STATE GOVERNMENT’S RELEASE OF ITS COMMUNITY BENEFITS GUIDELINE FOR LARGE-SCALE RENEWABLE ENERGY PROJECTS
In early March 2026, the State Government has released its Community Benefits Guideline for Large-scale Renewable Energy Projects in the South West Interconnected System.
The Guideline follows strong advocacy from Western Australian Local Government Association (WALGA) through its Renewable Energy Community Benefits and Engagement Guide released in July 2025 and is an important step in ensuring regional communities share in opportunities created by the energy transition.
The Guideline and its functions are in-line with key asks in WALGA’s advocacy including indexed community benefits for wind, solar and battery storage.
Importantly, the Guideline identifies Local Governments as having a central role in the development and implementation of Community Benefits Plans to ensure these align with community priorities. These community benefits arrangements have the potential to deliver and accelerate priorities of local communities.
The Guideline will be trialled via a pilot, covering the Shires of Victoria Plains, Dandaragan, West Arthur and Narrogin. This will provide the opportunity to test the model, refine its operation, and confirm that it delivers long-term, meaningful benefits to host communities.
While the Guideline is not mandatory, the State Government has not ruled this out in the future. WALGA will advocate for State Government to mandate the requirement for proponents to deliver community benefits.
The Guideline specifies that community benefits should not be used to fund routine Local Government services or operational costs, such as maintenance, staffing, or works required to manage construction impacts including road damage, dust, or vegetation disturbance.
As such, WALGA continues its advocacy on behalf of Members to the State Government to prioritise the release of advice on the appropriate rating arrangements for large-scale renewable energy projects to provide clarity and certainty for Local Governments across Western Australia.
For more information please visit: https://www.wa.gov.au/organisation/energy-policy-wa/community-benefits-guideline-realising-the-opportunities-of-the-energy-transition