A DRAFT voluntary planning agreement negotiated between Council and A-CAES has gone on public display.

The negotiation between A-CAES Australia NSW Pty Ltd (Hydrostor) and City Council came about as the Silver City Energy Storage System is to be located within the Broken Hill Local Government Area.

The project is a State significant development, and is under assessment by the NSW Department of Planning, Housing and Infrastructure.

At Council's monthly meeting in October, it was revealed, that should the project be approved, the current draft agreement would provide monetary contributions to Council to the total of $3.1 million.

These contributions are to be used for projects that will have material public benefit.

In Council's report 160/24 it stated that A-CAES Australia NSW Pty Ltd (the Developer) have made a State significant development application for the proposed Silver City Energy Storage System.

"As the project is located within the Broken Hill Local Government Area, a draft Voluntary Planning Agreement (VPA) is able to be negotiated between Council and the Developer," the report stated.

"A Planning Agreement is a voluntary agreement under Section 7.4 of the Environmental Planning and Assessment Act 1979, where in this case the Developer and Council enter into an agreement where the Developer provides monetary contributions to Council, for projects that will have a material public benefit.

"Council's solicitors have prepared the draft planning agreement as part of negotiations with the Developer, and the Developer has made a formal offer. The contributions are to be used for the following:

a. A community energy project;

b. A heritage restoration project, involving the purchase or restoration of a heritage building within the Broken Hill City Council Local Government Area for Council or community use; and

c. The installation of a new telecommunication tower for the north of Broken Hill."

The effect of the agreement is that, if the project is granted development consent, the developer will be required to make two monetary contributions to the Council to a total of $3.1 million (subject to CPI adjustment).

The first contribution of $1.6 million is required to be made within two years of the project commencement date operation - is capable of providing input to the electricity grid).

The remainder of the contribution amount is to be paid to Council within five years of the project commencement date.

The community now have a chance to have their say on the VPA.