3 The council subsequently successfully appealed to the New South Wales Court of Appeal Botany Bay City Council v Premier Customs Services Pty Limited [2009] NSWCA 226.
4 In his opening paragraphs of the Court of Appeal's judgment, Macfarlan JA said at paras 4 and 5:
"4. The point at issue is whether the commissioner took into consideration the terms of a development control plan (DCP) which applied to the land when determining the adequacy of the setbacks from the side boundaries provided for in the DA. He was required to do so by s 79C(1)(a)(iii) of the Environmental Planning and Assessment Act 1979.
5. My conclusion is that he did not do so because whilst he referred to the relevant provisions of the DCP and was entitled in the particular circumstances of the subject site to depart from them in his determination of the DA, he took a different view than that embodied in the DCP as to the applicable general policy. In so doing he substituted his own approach for the "statutory standard" and thereby failed to treat it as a "fundamental element" in his determination (see Zhang v Canterbury City Council [2001] NSWCA 167 (2001) 51 NSWLR 589 at [72-77])."
5 Also relevantly at paragraphs 27 and 33 he said that:
"27. The parties in the present case recognise, as they were bound to do in the light of Zhang , that whilst it was necessary for the DCP to be considered as a "fundamental element" or a "focal point" of the decision-making process, the DCP was not "determinative" ( Zhang at 75). The council did not contend that Bly C was not entitled to take the view that for reasons related to this particular site it was not appropriate to compel compliance with the DCP side setback requirement. The council however argued, in my view correctly (in light of Zhang and Ligon ) that the commissioner was not entitled to take the view that the standards set by the DCP were inappropriate for reasons of generally policy. The question is whether, as the council contends, he did that, or as the primary judge found, he did not.
33. My view is thus that the commissioner in respect of the eastern side setback put aside the standard set by the DCP and applied his own standard of what is reasonable. Accordingly his decision did not conform with the principles stated in Zhang as he failed to "take into consideration " the DCP in the manner required by s 79C. He applied his own view as to the appropriate general policy, not that embodied in the DCP. He therefore committed an error of law ( Zhang at 60)."
6 The Court of Appeal allowed the appeal and inter alia set aside the decisions of myself and Biscoe J and ordered that the appeal be remitted to a commissioner of the court for determination in accordance with its decision.