Previous Fact Sheet	Fact Sheet Home	Next Fact Sheet

The information contained in this fact sheet is current as at 23 April 2008

Topic 5 – Biodiversity Conservation

Fact Sheet 5.3 – Conservation on Private Land

Conservation on private land is a vitally important element of biodiversity protection in Australia. Due to the limited availability of public land for habitat protection and the expense associated with acquisition, private landholders hold the key to the survival of many flora and fauna communities.

There are a number of programs through which landholders can voluntarily conserve areas of ecological value on their properties. They range from non-binding, temporary agreements to binding agreements that are attached perpetually to the title of the land.

This section provides details of the statutory and voluntary schemes that provide incentives for landholders to engage in conservation on their land.

5.3.1. Property Vegetation Plans

Property vegetation plans are a voluntary conservation measure. The key role of private land for achieving environmental outcomes is recognised by the Native Vegetation Act 2003. Property vegetation plans are a central plank of the legislation which seeks to ban broadscale land clearing in New South Wales. They provide a mechanism for authorising native vegetation clearing and providing financial incentives for achieving positive conservation outcomes. Property vegetation plans are discussed in more detail in Fact Sheet 4.4– Vegetation Management.

5.3.2. Voluntary Conservation Agreements

The National Parks and Wildlife Act 1974 provides for the creation and registration of voluntary conservation agreements. Voluntary conservation agreements aim to protect the natural or cultural conservation values of private land.

Owners of freehold land, lessees of Crown land and local councils are eligible to enter into voluntary conservation agreements. The agreements are made between the landholder and the Minister for the Environment, Heritage and the Arts. The establishment of voluntary conservation agreements is coordinated by the National Parks and Wildlife Service (NPWS).

A voluntary conservation agreement is a statutory covenant which is attached to the title of the land. This means that when the agreement is declared under the National Parks and Wildlife Act the land will remain in the ownership of the landholder and future purchasers are then required to manage the property for conservation in accordance with agreement. Alternatively, the agreement will have effect for a time period specified by the parties or until it is terminated by consent of all parties.

The agreement may include terms such as:

• restricting the use of the area and requiring the owner to carry out conservation activities;
• providing the owner with money or requiring financial contributions from the owner;
• requiring the state government to provide financial, technical or other assistance; and
• anything relating to conserving or enhancing the area, including implementing any management plan for the area.

The terms of the agreement are enforceable in the Land and Environment Court. The Director-General must keep a register of conservation agreements for public inspection. Statutory authorities cannot develop land covered by a conservation agreement without the Minister's agreement.

Voluntary conservation agreements can be terminated with the Minister and owner's agreement, or in other circumstances specified in the agreement. It can also end if certain circumstances in relation to the area change. If the agreement is revoked, notice must be tabled in Parliament.

Landholders are encouraged to develop a management plan for the conservation area. The NPWS may provide support and advice when needed. A template is provided by NPWS to assist in management plan development, but this can be altered to suit each individual site. The agreements and management plans are usually reviewed every five years, and there is an annual site visit.

There is no express provision for compensation under National Parks and Wildlife Act. However, landholders may apply for limited financial support through NPWS for the costs associated with the establishment of the voluntary conservation agreement, as well as on-ground assistance with management activities. This could include assistance with fencing materials, plant and animal surveys, stabilisation works on certain sites, and specialist advice or other assistance such as tax deductions. Voluntary conservation areas may also be eligible for rate rebates from local government.

5.3.3. Wildlife Refuge Agreements

Wildlife refuge agreements are non-binding agreements created under the National Parks and Wildlife Act. These agreements allow a landholder to voluntarily nominate all or part of their property where the land has native wildlife values to be managed for wildlife conservation and the conservation of natural environments. These agreements are generally made for the whole property as the program allows for modified landscapes.

Barrington Guest House is an example of a wildlife refuge within the Barrington Tops National Park with its World Heritage Listing.

The purpose of a wildlife refuge agreement can include:

• recovery of local wildlife species;
• restoration of natural environments;
• study of wildlife and natural environments, and
• creation of simulated natural environments.

Wildlife refuge agreements are made through the NPWS, who assist with the preparation of management plans and provide access to specialist information on wildlife protection.

Agreements are gazetted, which means that they will be noted on the property title. However, this does not mean that it is a binding agreement that is attached to the title like a voluntary conservation agreement. Wildlife refuge agreements may be revoked or varied at any time by the parties to the agreement.

5.3.4. Land for Wildlife

The program provides for registration of participating properties, but it is not legally binding and does not change the legal status of the property. Participating landholders become part of a conservation network, and are provided with technical advice and educational material.

5.3.5. Nature Conservation Trust Agreements

The Nature Conservation Trust was established under the Nature Conservation Trust Act 2001 to foster conservation on privately managed land in partnership with land managers. The Trust is independent of government, with funding supplied largely through philanthropy and industry investment.

The main function of the Trust is to establish a revolving fund, buying and on-selling property following the attachment of conservation covenants to the land. The Trust may also enter into agreements with landholders to manage land for the protection of natural heritage. The agreements may provide for technical, financial and other support. Rate relief is also available for land covered by a trust agreement.

Trust agreements are voluntary, but the terms are binding and enforceable on all parties to the agreement. Trust agreements may be registered on the land title, thereby binding subsequent owners. The agreement may be varied by a subsequent agreement between the parties .

5.3.6. Private Protected Areas

The Natural Heritage Trust National Reserve System Program provides for the establishment of Private Protected Areas. The program provides up to two thirds of the purchase price to assist voluntary land purchase. In exchange for this assistance there is a requirements that there is permanent protection attached on the title. This program is for incorporated community groups and local governments, who will be responsible for management costs.

5.3.7. Australian Bush Heritage Fund

The Bush Heritage Fund maintains a portfolio of properties that contribute to the national protected area network. The fund purchases land of outstanding conservation value, particularly areas which may contribute significantly to biodiversity protection, and protects it permanently. The Bush Heritage Fund is a non-profit organisation which obtains funds from donors.

5.3.8. Natural Heritage Trust

The Natural Heritage Trust provides financial support for a wide range of activities consistent with the objectives of the trust:

• protecting and restoring the habitat of threatened species;
• reversing the long-term decline in the extent and quality of Australia's native vegetation;
• improving the condition of the natural resources that underpin the sustainability and productivity of resource based industries;
• encouraging the development of sustainable and profitable management systems for application by land-holders and other natural resource managers and users; and
• providing land-holders, community groups and other natural resource managers with understanding and skills to contribute to biodiversity conservation and sustainable natural resource management.

Examples of programs supported by the Natural Heritage Trust include:

• National Landcare Program: provides funding for development of community initiated and managed projects with a focus on natural resource management for the public benefit.
• Endangered Species Program: provides funding for threatened species projects, with a focus on preparation and implementation of recovery plans and threat abatement plans.

5.3.9. Tax Incentives and Rate Relief

Donations of property valued at over $5000 (including land, buildings, shares, vehicles) to eligible environmental bodies, such as the Bush Heritage Fund, enable the donor to gain an income tax deduction, or a capital gains tax exemption for gifts of property bequeathed in a will. The tax deduction can be spread over five years.

If a landholder enters a perpetual conservation covenant, they will gain an income tax deduction for any decrease in land value as a result of entering into the covenant, and capital gains tax provisions will apply as if it were a sale or gift of land. The value of the deduction can be spread over five years.

The covenant will be treated as part disposal of the underlying land for the purposes of capital gains tax. To qualify for an income tax deduction, the land must be valued at more than $5000, the covenant must be entered into with an eligible environmental body, and be attached to land acquired less than twelve months before the covenant was attached.

To obtain capital gains tax benefits, the land must have been owned for at least twelve months and the covenant must be entered into as part of an approved conservation covenant program or approved directly by the Minister for Environment, Heritage and the Arts.

Under the New South Wales Local Government Act 1993, rebates are available for landholders who have set aside land for nature conservation. For example, areas covered by a voluntary conservation agreement can be eligible for rate rebates.

	Previous Fact Sheet	Fact Sheet Home	Next Fact Sheet