25 Feb 2025

The policy that Christchurch City Council uses to help it recover some of the costs of providing the infrastructure needed to service new growth developments opens for public consultation today.

Development contributions are a way for the Council to recoup some of the costs of servicing new growth, which can often put additional demands on Council infrastructure and facilities.

The proposed new Development Contributions Policy contains multiple changes to the 2021 policy, which are driven by a range of factors including slower growth projections from Statistics New Zealand, changing patterns of development and increases in infrastructure costs.

Council Head of Strategic Policy and Resilience David Griffiths, says charges have risen across almost all areas of the district in the new policy.

“This is primarily due to increased infrastructure costs and slower growth projections. Because we calculate the DC charge per Household Unit Equivalent (HUE) on a per project basis, dividing the cost of delivering growth infrastructure by the number of new or additional households, it means slower growth projections will cause an increase in the charge.

"The 2021 policy was based on projections from the 2013 census, when the city was still in a rapid post-earthquake growth phase, resulting in a significant decrease in charges. The long-term growth projections that underpin the new policy are more in line with those from the previous, 2016 policy than the 2021 policy, and are reflective of the city moving towards a more ‘normal’ pattern of growth,” Mr Griffiths says.

 A trend towards smaller homes in the city is reflected in a proposed DC reduction of 40% on one-bedroom residential units, replacing the existing reduction for homes smaller than 100m2.

Catchments used to base development contributions charges on would also be simplified under the new policy. It proposes to introduce five localised catchments when allocating costs for road network and neighbourhood parks – Central, North, West, South, East and Banks Peninsula.

“Localised catchments better reflect how these assets get used. Neighbourhood parks are local parks used primarily by local residents. We also know that a high-percentage of road trips are short-distance, so it makes sense for the road catchment network to reflect localised use.

“By focusing on smaller catchment areas, we can tailor our urban planning and transport strategies more effectively, aligning with actual travel behaviours. This ensures we address local needs efficiently and support sustainable, community-focused development,” says Mr Griffiths.

Changes are also proposed to the residential unit adjustments for small and large units. The increasing trend towards smaller homes in the city is reflected in a proposed DC reduction of 40% on one-bedroom residential units, replacing the existing reduction for homes smaller than 100m2.

“We want to make sure that we can fairly recover some of the costs of providing new infrastructure. I encourage those affected to make a submission," Mr Griffiths says. 

Submissions on the policy change can be made until 26 March.