Pan Communities Legislation meeting – Rural land sharing communities

These are some background notes relating to the scheduled legislation meeting on the 24th September

PanCom Legislation Circle

Lismore City Council adopted the strategic planning framework at the September ordinary meeting following extensive community consultation.

The framework brings together five key strategies: an updated Local Strategic Planning Statement (LSPS), Resilience and Adaptation Strategy, Rural Land Use Strategy, Economic Development Strategy and revised Biodiversity Management Strategy.

Together, the strategies establish a long-term approach to accommodating future housing and employment growth while protecting the environment, strengthening community resilience and maintaining Lismore’s lifestyle.

The Resilience and Adaptation Strategy, Biodiversity Management Strategy and Economic Development Strategy have been adopted and are active.

The Local Strategic Planning Statement and Rural Land Use Strategy will progress to the NSW Government for endorsement.

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Rural Landsharing Community (RLC) = Multiple Occupancy

The current state policy is called – State Environmental Planning Policy (Primary Production) 2021 and the enabling provisions for RLC’s is located in Schedule 5 Rural land sharing communities.

https://legislation.nsw.gov.au/view/html/inforce/current/epi-2021-0729

https://classic.austlii.edu.au/au/legis/nsw/consol_reg/seppp2021580/index.html

The current state policy replaced the original ‘SEPP 15’.

If land is within a listed Council area, the state policy enables a development application to be lodged with the applicable council who determines it.

As you can see from the list, the list is fairly small, but does contain some key north coast council areas.

STATE ENVIRONMENTAL PLANNING POLICY (PRIMARY PRODUCTION) 2021 – SCHEDULE 5

SCHEDULE 5 – Rural land sharing communities

1 Application of Schedule

This Schedule applies as if it formed part of each of the following local environmental plans and has effect despite any other provision of those plans–

(a) Bega Valley Local Environmental Plan 2002,

(b) Bega Valley Local Environmental Plan 2013,

(d) Clarence Valley Local Environmental Plan 2011,

(e) Coffs Harbour Local Environmental Plan 2013,

(f) Gloucester Local Environmental Plan 2010,

(g) Great Lakes Local Environmental Plan 2014,

(h) Guyra Local Environmental Plan 2012,

(i) Inverell Local Environmental Plan 2012,

(j) Kyogle Local Environmental Plan 2012,

(k) Nambucca Local Environmental Plan 2010.

(l) Port Stephens Local Environmental Plan 2013,

(m) Richmond Valley Local Environmental Plan 2012,

(n) Tenterfield Local Environmental Plan 2013.

2 Aims of Schedule

This Schedule aims to encourage and facilitate the development of rural land sharing communities committed to environmentally sensitive and sustainable land use practices by–

(a) enabling people who collectively own a single lot to erect multiple dwellings on that lot without dividing the lot (such as by subdivision or by contractual arrangements), and

(b) enabling the sharing of facilities and resources to allow a wide range of communal rural living opportunities at a lower cost, and

(c) facilitating development on rural land (preferably in a clustered style) without undue harm to the environment and without creating a demand for the unreasonable or uneconomic provision of public amenities or services, and

(d) creating opportunities for an increase in rural population in areas that are experiencing population loss.

3 Land to which Schedule applies

This Schedule applies to land in any rural zone but not to the following land–

(a) land in an environmentally sensitive area for exempt or complying development within the meaning of clause 3.3 of the Standard Instrument,

(b) land to which a wilderness protection agreement under the Wilderness Act 1987 relates,

(d) land that is within a special area or a controlled area under the Hunter Water Act 1991, the Sydney Water Act 1994 or the Water NSW Act 2014.

4 Rural land sharing community permitted with consent

(1) The consent authority may grant development consent to development on land to which this Schedule applies for the purposes of 3 or more dwellings if satisfied of the following–

(a) the land is a single lot with an area of not less than 10 hectares,

(b) the height of any building on the land will not be more than 8 metres,

(c) no more than 25% of the land is prime crop and pasture land and no building containing a dwelling will be on any such land,

(d) no building will be on land that is a wildlife refuge, wildlife corridor or wildlife management area and the development will not adversely affect any such land,

(e) the development will not include a camping ground, caravan park, eco-tourist facility or tourist and visitor accommodation, except where otherwise permissible on the land,

(f) no building will be on land that has a slope in excess of 18 degrees or that is prone to mass movement,

(g) the development is consistent with the aims of this Schedule.

(2) In this section–

“prime crop and pasture land” means–

(a) land identified as prime crop and pasture land under State Environmental Planning Policy No 15–Rural Landsharing Communities as in force immediately before the repeal of that Policy, or

(b) land identified by the Secretary of the Department of Industry that has been notified in writing to the consent authority as prime crop and pasture land for the purposes of this Schedule.

5 Matter to be considered

The consent authority must not grant development consent under this Schedule unless it has taken into account the following–

(a) the arrangements for operating and managing the community,

(b) the design of the proposed development,

(d) the availability of roads, utilities and other services,

(e) the impact of the development on the environment and any present or future use of the land,

(f) any other matter that the consent authority considers to be relevant.

6 Future management

The consent authority must not grant consent to development under this Schedule unless it is satisfied that adequate provision will be made for the following–

(a) water and waste management,

(b) prevention, control and management of soil erosion,

(d) flora and fauna management, including the control of noxious weeds and noxious animals,

(e) provision and maintenance of internal roads, boundary fences, water reticulation, service corridors for telephone and electricity cables and similar matters.

7 Density of development

(1) The consent authority must not grant consent to development under this Schedule if the development would result in more than the following number of dwellings on the land–

(a) if the land has an area of 10 hectares or more but not more than 210 hectares–4 dwellings plus 1 additional dwelling for every 4 hectares of land greater than 10 hectares,

(b) if the land has an area of 210 hectares or more–54 dwellings plus 1 additional dwelling for every 6 hectares of land greater than 210 hectares up to a maximum of 80 dwellings.

(2) The consent authority must not grant consent to development under this Schedule if the development would result in the number of persons reasonably accommodated in all the dwellings on the land being greater than 4 times the maximum number of dwellings otherwise permitted by this section.

8 Subdivision prohibited

Subdivision (other than a subdivision permitted under clause 2.75 of State Environmental Planning Policy (Exempt and Complying Development Codes) 2008 ) of land is prohibited if development has been carried out on the land under this Schedule or under provisions similar to this Schedule.

Note–: For example under the former State Environmental Planning Policy No 15–Rural Landsharing Communities

There should be no application for a strata certificate under this Schedule as subdivision is prohibited.

9 More than 1 dwelling may be treated as a single dwelling

The consent authority may, for the purposes of this Schedule, treat 2 or more dwellings as a single dwelling if it is satisfied that, having regard to the sharing of any cooking or other facilities and any other relevant matter, the dwellings comprise a single household.

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In the various local government (Council) areas the ability to apply for a RLC falls into three categories as follows:

A. Not possible

B. Can lodge an application to the council via the state policy (the current equivalent to SEPP 15) – this applies to the following local government areas:

C. The local council has provisions which enable a RLC and an application can be lodged with Council if one meets the requirements. In the local region, Lismore LGA falls into this category. Byron LGA also does but the majority of the available land has been used up.

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Rural Landsharing Communities in Lismore LGA

Currently, RLCs are permissible in certain mapped land and LCC has a DCP (Development Control Plan) spelling out the requirements that any application for a RLC needs to meet.

Lismore City Council adopted its new Rural Land Use Strategy (RLUS) in early September 2026 which significantly changes (increases) where an RLC can be located and also permits Community Title subdivision. These new changes do not become law until the state government endorses the RLUS, and Council updates its planning provisions to reflect these changes.

The new expanded areas where an RLC may be able to occur is the new proposed RU2 zoning (see Council’s online mapping portal). Broadly speaking it includes all of the northwest segment of the Lismore LGA.

Additional opportunities for rural living with multiple dwellings

The adopted Lismore RLUS (yet to be endorsed by the state government) includes additional opportunities for intentional communities and rural living with multiple dwellings. Areas around existing villages provide the opportunity for eco-villages and smaller eco-hamlets.

Another initiative which may well suit smaller groups of people who want to live rurally together and share resources is a new provision to allow a small cluster of dwellings on certain rural land over 20ha in area. For example, such small groups could include:

· Family with four adult children wanting to create intergenerational housing on their rural property

· Four or five retired couples wanting an alternative housing option to a traditional retirement home ad live with their friends in the country

· Four or five younger couples wanting to create a rural lifestyle, each with their own home

This initiative has the potential to suit groups of people who would have traditionally applied via the RLC approval route. Hopefully this option because it is smaller, would be simpler and less expensive in its approval process. Sharing resources such as water supply, energy and wastewater systems and even electric cars provides the potential to decrease the ongoing cost of living.

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Local Environmental Plans

The Lismore Local Environmental Plan (LEP) controls and guides proposed development. It contains land-use zones, development standards and other matters to consider when assessing potential development.

There are also a range of provisions relating to flooding, heritage, subdivision, vegetation removal etc.

The LEP 2012 applies to all land in the LGA excluding areas affected by the Ministerial review into Environmental Protection Zones E2 and E3. The Lismore LEP 2000 will continue to apply in these areas until the review is complete.

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One reluctance of shires adopting landsharing communities is the tendency for illegal dwellings due to inability to access finance via normal banking. This in turn makes landsharing communities affordable due to the many homemade affordable dwellings. I think any revision would need to include as we reforming the owner builder legalisation to allow multiple owner builders on the one allotment if it is a landsharing community (currently only one per 5 years) and that once a landsharing community is approved that the homes are Complying development only if built within the approved footprints (no need for individual DAs).

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Lismore City Council is actively developing a comprehensive Rural Land Use Strategy to efficiently manage and plan for our rural areas. This strategy will serve as a cohesive framework guiding necessary adjustments to relevant planning controls.

The first step in developing a Rural Land Use Strategy was to create a Discussion Paper outlining key features of Lismore’s rural lands and presenting Lismore’s unique strengths, challenges, opportunities, and threats.

The Discussion Paper went on public exhibition between 15 May-3 July 2024. Community feedback was sought through completion of an online survey and/or written submissions to Council. The Feedback Report provides a summary of the feedback received through this process and from industry consultation in the development of the Discussion Paper.

Council is currently drafting the Rural Land Use Strategy, guided by the feedback received on the Discussion Paper, together with the Community Strategic Plan and the Local Strategic Planning Statement.

How to get involved

The draft Rural Land Use Strategy is currently on public exhibition as part of the Lismore 60,000 Planning for Lismore’s Future consultation. Community feedback is welcome, with consultation closing 26 June 2026.

Links to relevant documents:

https://pancom.org.au/wp-content/uploads/sites/19/2026/09/LCC-MO-Provisions.pdf

https://pancom.org.au/wp-content/uploads/sites/19/2026/09/LCC-Add-Rural-Housing-Prov.pdf

https://mapping.lismore.nsw.gov.au/Intramaps99

Have your say on Rural Land Use Strategy is now closed (When?)

https://yoursay.lismore.nsw.gov.au/rural_land_use_strategy

Rural Land Use – Discussion paper May 2024
https://yoursay.lismore.nsw.gov.au/93371/widgets/436165/documents/285928

Feedback =
Rural Land Use Discussion Paper Consultation Report 2025
https://ehq-production-australia.s3.ap-southeast-2.amazonaws.com/df42c8cd0229ba09969b4dd03047c1b7612018ca/original/1757889378/3fc68ec16ff9d755bd011d21866d1ccd_Rural%20Land%20Use%20DP%20feedback%20report%202025.pdf?X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=AKIA4KKNQAKIII4DU7AG%2F20260919%2Fap-southeast-2%2Fs3%2Faws4_request&X-Amz-Date=20260919T050845Z&X-Amz-Expires=300&X-Amz-SignedHeaders=host&X-Amz-Signature=ff943c9a6f5f0d6fc4d1ee6afbbc958fe69efc8e2199d7befbaeccf6151cc8ce

Lismore DCP 2007 – for Land where Lismore LEP 2000 applies
https://s3-ap-southeast-2.amazonaws.com/shared-drupal-s3fs/master-test/fapub_pdf/LISMORE/Lismore%20DCP%202007%20-%20for%20Land%20where%20Lismore%20LEP%202000%20applies.pdf

Our LEPs and DCPs Lismore City Council
https://www.lismore.nsw.gov.au/Building-and-planning/Strategic-planning/Our-LEPs-and-DCPs

https://www.lismore.nsw.gov.au/Community/Environmental-strategies/Rural-Landholders-Initiative

https://www.lismore.nsw.gov.au/Community/Environmental-strategies/Environmental-strategies-and-plans