Queensland’s planning legislation has been amended to require a social impact assessment (SIA) and community benefit agreement (CBA) with affected local governments to be finalised before a development application for a wind farms or large-scale solar farm can be lodged.
Mandatory Social Impact Assessment and Community Benefit Agreements
On 30 June 2025, the Planning (Social Impact and Community Benefit) and Other Legislation Act 2025 (the Amending Act) received assent. The Amending Act made significant changes to Queensland’s development assessment process. This article explains the changes relating to development application for a wind farms or large-scale solar farm, which will come into effect on 18 July 2025.
The intended purpose of the SIA and CBA reforms is to ensure that local communities share in the economic and social benefits of renewable energy developments in their area.
The Amending Act significantly increases the pre-lodgment work for the prescribed development by mandating the development application be accompanied by a Social Impact Assessment (SIA) and Community Benefit Agreement (CBA) unless the Department issues a notice waiving this requirement.
When is a SIA and CBA required?
The development that the new SIA and CBA requirements apply to is set out in regulation, so can be changed relatively easily in the future. The Planning Regulation currently provides for these requirements to apply to a wind farm and large-scale ‘relevant solar farm’.
All wind farms, regardless of scale, are impact assessable by SARA and require a SIA and CBA.
A ‘relevant solar farm’ is defined as a solar farm that has a maximum instantaneous electricity output of one megawatt or more, or a solar farm located in a priority development area. These large-scale solar farms will now be impact assessable by the State Assessment and Referral Agency (SARA).
Small scale solar farms are now also impact assessable but will continue to be assessed and decided by the local government. There is no statutory requirement for a SIA and CBA for small scale solar farms.
Battery Energy Storage Systems (BESS) were not addressed by the recent reforms. The Government is currently exploring the level of assessment (code or impact), the assessment manager (local government or SARA) and whether the SIA and CBA requirements should apply, for BESS development.
What is an SIA and CBA?
The Planning Act now requires consideration of social impacts in very broad terms. A social impact for a development means potential impacts 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;
- the livelihood of members of the community;
- the values of the community;
- the provision of services to the community, including, for example, education services, emergency services or health services.
The impacts include positive, negative, direct, indirect and cumulative impacts. The mandatory SIA report must identify, analyse and assess the social impact of the development, including by consulting with the public in preparing the social impact assessment report.
A CBA is an agreement between the proponent and local government about providing a benefit to a community in the locality of development requiring SIA. The examples given in the Amending Act are:
- providing or contributing towards infrastructure or another thing for the community; or
- making a financial contribution to the community
The CBA must be entered into with the local government for the area in which the facilities are located, and any other local government for an area in which social impacts are identified in the SIA report.
Like for infrastructure agreements, once the parties agree to enter negotiations, a CBA must be negotiated in good faith. If the applicant and local government cannot reach an agreement on a CBA, mediation is available through the chief executive.
If a CBA cannot be agreed and voluntary mediation is unsuccessful, the only remaining option will be to seek a waiver from the chief executive. Without a waiver, the applicant cannot lodge a development application or submit a change application for a wind farm or large solar farm.
Government has published an SIA guideline and CBA guideline to assist in the implementation of this new regime.
Key takeaways
The SIA and CBA regime represents a significant shift in Queensland’s land use, planning, and development approval processes. These changes will inevitably delay projects and empower local communities. Developers and local governments will need to prepare for longer approval timelines, additional obligations, and increased community engagement.
For more detailed guidance on navigating the new SIA and CBA requirements, please reach out to our Planning and Environment team.
View The Local Law publication here.