Contaminated land is a significant issue in property development, environmental safety, and public health. In New South Wales, the Contaminated Land Management Act 1997 (CLM Act) governs how contaminated sites are identified, regulated, and remediated.

One of the key provisions relevant to landowners and buyers is Section 59(2) of the Act, which ensures that stakeholders are informed about land that may pose contamination risks. This article explains what Section 59(2) means, how it applies to planning certificates, and why it matters for due diligence.

What Is Section 59(2) of the CLM Act?

Section 59(2) of the CLM Act requires the NSW Environment Protection Authority (EPA) to notify the relevant local council when it has reason to believe that land:

"is, or has been, used for a purpose that may have caused contamination,"

and

"is being, or is to be, investigated or regulated under the Act."

This notification obligation ensures that councils are aware of potential contamination so that appropriate warnings can be included in planning certificates (Section 10.7 Certificates) and development approvals can be assessed accordingly.

How Does Section 59(2) Affect Planning Certificates?

When a council receives a Section 59(2) notice from the EPA, it must record this information in the Section 10.7(2) Planning Certificate, which is typically issued during property transactions.

The certificate will usually include a notation such as:

"The land is subject to notification under section 59(2) of the Contaminated Land Management Act 1997."

This serves as an official warning that the site is potentially contaminated and is under some form of EPA consideration, investigation, or regulation.

Why It Matters for Buyers and Developers

If Section 59(2) is noted on the planning certificate:

• Development may be restricted or require additional environmental assessments or remediation works.
• You may need to prepare a Site Audit Statement or Preliminary Site Investigation (PSI).
• Remediation costs could be substantial and affect the financial viability of the project.
• Legal obligations may apply to landowners, developers, and occupiers regarding reporting, investigation, or cleanup.

Failing to investigate a Section 59(2) notification can result in unexpected delays, compliance risks, and legal liabilities.

Disclaimers

Environmental Disclaimer: The information provided in this article relates to environmental constraints that may affect land use or development. It is general in nature and does not replace detailed site-specific assessments. Always consult with an environmental consultant or local council for up-to-date, location-specific guidance.

Legal Disclaimer: This content is intended to provide a general overview of the relevant legislation and should not be relied upon as legal advice. Property and planning laws are subject to change and may vary depending on specific site conditions and council policies. For advice tailored to your circumstances, please consult a qualified legal or planning professional.

General Disclaimer: This article is provided for general informational purposes only and does not constitute legal, planning, or environmental advice. While every effort has been made to ensure accuracy, the information may not reflect the most recent changes in law or policy. You should seek advice from a qualified professional or relevant authority before making any property-related decisions.