Development Contributuions

What is a Development Contribution?

The Planning Authority may when granting a planning permission under Section 34 of the Act, include conditions requiring the payment of a contribution.

This contribution is in respect of public infrastructure and facilities benefiting development in the area of the planning authority and that is provided, or that is intended will be provided, by or on behalf of the local authority (regardless of other sources of funding for the infrastructure and facilities)

Where permission is granted subject to the provision of a bond by the developers, the Planning Department will require satisfactory evidence of the existence of such a bond before approving the commencement of development.

Before the development is commenced the developer shall lodge with the Planning Authority a Bond in an amount to be stipulated by the Planning Authority, coupled with an agreement to empower the Local Authority to apply such security or part thereof to the satisfactory completion of any part of the development. The Bond shall be from an approved Financial Institution as may be acceptable to the Planning Authority to secure the provision and satisfactory completion and maintenance of roads, footpaths, water supply, septic tank and drainage required in connection with the proposed development. The Bond shall remain in place for a period of 5 years from the date of grant of permission or until such time as the development has been completed to the satisfaction of the Planning Authority in accordance with the conditions of the planning permission granted.

Sub-section (1) of Section 48 of the Planning and Development Act, 2000 (as amended) enables a planning authority, when granting a planning permission under Section 34 of the Act, to include conditions requiring the payment of a contribution. This contribution is in respect of public infrastructure and facilities benefiting development in the area of the planning authority and that is provided, or that is intended will be provided, by or on behalf of the local authority (regardless of other sources of funding for the infrastructure and facilities). Section 48 also requires that the basis for the determination of a contribution shall be set out in a development contribution scheme made under the section. A scheme may make provision for payment of different contributions in respect of different classes or descriptions of development and due to decreases/increases in prices, shall allow for annual updates during the life of the scheme.