Development and financial contributions

Auckland is experiencing strong growth, and each year thousands of new building projects are undertaken as part of this.

The council needs to manage the impacts of this growth, such as:

  • extra rain water going down our drains
  • more vehicles on our roads
  • greater use of public space and community facilities.

Development contributions and financial contributions provide ways of recovering some of the costs of growth from those who create new developments.

We will continue to apply the existing development contributions and financial contribution policies from each of the previous councils, except for changes related to water and wastewater that came into force from July 2011. Apart from that change, each of these policies will continue to apply in each of the previous councils' areas.

We are also working towards a new integrated policy that will be in place from 1 July 2012.

About development contributions
About financial contributions
Changes for water supply and wastewater infrastructure
2012 contributions policy


About development contributions

The council's development contributions policy, adopted under the Local Government Act 2002, allows charges to be made as part of our approval of development projects, such as new houses and apartments, subdivisions, new commercial, retail or industrial buildings or expansions to existing ones, and on some changes of use.

The money collected from development contributions is used to pay for the cost of infrastructure that is needed to meet the additional demand created by growth, including open space, drainage, roads and community facilities.

Development contributions policies and charges

Read the council's interim development contributions policy (4.5MB PDF)

To read the relevant policies and charges for your local area, you can also use the links below.

Auckland city

Franklin district

Manukau city

North Shore city

Papakura district

Rodney district

Waitakere city


About financial contributions

Financial contributions (sometimes called reserve contributions) may be charged when we grant resource consents for new developments. They typically apply to consents for new houses and apartments, subdivisions and most types of non-residential developments including those that result in new floor area, and some changes of use. They are imposed under the Resource Management Act 1991 and the former councils' district and regional plans, and these continue to operate under the new council.

The revenue raised is used to help fund the cost of projects that manage the adverse effects of these developments, typically open space, drainage, roads, parking or community facilities.

Financial contributions rules and charges

To read the relevant financial contribution policies for your local area, please use the links below. The majority of these links will take you to the relevant District/Regional Plan for your area.

Auckland city

Auckland region

Franklin district

Manukau city

North Shore city

Papakura district

Rodney district

Waitakere city 


Changes for water supply and wastewater infrastructure

Consents granted from 1 July 2011 will no longer include development contributions or financial contributions for water supply or wastewater infrastructure. Watercare Services Ltd (Watercare) now collect an Infrastructure Growth Charge (IGC) to partly fund the cost of infrastructure relating to increased demand for water and wastewater services.

More information on the IGC, including the charges that apply, is available from Watercare's website.  


Frequently asked questions

Click on the question to display the answer.

  1. The legislation that set up the new Auckland Council also set up Watercare as the provider of water and wastewater services across the region. The council is required under that legislation to change the way costs relating to growth are funded for these water services from 1 July 2011.

  2. Contributions that have been assessed or invoiced must still be paid to the Auckland Council. This includes contributions that have been assessed or invoiced for water supply or wastewater infrastructure. This payment must be made in the way and within the time that was specified when the contribution was imposed. Auckland Council will pass any water supply or wastewater contributions that it receives on to Watercare.

  3. The legislation sets out the way that the transition happens. This is controlled by the date on which the consent is granted. There is no provision within the legislation for a customer to choose to pay either contributions or the infrastructure growth charge. This means that:

    • consents granted by the council on or before 30 June 2011 may attract development contributions or financial contributions for water supply and wastewater.
    • consents granted by the council on or after 1 July 2011 will not attract development contributions or financial contributions for water supply and wastewater.
  4. The Infrastructure Growth Charge (IGC) is assessed on the basis of a standard unit of demand (related to a typical household unit). Under the IGC, a single standard unit of demand will apply across the region.

    As the IGC is charged when a connection is made, some existing vacant sites that may not have been subject to contributions will be subject to the IGC when they connect to the water or wastewater networks.

  5. There is no change to contributions for other activities. Development contributions and financial contributions will continue to be levied to fund growth related expenditure on other activities such as the provision of public open spaces, stormwater, transport and community facilities.

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2012 contributions policy

A new integrated policy on development contributions and financial contributions will be put in place as part of the council's Long-term Plan 2012-22.

Consultation on the new policy has been undertaken in two main phases:

  1. Pre-consultation - to discuss principles and policy concepts with stakeholders and interested parties during 2011 and early 2012.
  2. Formal consultation - as part of the consultation on the draft Long-term Plan which commences from late February 2012.

We want to ensure that people who are interested in the way that contributions operate across the region have opportunities for input. We will be updating this page as the policy evolves and providing ways for comments to be made.

Governing body and Committee reports

The following formal reports provide an outline of the development contributions policy work. The minutes of these meetings should be viewed, to confirm the resolutions passed. These may be different from the recommendations in the reports.

Strategy and Finance committee

  • Meeting 13 December 2010 - Item 10: Financial and related policies for 2011/2012 Annual Plan
  • Meeting 7 September 2011 – Item 11: Development contributions policy for 2012 – Initial determinations required under the Local Government Act 2002
  • Meeting 27 October 2011 – Item 11: Mayor's report on the proposed Long-term Plan 2012-22
  • Meeting 30 November 2011 – Item 15: Draft contributions policy for the draft Long-term Plan 2012-2022

Pre-consultation information

The following items are part of our pre-consultation for the 2012 contributions policy. Note that these documents do not represent council policy.

Developer stakeholder meeting - Session 1 (29 March and 7 April 2011) Developer stakeholder meeting - Session 2 (1 June and 3 June 2011) Developer stakeholder meeting - Session 3 (18 July 2011) Developer stakeholder meeting - Session 4 (19 September 2011) Developer stakeholder meeting - Session 5 (10 February and 16 February 2012)

Draft contributions policy 2012 and supporting information

The draft contributions policy 2012 is included within the draft Long-term Plan 2012-2022 (Volume Three: Financial information, policies and fees, p 178-211). Formal consultation commenced on 24 February 2012

As part of the consultation phases the council is committed to providing detailed information and seeking feedback from interested parties.

This section includes the latest version of the draft contributions policy 2012 and the detailed supporting information including the capital programme, the cost allocation model, the funding model and growth forecasts.

The documents may be subject to change prior to adoption of the final policy which will be no later than 30 June 2012.

Draft contributions policy in draft LTP (380kb)

Draft development contributions or financial contributions - growth data summary (33kb)

Development contributions Funding model for draft LTP (289kb)

Development contributions Cost Allocation Model (1.01mb)

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