Port Stephens Council v Howship Holdings Limited

The New South Wales Court of Appeal considered a dispute between Port Stephens Council and Howship Holdings Limited concerning the validity of a development consent. The Council had granted development consent to Howship Holdings for a shopping centre, but subsequently sought to revoke or amend this consent due to concerns about the project's impact. Howship Holdings challenged the Council's actions, asserting that the consent was valid and could not be unilaterally altered or revoked.

The central legal issue before the Court of Appeal was whether a local council, having granted a development consent under the relevant planning legislation, possessed the power to subsequently revoke or amend that consent without the consent of the developer. The Court was required to interpret the provisions of the *Environmental Planning and Assessment Act 1979* (NSW) and determine the nature of the rights conferred by a development consent.

The Court of Appeal held that once a development consent is validly granted, it creates a form of proprietary right or interest in the land. The Council's power to grant consent did not inherently include a power to revoke or unilaterally amend it once issued, absent specific statutory provisions or conditions within the consent itself allowing for such action. The Court reasoned that to permit revocation or amendment without the developer's consent would undermine the certainty and security expected by developers when investing in projects based on granted consents. The Court found that the Council had acted beyond its statutory powers in attempting to revoke or amend the consent.

The Court of Appeal allowed the appeal, setting aside the orders of the primary judge and declaring that the development consent granted to Howship Holdings Limited remained valid and effective.