The NSW state government is being lambasted by the development industry for slamming sky-high infrastructure taxes on newly rezoned employment zones.
Premier Nathan Rees yesterday announced the release of more than 800 hectares of employment land at the intersection of the M4 and M7 in Western Sydney, which will accommodation up to 16,500 workers.
The area, which is four times the size of Centennial Park, is meant to provide jobs for people living in the North West and South West Growth Centres.
The Property Council of Australia welcomed the news but slammed the decision to impose infrastructure charges of more than double those put on the growth areas.
The government is demanding an $180,000 infrastructure contribution for every hectare, a fee that will stymie development in the area, Property Council’s Ken Morrison said.
The new employment lands at the M4-M7 interchange will be “taxed to death” if the levies go ahead, Morrison said.
“It is hard enough to get manufacturing, warehousing or distribution centre developments to proceed in NSW without a new tax,” he said.
None of the 16,500 promised jobs will be delivered if the tax goes through, Morrison claims.
“The government is making important changes to the planning system to fix inefficiencies and facilitate investment, but levies remain the killer blow,” he said.
“When will the NSW government learn that you don’t facilitate economic development by taxing it more?”
