Development Contributions

Development contributions are charges levied by councils on developments that create additional demand for infrastructure. These contributions help fund new or expanded infrastructure – such as roads, water supply, wastewater, stormwater drainage, and community facilities – required to service growth.

The policy helps to ensure the costs of infrastructure related to growth are shared by those creating the demand, rather than falling mainly on ratepayers. There is also a requirement that contributions collected within a specific catchment must be spent on capital projects within that same area, improving transparency and local fairness.

The newly adopted Utu Whakawhanake Development Contributions Policy 2025 (Policy) includes demand generated by new subdivisions, buildings, or changes in land use that require resource consent, or building consent (e.g. converting a residential property into a commercial one). Under the policy, development contributions may be required when:

• A resource consent is granted.

• A building consent is granted.

• A Certificate of Acceptance or granny flat exemption is issued.

• An authorisation for a service connection is granted.

• If the application or request is submitted on or after 1 July 2026.

• The development meets the test in clause 15.1 of the policy.

The full policy can be viewed here (PDF | 10.58 MB).

Credits

Credits recognise existing demand and past contributions, so that developments are not charged twice for the same level of service. These are not automatic and may only be applied in circumstances set out in clause 18 of the policy.

Where a qualifying development or financial contribution has already been paid, or an existing level of demand has been clearly established for the site, the council may apply credit to reduce the development contribution payable provided demand generated by a new or intensified development is higher than the credited demand as determined under clause 17 of the policy.

If a new or intensified development creates more demand than that recognised level, development contributions may still be charged in addition to any credit applied for the extra capacity required, even if there was a consent in place before 1 July 2026.

Remissions and exemptions

Some developments may be partially or fully remitted, or exempt, from development contributions under specific criteria in the policy (for example, certain Māori land or statutory exemptions). For details, including eligibility and how to apply, refer to Part D (Remissions, postponements and refunds) and clause 32 (Exemptions) of the policy.

If you disagree with an assessment

If you disagree with a development contributions assessment, you can request a reconsideration under section 199A of the Local Government Act 2002 (LGA) and clause 28 of the council's policy. You may also lodge a formal objection to an assessment in accordance with section 199C of the LGA and clause 29 of the council's policy.