Queensland's new community benefit system to apply to battery storage facilities

Queensland aligns BESS rules with wind and solar 4 min read

The Queensland Government has recently expanded the community benefit system to encompass battery storage facilities that have a maximum instantaneous electricity output of 50MW or more (large-scale BESS) and made BESS applications impact assessable. The intent of the changes is to increase consistency of assessment, facilitate public involvement in applications and provide improved community benefits.

In this Insight, we discuss the key changes and their impacts on current and future projects.

Key takeaways 

• All applications for a material change of use for a Battery Energy Storage System (BESS), other than minor facilities, are impact assessable.
• Large-scale BESS applications are subject to the community benefit system and must include a social impact assessment (SIA) report and a community benefit agreement (CBA), unless exempted.
• Applications for large-scale BESS made, but not decided, before the changes took effect, are deemed 'not properly made' and will need to be restarted.
• The chief executive is the assessment manager for all BESS applications.
• New State code 27: Battery storage facility development contains assessment benchmarks for BESS applications.

Changes to the application process

There has been no change to the assessment of minor battery storage facilities. These facilities are for a pad-mounted battery storage device only, and where the total area of the premises covered by the facility is no more than 15m2 or the facility is for a pole-mounted battery storage device only and the total volume of the device is no more than 2m3. These minor facilities remain accepted development.

For all other BESS, the Planning (Battery Storage Facilities) and Other Legislation Amendment Regulation 2025 amends the Planning Regulation 2017 in relation to material change of use applications. The changes took effect on 12 December 2025.

Prior to lodging a material change of use application for a large-scale BESS, a proponent must prepare an SIA report and enter into a CBA with affected local governments, unless an exemption is granted by the chief executive. Similar requirements apply to change applications (other than for a minor change).

These changes mean that all large-scale BESS material change of use applications are subject to the same rules as applications for a material change of use for a wind farm or a large-scale solar farm. 

For a discussion of these rules see our previous Insight.

A material change of use application for a BESS (other than for minor facilities) will be made to the chief executive of the State Assessment and Referral Agency (SARA), rather than the local government. The application will follow the impact assessment process, which involves public notification and the potential for third parties to make submissions opposing the application and appeal.

New assessment benchmarks

A new State code 27: Battery storage facility development has been released which identifies assessment benchmarks for a BESS material change of use application. The new code is supported by a new planning guideline.

The code contains assessment benchmarks about the protection of areas of high ecological value and associated wildlife habitats, risk mitigation, incident response, agricultural land protection, managing social and amenity impacts, avoidance and mitigation of natural hazards, the protection of water quality and stormwater management, the impact on transport networks and infrastructure and decommissioning.

Proponents will need to address the requirements of the new code and be aware of the contents of the planning guideline when preparing BESS material change of use applications and change applications. 

Existing applications

Any existing undecided material change of use application or change application (other than for a minor change) for a large-scale BESS will be unable to proceed and will need to start again in compliance with the new rules. 

Implications

The need to prepare an SIA report and enter into a CBA prior to lodging an application will extend the pre application phase of a project, while an SIA is undertaken and a CBA is negotiated. If a CBA cannot be agreed and the chief executive does not grant an exemption, a proponent will be unable to proceed with the project. To seek to avoid this outcome, it is important for proponents to undertake early engagement with impacted local governments and the community.

Impact assessment will improve the transparency of BESS applications, with mandatory public notification and consultation and the ability for members of the public to make submissions. The impact assessment process is, however, a more involved process than the code assessment process, and this will add time and cost to the assessment process. Proponents will need to carefully manage the development assessment process to ensure the most efficient outcome. The use of pre-lodgment meetings and the preparation of comprehensive applications to reduce the need for information requests will be crucial.

The potential for submissions to be made and for submitters to appeal and become parties to appeals will increase the uncertainty of the outcome and—if an appeal is lodged—the time and cost of the project. The impact assessment process exposes an application to submissions and appeals not only from members of the public but also from competitors. Effective due diligence will be necessary to fully understand the risks involved.
The assessment of BESS applications by a single assessment manager and against a single state code will improve the consistency of assessment and the resulting decisions. Over time, it is likely that a standard suite of conditions will be developed that will improve timing and certainty at the end of the development process.

Beyond the obvious concerns about remaking existing applications under the new community benefit system, the cancellation of existing large-scale BESS applications may have implications for proponents under existing contracts, options and agreements for lease. In particular, existing timeframes for obtaining development approvals are unlikely to be achievable given that proponents need to restart the process.

Although not unexpected, there are significant consequences from the proposed changes to BESS projects, particularly large-scale BESS projects. We are familiar with the community benefit system and available to assist if you require support navigating the changes.