In late 2011, the Western Australian Government adopted an agreed State-wide policy for the application of Gross Rental Valuation (GRV) in the rating of land affected by mining, petroleum and resource interests. Implemented from 1 July 2012 on a trial basis for three years, the aim of the policy was to bring a consistent approach to local government rating and ensure a fair outcome for communities, while providing certainty for resource companies.

The policy standardised the application of GRV on resource interests for rating purposes by identifying the capital improvements to which a local government could apply GRV. The policy allows local governments to apply GRV to improvements such as administration, recreation and accommodation facilities, and maintenance workshops within 100 metres of these facilities, on all land within tenements under the State’s mining and petroleum laws. The policy also applies to improvements on land that is not within a tenement, but is primarily used for resource-related activities such as processing or refining.

In 2015, the then Departments of State Development and Local Government and Communities reviewed the policy in consultation with the Chamber of Minerals and Energy, the Western Australian Local Government Association and the Association for Mining and Exploration Companies. Following agreement from all parties, the Government adopted the policy on a permanent basis.

The Minister for State Development and the Minister for Local Government and Communities announced the continuation of the policy on 1 October 2015.

Key changes following the review process include:

  • agreement that the policy will apply to State Agreement projects either through mutual agreement between proponents, local government and the Minister for State Development, or through variation of State Agreements; and
  • a new clause which requires the policy to be considered in conjunction with other policies and guidelines about rating, rateable land and valuation of land.