The Association of Mining Related Councils (AMRC) has been working with the Department of Planning and Environment to help councils get a better deal for their communities.
Currently when a new mining operation is established, a Voluntary Planning Agreement (VPA) can be negotiated between a local council and a mine operator, which can see the mining company contribute millions of dollars annually towards the council’s infrastructure costs.
The negotiation process has been a daunting, unstructured challenge for the regional councils of NSW.
The new draft Planning Agreement Guidelines for State Significant Mining Projects, designed to document comprehensive guidelines for the process, will be issued in the near future for public comment.
Deputy Secretary for Policy and Strategy at the Department of Planning and Environment Alison Frame said the State Government welcomes and appreciates the input from AMRC.
“The guidelines will outline best practice principles and help to build an understanding about the negotiation process in the context of mining assessment.
“In particular, the guidelines will assist councils and industry in understanding the steps involved in negotiating a planning agreement.”
The Association Chair, Mayor of Warrumbungle Shire Council, Councillor Peter Shinton said that negotiating VPAs has been overwhelming for many small, regional councils in the past and it will be a positive step forward when they do not have to reinvent the wheel, if approaching the Planning Agreement process for the first time.
“This is something we lobbied the NSW Government to do and we commend them for building this framework with genuine consultation.
“With no structure existing, a VPA was difficult to negotiate and delivered uncertain outcomes.
“If you were lucky you got a good one, if you weren’t, you didn’t.
“In the Warrumbungle Shire, we worked towards a VPA with a mine that has now been mothballed.
“We certainly could have done better.
“I am confident that the new guidelines will facilitate the best possible outcomes from Planning Agreements into the future.
“These VPAs can be multi-million dollar deals and a council needs to factor in all they can in regards to the impacts the mining operations and the people the mine brings in will have.
“The planners in the Department have now consulted with us and have come back with a first-draft.
“I was amazed with what they have achieved.
“Normally, once a VPA has been struck, it is for the life of the mine.
“You also need to plan for economic and social impacts of a mine closure.
“If workers have lived in the area for 20-25 years and they disappear suddenly, you’ve got a raft of challenges to deal with, like a big drop in real estate values, which also reduces a council’s revenue.”