A new community benefit system proposed for Queensland renewable energy developments

Amendments proposed to Queensland's planning legislation will introduce a new community benefit system for renewable energy developments. Under this new system applicants for large-scale solar farm or wind farm developments would be required to carry out a social impact assessment and enter into a community benefit agreement before they can lodge their development application. Additionally, amendments proposed to the Planning Regulation 2017 will make all solar farm development, of any scale, impact assessable and subject to third party notification.

The new community benefit system

The Planning (Social Impact and Community Benefit) and Other Legislation Amendment Bill 2025 was introduced into Queensland Parliament on 1 May 2025. The Bill proposes amendments to a number of Acts, however the stated primary objective is to amend the Planning Act 2016 to introduce a new community benefit system into Queensland's planning framework that will apply only to particular renewable energy developments.

The Bill proposes that a development application for the material change of use of premises for a large-scale solar farm (a farm with a generation capacity of 1MW or more, or 2ha or more of site cover) or for a wind farm must include the following:

• a social impact assessment report (SIA); and

• a community benefit agreement (CBA).

Both the SIA and the CBA must be submitted as part of the development application for the renewable energy development before that application will be accepted as "properly made".

An SIA and CBA will not be required however if the Chief Executive administering the Planning Act has given notice to an applicant stating they are not required for the relevant application. The Bill also includes new conditioning powers with respect to the requirement for an SIA and compliance with a CBA.

If the Bill is passed, the amendments will also apply to existing development applications or change applications that were made but not decided before the Bill commenced.

What is an SIA?

Under the Bill, a development application for development requiring an SIA must be accompanied by a social impact assessment report which must identify, analyse and assess the social impact of the development and comply with the requirements prescribed by regulation.

A new definition of "social impact" is included and means "the potential impact of the development on the social environment of a community in the locality of the development, including the potential impact of the development on:

• the physical or mental wellbeing of members of the community; and

• the livelihood of members of the community; and

• the values of the community; and

• the provision of services to the community, including, for example, education services, emergency services or health services."

The Bill clarifies that "impact" in this context includes:

• a positive or negative impact of the development; and

• a direct or indirect impact of the development; and

• a cumulative impact of the development and other uses.

The Government has separately released the Draft Social Impact Assessment Guideline, Version 2 to support its proposed amendments. This updates the existing SIA Guideline prepared by the Coordinator-General so it will apply to the Planning Act.

The proposed amendments to the Planning Act recognise that some renewable energy developments may have undergone assessment process outside of the Planning Act and for certain applications will take the relevant assessment document under the other process to be a social impact assessment report for the Planning Act. This relevantly includes:

• a social impact assessment for a large resource project under the Strong and Sustainable Resource Communities Act 2017 if the project involves the development requiring social impact assessment that is the subject of the relevant development application; and

• an environmental impact statement or impact assessment report for a coordinated project under the State Development and Public Works Organisation Act 1971 if the coordinated project involves the development requiring social impact assessment the subject of the relevant application.

What is a community benefit agreement?

Under the Bill, a community benefit agreement must be submitted with a development application for a large-scale solar farm or wind farm development in order for the application to be properly made.

A community benefit agreement is an agreement about providing or contributing towards infrastructure or another thing for the community in the locality of development that requires an SIA or making a financial contribution to the community. Examples in the Bill of "infrastructure and other things" include a sports facility, library or a training program to upskill members of the community. Examples of a financial contribution in the Bill include giving a donation to a fund established to benefit the community.

The applicant must enter into a community benefit agreement with the local government in which the development is located, which requires an SIA, and any other local government in which the SIA identifies the development will have a social impact. Community benefit agreements with a public sector entity prescribed by regulation may also be required.

A community benefit agreement must include the matters prescribed by regulation, and the Bill enables the chief executive, on the request of a party, to refer the parties to mediation to seek to achieve an agreement. Mediation is voluntary and any party may withdraw from the mediation at any time.

The Bill clarifies that a community benefit agreement is not an infrastructure agreement, even if it relates to providing or funding infrastructure. A community benefit agreement will however prevail over an infrastructure agreement, development approval or an infrastructure charges notice to the extent of any inconsistency, except where the development approval is given by the chief executive.

The Bill would also require the local government party to report on receipt and expenditure of any funds received under an agreement.

Other amendments on the way as part of the reforms

To support the Bill, changes will be made a number of other Acts and instruments including the Planning and Environment Court Act 2016, the City of Brisbane Act 2010, the Local Government Act 2009 as well as the Planning Regulation 2017 and the Development Assessment Rules. Amendments to the Planning Regulation would commence at the same time as the Bill, if passed.

The Queensland Government has released a draft of the Planning (Social Impact and Community Benefit) and Other Legislation Amendment Regulation 2025 for review. The amended regulation proposes that:

• the development of solar farms will become impact assessable and subject to public notification giving rise to third party submission and appeal rights;

• large-scale solar farms will become assessable by the Chief Executive (through the State Assessment and Referral Agency) against a new State Code 26: Solar farm development. Smaller scale solar farms will remain assessable by the relevant local government, but will still be subject to impact assessment.

• a range of new and amended provisions are included to support the new community benefit system. This includes the procedure for the Chief Executive to issue a notice that an SIA and CBA is not required and the matters that must be taken into account in reaching that decision.