When Does the Consent Lapse?
24A development consent may be granted subject to conditions that the consent does not operate until the applicant satisfies the consent authority, in this case the council, as to the matters specified in the conditions. In this regard s 80(3) of the EPAA provides:
80 Determination
(3) "Deferred commencement " consent
A development consent may be granted subject to a condition that the consent is not to operate until the applicant satisfies the consent authority, in accordance with the regu l ations, as to any matter specified in the condition. Nothing in this Act prevents a person from doing such things as may be necessary to comply with the condition.
25Section 80(3) is supported by cl 95 of the Environmental Planning and Assessment Regulation 2000 ("the Regulation") which is in the following terms:
95 Deferred commencement consent
(1) A "deferred commencement" consent must be clearly identified as a "deferred commencement" consent (whether by the use of that expression or by reference to section 80 (3) of the Act or otherwise).
(2) A "deferred commencement" consent must clearly distinguish conditions concerning matters as to which the consent authority must be satisfied before the consent can operate from any other conditions.
(3) A consent authority may specify the period within which the applicant must produce evidence to the consent authority sufficient enough to enable it to be satisfied as to those matters.
(4) The applicant may produce evidence to the consent authority sufficient to enable it to be satisfied as to those matters and, if the consent authority has specified a period for the purpose, the evidence must be produced within that period.
(5) If the applicant produces evidence in accordance with this clause, the consent authority must notify the applicant whether or not it is satisfied as to the relevant matters.
(6) If the consent authority has not notified the applicant within the period of 28 days after the applicant's evidence is produced to it, the consent authority is, for the purposes only of section 97 of the Act, taken to have notified the applicant that it is not satisfied as to those matters on the date on which that period expires.
26At the time the consent was granted, there was no period of time specified in the consent within which Mr Roberts had to produce evidence to the council sufficient for it to be satisfied as to compliance with the deferred commencement conditions.
27As at 7 December 2005, there was no provision in the EPAA that dealt with the lapsing of a deferred commencement consent. In 2006, however, s 95(6) of the EPAA was introduced. This provision imposed a maximum five year time limit from the date of the grant of the consent within which satisfaction of the deferred commencement conditions was to occur. It states as follows:
95 Lapsing of consent
(6) Despite any other provision of this section, a development consent that is subject to a deferred commencement condition under section 80 (3) lapses if the applicant fails to satisfy the consent authority as to the matter specified in the condition within 5 years from the grant of the consent or, if a shorter period is specified by the consent authority, within the period so specified.
28The introduction of s 95(6) of the EPAA was facilitated by cl 111 of Sch 6 to that Act, the terms of which are:
111 Lapsing of consent
A development consent granted before the commencement of section 95(6), as inserted by the amending Act, that is subject to a deferred commencement condition under section 80(3), lapses if the applicant fails to satisfy the consent authority as to the matter specified in the condition within:
(a) 5 years after the date consent was granted, or
(b) 2 years after the date of the commencement of section 95(6),
whichever is the later.
29Section 95(6) commenced operation on 4 December 2006 (s 3 and cl 41 of Sch 1 to the Environmental Planning Legislation Amendment Act 2006)
30There can be no doubt, therefore, that absent satisfaction by Mr Roberts of either deferred commencement condition (a) or (b), by operation of cl 111 of the EPAA the consent granted by Watts C on 7 December 2005 lapsed on 7 December 2010.
31This finding gives rise to the issue vexing the Senior Commissioner, namely, whether there is any utility in the Court hearing this appeal. In my view there is. This is because upon the grant of a deferred commencement development consent, the consent is effective, but not operative until such time as the deferred commencement conditions have been complied with to the satisfaction of the consent authority. This outcome is achieved by the combined operation of ss 80(3) and 83 of the EPAA.
32As at 6 December 2010, s 83 of the EPAA relevantly provided as follows:
83 Date from which consent operates
(1) Subject to subsections (2) and (3), if a determination is made by the granting of consent, the consent becomes effective and operates from:
(a) except as provided in paragraph (b)-the date that is endorsed on the notice given to the applicant in accordance with section 81(1) of the determination of the development application or under section 82A(7), or
(b) in the case of designated development to which an objection has been made in accordance with section 79(5):
(i) if consent was granted under section 80(7) following the holding of a review by the Planning Assessment Commission-the date that is endorsed on the notice of the determination of the development application given to the applicant in accordance with section 81(1), or
(ii) in any other case-the expiration of 28 days from the date that is endorsed on the notice of the determination of the development application given to the applicant in accordance with section 81(1).
(2) Subject to subsection (3), if a determination is made by the granting of consent or the granting of consent subject to conditions, and an appeal has been made under section 97 or 98, the consent:
(a) ceases to be, or does not become, effective pursuant to subsection (1), and
(b) becomes effective and operates from the date of the determination of that appeal, except where that decision is to refuse development consent.
(3) A consent referred to in subsection (1) or (2) is void and, except for the purposes of section 97 or 98, is taken never to have been granted if:
(a) an appeal under section 97 is dismissed and development consent is refused, or
(b) an appeal under section 98 is upheld, with the effect that development consent is refused.
(4) If a determination is made by refusing consent or if an application is taken by section 82 to have been so determined, and the decision on the appeal made pursuant to section 97 in respect of that determination has the effect of granting consent, the decision is taken to be a consent granted under this Division and that consent is effective and operates from the date of that decision.
33Ordinarily once a determination is made to grant a consent, the consent "becomes effective and operates from" the date endorsed on the notice given to the applicant (s 83(1)(a) of the EPAA). In the present case, there was no notice given to Mr Roberts because the decision was made by the Court on appeal pursuant to s 97(1) of the EPAA, the result of which was that the consent became "effective and operates from the date of the determination of that appeal", viz , 7 December 2005 (s 83(2)(b) and (4)). However, s 80(3) of the EPAA empowered the granting of consent subject to deferred commencement conditions (a) and (b). The effect of the imposition of these conditions of consent was that "the consent is not to operate until the applicant satisfies the" council that the conditions have been met. Hence the consent has effect, but no sphere of operation. This enables, as s 80(3) envisages, Mr Roberts to undertake all such measures necessary to ensure compliance with the deferred commencement conditions, but no more.
34Arguably, the effect of Mr Roberts commencing proceedings was that the consent ceased to be effective pending the determination of the appeal and was "in a state of suspension" (Wingecarribee Shire Council v Pancho Properties Pty Ltd [2001] NSWCA 271; (2001) 117 LGERA 104 at [27]-[28] and s 83(2) and (4) of the EPAA).
35It is not possible to be more definitive because it is not clear that this was the effect of the commencement of the Class 4 proceedings. On one view, the original Class 4 proceedings, which were plainly not Class 1 proceedings (see s 17(d) of the Land and Environment Court Act 1979), did not constitute "an appeal" for the purpose of s 97 of the EPAA, and thus s 83 of the EPAA had no application. If this is correct, then absent satisfaction of the deferred commencement conditions, the consent lapsed on 7 December 2010, that is to say, prior to the filing of the Class 1 appeal on 23 February 2011. However, because this issue was neither raised by, nor discussed with, either party and because ultimately the reasons for this judgment render it moot, it is presently accepted that upon commencing proceedings on 6 December 2010, the consent, including its ability to lapse the next day, was suspended.
36Accordingly, upon resolution of these proceedings, the consent will either become effective and operative if the appeal is successful or if it is not, will have lapsed.
37The council submitted that s 83 has no application to deferred commencement development consents, which are regulated by a "specific and self-contained code, which is found in s 80(3) and s 95(6) of the EP&A Act".
38I do not agree. There is nothing in the language of either provision that would warrant the exclusion of s 83 to such consents. On the contrary, rather than any discordant operation between ss 80(3) and 83, the two sections may be construed as complementary in scope and function.
39While s 83(2) of the EPAA has since been amended to specifically exclude from its ambit appeals pursuant to s 97(3) of the Act (which would include the present appeal), I do not consider that this subsequent amendment is a sufficiently clear indicia of a legislative intention as at 6 December 2010, to exclude the application of s 83 to deferred commencement development consents at that point in time. In any event, s 83(4) continues to apply to all s 97 appeals.
40The council also raised what it described as the ' Bezzina issue' after the decision of Talbot J in Bezzina Developers Pty Ltd v Leichhardt Municipal Council [2006] NSWLEC 175; (2006) 146 LGERA 249. In that decision, which concerned a deferred development consent granted by the Court, at issue was a determination of the date from which a development consent operated. His Honour considered that there was a distinction to be drawn between a deferred commencement consent granted by a council and a deferred commencement consent granted by the Court. He opined (at [53]-[55]):
53 If the legislature had intended that a court-approved deferred commencement consent should operate from the date when the condition was satisfied then it would have provided specifically that the consent operate either from a date when the Court could be satisfied the condition had been complied with or following compliance with the deferred commencement condition to the satisfaction of a third party. It did not do so. It thereby avoided a potentially unsatisfactory circumstance whereby the parties could be required to return to the Court for a further hearing after the application had been finally determined (see Weal v Bathurst City Council (2000) 111 LGERA 181).
54 Arguably the Court may have avoided the dilemma by stating that the consent would not operate until the deferred commencement condition had been satisfied. However in that event questions of the Court's jurisdiction to override the express statutory provision would arise. That did not happen in the instant case and therefore does not require to be considered further at this point.
55 Essentially what Mr Craig is saying is that the word " operates " in s 83(2) is not to be interpreted in the same manner as the verb "to operate" as it appeared in s 91AA and now appears in s 80(3). According to Mr Craig, the two provisions namely s 83 (formerly s 93) and s 80(3) (formerly s 91AA) must be read together. That is, a court-granted consent may include a deferred commencement condition. Once such a deferred commencement condition is imposed pursuant to the requirements of s 80(3) (s 91AA) the consent will not "operate" until the deferred commencement condition has been satisfied.
41Applying Talbot J's reasoning, the council submits that because s 83(4) states that any consent, including a deferred commencement consent, granted by the Court "is effective and operates from the date of that decision", whereas a consent granted by the council pursuant to s 80(3) is expressed not to "operate until the applicant satisfies the consent authority... as to any matter specified in the condition", the two provisions are inconsistent in a manner supportive of the council's position that s 83 has no application to deferred development consents.
42But again, in my opinion, a harmonious reading of the two provisions is not only possible but is conformable with the scope, purpose and objects of the EPAA. Put simply, if the resultant consent pursuant to s 83(4) of the EPAA is, as is presently the case, a deferred commencement consent, then, and irrespective of who granted the consent, consistent with the clear and unambiguous terms of s 80(3) of that Act, the consent does not become operative until Mr Roberts satisfies the council that he has fulfilled the deferred commencement conditions.
43There are a number of reasons why this interpretation should be adopted. First, a s 97 appeal is a hearing de novo upon the material before the council at the time, not, as the council's submissions suggest, a species of judicial review of the council's decision.
44Second, if the council's contentions are correct, then the statutorily enshrined 12 month appeal period could be rendered otiose by the imposition by a council of a time limit of some lesser period within which to fulfil a deferred commencement condition.
45Third, it would, in my opinion, be an anomalous result if an applicant, having been granted a valuable right, namely, a development consent, albeit one that was subject to a deferred commencement, was discouraged from commencing a legitimate challenge to the validity of the conditions attaching to the consent for fear of losing the benefit of the approval as time passed while the action was being pursued.
46Furthermore, the construction is consistent with the decision of Pearlman J in CSR Ltd v Fairfield City Council [2001] NSWLEC 221; (2001) 117 LGERA 77, a decision which Talbot J respectfully eschewed in Bezzina, but with which I am inclined to agree.
47Ultimately, however, it is not necessary to come to a definitive view about the application of s 83 of the EPAA to the consent because of the conclusion that I have reached that Mr Roberts has not, satisfied the conditions of the consent.