Australian Capital Territory
Planning and Development (Remission of Lease Variation Charges for Adaptive Re‑use —Environmental Performance) Determination 2012 (No 1)
Disallowable instrument DI2012-78
made under the  
Planning and Development Act 2007, s 278E (When commissioner must remit lease variation charges—other) 

1	Name of instrument
This instrument is the Planning and Development (Remission of Lease Variation Charges for Adaptive Re-use — Environmental Performance) Determination 2012 (No 1).
2	Commencement
	This instrument commences on 1 July 2012.
3 	Meaning of certain terms—correlation with the Planning and Development Act 2007 and Building Act 2004
	A term used in this instrument has the same meaning as the term has in the Planning and Development Act 2007 or the Building Act 2004 unless this instrument provides a different meaning for the term.
4	Circumstances of adaptive re-use remission
(1)	I, the Minister for the Environment and Sustainable Development, determine the provision of a lease variation charge adaptive re-use remission.
(2)	For the purpose of this instrument adaptive re-use refers to the conversion of all or part of an existing office building to a class 2 residential building as classified in the building code, in the city centre development code or the town centres developments code in the Territory Plan.
(3)	A remission for adaptive re-use will be made if the development achieves high environmental performance in accordance with subsection (4) following and the crown lease includes provisions relating to the remission criteria.
(4)	High environmental performance is based on the predicted carbon savings of the class 2 parts of the building above an estimate of the carbon emissions baseline for the building meeting the current standards.
5	Application for the adaptive re-use remission
(1)	Applications for the adaptive re-use remission relating to high environmental performance will need to be lodged as part of the Development Application (DA) for the lease variation.
(2)	An application for the lease variation charge adaptive re-use remission for high environmental performance will need to be accompanied by:
(a)	a plan of the development that shows how the level of environmental performance will be achieved; and
(b)	an assessment of the level of the carbon savings over the established baseline in accordance with subsection (3) following.
(3)	The assessment of carbon savings must be completed using a publicly available calculator developed by the ACT Government for the purposes of this remissions scheme.
(a)	The calculator will be published on ACT Government websites and updated annually.
(b)	The assessment made by the developer will be verified within ACT Government.
6	Maximum amount to be remitted through the adaptive re-use remission
(1)	I, the Treasurer, determine the maximum amount to be remitted through the adaptive re-use remission to be 75 per cent of the lease variation charge which has been determined for payment.
7	Amount to be remitted through the adaptive re-use remission for high environmental performance
(1)	The value of carbon savings and accordingly the remission will be calculated based on the level of abatement to result from measures above the baseline established by the ACT Government.  
(2)	The adaptive re-use remission for high environmental performance will be calculated as:
REI = CA x Cp x (1 + ECP) where:
(a)	REI is the amount of the remission; 
(b)	CA is carbon abatement determined through the publicly available calculator at the time of application; 
(c)	Cp is carbon price as set under the national carbon pricing framework; and 
(d)	ECP is the Embodied Carbon Premium at 20 per cent of the carbon price.
8	Verification of the remission
(1)	The adaptive re-use remission granted will be verified as per conditions set out in the Development Approval.
9	Review of lease variation charge adaptive re-use remission scheme
(1)	A review of the remission scheme will occur following the transition to a floating price on carbon in 2015.
10	Expiry
(1)	This instrument expires on 30 June 2015.

Andrew Barr
Treasurer
3 May 2012

Simon Corbell
Minister for the Environment and Sustainable Development
3 May 2012