Seanad debates

Wednesday, 12 October 2022

Nithe i dtosach suíonna - Commencement Matters

Planning Issues

10:30 am

Photo of Pat CaseyPat Casey (Fianna Fail)
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The next Commencement matter is from Senator Paul Daly – the need for the Minister for Housing, Local Government and Heritage to consider amending section 42 of the Planning and Development Act 2000 to allow for changes to conditions for the extension of planning permissions for one-off rural housing.

Photo of Paul DalyPaul Daly (Fianna Fail)
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I welcome and thank the Minister of State, Deputy Noonan, for coming in to take this Commencement matter.

I will read the Commencement matter again to highlight some issues in it. It is to request that the Minister for Housing, Local Government and Heritage would relax the conditions for the extension of planning permission for one-off housing under section 42(1)(b) of the Planning and Development Act 2000 in light of delays caused by Covid and now the inflation in construction costs, which could result in many planning permissions granted in 2018 expiring in 2023 with parties being unable to commence construction in the time period.

I specifically included one-off housing because if my request were to be successful, the last thing I or anyone would want is a carte blancheextension. We are all aware that people are reputedly hoarding development sites and this might give them a window to extend that period of hoarding. I am specifically asking that consideration be given for people who had planning permission for one-off housing.

The reason for the request is that a number of people have contacted me with quite genuine reasons they are unlikely to be able to commence construction before their planning permission expires. For example, people whose banks reneged on their mortgage when they went on the employment wage subsidy scheme and they ended back at square 1. Some people could not get builders because of the lockdown. Two years were basically lost in every sphere of life and some people are still in the situation of having Covid-related health issues, be it long-Covid or whatever. It has put a stall to their gallop, to coin a phrase. They may get started but at the moment the conditions state they must have a reasonable amount of work done and in most cases councils will insist that is up to wall plate level. This is unlikely to happen before their planning expires in 2023.

Provisions were made during Covid for planning permissions that were granted during that period of time and that expires at the end of 2023. It is well worth considering or looking at this again. As I have said, I am not requesting it be done in a carte blanchefashion. If it were to happen, I would include conditions that people have to apply and give plausible reasons as to why they could not proceed for the council to examine on a case-by-case basis. It is unfair where people have genuine Covid related reasons and indeed when we got out of Covid we entered the construction inflation period which again is a hindrance to many people. People have genuine reasons for not being able to proceed, for maybe not being able to commence on time, but they still genuinely intend to go ahead. If they were allowed to make a case, without being required to have commenced and to have reached a specific level with their house, it would be of benefit to the one-off housing market in rural Ireland. I stress again, as I did at the outset, I specifically made this request about one-off housing. The last thing I want to start is a process from which people who are hoarding larger development sites benefit.

Photo of Malcolm NoonanMalcolm Noonan (Carlow-Kilkenny, Green Party)
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The duration of a planning permission is generally set at five years, but the planning authority may grant shorter or longer durations with a maximum duration of ten years available for residential development, for example. Section 42 of the Planning and Development Act enables a planning authority to extend the initial duration of a planning permission, providing certain conditions are met.

A package of measures was introduced in September 2021 to amend section 42 and related provisions in the Planning and Development Act regulations. This included, among other things, a new temporary provision in section 42(1B) which was introduced in response to construction delays as a result of the Covid-19 pandemic, to provide for a further extension of duration for planning permission by an additional period of up to two years or until 31 December 2023, whichever first occurs, subject to certain requirements being met. Section 28(1) of the Planning and Development (Housing) and Residential Tenancies Act 2016 was commenced. This provision deleted section 42(1)(a)(ii) of the Planning and Development Act. This removes the possibility of an extension of duration for uncommenced development or development where substantial work has not been carried out.Section 42(8) of the Planning and Development Act 2000 was introduced to provide that a planning authority shall not extend the appropriate period of a planning permission if an environmental impact assessment or appropriate assessment is required in relation to the proposed extension. As such, a planning authority can only grant an extension of duration where it is satisfied that the development has commenced; substantial works have been completed; the development will be completed in a reasonable time; and the environmental impact assessment and appropriate assessment are not required for the proposed extension.

Cognisant of the recent impacts of Covid-19 on the construction industry, section 42(1B) provides, on a temporary basis, for further extensions in respect of planning permissions which have already availed of an extension in duration by up to an additional two years or until 31 December 2023, whichever occurs first. This will facilitate the completion of developments already commenced and with substantial works carried out, which were delayed or interrupted due to the impacts of Covid-19 on construction activity. This further extension period takes into account the restrictions on construction and disruptions in logistics, supply chains, etc., as a result of the Covid-19 pandemic.

While there may be legitimate reasons that a holder of a planning permission may not have commenced or carried out substantial works under that planning permission, to allow for an extension or further extension of duration beyond their initial duration of five years, or possibly more, in such circumstances would conflict with the Department's objective to expedite the activation of planning permissions and the completion of developments that have substantial work already carried out, particularly with respect to delivery of housing.

Any interventions in this area must have a positive effect on development and must incentivise holders of a planning permission to activate and complete planning permissions to the greatest extent possible, as soon as possible, particularly with respect to housing developments. Accordingly, it is not considered appropriate to provide for extensions of duration of planning permissions for developments that have not been commenced or have not been substantially completed within the initial duration of their planning permission.

The Department is mindful that construction costs have risen considerably over recent years, as the Senator has pointed out. Extensive mitigation measures have been implemented in collaboration with other Departments and agencies to address the increasing cost by, inter alia, increasing efficiency and innovation, including the advancement of modern methods of construction, MMC; a national demonstration park; a construction technology centre; the Built to Innovate campaign; and the progression of a residential construction cost study. I hope this response is of some use in answering the question the Senator put to me.

Photo of Paul DalyPaul Daly (Fianna Fail)
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The response was informative but not very positive in respect of my query. I ask the Minister of State again if this matter could be addressed. I am not looking for extensions to planning permissions across the board. We are all aware of the two years we just had. People are trying to get back to normality. While a five-year window may sound like a long time, it becomes a very narrow window when the two years of the pandemic are subtracted, especially in cases where people's circumstances have changed. There is a case for giving consideration to special circumstances, on a case-by-case basis, through an application process with criteria for genuine people. I appreciate the urgency involved and the reasons the legislation seeks to expedite the activation of planning. However, letting planning go because people cannot commence construction, for genuine reasons, will possibly result in the loss of a house or houses. I would appreciate if this matter could be considered from a human perspective.

Photo of Pat CaseyPat Casey (Fianna Fail)
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I welcome a group of young boys and girls to the Chamber. I am not sure what school they are from. It is great to see them engaging with politics at such a young age. Some of them might be sitting here in a few decades' time. I extend a warm welcome to them.

Photo of Malcolm NoonanMalcolm Noonan (Carlow-Kilkenny, Green Party)
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They are from Stepaside. It is great to have them here.

I thank the Senator. My response probably did not give him much comfort in relation to the individuals he represents. I urge them to engage, on a case-by-case basis, with their local authority planners. That is the point of contact. The Department does not have plans to introduce further legislation to extend planning permission. It is open to individuals who cannot avail of an extension of duration to reapply for planning permission. I have tremendous sympathy for anyone who has been caught in that cycle or whose banks have rescinded mortgages because of circumstances or due to Covid-19. It is critically important that they engage and I hope they will be able to advance plans for their homes.