Capricornia Prospecting Pty Limited and 2 Ors v Donnelly and Mundine

Capricornia Prospecting Pty Limited and two other applicants brought proceedings against Donnelly and Mundine in the New South Wales Land and Environment Court concerning development consent and a water permit. The dispute centred on the validity of a development consent granted by the local council and a water permit issued by the Ministerial Corporation, and whether both were required for the applicants' proposed development.

The primary legal issues before the Court were whether the development consent granted by the council was valid, specifically whether it dealt with the whole of the application and whether the council had failed to consider material circumstances. Additionally, the Court had to determine whether the water permit issued by the Ministerial Corporation merely replaced an existing entitlement and, if so, whether a partial replacement was sufficient. A further jurisdictional question arose as to whether the Land and Environment Court possessed the authority to adjudicate on the validity of a permit granted under the *Water Act 1912*.

The Court reasoned that the development consent was invalid because it did not address the entirety of the applicants' proposal, thereby failing to deal with the whole of the application as required. Furthermore, the council had not adequately considered all material circumstances presented to it. Regarding the water permit, the Court found that it did not simply replace an existing entitlement but rather granted a new one, and that a partial replacement would have been sufficient had it been the case. The Court also confirmed its jurisdiction to determine the validity of the water permit under the *Water Act 1912*.

The Court made orders allowing the appeal in part, quashing the development consent, and remitting the water permit application for reconsideration.