Allen Price has reviewed the Shoalhaven Contributions Plan 2026 to understand how it impacts our clients bottom line and project feasibility.
This document will replace the 2019 plan and sets the financial landscape for development in the region for the next 20 years.
Here is our executive summary of what this document is, why it matters, and the critical figures you need to factor into your next feasibility study.
What is the Shoalhaven Contributions Plan 2026?
This Plan is the council’s new “rulebook” for levying development contributions. It authorises Shoalhaven City Council to collect money (or land) from developers to fund the local infrastructure required to support the region’s growth up to 2046.
It covers two types of levies:
- Section 7.11 Contributions: Monetary contributions (per lot/dwelling) for residential subdivisions and developments that increase the number of dwellings.
- Section 7.12 Levies: A percentage levy on the cost of development for non-residential projects or residential works that do not increase the number of dwellings (e.g., a single house on a vacant lot).
Why is it important?
For developers, this document directly dictates the cost of gaining approval.
- Feasibility Impact: The contribution rates vary significantly depending on where your site is. A site in a “Benefiting Area” like Moss Vale Road South will have a drastically higher contribution rate than a standard infill site in Nowra.
- Infrastructure Delivery: It outlines the $247 million works schedule (roads, drainage, parks) that Council commits to delivering. This gives you insight into future amenities that could uplift your project’s value.
- New “Catchment” Model: The plan introduces a tiered catchment system (Citywide + Planning Area + Benefiting Area), meaning you may be contributing to multiple “pots” of infrastructure funding simultaneously.
Key Information for Developers
Which Contribution Do I Pay? (Section 3.1)
You generally pay either a s7.11 contribution or a s7.12 levy, not both.
- Pay s7.11 if: You are subdividing to create new residential lots or building residential accommodation that results in a net increase in dwellings.
- Pay s7.12 if: You are building commercial/industrial projects, or residential work that does not increase density (e.g., a single dwelling on a vacant lot that already paid subdivision contributions).
The “Stacked” Catchment System (Section 3.2)
This is critical for calculating your total liability. Your contribution is built up from three layers:
- Citywide: Everyone pays this (funds regional facilities like the Nowra Aquatic Centre).
- Planning Area: You pay for infrastructure in your specific district (Area 1–5).
- Benefiting Area (The Kicker): If your site is in a specific growth area (e.g., Mundamia, Huskisson), you pay an additional specific levy for local infrastructure like drainage and intersections.
The Costs: Section 7.11 Contribution Rates (Table 2)
This is the most important table for your feasibility. Rates are capped at $20,000 or $30,000 per lot/dwelling depending on the area.
- Standard Areas: Rates are generally between $2,800 – $5,200 per lot.
- High-Cost Benefiting Areas:
- Moss Vale Road South URA: $30,000 per lot/dwelling.
- Mundamia URA: $28,128 per lot/dwelling.
- Milton Benefiting Area: $20,000 per lot/dwelling.
- Badgee (Sussex Inlet): $7,373 per lot/dwelling.
Contribution Rate per Dwelling or Lot.
This table summarises the contribution rates applicable to residential accommodation and subdivision in each of the catchments to which this plan applies.
Table 2: Section 7.11 Contribution Rate per Dwelling or lot
The Costs: Section 7.12 Levies (Table 5)
For commercial/industrial builds or non-density increasing residential:
- Cost up to $100k: 0%
- Cost $100k – $200k: 0.5%
- Cost >$200k: 1.0%.
Where This Plan Applies.
The Shoalhaven Contributions Plan 2026 Applies to all land in the Shoalhaven LGA (Figure 7, Page 7)
Reference Guide: Key Pages for Figures & Images
To help you navigate the document quickly, we have identified the key pages you should save:
- Contribution Rates Table (s7.11): Page 6 (Table 2). This lists the exact dollar figure per lot for every catchment.
- Planning Area Map: Page 7 (Figure 1). Use this to identify if your site is in Area 1, 2, 3, 4, or 5.
- Benefiting Area Maps: If you are developing in these specific towns, check these maps to see if your site falls inside the “higher levy” boundary:
- Moss Vale Road South URA: Page 11 (Figure 4).
- Mundamia URA: Page 11 (Figure 5).
- West Nowra: Page 11 (Figure 6).
- Huskisson: Page 12 (Figure 7).
- Badgee (Sussex Inlet): Page 12 (Figure 8).
- Milton: Page 13 (Figure 9).
- Kings Point: Page 13 (Figure 10).
- Works Schedule: Appendix E (Starts Page 47). Detailed list of every road, roundabout, and park Council plans to build with this money.
Next Steps for Developers
If you are looking at a site within one of the Benefiting Areas, strict feasibility analysis is required as the contribution rates are significantly higher than the standard LGA rate.
Contact the Allen Price team today for a precise contribution assessment to confirm exactly which catchment your project falls into and ensure your financial modelling is accurate before you commit.
