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Planning and assessment

Managing NSW's water resources also involves providing input into the planning and development of NSW. The Department of Water and Energy (DWE) has a key role in the planning of new areas for development with local government and the assessment of local and State significant development proposals. The key piece of legislation for the management of development in NSW is the Environmental Planning and Assessment Act 1979 (EP&A Act)

Environmental planning and assessment legislation

The New South Wales planning and development assessment system is the means by which we manage our environment and natural resources whilst determining future development. Planning and development is carried out in accordance with the Environmental Planning and Assessment Act 1979.

DWE's role in planning and development under the EP&A Act is to ensure planning and development is sustainable and consistent with the management of the State's water resources and water dependent ecosystems for the benefit of both present and future generations. In reviewing and assessing developments submitted under this legislation DWE considers the requirements of the Water Management Act 2000, the Water Act 1912 and relevant key water policies and publications

The Department's statutory role in assessing developments within Part 3, 3A, 4 and 5 of the EP&A Act  is described below.

Part 3

Under Part 3 of the EP&A Act local government is required to formally consult with DWE during the development and amendment of Local Environmental Plans (LEPs) . This provides an opportunity for DWE to ensure the outcomes of the LEP are consistent with water management objectives and policy.

Part 3A

Part 3A of the EP&A Act was established to deal with the most significant proposals in NSW with each proposal requiring Ministerial approval unless delegated. State Environmental Planning Policy (Major Projects 2005) defines what projects are subject to the Part 3A assessment process. DWE is consulted in the initial development of environmental assessment requirements for a declared Major Project and has a key role in assessing the proposal in terms of water management policy and licensing requirements.

Part 3A projects are exempt from a water use approval, water management approval and an activity approval under the Water Management Act 2000, however licensing requirements under the Water Act 1912 are not exempt.

Examples of Part 3A projects for which DWE are involved in the assessment include mining and quarrying projects, large intensive animal industries, wind farms, large urban release areas and  biofuel industries.

Part 4

Part 4 of the EP&A Act applies to proposals which require development consent, other than Part 3A applications, usually by the local council or in limited circumstances by the Minister for Planning. Under Part 4, DWE is referred development applications that trigger the provisions of section 91 of the EP&A Act which is called "Integrated Development". Integrated Development is the term given to development that requires an approval from another piece of legislation.

For DWE, Integrated Development can apply when a development also requires an approval under the Water Management Act 2000 or the Water Act 1912. When referred an application DWE advise the consent authority (usually a local council) whether it will issue the required approval through DWE's General Terms of Approval.

Examples of Part 4 developments in which DWE are involved in the assessment include Intensive animal industries, subdivisions, quarry operations, and development along watercourses.

Part 5 

Part 5 of the EP&A Act generally relates to proposals which do not fall under Part 4 or Part 3A. These are often infrastructure proposals approved by the local councils, public authorities or State agencies which are undertaking them. When a project being undertaken by a local council or State agency requires an approval or licence under the Water Act 1912 or Water Management Act 2000, DWE become a determining authority under Part 5 of the EP&A Act.

In these situations, DWE is responsible for ensuring that environmental impacts have been appropriately addressed, commonly through a Review of Environmental Factors (REF), and relevant government agencies have been consulted prior to issuing the licence or approval.

Examples of Part 5 projects in which DWE are involved in the assessment include government infrastructure projects such as bridge development/augmentation, road works, water supply infrastructure, and sewerage treatment plant augmentation.

For information on Part 3 and 3A contact the Major Projects, Planning and Assessment Unit.

For information on Part 4 and 5 contact the relevant water licensing manager
More information on the EP&A Act and the State's planning and assessment process can be found on the NSW Department of Planning website.

Practice Notes

The management of the environment is now a primary issue in land based planning. The Practice Note for using spatial information in Local Environmental Plans to protect and manage Environmentally Sensitive Lands (PDF 1.54 MB) has been developed as a collaborative regional effort by Natural Resource Management related agencies, including the Department of Water and Energy.

These Practice Notes provide example maps and supporting documentation for sensitive land and water resources as well as biodiversity assets which must be identified and protected in Local Environment Plans (LEPs).