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[2011] NSWCA 349
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Hoxton Park Residents Action Group Inc v Liverpool City Council [2011] NSWCA 349 (15 November 2011)
Last Updated: 18 November 2011
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Case Title:
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Hoxton Park Residents Action Group Inc v Liverpool
City Council
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Medium Neutral Citation:
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Hearing Date(s):
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Decision Date:
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Jurisdiction:
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Before:
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Giles JA at 1; Basten JA at 2; Macfarlan JA
at 59
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Decision:
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(1) Allow the appeal and set aside the orders made
in the Land and Environment Court on 14 December 2010. (2) Remit the
proceedings to the Land and Environment Court for determination of the
appropriate relief. (3) Order that the second and third respondents pay the
appellant's costs of the appeal. (4) Direct that the Land and Environment
Court, on remitter, determine any order as to the costs of the proceedings in
that Court.
[Note: The Uniform Civil Procedure Rules 2005 provide (Rule
36.11) that unless the Court otherwise orders, a judgment or order is taken to
be entered when it is recorded in the Court's computerised
court record system.
Setting aside and variation of judgments or orders is dealt with by Rules 36.15,
36.16, 36.17 and 36.18. Parties should in particular note the time limit of
fourteen days in Rule 36.16.]
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Catchwords:
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ADMINISTRATIVE LAW - judicial review - obligation
of decision-maker to consider specified matter as a precondition to the validity
of a decision - further consideration in exercise of separate power not
inconsistent with obligation COSTS - varying judgment or order -
remittal - order for costs in court below JUDICIAL REVIEW - limitation
period - whether notice commencing period "in accordance with the regulations"
PROCEDURE - judgments and orders - no entitlement to relief - option for
court to make an order of conditional validity - Land and Environment Court Act
1979 (NSW), s 25B - Environmental Planning and Assessment Act 1979 (NSW), s 124
- remittal for trial court to consider appropriate order STATUTORY
INTERPRETATION - language of regulation deliberate and not inadvertent -
statutory obligation placed on councils - all necessary
elements required for
validity of development consent notice STATUTORY INTERPRETATION -
principles - implied limitation on the language of Environmental Planning and
Assessment Act 1979 (NSW), s 79C - assessment of all likely impacts of
development application - exclusion of likely environmental impacts the subject
of separate
evaluation - inconsistent with objects of Act WORDS &
PHRASES - "in accordance with the regulations" - "ordinary office hours" -
"statement"
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Legislation Cited:
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Environmental Planning and Assessment Act 1979
(NSW), ss 5, 66, 74E, 79C, 100, 101, 110, 123; Pts 4, 5Environmental
Planning and Assessment Regulation 2000 (NSW), cl 124 Environment Protection
and Biodiversity Conservation Act 1999 (Cth), ss 12, 67, 68, 75Land and
Environment Court 1979 (NSW), ss 25B, 58Roads Act 1993 (NSW), s 125
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Cases Cited:
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Texts Cited:
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Aronson, Dyer and Groves, Judicial Review
Administrative Action (4th ed, Law Book Co, 2009) at [4.295]-[4.305]
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Category:
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Parties:
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Hoxton Park Residents Action Group Inc -
Appellant Liverpool City Council - First Respondent Australian Federation
of Islamic Councils Inc - Second Respondent Malek Fahd Islamic School Ltd -
Third Respondent
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Representation
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Counsel: Mr J Johnson -
Appellant Submitting appearance - First Respondent Mr A E Galasso SC/Mr G
B Newport - Second and Third Respondents
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- Solicitors:
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Solicitors: Robert Balzola & Associates
(Legal) - Appellant Marsdens Law Group - First Respondent Goldrick Farrell
Mullan - Second Respondent
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File number(s):
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Decision Under Appeal
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- Court / Tribunal:
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- Date of Decision:
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- Citation:
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- Court File Number(s)
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Publication Restriction:
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HEADNOTE
[This headnote is not to be read as part of the judgment]
On 30 June 2009 the Liverpool City Council gave consent for Malek Fahd
Islamic School Ltd to use land owned by the Australian Federation
of Islamic
Councils Inc for the purpose of constructing and operating a school. The site of
the proposed school was an undeveloped,
roughly rectangular area of
approximately 2.6 hectares. Access to the school was to be via an undeveloped
road, which required a
bridge across a public reserve and waterway. The original
development application included the bridge, but that element was later
removed.
The bridge was to be constructed on a public reserve vested in the Council and
did not require development consent. A statement
of environmental effects in
respect of the bridge nevertheless accompanied the application.
On 8 July 2009 a notice of the grant of development consent was published in
the "Liverpool City Council News". On 16 March 2010 the
Hoxton Park Residents
Action Group Inc filed an application in the Land and Environment Court
challenging the validity of the consent
on the basis that the Council had failed
to consider likely environmental impacts of the bridge. Biscoe J found that the
Council
had not considered such impacts and thus acted in breach of the
Environmental Planning and Assessment Act 1979 (NSW) in granting the
development consent. His Honour further concluded that no relief was available
as the proceedings were not brought
within three months of the publication of
the notice of Council's consent to the application and were therefore time
barred, pursuant
to s 101 of the Act.
The Residents Action Group appealed to this Court against the finding that
the notice published by the Council was effective and valid.
By notice of
contention, the Federation and the School, the active respondents in the
proceedings, sought to uphold the primary judge's
conclusion, on the ground that
the application should have been dismissed on the merits.
The issues for determination on appeal were:
(i) whether the primary judge erred in upholding the validity of the notice
and consequently the commencement of the limitation period,
and
(ii) whether the primary judged erred in finding that the consent to the
development application was invalid
The Court held, allowing the appeal and rejecting the contention (per
Basten JA, Macfarlan and Giles JJA agreeing):
In relation to (i)
1. Clause 124 of the Environmental Planning and Assessment Regulation 2000
(NSW) sets out the essential elements of a notice of the grant of development
consent, for the purposes of s 101 of the Environmental Planning and
Assessment Act 1979 (NSW) ("the Act"). Clause 124(1)(c) requires that the
notice contain a statement that the consent is available for public inspection,
free of charge, during ordinary office hours at a specified office. A notice
which does not include a statement referring to availability
"during ordinary
office hours" does not comply with the clause and is not a notice given "in
accordance with the regulations" for
the purposes of s 101 of the Act. Absent
such a notice, time had not commenced to run for the purposes of s 101: [30].
Project Blue Sky Inc v Australian Broadcasting Authority [1998] HCA
28; 194 CLR 355; Woolworths Ltd v Pallas Newco Pty Ltd [2004] NSWCA 422;
61 NSWLR 707; Scurr v Brisbane City Council [1973] HCA 39; 133 CLR 242
applied
2. The notice given by the Council on 8 July 2009 was not given "in
accordance with the regulations" and therefore did not trigger
the commencements
of the limitation period in s 101.
In relation to (ii)
3. An environmental impact which was a likely consequence of the development
needed to be considered, even though it resulted from
activity which was not
itself the subject of the development application, for the purposes of s 79C(1):
at [47]-[48].
Queensland Conservation Council Inc v Minister for the Environment and
Heritage [2003] FCA 1463; Minister for Environment and Heritage v
Queensland Conservation Council Inc [2004] FCAFC 90; 139 FCR 24; Bell v
Minister for Urban Affairs and Planning (1997) 95 LGERA 86 referred to.
Australian Leisure and Hospitality Group Pty Ltd v Manly Council (No 4)
[2009] NSWLEC 226, 172 LGERA 1; CPT Manager Ltd (Acting as Trustee of the
Broken Hill Trust) v Broken Hill City Council [2010] NSWLEC 69 applied.
4. There was no basis to read s 79C(1)(b) down, so as to exclude
environmental impacts which have been or are likely to be considered in relation
to a separate development
application required for that activity: [57].
Bermingham v Corrective Services Commission (NSW) (1988) 15 NSWLR 292;
Wentworth Securities Ltd v Jones [1980] AC 74; R v Young [1999]
NSWCCA 166; 46 NSWLR 681; Taylor v Centennial Newstan Pty Ltd [2009]
NSWCA 276; 76 NSWLR 379 referred to.
5. The conclusion of the primary judge that the Council did not consider the
impact of the construction of the bridge was not in error:
at [40].
6. The further finding of the trial judge that the bridge was likely to be
constructed was also not in error: at [42].
JUDGMENT
- GILES
JA : I agree with Basten JA.
- BASTEN
JA : On 30 June 2009 the Liverpool City Council ("the Council") gave consent
for the use of land owned by the second respondent, the
Australian Federation of
Islamic Councils Inc ("the Federation"), for the purpose of constructing and
operating a school, to be undertaken
by the third respondent, Malek Fahd Islamic
School Ltd ("the School"). On 8 July 2009 notice of the grant of development
consent
was published. Some nine months after publication of the notice, on 16
March 2010, the appellant, Hoxton Park Residents Action Group
Inc, filed an
application challenging the validity of the consent in the Land and Environment
Court.
- The
substantive challenge to the consent rested on a specific aspect of the
development proposal, namely that vehicular access to
the school would take
place by construction of a new roadway which in turn required the construction
of a bridge through bushland
and over a waterway. The bridge was to be
constructed by the School, but on land owned by the Council. Accordingly, it did
not require
development consent under Part 4 of the Environmental Planning
and Assessment Act 1979 (NSW) ("the EP&A Act"). That aspect of the
project was subject to separate environmental assessment under Part 5 of the
EP&A
Act, which had not been concluded when the Council granted consent to
the development application for the construction of the school.
The appellant
submitted in the Land and Environment Court that, although the construction of
the bridge was not part of the development
application, it was an essential
element of the proposed development and, accordingly, failure to consider likely
environmental impacts
of the construction of the bridge invalidated the consent.
- Biscoe
J upheld the appellant's contentions in that regard: Hoxton Park Residents
Action Group Inc. v Liverpool City Council [2010] NSWLEC 242. However,
noting that proceedings were not brought within three months of the publication
of the notice of the Council's consent to
the application, his Honour concluded
that the proceedings were time-barred, pursuant to s 101 of the EP&A Act,
and therefore
no relief was available. On 14 December 2010 his Honour made
orders dismissing the application with costs: Hoxton Park Residents Action
Group Inc. v Liverpool City Council (No 2) [2010] NSWLEC 259.
- The
proceedings having been heard in the Class 4 jurisdiction of the Land and
Environment Court, an appeal lay as of right: Land and Environment Court 1979
(NSW) ("the Court Act"), s 58. The appellant challenged the validity of the
notice, in the absence of which time did not commence
to run in respect of
proceedings challenging the validity of the development consent. By notice of
contention, the Federation and
the School challenged his Honour's conclusion on
the substantive issue, submitting that, regardless of the time bar, the
application
should have been dismissed on the merits.
- For
the reasons given below, the appeal should succeed and the notice of contention
should be dismissed. The appellant accepts that
there remains an issue as to
whether it should obtain the relief it sought or whether the Court would make an
order of conditional
validity under s 25B of the Court Act; the matter will
accordingly need to return to the Land and Environment Court for that issue
to
be considered.
Limitation period
- An
important object of the EP&A Act is "to provide increased opportunity for
public involvement and participation in environmental
planning and assessment":
s 5(c). One mechanism adapted to the achievement of that object is the provision
permitting "any person"
to bring proceedings in the Land and Environment Court
for an order to remedy or restrain a breach of the EP&A Act, whether or
not
any right of that person has been affected by the breach: s 123(1). That
provision is commonly referred to as an "open standing"
provision. To take
advantage of such a facility, members of the public must have notice of grants
of consent. Against the facility
for open challenge must be balanced the need
for certainty and finality to permit the beneficiaries of approved development
to carry
out the relevant works without being at risk of a declaration of
invalidity. That balance is achieved by imposing a time limit on
the
commencement of proceedings challenging the validity of a consent, following the
provision of public notice of the grant of consent.
The critical provision,
which is central to the argument on the appeal, is s 101 of the EP&A Act,
which, at the date of the consent,
was (and remains) in the following terms:
" 101 Validity of development consents and complying development
certificates
If public notice of the granting of a consent or a complying development
certificate is given in accordance with the regulations by
a consent authority
or an accredited certifier, the validity of the consent or certificate cannot be
questioned in any legal proceedings
except those commenced in the Court by any
person at any time before the expiration of 3 months from the date on which
public notice
was so given."
- It
was not in doubt that a notice was given in the present case: the question was
whether it was given "in accordance with the regulations".
Clause 124 of the
Environmental Planning and Assessment Regulation 2000 (NSW) ("the Regulation")
was in July 2009 (and remains) in the following form:
" 124 What are the public notification procedures for the purposes of
section 101 of the Act?
(1) The granting of a development consent is publicly notified for the
purposes of section 101 of the Act if:
(a) public notice in a local newspaper is given:
(i) by the consent authority, or
(ii) if the consent authority is not the council, by the consent authority or
the council, and
(b) the notice describes the land and the development the subject of the
development consent, and
(c) the notice contains a statement that the development consent is available
for public inspection, free of charge, during ordinary
office hours:
(i) at the consent authority's principal office, or
(ii) if the consent authority is not the council, at the consent authority's
office or the council's principal office."
- There
are aspects of the expression of cl 124 which leave something to be desired. For
example, the structure does not follow the
form of the section; rather than
identifying requirements of a public notice, it purports to identify
circumstances in which the
granting of consent is "publicly notified". It does
not deal with complying development certificates. Nothing turns on these matters
for present purposes.
- Paragraph
(a) requires that the notice be given "in a local newspaper". In the present
case, the notice was published in a document
entitled "Liverpool City Council
News". No question was raised as to whether that was a publication falling
within the ordinary meaning
of the undefined phrase "a local newspaper". It also
requires that the notice be given by the consent authority, but that adds
nothing
to the requirements of s 101 of the EP&A Act.
- Paragraph
(b) requires that the notice describe the land and the development the subject
of the consent. Notices in the publication
referred to set out numerous
approvals listed by area alphabetically, the subject consent being one of a
number of approvals under
the heading "Hoxton Park". The development application
was identified by number and the land by a street address, namely, in this
case,
612 Hoxton Park Road. It is not necessary to set out the description of the
development as its adequacy was not challenged.
- Paragraph
(c) requires that the notice contain "a statement" to the prescribed effect. The
paragraph is uncertain in a number of respects.
First, the requirement is for a
statement having four generic elements. The first two elements, namely
availability for public inspection
and availability for such inspection free of
charge, must presumably be included in those terms. The second two elements
identify
the period and place of inspection. It is unclear whether the statement
must use the actual language of (c), or whether it must identify
the office
hours and the location of the consent authority's principal office. In respect
of location, its seems unlikely that the
content of paragraph (c) was to be
copied verbatim into the statement and thus into the notice. Some part of the
notice must identify
the consent authority, which may not be the publisher of
the notice. The purpose of the Regulation would also be ill-served if the
location of the principal office of the consent authority or the Council, or
both, were not to be given in the notice. The better
view may be that the
location, that is the address at which inspection may take place, is to be
identified in the statement. It is
not necessary to form a concluded view in
that respect, because the absence of such an element in the statement did not
form part
of the challenge in the present proceedings.
- Of
greater importance is the question whether it is sufficient that the statement
identify the period of inspection as "during ordinary
office hours", or whether
those hours should be stated. If the hours are not identified, the reader will
be required to make further
inquiries. The fact that the statement does not need
to include a telephone number or website by means of which such inquiries might
be pursued, suggests that a purposive approach would require the statement to
include identification of the ordinary office hours.
A contrary argument may be
that the concept of "ordinary office hours" is well-understood and does not
require express identification.
Again, it is not necessary to resolve this
question, although it comes close to the heart of the present challenge.
- A
further issue, not debated in the present proceedings, but again of potential
relevance, is the identification of the "notice".
The newssheet, so far as it
was in evidence, was a two-page document. Each page contained three columns. The
heading "Notice of Development
Applications Approved by Council - June 2009"
appeared near, but not at, the top of the third column on the first page. The
same
heading appeared at the beginning of the first column on the second page.
Under the heading, on each occasion, the following statement
appeared:
"To view the complete list, visit Council's website. All development consents
are available for public exhibition free of charge at
Council's Administration
Centre."
- It
was assumed that the Regulation permitted a "public notice", containing a
relevant "statement" for the purposes of paragraph (c),
which related to
numerous development consents. It was also assumed, at least in this Court, that
although the notice itself did
not identify the location for inspection as the
Council's "principal office", nor did it give the address of the "Administration
Centre" to which it referred, that it was nevertheless sufficient in these
respects, presumably on the basis that the Administration
Centre was the
Council's principal office, the address of which could be found elsewhere on the
newssheet.
- The
statements set out above made no reference to "public inspection", but rather
referred to "public exhibition". Exhibition is something
undertaken by the
Council; inspection is something undertaken by the interested party. The two
phrases thus have a different connotation
and are separately dealt with, where
appropriate: see, eg, s 74E, EP&A Act. No argument was based on this
departure from the
language of the Regulation.
- Critical
for the present case was the absence from the statement of the words "during
ordinary office hours", either alone or with
a specification of the relevant
hours. The appellant was content to rely upon the simple absence of the words
contained in paragraph
(c).
- In
the Court below, Biscoe J noted that there was authority against the proposition
that this particular notice did not comply with
the requirement of the
Regulation, namely Hastings Co-operative Ltd v Port Macquarie Hastings
Council [2009] NSWLEC 99; 167 LGERA 205 (Lloyd J). That case involved a
challenge to the validity of a development consent. Because the challenge was
rejected, it was unnecessary
to consider the effect of the public notice of the
consent, but Lloyd J did "briefly indicate" his conclusion on that issue. His
Honour found the notice ineffective because of an inadequate description of the
property: at [53]. The further comment on the failure
to include reference to
ordinary office hours was, therefore, doubly unnecessary. However, he disposed
of a challenge to the omission
of such a statement by saying that it was "self
evident that the office would be open during ordinary office hours": at [54]. In
the present case, Biscoe J adopted his Honour's conclusion and explained his
reasoning in the following passage:
"[50] I am prepared to follow Hastings , which is indistinguishable
. The effect of that decision is that in the case of a notice such as the
present, it is so obvious that it goes without saying that
the development
consent may be inspected during ordinary office hours. In other words, although
not stated expressly, as a matter
of necessary implication the notice stated
that the development consent may be inspected during ordinary office hours.
[51] The fact that this was stated implicitly rather than expressly arguably
may not comply with cl 124 of the EPA Regulation . If so, it must be
demonstrated that there is a legislative intention to invalidate the notice
because of that non-compliance. ...
...
[54] In circumstances where a notice implicitly states (because it is so
obvious that it goes without saying) that a development consent
can be inspected
during ordinary office hours, it is unlikely I think that the legislature
intended that an omission to say so expressly
would invalidate the notice. A
contrary conclusion would have serious consequences not just for the proponent
but for anyone who
at any time in the future has an interest in Land since
proceedings to challenge the validity of a development consent could be mounted
decades into the future without any statutory time bar. The discretion to
withhold a remedy in circumstances of long delay in the
institution of
proceedings and prejudice is another matter."
- In
discussing the effect of the omission, his Honour referred to the principles
stated by the High Court in Project Blue Sky Inc v Australian Broadcasting
Authority [1998] HCA 28; 194 CLR 355 at [91] and [93]. In relation to the
construction of privative clauses, his Honour referred to Woolworths Ltd v
Pallas Newco Pty Ltd [2004] NSWCA 422; 61 NSWLR 707 at [75]. However, as a
matter of principle, there are difficulties with the reasoning. First, it
appears to have been assumed in the course
of argument that the purpose of such
a statement was to ensure that members of the public did not assume that
inspection could occur
outside ordinary office hours in circumstances where
council meetings often did take place in the evening. However, the purpose is
not so limited. In part it is to inform the public that inspection may take
place throughout ordinary office hours, without limitation
to particular periods
or particular days. Further, the statement is intended to reflect the legal
obligation imposed on the council
by s 100, which requires the council to keep a
register of determinations of applications for development consent which is "to
be
available for public inspection, without charge, at the office of the council
during ordinary office hours": s 100(2). It is by no
means self-evident, nor so
obvious as to go without saying, that the council is under any such obligation.
The obligation is a creature
of statute, not of some amorphous public
understanding of how councils operate. Accordingly, the language adopted in the
Regulation
was deliberate and not inadvertent, nor irrational.
- Furthermore,
a notice requires writing: that which is not stated in writing is not stated in
the notice. The idea that things are
stated "implicitly rather than expressly"
is, in this context, not an available characterization. So much appears to have
been accepted
at [51]. The conclusion that the notice did not comply with the
Regulation is inescapable.
- The
next question is whether the failure resulted in invalidity. As explained in
Project Blue Sky , whenever the exercise of a power is made conditional,
there will always be a question of statutory construction as to whether
non-compliance
with the condition renders the exercise of power ineffective. As
explained above, the legislative scheme for public participation,
including the
right to challenge potentially invalid exercises of power, involves a balance of
considerations. One important consideration,
as noted by the primary judge, is
the potentially disruptive effect for a developer who has obtained a development
consent but finds
it is the subject of challenge long after consent was given.
The importance of that consideration may be conceded: nevertheless,
it would be
relevant even in a situation where no notice had been given at all. The giving
of notice, it may be noted, is not a matter
within the power of the developer:
only the consent authority or the council can give an effective notice.
- On
the other side of the balance is the diminution, in a practical sense, of rights
given to the public at large to challenge possibly
invalid consents in
circumstances where no public notice is given of the determination of a
development application. In Pallas Newco , Spigelman CJ noted at [75], in
the passage relied upon by Biscoe J below, that s 101 does not provide an
"absolute bar" because,
unlike a general privative clause, it permits a
challenge within a specified time, being a period of three months, which Biscoe
J
described as "reasonable": at [53]. However, in Pallas Newco the
discussion of s 101 of the EP&A Act arose only indirectly, in considering
whether the characterisation of the development
in question involved a
"jurisdictional fact" the validity of which depended upon the determination of
the Court, or whether it was
a fact which could be finally determined by the
council. His Honour was concerned with the possibility that s 101 would not
protect
a decision of a council infected by jurisdictional error. Because he
felt able not to apply a principle of strict construction to
the section, he
concluded that the word "validity" in s 101 was intended to protect decisions
from jurisdictional error, including
review of jurisdictional facts: at [79].
Accordingly, after the three month period, it was suggested that the only
grounds of challenge
would be those permitted by R v Hickman; Ex parte Fox
and Clinton [1945] HCA 53; 70 CLR 598 at 82-84.
- Pallas
Newco involved a significant shift of control over planning decisions from
local consent authorities to the Land and Environment Court.
Those issues are
not at stake in the present proceeding. Section 101 requires the calculation of
a period of time within which proceedings
may be brought questioning the
validity of a development consent. The critical question is the date at which
the three month period
commences to run. That is identified as the date of
giving a notice in accordance with the Regulation. Whether or not a notice
complies with the Regulation depends upon the proper construction of the
Regulation, not s 101.
- Factors
which may indicate that a particular requirement of the Regulation is not
mandatory, in the sense of being one absent which
proper notice has not been
given, may include the degree of precision with which the requirement is
identified, by contrast with
a requirement that involves elements of judgment or
discretion. The matters required in the statement (ignoring infelicity of
expression
in the Regulation) are all matters which can readily be objectively
identified and which do not require judgment on the part of the person drafting
the statement. The same is not necessarily true of the description of the
development and the land, but these matters are so critical
to the purpose of
the notice that even if correctly stated, the addition of further misleading
information will invalidate the notice:
see Litevale Pty Ltd v Lismore City
Council (1997) 96 LGERA 91, dealing with the giving of public notice of an
amendment to a local environmental plan and compliance with the terms of then s
66
of the EP&A Act (since repealed).
- The
contents of a statement in accordance with paragraph (c) of cl 124(1) should be
easily achieved, readily subject to replication
in identical form in numerous
notices and without risk of causing confusion. As noted above, the contents of
the statement reflect
the statutory obligation imposed on a council pursuant to
s 100 of the EP&A Act. There is no reason to construe the Regulation
as
giving greater significance to one element over others. The fact that compliance
with the Regulation should, at least in this
respect, be straightforward takes
some of the force from the prejudice which could result to a developer from the
council's failure
to comply if that were to prevent the commencement of the
limitation period. Further, as noted by Spigelman CJ in Pallas Newco, the
existence of a discretionary power to refuse relief, even in a case of
invalidity, provides a safety valve in the event of non-compliance
with the
Regulation, even though not a full answer to the potential prejudice to a
developer: [2004] NSWCA 422; 61 NSWLR 707 at [66]; the Court Act, s 25B (providing for alternative
orders to declarations of invalidity in respect of invalid development
consents).
- It
should be noted that this was not a case in which there was an attempted or part
compliance with the requirements of the Regulation. The necessary statement
included four elements; one was missing in its entirety.
- The
appellant sought to rely upon the judgment of the High Court in Scurr v
Brisbane City Council [1973] HCA 39; 133 CLR 242, in support of the view
that where a consent authority is required to give public notice by way of
advertisement of a development
application, an inadequate notification will lead
to invalidity of the consent. Although the reasoning of Stephen J (with whom all
other members of the Court agreed) adopted the then conventional distinction
between mandatory and directory language in statutory
enactments, sometimes
described as a distinction between an essential preliminary to the exercise of
power as compared with a procedural
condition for the exercise of power,
distinctions abandoned by this Court in Tasker v Fullwood [1978] 1 NSWLR
20 at 23-24 and by Project Blue Sky at [92]-[93], Scurr remains
authority for the proper approach to planning legislation requiring public
notification. Such requirements will generally
be a precondition to the exercise
of power. Since 1973, the legislature has placed enhanced emphasis on the
importance of public
participation, as reflected in the provisions of the
EP&A Act referred to above: see also Canterbury District Residents and
Ratepayers Association Inc v Canterbury Municipal Council (1991) 73 LGRA 317
at 320 (Stein J).
- The
right to challenge the validity of a development consent is an empty promise if
the existence of the consent is unknown. The effect
of the right is not
triggered by the actual knowledge of the applicant of the existence of the
consent; rather, it is triggered by
the giving of public notice, which is deemed
sufficient to allow interested parties to acquire the relevant information. The
content
of appropriate public notice has not been left in the hands of the local
council, even though it should be treated as a knowledgeable
and responsible
authority. Rather, the legislature, through delegated legislation, has
prescribed that which is required for giving
effective notice. No authority is
conferred on the courts to determine that a non-complying notice will be
effective in some cases,
but perhaps not in others. Nor does the Act or the
Regulation provide any criterion by which such an exercise could be undertaken.
The only rational way to give effect to the expressed purpose of the Act, is to
give effect to a notice given in accordance with
the Regulation, but not one
which fails to comply. This approach will have no consequence for a developer
relying upon a valid consent, other than
the incidental effect of permitting
late challenges. Further, whilst the developer is not the party responsible for
giving notice,
in protecting its own interest, it might well consider for itself
the validity of any notice given and invite the council to publish
a further
notice if it or its financier is concerned about that issue. There is no time
limit on the giving of a valid notice.
- The
notice given by the Council on 8 July 2009 did not comply with the requirements
of Regulation, cl 124(1)(c). Accordingly, it was not given "in accordance with
the regulations" and therefore did not trigger the commencement
of the
limitation period in s 101. As a result, the proceedings brought by the
appellant were not out of time.
Notice of contention
- This
conclusion requires that the Court consider the respondents' contention that the
decision in the Land and Environment Court (to
dismiss the application) be
upheld because the grant of the consent was not invalid. This submission
requires reference to the nature
of the project.
(a) nature of project
- The
site of the proposed school was an undeveloped area, roughly rectangular, of
some 2.6 hectares. The property was approximately
250 metres from north to south
and 100 metres across. (There was an irregular excision from the rectangle at
the northern end.) The
northern end abutted for part of its frontage on to
Hoxton Park Road, but the conditions of approval did not permit vehicular access
from that major thoroughfare. The block fell away from Hoxton Park Road to a
waterway and public reserve which ran along most of
the southern boundary of the
site. Crossing the southern boundary in approximately the middle (and thus also
crossing the public
reserve and waterway) was a road known as Pacific Palms
Circuit. The line of the road continued across the south-western corner of
the
site and left the site approximately one-third of the way up the eastern
boundary towards Hoxton Park Road. The road was undeveloped
for the whole of its
length across the site. To join the two arms of Pacific Palms Circuit it was
necessary to construct a bridge
across the public reserve and waterway at the
southern end of the site.
- The
original development application appears to have included the construction of
the bridge, but that element was removed. The bridge
was to be constructed on
the public reserve, which was vested in the Council. As noted above, that
construction was able to take
place without development consent under Part 4 of
the EP&A Act. Nevertheless, because it was included in the original
application,
the application was accompanied by a statement of environmental
effects which specifically addressed the roadway and the bridge over
the creek.
- The
application originally envisaged a seven-stage development, to take place over
seven years, with the roadway and bridge being
completed in stage four. However,
as a condition of approval, the Council required the connecting road to be
completed prior to occupation
of stage one. The primary judge summarised the
approvals then required in the following terms at [5]:
"The development application was amended to exclude the bridge but not the
rest of the connecting road on the basis that:
(a) the proponent would construct the bridge on behalf of the Council on
Council-owned land (including part of the Land to be dedicated
to the Council
under a condition of consent);
(b) therefore
(i) development consent under Part 4 of the Environmental Planning and
Assessment Act 1979 ( EPA Act ) was not required for construction of
the bridge because cl 94(1) of State Environmental Planning Policy (
Infrastructure) 2007 ( ISEPP ) provides: "Development for the
purpose of a road or road infrastructure facilities may be carried out by or on
behalf of a public
authority without consent on any land";
(ii) construction of the bridge required approvals by the Council under s 68
of the Local Government Act 1993 and by the Council as the roads
authority under s 138 of the Roads Act 1993; and
(iii) construction of the bridge required separate assessment by the Council
under Part 5 (ss 111 and 112) of the EPA Act , including assessment of
its environmental impacts."
- His
Honour noted that the construction of the bridge would require clearing
approximately 1,000 square metres of bushland, which largely
comprised "an
endangered ecological community, River-Flat Eucalypt Forest on Coastal
Floodplains of the NSW North Coast, Sydney Basin
and South East Corner
bioregions". He further explained the case presented for the applicant before
him as involving two limbs, namely:
"(a) contrary to s 79C(1)(b) of the EPA Act the Council failed to
consider the likely environmental impacts of the construction of the bridge on
the natural environment, in particular
on the [endangered ecological community]
to be cleared; and
(b) contrary to s 79C(1)(a)(i), the Council failed to consider the
requirements of cl 9(2)(d) State Environmental Planning Policy No 19 -
Bushland in Urban Areas ( SEPP 19 ) relating to the bushland to be
cleared for the bridge."
- There
was no dispute that the development application, so far as it involved
development on land owned by the Federation, required
approval under Part 4 of
the EP&A Act. The procedures for assessment of a development application are
set out in Part 4, Division
2, which includes s 79C. That provision, so far as
presently material reads:
" 79C Evaluation
(1) Matters for consideration-general
In determining a development application, a consent authority is to take into
consideration such of the following matters as are of
relevance to the
development the subject of the development application:
(a) the provisions of:
(i) any environmental planning instrument ...
that apply to the land to which the development application relates,
(b) the likely impacts of that development, including environmental impacts
on both the natural and built environments, and social
and economic impacts in
the locality ...."
- The
primary judge rejected the appellant's second argument, namely failure to
consider the requirements of SEPP 19. The appellant
has not sought to resurrect
any argument based on that provision. Accordingly, the only live question is
whether his Honour was correct
in upholding the first submission.
- The
critical question identified by the primary judge was whether the environmental
impact of the proposed development included the
environmental impact of the
construction of the bridge: at [19]. His Honour concluded at [20]:
"The 'development the subject of the development application' was the school
and the connecting road for the Pacific Palms Circuit
across the Land but
excluding the bridge. The bridge is the missing link in the connecting road. The
Pacific Palms Circuit is to
provide access to the school. Under Condition 174 of
the development consent the school cannot be occupied until the connecting road
including the bridge are completed. Naturally, therefore, the proponent's
intention was and is to build the bridge. The bridge is
consistent with the
[development control plan]. It can be seen that the bridge is inextricably bound
up with the development and
in my view it was likely, viewed at the time of the
development consent, that the bridge would be constructed. It may be accepted
that it was not certain because other statutory approvals and a Part 5 EPA
Act assessment were necessary."
(b) first issue - did Council consider impact of bridge?
- The
contention filed by the Federation and the School raised, in substance, three
challenges to his Honour's conclusions. The first
contention, chronologically,
challenged the conclusion that the Council did not consider the likely impact of
the construction of
the bridge on the endangered ecological community: being,
ground 5, referring to the judgment at [16]. The factual assessment was
made on
the papers and can readily be reviewed by this Court. The material falls within
a short compass. The appellant, in seeking
to uphold his Honour's finding,
relies, as did his Honour, upon an answer to an interrogatory given by the
Council (which, in accordance
with the principles stated in Oshlack v
Richmond River Council [1998] HCA 11; 193 CLR 72, filed a submitting
appearance in the Land and Environment Court and in this Court). The
interrogatory and answer, tendered in the
Court below, stated:
"1. Interrogatory: In determining the subject development application, did
the First Respondent:
(g) consider the likely impacts of the development on River Flat Eucalypt
Forest?
Answer: No."
- The
respondents did not seek to call evidence to contradict that answer, but they
relied upon a statement contained in a report of
a Council officer which was
available to the Council in reaching its determination on the development
application. Some brief background
is necessary to understand the process which
produced the report. Approximately a decade before the present development
application
was lodged, Council had established a body known as the "Independent
Hearing and Assessment Panel" to deal with objections to development
applications and to make recommendations to Council. The application the subject
of the present proceedings was referred to the Panel,
which prepared a report
dated 14 May 2009. The report recommended acceptance of the proposed
development. In identifying the proposal,
it noted that the bridge or "culvert
crossing" would be the subject of separate consideration under Part 5 of the
EP&A Act: report,
p 6. Section 5 of the report considered the development in
accordance with relevant provisions of the Council's relevant development
control plan. In respect of the provision of that plan dealing with "bushland
and fauna habitat preservation", the report stated:
"Site contains an endangered ecological community, within the portion of the
site zoned for the drainage reserve/public reserve. This
is not impacted on by
the development."
- Reading
the report as a whole indicates that the Panel understood the development to
include the construction and operation of the
school, but not the construction
and use of the bridge or culvert crossing. Council members who read the report,
and in particular
the passage set out above, would not have understood the
comment as relating to the effects of the construction of the bridge.
Accordingly,
there was no inconsistency between that brief comment (at p 30 of a
109 page document) and the answer to the interrogatory. His Honour's
conclusion,
that the Council did not consider the impact of the construction of the bridge
as part of its consideration of the development
application, should be accepted.
Indeed, as the submissions for the appellant (somewhat opportunistically)
pointed out, the respondents'
own written submissions in support of their
contentions, in dealing with a ground addressed below, stated (at par 49):
"An examination of the development consent reveals that the Council adopted
the correct approach in that it granted consent for the
school and road and not
the bridge and left the considerations of impact of the bridge upon the
[endangered ecological community]
to the other approvals and Part 5
considerations."
(c) second issue - would bridge likely be constructed?
- The
second (factual) topic raised by the notice of contention challenged a finding
by the primary judge that, at the time of the consent,
it was "likely that the
bridge would be constructed" and that the grant of consent "locked in" the
bridge works: grounds 3 and 4,
referring to the judgment at [20] and [25]. That
his Honour made such findings is not in dispute: the passage at [20] has been
set
out above.
- The
relevance of this finding depended upon the legal proposition (discussed below)
that the "likely impacts" of a development included
actions which were
consequential upon carrying out the development, including actions of third
parties. Accepting for present purposes
the correctness of that premise, it is
difficult to understand the basis of the challenge to the finding. As his Honour
noted, a
condition of the consent was that the bridge be constructed and the
access road completed before the grant of an occupation certificate.
It was not
contended that his Honour was in error in taking that condition into account.
The school was a major project, it was intended
to accommodate approximately 800
students and employ between 50 and 55 teachers and clerical staff. The
proposition that the respondents
would pursue the development in circumstances
where the occupation of the school was not at least "likely" is untenable. His
Honour's
assessment in this respect was correct.
(d) third issue - Council's obligation to consider impact of bridge
- The
third issue raised by the notice of contention involved the proposition that the
impact of the construction of the bridge was
not a matter required to be taken
into account in determining the development application; accordingly, the
failure of the Council
to take such impacts into account did not invalidate its
decision: grounds 1 and 2.
- The
resolution of this issue turns on the scope of the phrase "the likely impacts of
that development" in s 79C(1)(b). The impact
must be one flowing from the
development the subject of the development application: the question is how
remote a "likely" impact
must be, in order to disqualify it from the scope of
the consideration. This requires an evaluative judgment which will often not
involve any bright-line boundary. An antecedent question may, therefore, be, who
is to determine the point at which a particular
impact is too remote to demand
consideration? That question was not addressed in the submissions of this Court,
it being assumed
that it was a matter for the courts to answer. In the language
of administrative law, whether a particular impact was required to
be taken into
account or not was a jurisdictional fact. On one approach, the issue can be
avoided by accepting the common approach
of the parties.
- There
is an alternative approach, arguably more consistent with principle, which would
lead to the same result, but on a test more
favourable to the appellant. If the
law imposes an obligation on a decision-maker to consider a specified matter as
a precondition
to the validity of the decision, there will be an implied
obligation to consider whether a factor potentially falling within the
scope of
the mandatory consideration does or does not so qualify. In the present case,
the Council does not appear to have addressed
that question either. However, if
that be the correct approach, it will be sufficient if the appellant has
identified a factor which
could reasonably have been classified as mandatory,
but was not addressed. Whether or not a decision-maker has unlawfully
circumscribed
the scope of its inquiry is a matter falling squarely within the
scope of judicial review. Whether the Court should review the answer
given by a
decision-maker who has addressed the correct question gives rise to contestable
issues: see Aronson, Dyer and Groves,
Judicial Review Administrative Action
(4 th ed, Law Book Co, 2009) at [4.295]-[4.305].
- Once
it is accepted that the primary judge was entitled to consider for himself
whether the bridge was "likely" to be constructed
as a consequence of approving
the development application, and once the challenge to that decision is
rejected, the respondents must
show some implied restriction on the remoteness
of the chain of likely consequences. Some such limitation must follow from the
concept
of "impact": as remoteness from the development increases, impact is
likely to decrease, until it no longer has practical significance
in terms of
approving or refusing to approve the application. Further, the likelihood of a
particular impact may diminish with remoteness.
"Likely" in this context has the
meaning of a "real chance or possibility" rather than more probable than not:
Randwick Municipal Council v Crawley (1986) 60 LGRA 277 at 279-281;
Drummoyne Municipal Council v Maritime Services Board (1991) 72 LGRA 186
at 193.
- The
argument focused on what were described by the primary judge as "direct and
indirect impacts": at [22]. His Honour referred to
the decision of Bignold J in
the Land and Environment Court in Bell v Minister for Urban Affairs and
Planning (1997) 95 LGERA 86, a case involving a proposed expansion of coal
export facilities at Kooragang, near Newcastle. The case was not directly
involved
with the predecessor to s 79C(1)(b), as suggested by the primary judge,
but with the contents of an environmental impact statement
required for
designated development. The issue concerned the operation of the coal loader:
one environmental impact was a predicted
increase in the volume of trains
carrying coal from the Hunter Valley to Kooragang with a concomitant increase in
noise and vibration
for residential properties along the rail line. The Court in
Bell accepted that impacts external to the land on which the development
occurred were properly to be considered in an environmental impact
statement. It
was but a short step to conclude that such impacts were also relevant in
determining a development application.
- Further,
his Honour made reference to the scope of likely impacts to be considered under
the Environment Protection and Biodiversity Conservation Act 1999 (Cth)
("the Biodiversity Conservation Act") , as discussed in Queensland
Conservation Council Inc v Minister for the Environment and Heritage [2003]
FCA 1463 (Kiefel J) and, on appeal, Minister for Environment and Heritage v
Queensland Conservation Council Inc [2004] FCAFC 90; 139 FCR 24 (Black CJ,
Ryan and Finn JJ). Again, the statutory scheme was not identical to the present
regime. The Biodiversity Conservation Act included a prohibition on a
person taking action that "is likely to have a significant impact on the world
heritage values of a declared
World Heritage property": s 12(1)(b). The Act
nevertheless provided for the Minister to grant an approval in respect of what
was described as "controlled action": ss 67
and 68. In deciding whether a
particular action was a "controlled action", the Biodiversity Conservation
Act required the Minister to consider all adverse impacts that the action
was likely to have on the matter protected: s 75(2). The case involved a
proposal to construct a dam on the Dawson River in Queensland, which, after
joining with other rivers, entered
the ocean near the Great Barrier Reef World
Heritage Area, about 500 kilometres from the site of the proposed dam. The
critical issue,
not taken into account by the Minister, was the likely increase
in irrigation of land adjacent to river beds with the potential for
increasing
concentration of nutrients and other agricultural pollutants downstream from the
dam. The Minister's reasons indicated
that he had put to one side "potential
impacts of the irrigation of land by persons other than the proponents, using
water from the
dam": 139 FCR 24 at [22] and [23]. Kiefel J held that there was
no such limitation on the extent of adverse impacts to be found in
the language
of the statute, given its purpose. The Full Court, stated at [53]:
"As a matter of ordinary usage that influence or effect may be direct or
indirect. 'Impact' in this sense is not confined to direct
physical effects of
the action on the matter protected by the relevant provision .... It includes
effects which are sufficiently
close to the action to allow it to be said,
without straining the language, that they are, or would be, the consequences of
the action
on the protected matter."
- In
the present case, the respondents' argument focused on the fact that the
construction of the bridge was not merely excluded from
the development
application before the Council, but would itself be the subject of separate
environmental assessment under Pt 5 of
the EP&A Act. They sought to
distinguish cases where there was "overlap" between two assessments, because
more than one approval
was required for the same activity.
- In
addressing this issue, his Honour noted that this was not a case in which there
were to be dual assessments of a particular activity.
Thus, the construction of
the bridge was not to be assessed under Pt 4 and, as the EP&A Act expressly
stated, anything for which
consent was required under Pt 4 was not an activity
requiring assessment under Pt 5: EP&A Act, s 110(1)(g). His Honour continued
at [15]:
"If on the proper interpretation and application of s 79C(1)(b) to the
unusual circumstances of this case, the effect of construction
of the bridge had
to be considered when determining the development application for the school and
the road, it is irrelevant that
there may be an overlap in one or more of the
relevant considerations when carrying out the separate assessment required under
Part
5: Australian Leisure and Hospitality Group Pty Ltd v Manly Council (No
4) [2009] NSWLEC 226, 172 LGERA 1 at [78]; CPT Manager Ltd (Acting as
Trustee of the Broken Hill Trust) v Broken Hill City Council [2010] NSWLEC
69 at [109]."
- The
respondents asserted that these cases were distinguishable. In Australian
Leisure and Hospitality , the applicant had obtained development consent for
modifications to the New Brighton Hotel on The Corso at Manly. The consent
approved
use of public areas for outdoor seating and dining: at [18]. However,
because the public area involved the footpath or a road, approval
was also
required under s 125 of the Roads Act 1993 (NSW). That approval was
refused by the Council, leading to an appeal to the Court. A Commissioner of the
Land and Environment Court,
in considering the appeal, disregarded those factors
which had already been the subject of consideration under s 79C in granting
the
development consent. Preston CJ held that approach to be erroneous, stating at
[78]:
"If a planning issue or aspect is a relevant consideration to be taken into
account in the exercise of the discretionary power in
s 125 of the Roads Act,
the commissioner in exercising that power was bound to take it into account. The
fact that a planning issue or aspect might also
have been taken into account in
an earlier exercise of the power under the EPA Act to grant development consent
is irrelevant. Each
statutory power must be exercised taking account of the
relevant considerations each statute requires the decision maker to take
into
account. The fact that there may be an overlap in one or more of the relevant
considerations does not relieve a decision maker
who takes the overlapping
relevant considerations into account in an earlier exercise of power under one
statute from the obligation
to take those relevant considerations into account
in a later exercise of power under another statute."
- This
principle was applied by Craig J in CPT Manager , a case involving
determination by a local authority of a development application (under the
EP&A Act) and an application, in
respect of the same area of land, to close
a laneway. His Honour rejected the proposition that "parallel systems of
regulation" operating
in relation to a proposal for development of land and
requiring decisions of discretionary powers by a single consent authority,
would
necessarily give rise to an apprehension bias on the part of the authority once
it had made a decision under one power, in
considering the matter under another
power.
- The
submission that these cases are distinguishable, in the sense that they involve
different issues, may be accepted. However, they
illustrate a common underlying
principle, namely that the same environmental impacts of a development may need
to be considered separately
in the exercise of separate powers. Once it is found
that a particular activity is a likely impact of the development for which
approval
is sought, the impacts flowing from that activity can only be excluded
from consideration in respect of the development application
if one reads into
the language of s 79C(1)(b) an exclusion of environmental impacts which have
been or are likely to be considered
in relation to a separate development
application required for that activity.
- The
basis for construing s 79C in this way was not elucidated. The case-law suggests
three possible preconditions to the implication
of a limitation on the express
words adopted by the legislature:
(1) first, the apparent omission must be one which requires a remedy in order
for the apparent statutory purpose to be achieved: Bermingham v Corrective
Services Commission (NSW) (1988) 15 NSWLR 292 at 299 (Hope JA) and 302
(McHugh JA, referring to the principles stated by Lord Diplock in Wentworth
Securities Ltd v Jones [1980] AC 74 at 105-106);
(2) the words actually used in the statute must be reasonably open to the
proposed construction: R v Young [1999] NSWCCA 166; 46 NSWLR 681 at [11]
(Spigelman CJ), and
(3) the Court must be able to state with certainty the solution which the
legislature would have adopted, absent inadvertence to the
particular problem:
Bermingham at 302E-F; Taylor v Centennial Newstan Pty Ltd [2009]
NSWCA 276; 76 NSWLR 379 at [55] (Beazley JA) and [103].
- One
consequence of the proposed construction would be that where, as in the present
case, two inter-related developments were each
likely to have an impact on a
particular aspect of the environment, the cumulative impact of the two
developments would escape assessment.
Although the cumulative impact of
sequential, but unrelated, developments may not be a mandatory consideration,
that does not provide
a basis for imposing an implied limitation on the language
of s 79C. To do so would not be consistent with the objects set out in
s 5 of
the EP&A Act.
- First,
it is not necessary to imply the proposed limitation into the text of s 79C in
order to give effect to the purpose of the EP&A
Act; indeed, such an
implication may be contrary to the stated objects of the Act. Secondly, it is by
no means clear that such an
implication would, in the words of Spigelman CJ in
Young , be a "text based" exercise. Thirdly, and consequently, it is not
possible to say with certainty that the legislature would have
adopted this
approach if its attention had been drawn to the present situation. Accordingly,
the respondents' contention must be
rejected. The conclusion reached by the
primary judge was correct.
Conclusions
- The
finding of the primary judge that the consent to the respondents' development
application was invalid was correct. His Honour's
conclusion that the
proceedings were precluded by s 101 of the EP&A Act was incorrect.
Accordingly, the appellant's entitlement
to relief must be addressed; however,
relief does not follow automatically: EP&A Act, s 124 and the Court Act, s
25B.
- The
Court should make the following orders:
(1) Allow the appeal and set aside the orders made in the Land and
Environment Court on 14 December 2010.
(2) Remit the proceedings to the Land and Environment Court for determination
of the appropriate relief.
(3) Order that the second and third respondents pay the appellant's costs of
the appeal.
(4) Direct that the Land and Environment Court, on remitter, determine any
order as to the costs of the proceedings in that Court.
- MACFARLAN
JA : I agree with Basten JA.
**********
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