Council’s response to Terella Brewing’s open letter

5 March 2026

Sunshine Coast Council’s response to Terella Brewing’s Open Letter to Councillors 2 March 2026

Background

Sunshine Coast Council is responsible for supervising the lawful use of land in its local government area in accordance with the Planning Act 2016.  Council must also ensure that all businesses comply with the Sunshine Coast Planning Scheme 2014 (Planning Scheme) to ensure fairness and consistency and so that every business plays by the same rules. These rules are in place to ensure neighbours, visitors and the environment are protected.

Your recent public claims mischaracterise Council’s compliance actions and imply that Council has not undertaken them fairly or appropriately.  You have also claimed to have the necessary planning approvals for your operations. This correspondence responds to those claims.

Existing development approvals

Council has been communicating with you, as the owner of Terella Brewing, since 2016 when Council approved a Development Application for Intensive Horticulture at 196 Bunya Road, North Arm.

To be clear, the property only has one development approval, being a development approval for Intensive Horticulture (vertical farm system). The Planning Scheme also recognises that some uses may be carried out on the site without an approval such as a Rural Industry use (such as small scale brewing of beer sourced from ingredients produced on site - including but not limited to hops, grain and water), subject to specific constraints and requirements before that use may be carried out.

Council wrote to Terella in February 2019 and indicated that a small-scale brewery operating within the existing shed on the site utilising hops grown on-site as part of the approved vertical farming system may have the potential to be a rural industry use that does not require a development approval. However, that letter does not comprise a development approval and it made no mention of the sale of food or drink to members of the public.

In short, you have expanded operations on the site without the necessary approvals in place.

Council has received numerous complaints and concerns from private residents and businesses regarding the impacts of Terella’s ongoing activities.

These concerns have been progressively raised with you since October 2023 and span several key areas:

• Public safety, particularly in relation to parking congestion and associated road and pedestrian safety risks;
• Noise, public health and amenity impacts (including disposal of effluent and waste water), especially during large-scale events; and
• Operational equity, with other venue operators expressing concern over perceived inconsistencies in approval and compliance processes.

Compliance action

In November 2023, Council informed you of the alleged development non-compliances taking place on the site.

In October 2024, following multiple complaints and after inspections identified activities occurring without the necessary development approvals for the site (including large public events), Council issued a show cause notice. The show cause notice allowed you the opportunity to make representations to Council to address the complaints and concerns.

It is Council’s stated policy to attempt to achieve compliance by cooperation.  However, Terella’s response to compliance action was not acceptable. You continued to promote and host unapproved events and activities of a scale and intensity that are unlawful without approval.

Council subsequently issued an enforcement notice requiring Terella Brewing (and the landowners) to cease unapproved uses (including markets, outdoor cinema, petting-zoo, etc.).

Court action

Terella Brewing subsequently commenced appeals in the Planning and Environment Court (P&E Court) against Council’s Enforcement Notice.

Last week Terella proposed, and on Friday, 27 February 2026, consented to, final Orders in the P&E Court, the result of which was to uphold Council’s Enforcement Notice (with minor amendments), which is now in effect. It should be noted Council sought no Orders in respect to its costs for this matter.

Terella Brewing could have continued its appeal in the P&E Court if you had chosen to do so.

It is noted that on 17 February 2026, Terella also withdrew development application MCU24/0279 for the site at 196 Bunya Rd, North Arm and requested a refund of fees paid.

Given significant and continued concerns about Terella’s operations, Council commenced separate proceedings in the Magistrates Court alleging breaches of the Planning Act 2016.  A hearing is scheduled to occur on 15-16 April 2026.

As that matter remains before the Court, it is not appropriate for Council to provide further comment. It is important to note that any finding of guilt, or any financial penalty imposed, will be the decision of the Magistrates Court and not Council. 

Summary

Sunshine Coast Council has a responsibility to our community to ensure that development across the region complies with the Planning Act 2016, Sunshine Coast Planning Scheme 2014 and other relevant legislation. This is essential to uphold public safety, maintain community expectations, protect amenity, and ensure fairness and consistency in the application of planning requirements.

This property is in the Rural Zone, which allows rural activities and only a limited range of non-rural uses where they are small-scale and compatible with rural amenity. Large-scale entertainment/events and similar activities require specific approvals and conditions to manage traffic, noise, safety, parking and environmental impacts. These approvals and conditions are not optional and Terella Brewing does not hold these approvals.

Many breweries, venues and businesses across the Coast operate successfully with the correct approvals in appropriate zones and under enforceable conditions. Council cannot create bespoke exceptions for one operator to run markets, cinemas or high-intensity events in a Rural Zone, without approvals that others are required to obtain. That would be unlawful and unfair.

Since 2023, Council has attempted to work with Terella Brewing to regularise its operations by lodging a complete, compliant development application addressing the full suite of activities on site and their associated impacts. Terella Brewing recently withdrew its development application and requested a refund of associated fees.

To ensure fairness, Council has taken the necessary action to hold Terella Brewing to the same laws, regulations and requirements as every other Sunshine Coast business.  

Please note, in response to your open letter to Councillors of 2 March 2026, Council will make this response publicly available.    

Yours sincerely,

John Baker

CHIEF EXECUTIVE OFFICER