The Biodiversity Offsets Scheme applies to a range of developments, land clearing and activities that meet certain thresholds, including:
- all state significant development and state significant infrastructure projects (unless the Environment Agency Head and Secretary of the Planning Agency Head determine that the project is not likely to have any significant impact on biodiversity values)
- all biodiversity certification proposals
- local development (assessed under Part 4 of the Environmental Planning and Assessment Act 1979 (NSW) that either:
- exceeds the Biodiversity Offsets Scheme thresholds or
- is likely to have a significant impact according to the test of significance (in section 7.3 of the Biodiversity Conservation Act 2016 (NSW)) or
- is proposed in an Area of Outstanding Biodiversity Value.
- clearing of native vegetation in urban and conservation zones that does not require development consent and exceeds the Biodiversity Offsets Scheme thresholds
- clearing of native vegetation that requires approval by the Native Vegetation Panel under the Local Land Services Act 2013 (NSW)
- activities under Part 5 of the Environmental Planning and Assessment Act 1979 (NSW) (which are generally infrastructure proposals by government agencies) that opt into the scheme as an alternative to preparing a species impact statement. For more information about Part 5 requirements, see The role of local government and other decision makers.
The Biodiversity Offsets Scheme thresholds
The Biodiversity Offsets Scheme thresholds must be applied to:
- local development (assessed under Part 4 of the Environmental Planning and Assessment Act)
- clearing of native vegetation in urban and conservation zones where development consent is not required.
There are 2 Biodiversity Offsets Scheme thresholds:
- the Biodiversity Values Map
- an area clearing threshold.
If a proposal exceeds either threshold, the scheme applies.
Biodiversity Values Map
The Biodiversity Values Map identifies land with high biodiversity value that is particularly sensitive to impacts from development and clearing. The scheme automatically applies to proposals on land mapped on the Biodiversity Values Map.
Learn more about the Biodiversity Values Map and Threshold tool.
Area clearing threshold
The scheme applies to proposals that exceed the area-clearing threshold. The area clearing threshold varies according to the relevant minimum lot size at the proposal site (shown in the lot size maps made under local environment plans) or the actual lot size (where there is no minimum lot size provided for in the relevant local environmental plan). If there are multiple relevant minimum lot sizes, the smallest one applies.
| Minimum lot size associated with the property | Threshold for clearing, above which the Biodiversity Assessment Method (BAM) and Biodiversity Offsets Scheme apply |
|---|---|
| Less than 1 ha | 0.25 ha or more |
| 1 ha to less than 40 ha | 0.5 ha or more |
| 40 ha to less than 1000 ha | 1 ha or more |
| 1,000 ha or more | 2 ha or more |
The area clearing threshold applies to all proposed native vegetation clearing associated with a proposal, regardless of whether this clearing is across multiple lots.
Subdivision proposals must include all future clearing likely to be required for the intended use of the land after it is subdivided in consideration of the threshold.
For more information, see the Biodiversity assessments and calculation of the area clearing threshold.
Test of significance
A threatened species test of significance is required for:
- local development proposals that do not exceed the Biodiversity Offsets Scheme thresholds
- activities under Part 5 of the Environmental Planning and Assessment Act.
The test of significance provides standardised and transparent consideration of ecological communities, threatened species and their habitats through the development assessment process.
If the test of significance determines that a proposal is likely to have a significant impact on an ecological community, threatened species or their habitat, then
- the scheme will apply to local development proposals
- the Part 5 authority can choose whether to opt in to the scheme or, they must prepare a species impact statement.
Understand how to interpret and apply the test of significance in the
Impacts below the Biodiversity Offsets Scheme thresholds and test of significance
Development proposals that don't exceed the Biodiversity Offsets Scheme thresholds and won't otherwise have a significant impact on biodiversity values assessed by the test of significance will continue to be assessed under section 4.15 of the Environmental Planning and Assessment Act.
Land clearing in urban areas, RU5 zones and C2-C4 zones that don't require a permit or approval and don't exceed the Biodiversity Offsets Scheme thresholds will continue to be regulated by local councils under development control plans in the State Environmental Planning Policy (Biodiversity and Conservation) 2021 (NSW).