_Money does grow on trees

The Victorian Government recently approved the Melbourne Strategic Assessment Environment Mitigation Levy Act 2020, which replaces the former Biodiversity Conservation Strategy Habitat Compensation Obligation fee system.

The new levy will result in an increase in the fees payable for the removal of relevant native habitats within Melbourne’s growth areas.  The following provides a summary of the habitat areas as well as the existing and new per hectare levies listed below.


Habitat Type Existing Levy (per hectare) New Levy (per hectare)
Golden Sun Moth $7,914 $10,005
Growling Grass Frog $7,529 $7,846
Matted Flax-lily $11,196 $11,351
Native Vegetation $95,075 $113,441
Scattered tree location $13,218 (each tree) $15,768 (each tree)
Southern Brown Bandicoot $4,015 $4,138
Spiny Rice-flower $7,937 $8,522


The new fees, which will come into effect on 1 July 2020 have reportedly been introduced in order to assist the Department of Environment, Land, Water and Planning to generate the funds required to purchase the land needed for habitat compensation.

Collie advises developers to be aware of these new levies and to factor these charges into cost modelling for future projects.