Aerotropolis Contributions Plan

Wednesday, 31 May 2023

At its Ordinary Meeting on Monday 29 May 2023, Penrith City Council endorsed the draft Aerotropolis Development Contributions Plan to provide much-needed local infrastructure within the emerging Aerotropolis precinct. 

The draft contributions plan seeks to deliver $815m in local infrastructure by apportioning a contributions rate of 5.5% within the Penrith Local Government Area for development within the Aerotropolis precinct. This will deliver the roads, bridges, active transport connections, open spaces and embellishments identified in the Aerotropolis planning package.    

Both Penrith and Liverpool Councils exhibited  in November 2020with a joint plan at a rate of 6.5% based on land use and built-form assumptions to give the development industry certainty and an indication of the contributions plan for the Aerotropolis precinct. Since this time, the planning framework for the Western Sydney Aerotropolis has been finalised, providing clarity around land use planning and infrastructure outcomes.   

As a result, the total cost of local infrastructure to meet the needs of the Aerotropolis for both Penrith and Liverpool Councils is estimated at $2.8bn.    

There are differences between the unique requirements and individual costs of infrastructure provisions associated with each Local Government Area. Penrith has significant industrial and business logistics land uses, while Liverpool has a mix of industrial, commercial and residential development, meaning the contributions rate varies between the Local Government areas.    

A key change in the new draft Aerotropolis Contributions Plan is that both Penrith and Liverpool Councils now have their own Plans to enable greater autonomy and simplified administration of the Plan.   

Developer contributions collected through this plan is the only funding mechanism available to Council to pay for the infrastructure required in the Aerotropolis.   

We acknowledge there are other costs associated with developing in this precinct and call on all levels of government and developers to work together to ensure sites across the precinct have the necessary infrastructure to facilitate the roll out of development in this area.   

Council’s draft Aerotropolis Contributions Plan will be on exhibition from mid-June 2023. 

Information contained within this news release was correct as at Wednesday, 31 May 2023.