The Western Australian Government yesterday released its Community Benefits Guidelines for Large-scale Renewable Energy Projects in the South West Interconnected System (SWIS), setting out a framework for how renewable energy projects should share benefits with host communities.
Community Power Agency welcomed the guidelines, which place regional communities at the centre of decision-making about how renewable energy projects deliver local benefits.
“It’s really promising to see the Guidelines commit to local communities having decision-making power over how community benefit funds are distributed and allocated,” said Kim Mallee, Director at Community Power Agency.
“In some states, efforts to coordinate community benefits have centralised decision-making, unintentionally leaving community voices sidelined. The WA guidelines take a better approach by recognising that coordination is critical, but it must include a broad range of local stakeholders. This helps communities have a real say and ensures the benefits actually reflect local priorities.”
Unlike many existing approaches in other states, the WA framework recommends that project-level benefit sharing programs be guided by community-led plans for the region, and co-designed with local residents, community groups, First Nations representatives, local governments and unions.
“Western Australia has had the chance to learn from what has worked, and what hasn’t, in other states.” Mallee said.
“These guidelines reflect leading practice by recognising that communities hosting major renewable energy projects should play a central role in shaping how the benefits are delivered.”
The guidelines also clearly outline what should be included within community benefit sharing programs and distinguish these from other project obligations such as local content requirements, council rates, decommissioning plans, heritage agreements, neighbour agreements and planning approval conditions.
While the guidelines are not yet mandatory, they establish a clear baseline for industry and set expectations around both the value and governance of community benefit sharing.
“We look forward to seeing the first Community Benefit Plans developed and how they play out in practice as renewable energy projects roll out across Western Australia.”
