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Planning Permits - Time Limits and Scope Changes

4.1. Observations

Once approved, a wind farm planning permit is typically granted for a period of around five years. The developer then has that period of time to at least commence and ideally complete construction of the wind farm – consistent within the permit requirements and conditions. However, there have been numerous cases of wind farm projects where the permit has been extended or renewed for further periods, often with changes to the wind farm’s design along the way.

As a hypothetical example, design and development activities for a proposed wind farm may have commenced in the 2001-2002 timeframe. In 2005, an approval or planning permit with a five year expiry may have then been issued to the wind farm. If construction of the wind farm had not been completed by the time the approved permit expired in 2010, upon request by the developer, the planning authority may approve the permit to be renewed for a further five years until 2015, with the renewal approval usually based on some level of commencement of the project. If the wind farm construction was then completed in 2015, the results of post-construction compliance testing (such as noise-testing) may not be known until the 2016-2017 timeframe.

Therefore, it is feasible that a period spanning 15 years or more can occur between the original prospecting for the wind farm site and the wind farm being fully operational with post-construction testing complete.

Delays between the time of obtaining a permit approval for a wind farm and then the actual commencement of construction works can occur for a variety of reasons – typical reasons include changes in turbine selection and turbine layout, delays in obtaining financial close and changes in government policy.

These lengthy timeframes for a wind farm project are significant and can raise a number of issues for consideration, including:

  • Standards, such as noise standards, may change over the course of the development process. For example, at the time of initial project development, the project and permit conditions may have been based on the NZS 6808:1998 noise standard. Although the standards may have been revised in the ensuing period, the project and permit will still be based on the 1998 standard, rather than the updated NZS 6808:2010 noise standard – even though the wind farm may have been built more than 15 years after the initial project’s development.
  • Setback distances policies (the minimum distance between a turbine and a residence) can also vary over time. As an example, a number of Victorian wind farms with current, renewed permits have no default setback distance provisions as the original permit was approved in the previous decade. Prior to 2011, there were no default setback distance requirements in Victoria. In 2011, a 2.0 km setback distance was introduced. The current default setback distance on Victoria is 1.0 km.
  • Changes in standards and planning guidelines could therefore conceivably take many years before they are introduced and reflected into planning permits for proposed wind farms.
  • Technology, such as wind turbines, may also change over the project timeframe. The original project design and permit conditions may have been based on turbines of a certain energy capacity (for example, the original turbine may have been 1.5MW, whereas the developer now wishes to deploy 3.5MW turbines) and physical size dimensions (for example, higher turbine hub heights and longer blade diameters). As a result, the developer may decide to take advantage of the new technology and propose to change turbine selection over time, potentially altering a number of material characteristics and impacts of the wind farm – including turbine layout, visual amenity, noise and shadow flicker. These changes will likely result in the need for a formal modification (or endorsement) to the planning permit, re-opening the wind farm to potential objections and community concerns about the proposed changes. The process may well re-ignite original debates and issues with the project.
  • The requirements on the developer to qualify for renewal of the permit for a further period may be minor relative to the total project scope (for example, the building of a simple shed or road access to the site – so to demonstrate some level of commitment to construct the project). These relatively minor works, when compared to the total proposed project, may not be considered substantial enough to declare that the project has materially commenced within the permitted timeframe nor obligate the project in a way that it has no choice but to proceed.
  • The community affected by the wind farm (including host landowners and neighbours) can be subjected to very long periods of uncertainty as to whether or not the project will proceed. This uncertainty can affect a range of individual landowner and stakeholder decisions as well as discourage or prevent other potential development within the wind farm’s planning envelope.
  • Community engagement may also not be sustained by the developer over long periods of uncertainty and may deteriorate during the elongated period.
  • During an elongated development cycle, other wind farms may have been subsequently planned and/or constructed in the area, which may result in possible unforeseen cumulative impacts for nearby residents.

Finally, in some jurisdictions, planning permits are not required for transmission and other associated infrastructure to connect the wind farm to the grid. This lack of oversight can lead to a wide range of community issues related to the design, routing and installation of the transmission line and related assets. The prospect also exists for duplicative assets connecting each wind farm to the grid with no mandatory requirement to seek consolidation of such assets to minimise community impact and promote a more efficient use of capital.

4.2. Recommendations

4.2.1. A wind farm planning permit should only be renewed for one further term as a maximum. Approval of permit renewals should require the developer to demonstrate the likelihood of the project being commenced and completed prior to the end of the requested/approved renewal period.

4.2.2. Requests for material changes to the wind farm’s proposed design and technology need to be scrutinised through an appropriate and rigorous process by the responsible authority. The process should be transparent to all stakeholders and include re-assessments of key impacts such as noise, visual amenity, environmental considerations, shadow flicker and construction impacts.

4.2.3. The responsible authority should be able to introduce and apply current planning guidelines, standards and updated standard permit conditions when assessing a request to renew and approve a wind farm planning permit or modifications to the permit. For example, a developer seeking to renew a permit expiring 31 December 2018 may be required to comply with the contemporary guidelines and standards currently in force and prepare the renewal submissions in accordance with those guidelines and standards.

4.2.4. Evidence of ongoing community engagement for the project should be submitted to the responsible authority when seeking a renewal approval or permit modification request. Submissions should include evidence of community consultation with regard to any proposed changes in the wind farm’s design and layout subsequent to the original permit approval.

4.2.5. In considering a renewal or modification application, the responsible authority should assess any compounding effects of other proposed or constructed wind farms in the vicinity, in particular with respect to residents who may experience cumulative effects that may be exacerbated by the proposed wind farm that is seeking permit renewal approval.

4.2.6. Further to Recommendation 4.2.5, the responsible authority should assess and take into account any other planning approval requests/approvals in the vicinity that have arisen subsequent to the original permit approval when considering the wind farm’s permit renewal application.

4.2.7. In the event that the wind farm is seeking a renewal/extension of the permit period to allow a commenced project time for construction completion, the responsible authority needs to be fully satisfied that material construction has already commenced and provide extensions only for the period where it would be reasonably expected for the remaining construction to be completed.

4.2.8. Vendors selling properties within 5 km of a proposed and approved wind farm should be required, where practical, to disclose any such proposed wind farms to purchasers in contract of sale documents, based on information provided by the local planning authority. State governments should also include questions for rural property purchasers to ask about potential wind farms in any due diligence checklist that may accompany contract of sale documents.

4.2.9. Where a wind farm permit renewal is to primarily provide an extension period for construction to be completed, the maximum period between approval of the original planning permit application and completion of construction of the wind farm should be no greater than seven and a half years, including any renewals or extensions of the original planning permit.

4.2.10.Neighbours to wind farm projects, where the project is in either development or in operation, should be allowed to submit development plans to the responsible planning authority for new development on their property, such as a dwelling or a shed. Development proposals within at least 1.5 km of a proposed or operating wind turbine, should be referred to the wind farm developer by the responsible authority for consultation and to verify impact levels of the wind farm at the proposed neighbour’s development site. Development proposals in locations where the wind farm is likely to exceed prescribed standards and limits may require written agreements to be reached between the neighbour and the wind farm before the neighbour’s development can be approved.

4.2.11.Transmission lines, substations and other related electrical infrastructure should all be subject to and require an appropriate and detailed planning permit, ideally as part of the overall permit for the project.

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