6 sets out the proposals and projects, where there is relationship between planning likely to be a direct cost impact upon instruments under the NSW local government (Ernst and Young Environmental Planning and 2012). Assessment Act 1979 . These instruments include State Environmental It also recommended that the Federal Planning Policies (SEPPs) (prepared by Government consider establishing a the State Government) and Local financing authority to assist local Environment Plans (LEPs) (prepared by government in attracting investment: local councils with some financial [T]he mismatch between the relative assistance from the Government’s amount of taxation revenue collected Planning Reform Fund (DoPI 2011b)).

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An LEP builds on local Community as the Newcastle City Environment Plans developed by councils, and is Management Plan (NCC 2003), generally required to comply with any Biodiversity Strategy (NCC 2006), and provisions of State Environmental Carbon and Water Management Action Planning Policies. LEPs in turn are Plan (NCC 2011a). used by the Council to prepare Newcastle Local Environment Plan Development Control Plans against 2003 which applications for any development are assessed 4. The Newcastle LEP (2003 (updated June 2011)) has the following aims to 9. Newcastle local government support sustainability: planning • protection of natural and cultural Newcastle Community Strategic Plan heritage, and the identity and The Newcastle Community Strategic image of the City Plan Newcastle 2030 (NCC 2011b) is • conservation of the natural and the framework for development of built resources of the City and planning instruments such as the two apply the principles of local LEPs and the Council’s ecologically sustainable Development Control Plans. development (ESD) • community wellbeing developed It sets out general objectives for city in a socially and environmentally planning and the environment which are responsible manner reflected in the current LEPs (see • a diverse and compatible mix of following section), including: land uses, increased use of • connectivity through transport public transport and reduced and pedestrian networks private motor-vehicle • protected and enhanced dependency • environment a diversity of housing types in • vibrant and activated public locations that improve access to spaces employment opportunities, public • caring and inclusive community transport, community and commercial facilities (2003 • liveable and distinctive built (updated June 2011)). environment • smart and innovative city Newcastle City Centre Local • open and collaborative Environment Plan 2003 leadership (NCC 2011b) In addition to the Newcastle LEP, there This Strategy is supported by other is an LEP for Newcastle City Centre more specific strategies and plans such (2008), which aims:

• to promote the economic 4 Note: SEPPs will be superceded by ‘Planning Policies’ in the proposed new NSW planning system revitalisation of the Newcastle city and LEPs by new ‘Local Land Use Plans’. DCPs will be centre replaced by development guidelines incorporated directly into Local Land Use Plans (refer Briefing Paper 6).

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• to strengthen the regional position The LEP does not refer to inter- of the Newcastle city centre generational or intra-generational equity • to protect the positive under ESD objectives; however in a characteristics of the city centre, separate section under the aim of and the quality of life of its local improving “the quality of life and population wellbeing of the people of the City of • to promote employment, Newcastle” (2003 (updated June 2011)), residential, recreational and the LEP states that development tourism opportunities within the should: city centre • maximise positive social impacts • to facilitate the development of and eliminate or minimise building design excellence potentially detrimental social appropriate to a regional city impacts • to encourage responsible • promote inclusiveness in the management, development and provision of access to conservation of natural and man- accommodation, facilities or made resources services (2003 (updated June • to protect and enhance the 2011)). environmentally sensitive areas and natural and cultural heritage The LEP also includes provisions for: • to help create a mixed use place, • with activity during the day and development within the coastal throughout the evening, so the zone in accordance with the Newcastle city centre is safe, NSW Coastal Policy • attractive, inclusive and efficient. development below mean high water mark This LEP requires development • development on flood prone land approval to take account of ESD • bush fire hazard reduction. principles including: Newcastle City Council Affordable • greenhouse gas reduction Housing Strategy • embodied energy in materials and In its 2005 Affordable Housing Strategy building processes (NCC 2005) Newcastle City Council • building design and orientation noted some of the issues for councils in • passive solar design and day providing affordable housing: lighting • natural ventilation Without more clarity, certainty and • energy efficiency and energy legislative protection for Councils on conservation how planning mechanisms can be • water conservation and reuse utilised to deliver affordable housing • waste minimisation and recycling any action to offer incentives to or • reduction of car dependence place levies or additional requirements • potential for adaptive reuse on developers is fraught with the (2008). potential for legal action (NCC 2005).

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The Council noted that no developer to • reinforce and strengthen centres date had taken advantage of the in providing commercial and Council’s floor space bonuses to community services encourage social affordable housing in • provide employment and the City West area (NCC 2005). economic opportunities consistent with the City’s natural, locational The State Government’s Affordable and community resources Rental Housing SEPP released in 2009 • guide the development of urban was revised in 2011 to take account of communities that are compact, feedback that it needed to work more distinct and diverse and include a closely with councils and local range of housing types and communities in promoting affordable activities housing. It committed to working with • achieve a strong sense of positive councils to develop ‘Local Affordable community identity Housing Choice Strategies’, which will • be implemented through Local develop an attractive urban setting Environment Plans (LEPs) (DoPI which reflects the physical and 2011a) (see Briefing Paper 6 for natural environment, and visual details). character • manage the City’s natural The impact of the current proposed new environment so that its ecological NSW planning system (see Briefing functions and biological diversity Paper 6) on these affordable housing are conserved and enhanced strategies is not yet known. • manage the City’s heritage and economic resources in a way that 10. Lake Macquarie local protects their value and enhances government planning the City’s character Lake Macquarie Local Environment • integrate land use with the Plan 2004 efficient provision of public and private movement systems (Lake The Lake Macquarie Local Environment Macquarie City Council 2009). Plan (2004 (updated July 2012)) is based on the city’s Lifestyle 2020 land A update, Lifestyle 2030, is under use strategy (Lake Macquarie City development for land use planning, Council 2009) with its core values of urban design and development up to sustainability, equity, efficiency and 2030. liveability. LOCAL GOVERNMENT SERVICES The aims described in the Lifestyle 2020 strategy are to: 11. Waste Management

• provide the community with The NSW Local Government Act (1993) realistic expectations while states that the functions of local retaining flexibility for land use government include “the provision, decision making management or operation of waste removal, treatment and disposal

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services and facilities” (Hyder Local government also has a role in Consulting 2011: 27). litter management, including litter prevention (behavioural change), litter The cost of domestic waste collection and enforcement of local laws management services is to be on littering (Hyder Consulting 2011: 26). recovered by a charge separate from land rates, which, like rate increases, is Waste water (sewerage) services and capped by the State Minister for Local stormwater drainage in the Newcastle Government (Hyder Consulting 2011: and Lake Macquarie areas are provided 27). All but one of the 152 NSW local by State-owned corporation Hunter governments provides a kerbside Water (see Briefing Paper 6). garbage collection, 83% also offer recyclables services to residents, and 12. Transport and pedestrian 42% offer a green waste collection networks (Hyder Consulting 2011: 34). Public transport is underpinned by local The NSW Environment Protection planning decisions at all levels of Authority 5 issues waste and government (ALGA 2006). State-owned sustainability improvement standards to corporations or corporations contracted be met by councils. The NSW Waste to the State operate public transport and Sustainability Improvement systems (see Briefing Paper 6), but Payment (WaSIP) program is a $256 councils own and maintain public million program that will run from 2009– transport infrastructure such as bus 2010 to 2015–2016. To be eligible to shelters and interchanges, and maintain receive a WaSIP councils are required local roads. They also fund local area to commit to meeting WaSIP Standards, traffic management and bicycle paths which are progressively updated in (ALGA 2010). consultation with local government and Funding can be provided to a council by Shires Associations. the State Government to assist bicycle Ongoing requirements include reporting and pedestrian works, via a to the Department of Environment, Memorandum of Understanding with the Climate Change and Water (DECCW) NSW Roads and Maritime Services. each year under the National The MoU includes an agreed Environment Protection (Used management procedure to be followed Packaging Materials) Measure , and for all council projects funded by the providing tonnage data on collected dry RTA. recyclables and garden organics and The MOU applies to projects funded residual domestic waste (Hyder under: Consulting 2011: 31-32). • Road Safety Programs 5 The NSW EPA is an independent authority • Cyclist Programs responsible for leading business and the community to • improve their environmental performance and for Pedestrian and Urban Amenity managing waste to deliver a healthy environment. The Programs EPA uses education, partnerships, licensing and approvals, audit, and enforcement and economic • Regional Road Programs REPAIR mechanisms, to achieve better environmental outcomes (NSW EPA 2012). Programs (RTA 2009).

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Cycling networks The Australian Bicycle Council’s survey of 305 councils in 2011 concluded that: The Australian Bicycle Council’s 6 National Cycling Strategy (2011) • councils responding to the survey proposes activities which are largely the spent more than $72 million on responsibility of councils, including: bicycle-related programs in 2009- 10 • develop and implement programs • survey participants reported that target road safety and receiving $26m from Australian people’s perception of the safety government and $26 m from State of cycling governments • ensure that all council land use • more than two thirds of planning and infrastructure responding councils either have a strategy documents take into bicycle strategy or are working account active transport needs towards one • when developing local area • there has been a significant cycling action plans, take into increase in the proportion of account the state and territory councils undertaking cycling plans together with community counts from 12% in 2007 to 21% aspirations, priorities and available in 2011 resources • as at June 2010, councils • develop end-of-trip facilities, responding to the survey reported including considering the having constructed 11,704km of introduction of regulations, such cycling infrastructure. When their as planning policies and building cycle networks are complete the standards, to mandate the infrastructure will measure provision of facilities 17,842km (Australian Bicycle • develop local on-road and off-road Council 2011). cycling networks to key destinations in both urban and Pedestrian networks rural areas that are consistent with Together with the State Government, all national standards local councils in NSW have a • work with employers to develop responsibility to provide safe, cyclist-friendly workplace facilities convenient and connected pedestrian and projects routes which will encourage people to • have marketing and education walk rather than use their cars (RTA programs that promote the 2002). benefits of cycling and encourage people to cycle for short personal NSW Roads and Maritime Services trips (Australian Bicycle Council offers financial assistance to local 2011). councils to help them develop pedestrian network plans through 6 The Australian Bicycle Council is funded by Pedestrian Access and Mobility Plans Austroads (the association of Australian and New Zealand road transport and traffic authorities) and the (PAMPs) and to help finance the Commonwealth Government (Australian Bicycle construction of local road crossing Council 2012).

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facilities (DoTRMS 2012). See Briefing to become EnergyAustralia, now Paper 6 for more detail on PAMPS and Ausgrid (IEEE 2007). on Bike Plans. Ausgrid is the distribution network 13. Water operator for the Hunter, Central Coast and Sydney areas. Its environmental The main responsibility of local goals include: government in the for water is in monitoring waterways quality, • meet the requirements of as part of its role in public health and in environmental laws, policies environmental protection. • consider the environmental consequences of business The NSW Waterwatch and Lake decisions Macquarie Adopt-a-SQID (Stormwater • act prudently where environmental Quality Improvement Device) programs risks are uncertain provide community education and • use resources more efficiently monitoring for waterways, SQIDs, minimise waste generation and foreshore, and estuary environments. water usage; The program is funded by Lake • minimise Ausgrid’s energy use, Macquarie City Council and is and support customers in reducing supported by NSW Landcare, NSW the greenhouse impact from their Office of the Environment and Heritage use of energy (OEH), and Eraring Energy. • comply with Commonwealth and Newcastle City Council conducts a State renewable energy, energy ‘Spring Water Bug Survey’ with efficiency and greenhouse gas community assistance to assess the reduction schemes while health of 150 kilometres of natural supporting a national approach to waterways in the Newcastle area (NCC reducing the impact of climate 2012b). change (Ausgrid 2012a).

Drinking water in the Newcastle and While the NSW Department of Planning Lake Macquarie areas is monitored by conducts most environmental state-owned corporation Hunter Water assessments of electricity network (see Briefing Paper 6). proposals (see Briefing Paper 6), a limited number of proposals under the 14. Electricity Environmental Planning and In 1993, under the Electricity Assessment Act 1979 are assessed by (Amendment) Act county councils which local councils (Ausgrid 2012b). had responsibility for electricity supply LOCAL GOVERNMENT were dissolved and Shortland County INCENTIVE PROGRAMS Council in the Hunter region was replaced by a state-owned corporation, 15. Incentives for landlords Orion Energy. In 1996, the Orion Sustainable Building Advisory Energy merged with Sydney Electricity Service, Newcastle

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The , in partnership Lake Macquarie City Council with Archicentre, offers a free green Sustainable Neighbourhoods building advisory service to provide Program residents with environmental advice at Lake Macquarie Council's Sustainable the initial design stage of residential Neighbourhoods Program (LMCC developments. The Sustainable Building 2011d) provides support to communities Advisory Service (SBAS) is available to to reduce their ecological footprint, all Newcastle residents considering protect the natural environment, and home improvements, changes and increase community wellbeing and pride construction (NCC 2012c). in their local area.

16. Incentives for communities Council assists with development of Sustainable Neighbourhood Action Incentives for recycling Plans, community engagement, grant The RecyclingNearYou website applications, and promotion of activities (www.recyclingnearyou.com.au ) is an (LMCC 2011d). Australia-wide joint initiative of Sensis (an online directory provider) and the not-for-profit organisation PlanetArk to provide househeolders with local information about recycling and drop-off locations for recyclable goods. The website relies on councils providing accurate up to date information on services (Hyder Consulting 2011).

Randwick City Council in Sydney has partnered with community organisation GreenMoney to trial a recycling rewards program involving up to 10,000 households (Randwick City Council 2012). Rewards for recycling can be redeemed at local shops (GreenMoney 2012).

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swithus/downloads/technicalmanuals/mo CONTACTS FOR FURTHER bility-plan_how-to.pdf > accessed 24 INFORMATION September 2012 Dr Lesley Instone RTA (2009). Council Projects funded by the E: [email protected] RTA: Memorandum of Understanding. Ph: +61 2 49216637 NSW Roads and Traffic Authority, NSW Government, Sydney E: [email protected] accessed 24 September 2012 Ph: +61 2 49216451

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WMAwater (2011b). Lake Macquarie Ms Nicola Vaughan Waterway Flood Study: Public Exhibition E: [email protected] Copy , Lake Macquarie City Council. Ph: +61 2 49215196 accessed 21 Studies September 2012 School of Environmental and Life Sciences, Faculty of Science and Information Technology, University of Newcastle, Callaghan, NSW, 2308 http://www.newcastle.edu.au/research- centre/urban-and-regional- studies/transforming-cities-city-lives- city-natures-city-politics/climate-change- and-urban-transitions/climate-change- adaptation-in-the-rental-sector/

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