Renewable Energy and Community Benefits

Under the new laws, changes include:

• Social Impact Assessments (SIA): Developers must now prepare a report assessing the impacts their project will have on the community (positive and negative) and how they will manage them within their Social Impact Management Plan (SIMP)
• Community Benefit Agreements (CBA): Developers must now enter into an agreement with the relevant local Council(s) – identified in the Social Impact Assessment - that sets out what benefits the community will receive for hosting the renewable energy development. This must be done before lodging a development application
• Impact Assessable Approval Process: These projects must now go through an “impact assessable” process. That means the public must be notified and given an opportunity to make submissions for or against the project, which is managed by the Queensland Governments State Assessment and Referral Agency (SARA).
• Assessment by State Agency: For large solar farms and all wind farms, the assessment is handled by the State Assessment and Referral Agency (SARA) under the new State Codes (Code 23 for wind, Code 26 for solar) plus the updated Planning Regulations.

Large-scale renewable energy developments refer to:

• All wind farms, regardless of size
• Large-scale solar farms with 1 MW or more generation capacity or occupying two or more hectares of land, and
• Stand-alone Battery Energy Storage Systems (BESS) of 50 MW or more. 

Under the new law:

• Council cannot approve or reject any project - the State Government is the sole decision-maker for these developments.
•  If a project is approved by the State Government, Council's role is to facilitate realised benefit for the community via a Community Benefit Agreement between Council and the developer.

The new development application process for renewable energy projects is:

1. The developer identifies a site and prepares an SIA.
2.  Council reviews the SIA and SIMP, and once approved, negotiates a Community Benefit Agreement (CBA) with the developer.
3. Once a CBA is reached, the developer can lodge a formal application with the State Government, which includes public notification and an opportunity for the community to make submissions.
4. The State Government assesses the application and makes the final decision.
5. If approved, construction on-site begins. This process may take some time, from many months to several years - every development will be different. 

A Community Benefit Agreement, or CBA, is a legal agreement between a renewable energy developer and Council. Its purpose is to make sure the local community receives clear, measurable benefits if a renewable energy project is approved by the State Government.

What a CBA might include:

• Funding for critical projects and infrastructure delivering long-term, region-wide benefit responding to the broader impacts of the development
• Funding for community infrastructure or facility upgrades, pools, parks, active transport networks,  playgrounds and projects that celebrate our community, our history or our unique region.
• Additional projects may be identified through consultation with affected communities and proponents, informed by Social Impact Assessments (SIAs).

Outside of CBA funding framework, proponents are expected to administer and support community sponsorships and grassroots initiatives for local community groups, sporting clubs, schools, and not-for-profit organisations

What a CBA does not cover:

• Council rates for the facility
• Benefits to landholders hosting turbines or solar panels, including payments from developers to landowners 
• State government requirements, like environmental conditions or planning approvals

The State Government process aims to ensure that communities that host large-scale renewable energy projects receive real benefits via a CBA. The agreements are legally binding, and Council monitors their delivery to ensure commitments are met.

Before a project is formally submitted to the State, the developer must carry out a Social Impact Assessment (SIA).

A Social Impact Assessment:

• Identifies how a project is likely to impact the community, both positively and negatively.
• Includes consultation with local residents, landholders, businesses, and groups.
• Identifies ways to reduce or manage any negative impacts.