James Browne (Wexford, Fianna Fail)

Amendment No. 8 seeks to introduce a use it or lose it principle into the Act of 2024. The amendment itself does not appear to amend a specific section of the Act of 2024 or to outline any details or criteria concerning the timeframes to be specified for commencement or what penalties may be applied. While it is, of course, important that we encourage holders of permissions to commence development as soon as possible, I do not consider it appropriate to introduce a use it or lose it principle in this manner.

The extension of the duration of permissions proposed in this Bill are time limited and restricted in that the development must commence within 18 months of the commencement of the legislation or the extension will cease to have effect. Under the Act of 2024, development must have commenced before an extension of duration can be sought. This is to encourage holders of permission to commence development as soon as possible. In the event that a holder of a development does not commence before the end of the duration of the permission, the permission will expire and a new application for permission will need to be made. This is appropriate as there may be valid reasons that are sometimes entirely outside of the control of the holder of a permission as to why a development does not proceed as intended.

The Minister for Finance has already introduced legislation providing for the application of financial penalties for non-activation of zoned residential land. This is a more appropriate legislative code for such matters, rather than planning legislation for dealing with it on a use-it-or-lose-it-type basis. The residential zoned land tax, RZLT, applies to lands zoned for residential development or for mixed-use purposes including residential development, which is either vacant or idle and which, in both cases, also has the necessary services in place to support the development of housing. The tax was introduced in the Finance Act 2021 and came into effect on 1 February 2025. The aim of this tax is to increase the supply of land for building by activating land which has been zoned in a statutory land use plan adopted by a local authority and which is also serviced. The tax will be charged at 3% of the market value of the land every year. I am satisfied that the RZLT is a more appropriate measure than a use it or lose it principle. Therefore, I cannot accept the amendment.

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