The NSW Government is committed to creating a more vibrant, creative and thriving 24‑hour economy that supports businesses, residents and visitors.
This Explanation of Intended Effect (EIE) outlines proposed changes to the planning system that aim to:
- boost the activation of Special Entertainment Precincts (SEPs) in NSW
- modernise the planning framework to help the Sydney Opera House run outdoor events and carry out maintenance and minor works more efficiently
- modernise planning controls for Walsh Bay Arts Precinct to support its ongoing use for arts and culture.
- allow outdoor dining at surf lifesaving clubs on public land as exempt development.
We exhibited the proposed changes from 7 June to 7 July 2026. Thank you to everyone who provided feedback. We’re currently reviewing and considering this feedback before we finalise the policy changes.
Summary of proposed policy changes in the EIE
Special Entertainment Precincts (SEPs)
- Allowing change of use from shop to a licensed entertainment facility as exempt development.
- Allowing change of use from office premises to an entertainment facility as exempt development.
- Allowing temporary arts, cultural, and entertainment uses in commercial buildings as exempt development.
- Supporting council assessment processes for rooftop dining associated with existing food and drink premises or artisan food and drink industry.
- Making it easier for town halls and other community facilities to be used for arts and cultural events.
- Allowing private carparks to be used for temporary, arts, cultural, or live entertainment events as exempt development.
- Reviewing restrictions on the size of stages and platforms constructed or installed for private events under complying development.
- Allowing larger equipment associated with temporary events on private land as exempt development.
Sydney Opera House
- Allowing certain works like repairs, internal upgrades and public domain improvements to proceed without development consent, provided environmental impacts are still carefully assessed where relevant.
- Expanding exempt development to make it easier to hold outdoor events at the Opera House, including increasing the outdoor event capacity from 5,000 to 6,000 people, extending event operation hours, and updating sound measurement and monitoring supported by a new Sound Management Plan.
- Allowing minor exempt activities, including emergency works, repairs, security activities, non-structural works, minor structures, signage, technology upgrades, and filming and photography, while retaining heritage protections.
- Simplifying and modernising outdated planning terminology and duplicate requirements to create a clearer and more efficient planning framework for the Sydney Opera House.
Walsh Bay
- Modernising the existing State Environmental Planning Policy controls for Walsh Bay, to make them fit for purpose to support the precinct’s arts uses and heritage features.
- Updating or removing bespoke maritime objectives that no longer align with the current uses or strategic planning objectives.
- Replacing the outdated zoning map with a new map that covers both the land- and water-based provisions.
Outdoor dining at surf clubs
- Allow outdoor dining at surf lifesaving clubs on public land as exempt development where the relevant development application was for a ‘community facility’.
Exhibited Documents
Exhibited Documents
Frequently Asked Questions
Frequently Asked Questions
General
General
What is a State Environmental Planning Policy (SEPP)?
A State Environmental Planning Policy (SEPP) is a NSW Government planning instrument that sets state‑wide rules for how land can be used and developed.
Why are these changes needed?
The NSW Government’s vision for the state’s 24-hour economy is to cement NSW as a world-class nightlife destination for visitors, locals and workers alike.
The changes proposed in the EIE would update controls in the planning system and streamline planning pathways to make it easier for arts, cultural, and hospitality businesses to contribute to local economies and create exciting nightlife in our communities.
The proposed changes build on the NSW Government’s broader Vibrancy Reforms, which aim to bring sector regulation in line with contemporary lifestyle patterns, improve government processes and encourage more people to go out, closer to home.
Will these changes impact residents who live near Special Entertainment Precincts, the Sydney Opera House or Walsh Bay?
Potential impacts on residents will be carefully considered and mitigated appropriately. If you have concerns, we encourage you to raise them in your submission so we can address them when finalising the policy changes.
How will noise be managed in these precincts?
Sound considerations are also part of the broader SEP framework to ensure entertainment areas remain vibrant while balancing residential amenity according to the individual needs of each SEP.
The Sydney Opera House proposals include a draft Sound Management Plan outlining how sound will be assessed, managed and monitored.
Do I need to respond to all the proposals and prompting questions?
No. You can provide feedback on any chapter or proposal that is relevant or of interest to you.
What happens with my feedback?
Once the exhibition period closes, the Department will review all feedback received and consider the suggestions and matters raised.
After consultation and consideration of feedback, the Department will finalise the proposals and submit recommendations to the Minister for Planning and Public Spaces for final approval. Once ministerial approval is received, the NSW Government will finalise changes
Changes are likely to be made later this year through a self-repealing State Environmental Planning Policy that makes amendments to existing planning instruments under the EP&A Act.
The Department will need to discuss proposals for the Sydney Opera House and Walsh Bay with stakeholders such as the Sydney Opera House Trust prior to finalisation
Special Entertainment Precincts
Special Entertainment Precincts
What is a Special Entertainment Precinct (SEP)?
A SEP is an area established by a local council under the Local Government Act 1993 where entertainment activities such as live music, performances and night‑time activity are actively supported. SEPs operate under special trading hours, sound management and land use conditions, to encourage a vibrant night‑time economy.
To learn more, visit Special Entertainment Precincts.
Where are SEPs currently operating or being trialled?
Enmore Road became the first permanent SEP in NSW in 2023. As of early 2026, there is one permanent SEP, 8 trial SEPs and 14 SEPs in preparation, ranging from regional towns to established entertainment areas.
Why is the NSW Government proposing to enhance the SEP planning framework?
Councils and industry have told the Government that SEPs need more flexibility and incentives to:
- increase uptake across NSW
- make the effort of establishing a SEP worthwhile
- support the level of vibrancy communities expect
- better activate underused spaces
These ideas form part of the NSW Government’s broader Vibrancy Reforms.
Will the proposed changes apply statewide?
No. The proposals apply only within Special Entertainment Precincts.
Who proposed the policy changes for Special Entertainment Precincts?
The Office of the 24-Hour Economy Commissioner proposed the policy changes to support more activation of Special Entertainment Precincts. They ran targeted consultation with stakeholders from state agencies, local councils and industry.
We are now seeking further feedback from stakeholders to help us refine and finalise the policy.
Do councils have to adopt all of the new measures?
That is a key question being consulted on. The Government is seeking feedback on whether:
- all enhancements should automatically apply in all SEPs, or
- councils should be able to choose which measures suit their precinct.
Will neighbours still be notified of these changes?
No. Exempt and complying development pathways do not require neighbour notification. The SEP’s PMP, which is publicly consulted on, becomes the key document setting expectations for the Precinct, for sound regulation of entertainment activity and trading hours.
Why allow shops and office spaces to convert into licensed arts or entertainment venues?
Retail operators and small creative businesses have told the Government that applying for a DA can be expensive and time‑consuming, which discourages setting up small cultural venues. Allowing this change under exempt development could:
- reduce costs
- support more live music and performance
- activate shopfronts at night
- reduce office vacancies
We’re proposing to make certain changes of use exempt development in SEPs, meaning they can happen without lodging a development application if they meet specific safety and amenity standards.
Would these venues still need a liquor licence?
Yes. Any business serving alcohol must still apply for a liquor licence through Liquor & Gaming NSW.
What does it mean to activate town halls and private carparks?
Activating spaces like town halls and carparks means to change the policy settings to get more use out of these spaces. The intent is to consider how these spaces can be used for temporary events to increase the diversity of entertainment options across NSW.
Sydney Opera House
Sydney Opera House
Why are planning changes needed for the Sydney Opera House?
The Sydney Opera House is a complex, busy site that requires constant maintenance and upgrades to operate as a worldclass arts and tourism venue. Many of the current planning controls are outdated or duplicated across different legislation. The proposed changes will modernise the planning framework to support the Opera House’s routine operational and maintenance needs and help them run outdoor events, while continuing to preserve the site’s heritage significance.
Will the Sydney Opera House’s heritage protections change?
No. The Opera House’s heritage protections remain in place, and all proposed changes have been developed with consideration for the site’s UNESCO World Heritage status. Any exempt or streamlined works must:
- not affect the Opera House’s heritage significance
- be consistent with the Conservation Management Plan
- meet strict safety and structural requirements
Heritage NSW is also updating site-specific heritage exemptions so planning and heritage processes work better together.
Is this related to Heritage NSW work?
Yes. Heritage NSW is updating the Opera House’s sitespecific heritage exemptions separately. Both sets of changes aim to improve alignment between planning controls and heritage rules.
What is development without consent?
This allows certain works to occur without a full development application but still requires an environmental assessment under Division 5.1 of the EP&A Act.
This pathway is proposed for works such as:
- larger repairs and public domain upgrades
- internal alterations that don’t affect the external appearance
- seawall repairs
Will work carried out as development without consent still be assessed?
Yes. The Sydney Opera House Trust must complete a Review of Environmental Factors (REF) and consult other agencies if required. If the works may significantly affect the environment, a full Environmental Impact Statement must be prepared, and the works become subject to State Significant Development.
Why are outdoor event noise rules being updated?
The current noise framework is outdated and does not accurately reflect how sound from outdoor events is generated or experienced. New sound management measures, developed through expert review, will:
- use a 5-minute average noise measurement (Leq-5min) instead of instantaneous maximum noise measurements (Lmax)
- base primary compliance monitoring at onsite locations
- provide clearer requirements for operators
How are these proposed changes different to those in the Sydney Opera House’s Forecourt development application modification currently on exhibition?
The Department is also assessing a proposed modification to an existing development application (DA) for events held on the Sydney Opera House Forecourt.
The Sydney Opera House Trust has applied to amend operational conditions for Forecourt events, including event durations, maximum audience capacity, sound conditions, and bump‑in and bump‑out hours, while retaining the existing limit of 99 Forecourt event days per year.
Events staged under the Forecourt DA are generally large-scale ticketed events and concerts with significant infrastructure, amplified music and large crowds.
In comparison, events staged under the exempt development provisions outlined in the EIE are generally lower scale cultural and community events with less extensive infrastructure and lower sound impacts than Forecourt DA events. Events are staged day and night, may be ticketed or unticketed, are staged across all outdoor areas of the site, and range in audience and attendee size.
The DA modification relates to operational and temporary arrangements only and does not propose any permanent physical works to the Sydney Opera House or its World Heritage listed setting.
For more information on the Sydney Opera House Forecourt Modification DA, please visit the NSW Planning Portal.
Walsh Bay
Walsh Bay
Why are planning changes being considered for Walsh Bay?
Some of the planning rules for Walsh Bay were written in the late 1980s and no longer reflect how the precinct is used today. The NSW Government wants to modernise these rules so they better support contemporary arts and cultural activity while still protecting the site’s heritage and public access.
Why are the current controls considered outdated?
Earlier planning controls were designed when Walsh Bay was being redeveloped from its original port and maritime role to an arts precinct. Some planning controls still refer to outdated maps, strategies, definitions and organisations that no longer exist. Others reflect planning priorities from the 1980s rather than today’s cultural and economic landscape.
Will the proposed changes impact the heritage protections or public access to the site?
No. We do not propose any changes to the heritage protections or public access. Any future development or activities must continue to respect and conserve the historic wharves, buildings and maritime structures.
Who manages the Walsh Bay Arts Precinct?
Create NSW manages the arts precinct and the site is listed on the NSW State Heritage Register.
Will the proposed changes affect nearby residents or current Walsh Bay tenants?
The updates are not intended to increase impacts on residents. Cultural activity at Walsh Bay is already managed through existing approvals with limits on noise, hours and patron numbers. The proposed planning updates for Walsh Bay focus on clarity and relevance rather than expansion.
Will zoning change?
No zoning changes are proposed. The update simply replaces the old map with a more current version.
Outdoor dining at surf clubs
Outdoor dining at surf clubs
Which surf lifesaving clubs would this apply to?
The proposed changes to outdoor dining apply to surf lifesaving clubs approved as ‘community facilities’ on public land in NSW.
Unlike the other proposals in the EIE, this change would apply across all of NSW, not just in Special Entertainment Precincts.
Extending this change statewide provides a fair and consistent framework so more surf clubs—regardless of how their food services are currently approved—can benefit from outdoor dining opportunities.
Will outdoor dining affect public access to beaches and foreshore areas?
No. Development standards and safeguards will ensure outdoor dining does not restrict public access or encroach on shared spaces. The intent is to enhance amenity while keeping these areas open and accessible for everyone.
The surf clubs will still be required to meet development standards to manage patron safety, amenity and access, and to ensure outdoor dining operations remain secondary to core lifesaving functions.
What are the development standards that surf clubs need to meet to provide outdoor dining as exempt development?
Clubs using the exempt development pathway would be required to meet development standards to manage patron safety, amenity, and access. New development standards may also be required to maintain amenity in these important beachside locations, for example waste management.
Outdoor dining areas must not be on rooftops. If located at ground level, a direct exit from the outdoor dining area to open space or a road must be provided for safe evacuation.
The standards will be outlined in the State Environmental Planning Policy (Exempt and Complying Development Codes) 2008, also known as the Codes SEPP.
Who is responsible for ensuring outdoor dining at clubs meets exempt development standards?
Venue operators are responsible for ensuring outdoor dining meets exempt development standards. If a club does not meet the standards, outdoor dining works cannot proceed as exempt development and the club must instead seek approval via a development application.
If a club fails to meet the standards, councils can issue fines or orders to cease use.
More information
If you have any questions about the EIE, please contact the team at [email protected].
For more information about how we’re supporting a vibrant 24-hour economy and Special Entertainment Precincts, visit Night-time economy.