• Permanent policy adopted for rating of resource-related land
• Follows three-year policy trial and agreement from stakeholder groups

A successful State Government trial of an agreed State-wide policy for local government rating of land affected by mining, petroleum and resource interests will now become permanent.

Premier and State Development Minister Colin Barnett and Local Government Minister Tony Simpson said the review of the three-year trial had proved the policy ensured fairness and certainty for both local governments and resource companies.

Mr Simpson said local governments would continue to be able to apply gross rental value (GRV) to improvements such as administration, recreation and accommodation facilities, and maintenance workshops within 100 metres of these facilities, on all land within tenements under the State's mining and petroleum laws.
 
The policy, which was developed and reviewed in conjunction with the Chamber of Minerals and Energy of Western Australia, WA Local Government Association, and the Association for Mining and Exploration Companies, was initiated in 2012.
 
"All three stakeholder groups were closely consulted again during the review and have agreed to support the amended, ongoing policy," Mr Barnett said.
 
Key changes following the review process include:

• agreement that the policy will apply to State Agreement projects either through mutual agreement between proponents, local government and the Minister for State Development, or through variation of State Agreements; and
• a new clause which requires the policy to be considered in conjunction with other policies and guidelines about rating, rateable land and valuation of land.

The policy also applies to improvements on land that is not within a tenement, but is primarily used for resource-related activities such as processing or refining.

"Over the past three years, this review has assisted local governments in accessing a more stable and predictable source of rating income, and the permanent adoption of this policy will allow that to continue," Mr Simpson said.


Fact File

• The trial policy ran from July 1, 2012 to June 30, 2015 and was then extended to September 30, 2015 in order to allow time for further consultation with interested parties
• The GRV policy was originally developed in 2011 in recognition of the changing nature of mining in regional WA, with the phasing out of 'company towns' meaning local governments assumed greater responsibility for the provision of services
• For more information, visit the website of the Department of Local Government and Communities.