Introducing the ‘Coordinator General’s Office’
Last month, the State Development Coordination and Facilitation Act 2025 (SDCF Act) completed its passage through Parliament and received Royal Assent. The SDCF Act has the potential to have a particularly significant impact upon councils. This article provides a brief, basic introduction to the SDCF Act.
Norman Waterhouse has followed the development of the SDCF Act closely, including having assisted the LGA with its submissions on the consultation draft version of the Bill which was issued last year.
What is the Coordinator General’s Office?
A central feature of the SDCF Act is the establishment of a new statutory body named the Coordinator General’s Office (CGO).
The CGO is body of 4 members nominated by the Minister responsible for the SDCF Act and appointed by the Governor. There are no specific requirements with respect to qualifications for membership of the CGO, except that the overall membership must reflect “an appropriate diversity of experience and perspectives (whether business, industry, government or other experience or perspectives)” and must include at least one person with knowledge, expertise or experience relating to AUKUS.
What can the CGO do?
A lot.
The CGO has various powers and mechanisms at its disposal relating to the facilitation and coordination of projects. These may be government projects, or private projects, or indeed projects where the CGO itself is the proponent. The CGO can exercise powers not only with respect to projects of major significance to the State but may also become involved in more ‘minor’ projects if it chooses.
The power of the CGO which, in our view, stands out the most is its ability to effectively ‘stand in the shoes’ of certain other authorities, and exercise certain functions of those authorities in relation to certain projects, as if the function had been duly delegated to it by the original authority. This includes exercising functions of councils under the Local Government Act 1999, the Planning, Development and Infrastructure Act 2016, and various other Acts.
Further, when performing the functions of other authorities, the CGO can modify or exclude the application of legislative provisions which would otherwise govern the performance of such functions.
Although the CGO must consult with an authority when proposing to exercise a function which is ordinarily vested in that authority, ultimately it is a matter of discretion for the CGO as to whether and how it will exercise that function.
Is the CGO independent from government?
No.
The CGO is subject to the direction of the Minister responsible for the SDCF Act, and thus the government of the day. Although there are some limits and conditions on the Minister’s power to give directions, ultimately the Minister can exercise considerable influence over the CGO.
Further, the Minister has several important powers of their own under the SDCF Act, including making certain declarations and notices and providing certain consents and approvals which are necessary for the CGO to act in certain cases.
What does this mean for local government?
The SDCF Act presents risks and opportunities for local government.
On the one hand, the ability of the CGO to effectively ‘take away’ some or all elements of council control over a project within the area of the council, while at the same time leaving that council with the long-term consequences of whatever decisions the CGO may have made, can clearly give rise to risks of a significant nature. It could also give rise to issues which go to very heart of representative elected government.
On the other hand, councils themselves may seek to refer projects to the CGO, including where the council itself is the project proponent. Councils might therefore be able to harness the CGO’s ability to streamline projects to their advantage, and to the advantage of their communities, in appropriate cases.
What is next?
The SDCF Act has not yet commenced, and the membership of the CGO is yet to be appointed.
Further, we anticipate that regulations must now be made to supplement to SDCF Act before that Act can commence operation.
Although it may therefore still be some time before the new scheme becomes operational, the scheme is indeed still coming. It would therefore in our view be prudent for councils to now turn their minds to identifying the potential risks and opportunities which the SDCF Act may present for them, in the context of the specific projects which are anticipated or desired to occur in their area at any time in the future.
Norman Waterhouse is closely monitoring the development of this framework and will provide further updates as and when needed. We would also be pleased to provide any specific advice if requested.
Should you have any questions arising from the above, please contact Peter Psaltis on +61 8 8210 1297 or ppsaltis@normans.com.au, Felice D'Agostino on +61 8 8210 1202 or fdagostino@normans.com.au, or Chris Alexandrides on +61 8 8210 1299 or calexandrides@normans.com.au.