A Planning Agreement is a voluntary legal agreement between a developer, landowner and Council (or another planning authority). It sets out how the developer will contribute to public infrastructure, services, or other community benefits as part of a development. Planning Agreements are typically, but not always proposed when a developer proposes development which may exceed planning controls or some other special circumstance.
Planning Agreements enable developers to provide public benefits in connection with planning proposal or development application. These contributions may include:
• Dedication of land to Council
• Monetary contributions
• Delivery of public infrastructure (such as sportsgrounds, parks and community facilities)
• Affordable housing
• Other material public benefits
They offer flexibility to tailor contributions to the needs of the community and help ensure that development is supported by appropriate local infrastructure. Planning Agreements are voluntary, and developers cannot be compelled to enter into one.
The use of Planning Agreements is governed by:
- Part 7 of the Environmental Planning and Assessment Act 1979 (EP&A Act) which provides the legislative framework for planning agreements.
- Part 9 of the Environmental Planning and Assessment Regulation 2021 (EP&A Regulation) which provides other procedural matters.
The draft Policy has been prepared to update the existing framework so it aligns with current legislative requirements and best practice. It also aims to provide greater clarity, consistency, and transparency in how Planning Agreements are negotiated, implemented, and managed.
No. Existing Planning Agreements will continue to operate in accordance with their agreed terms. The draft Policy will apply to new Planning Agreements and, where relevant, to amendments of existing agreements.
The draft Policy aims to:
• Ensure the framework aligns with current legislative requirements and best practice
• Improve transparency and consistency in decision-making
• Ensure contributions better align with community needs
• Support timely delivery of infrastructure and services
• Strengthen governance and administrative processes
The draft Policy includes a number of updates to improve clarity and consistency. A comparison table is provided to show the key differences between the current Policy and the draft Policy in a clear, side-by-side format. This helps stakeholders easily understand what has changed.
After the exhibition period:
• All submissions will be reviewed and summarised
• Any necessary changes to the draft Policy will be considered
• A post exhibition report will be presented to Council for consideration and adoption of an updated policy.
If you have questions or require any further information in relation to this exhibition, please contact us using the details below.
Email
participate@cityofparramatta.nsw.gov.au
Subject: Draft Planning Agreement Policy (Amendment 2)
Phone
02 9806 5050
Post
City of Parramatta Council
Attn: Belinda Borg / Phoebe Chen - Infrastructure Planning and Design
Subject: Draft Planning Agreement Policy (Amendment 2)
PO Box 32, Parramatta NSW 2124
Please ensure that you clearly state your full name, contact details and address.

