Planning fees set to soar next year

FEES for planning applications are set to soar next year as cash-strapped councils look to recover a massive shortfall in administration costs.

A government survey has revealed fees would have to increase by 750% if the country’s 88 planning authorities are to recoup the spiralling cost of the service.

However, the Department of the Environment was yesterday adamant it will not pass the full expense onto tens of thousands of people making applications each year.

It also launched a three-week consultation process on fixing new charges.

The department’s consultation paper included a survey which showed a significant gap between the €65 charge for new house applications and the €489 worth of work directly involved in processing them.

When indirect services are considered, the survey set the average cost per planning application at €734.

The paper said while the imbalance was not sustainable it would be unreasonable to dramatically increase charges in one go.

“The widening gap between the cost of providing the planning service and revenue received in application fees needs to be addressed.

“It is recognised, though, to address the gap fully would require very significant increases, up to 750% in some cases, which could have major consequences for customers of the planning system,” it said.

The consultation process is open until May 5 and with cabinet approval the department said it will introduce new charges from January 1, 2009.

The paper said the new fees could not heap all the costs onto customers because the service is “not a perfectly efficient one”.

The survey looked at figures from 2006, when 92,651 applications for planning were received.

While these involved every type of request to change the use or substance of property, 94% fell into the categories covering new houses, home extensions, agricultural buildings or commercial units.

It was conducted last year and has prompted the department to suggest a number of other reforms.

These include:

Fees for large-scale developments be reduced as much work is duplicated for each house in the plan.

Those who apply for retention of work done without planning permission be hit with a five-fold price increase as a punishment.

Flat rate charges for large scale buildings such as shopping centres or schools should be increased.

A separate price be applied for environmentally friendly developments to encourage the use of renewable energy.

Regulations be changed in 2008 to remove any barriers to a cheaper internet-based service.

Irish Examiner

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