Council Asset Revaluation Requirements by State — Australia 2026

Australia’s 537 local councils manage around $643 billion of non-financial assets — roads, bridges, drainage, buildings and community infrastructure, including about 77% of the national road network by length. Almost all of it is carried at fair value, which raises the question every finance manager and auditor asks: how often must those assets actually be revalued?

The answer is more uneven than most council officers expect. Across the eight jurisdictions, only Western Australia (every 5 years, by regulation) and the ACT (every 3 years, by Treasury policy) impose a hard revaluation cycle. New South Wales’ current Code states expressly that the regulator does not mandate one. Queensland’s well-known five-year rule is a Treasury policy for state agencies that councils adopt voluntarily. Victoria, South Australia, Tasmania and the Northern Territory rely on the accounting standard alone — AASB 116’s requirement that revaluations occur with “sufficient regularity”.

And the audit offices keep finding the consequences: 68 NSW councils with deficiencies in asset valuation processes, 56 of Queensland’s 77 councils with at least one asset accounting weakness, and 36 Victorian councils yet to fully implement fair-value recommendations. This article sets out each jurisdiction’s requirements, verified against the current instruments in force as at July 2026.

Quick reference — asset revaluation requirements by jurisdiction

Verified against the instruments in force, accessed 14 July 2026. Sources per jurisdiction below.

The baseline every jurisdiction shares: AASB 116

Where no cycle is prescribed, the operative requirement is AASB 116: assets carried at revalued amounts must be revalued with sufficient regularity that the carrying amount does not differ materially from fair value at reporting date — with fair value measured under AASB 13. “Sufficient regularity” is a principle, not a timetable: for volatile classes it can mean annually; for stable specialised assets, a full revaluation every three to five years with indexation between is the common practice. Our plain-English summary of AASB 13, 116 and 140 covers what each standard requires.

New South Wales — expressly no mandated cycle

The Code of Accounting Practice and Financial Reporting 2025/26 (mandatory under s 413 of the Local Government Act 1993) requires councils to assess at each reporting period “whether there is any indication that the current carrying amount of assets is materially different from their fair value” — and then states plainly: “OLG does not mandate when each class of asset is subject to a comprehensive revaluation.” Councils set their own comprehensive revaluation schedules; the former five-yearly language from older guidance is gone from the current Code.

Two class-specific rules survive: water supply and sewerage network assets “are to be annually indexed in accordance with the Rates Reference Manual” (DCCEEW), and operational land “should be valued using an independent qualified valuer in accordance with AASB 13”, while community land is carried at the Valuer-General’s valuation.

The audit picture is the sharpest in the country: the Audit Office of NSW’s Local Government 2025 report found 68 councils with deficiencies in asset valuation processes, 63 with inaccurate or incomplete fixed asset registers, and that 84% of uncorrected errors related to the measurement and recognition of infrastructure, property, plant and equipment — with six councils correcting prior-period IPP&E errors of between $31.6 million and $153 million.

Victoria — presentation rules, no cycle

The Local Government (Planning and Reporting) Regulations 2020 (current version in force 1 July 2026) prescribe the form of the statements — the Local Government Model Financial Report — but contain no revaluation-frequency provision at all. Victorian councils rely on AASB 116 alone.

The scale is significant: VAGO’s Results of the 2024-25 Audits: Local Government (tabled March 2026) reports the sector’s property, infrastructure, plant and equipment at $153.0 billion at 30 June 2025 (up from $141.0 billion, driven by a $9.4 billion revaluation adjustment). Eleven councils had prior-period errors, and 36 councils had not fully implemented VAGO’s recommendations on the AASB 13 fair-value amendments — with findings including inadequate documentation of key assumptions and failure to conduct regular fair value assessments.

Queensland — the five-year rule isn’t where you think

The Local Government Regulation 2012, s 206 requires only that non-current physical assets be valued “using the prescribed accounting standards”, and that each council set, by resolution, an expense threshold per asset type. No frequency appears in the regulation.

The five-year cycle most Queensland councils follow comes from Queensland Treasury’s NCAP 3 (Valuation of Non-Current Assets): “All non-current physical assets to be measured at fair value must be revalued by a suitably qualified person at least once every five years.” NCAP 3 formally applies to departments and statutory bodies — councils adopt it by policy, and the Queensland Audit Office applies equivalent expectations. NCAP 3 is also unusually specific about who may value: land requires valuers registered in Queensland; for other assets, quantity surveyors or engineers may qualify, and a suitably qualified internal officer is permitted.

QAO’s Local government 2025 report (March 2026) puts the sector’s infrastructure assets at $148 billion and found 56 of 77 councils with at least one weakness in asset accounting and valuation processes (up from 49), including “deficiencies in councils’ revaluation processes, such as lack of management review”.

Western Australia — the strictest regime in the country

WA is the only state with a black-letter cycle. Under reg 17A of the Local Government (Financial Management) Regulations 1996 (as amended with effect for financial years ending on or after 30 June 2024), a local government must revalue a non-financial asset by the day after five years from the asset’s last valuation date — and is expressly not required to revalue more often, though it may choose to.

The same 2023 amendments simplified the model: land, buildings, investment property, infrastructure and controlled vested improvements are carried at fair value, while plant and equipment moved back to the cost model; assets under $5,000 at acquisition are excluded. Reg 17A prescribes no valuer qualifications — the choice of valuer sits with the council, subject to audit scrutiny.

South Australia — council-set cycles

No prescribed revaluation frequency was identified in the Local Government (Financial Management) Regulations 2011 or the SA Model Financial Statements. In practice councils set their own policy cycles — the City of Adelaide’s asset accounting guideline, for example, requires comprehensive revaluations “every three to five years” with annual desktop indexation of infrastructure using the Local Government Price Index. That is a council policy, not a state mandate.

Tasmania — standards only

Section 84 of the Local Government Act 1993 (Tas) requires financial statements prepared “in accordance with the Audit Act 2008”, which imports the Australian Accounting Standards — and nothing in the Act prescribes a revaluation cycle for financial reporting. (The Valuer-General’s rating revaluations run on their own cycle and are a separate process from AASB 13 fair value.) Tasmanian councils therefore sit squarely on the AASB 116 “sufficient regularity” baseline.

Australian Capital Territory — three years, by policy

The ACT has no councils — the Legislative Assembly performs local government functions — so the operative instrument is ACT Accounting Policy AAPP 117 (April 2025), applying to all directorates and territory authorities: “ACT Government agencies must undertake a revaluation at least once every three years”, plus an annual fair-value assessment using indicators, with rolling revaluations permitted within the window. Land, buildings, infrastructure, and heritage and community assets must use the revaluation model. AAPP 117 also lists who may perform revaluations: independent external qualified valuers, the ACT Valuation Office, internal experts, or management using an index reviewed by an independent external firm.

Northern Territory — standards only

The Local Government (General) Regulations 2021 (in force 1 July 2026) prescribe the content of annual financial statements and require the CEO to certify they are drawn up “in accordance with the applicable Australian Accounting Standards” — no revaluation frequency appears anywhere in the regulations. The Agency CEO may issue general instructions on accounting with which councils must comply.

The change that touched everyone: AASB 2022-10

The common 2024–26 development across jurisdictions is AASB 2022-10 — the fair-value amendments for not-for-profit public-sector entities, effective from 1 January 2024. It required agencies and councils to reassess valuation methodology for assets held for their service capacity; the ACT directed agencies whose methodology materially changed to undertake off-cycle revaluations in 2024-25 “regardless of when the last revaluation occurred”, and VAGO’s finding that 36 Victorian councils had not fully implemented the related recommendations shows the transition is still incomplete.

Methodology

Requirements were verified against the instruments in force, accessed 14 July 2026: the NSW OLG Code of Accounting Practice 2025/26, the Victorian Local Government (Planning and Reporting) Regulations 2020 (authorised consolidation), the Queensland Local Government Regulation 2012 and Queensland Treasury NCAP 3 (2024-25), the WA Local Government (Financial Management) Regulations 1996 (official version as at 1 January 2026), the Tasmanian Local Government Act 1993 (current consolidation), ACT Accounting Policy AAPP 117 (April 2025), and the NT Local Government (General) Regulations 2021. Audit findings are quoted from the Audit Office of NSW (Local Government 2025), VAGO (Results of the 2024-25 Audits: Local Government) and QAO (Local government 2025). Sector-scale figures are from the Australian Local Government Association. South Australian subordinate instruments could not be verified in full text at the date of compilation — the SA position reflects the absence of any identified mandate and a council-level policy example; SA readers should confirm against the current Model Financial Statements.

When a council or agency needs an independent revaluation

• On the mandated clock — WA councils at the five-year mark (reg 17A) and ACT agencies at three years (AAPP 117)
• Under “sufficient regularity” everywhere else — when indexation has drifted from market movement, when an audit or Auditor-General finding flags stale values, or after the AASB 2022-10 methodology reassessment. Our asset valuation service covers full registers — land and buildings, infrastructure on a depreciated replacement cost basis, and plant and equipment
• For audit-ready documentation — the recurring auditor findings above are about process: assumptions documented, useful lives supported, fair-value hierarchy disclosed. See our financial reporting valuation service

Frequently asked questions

How often do councils have to revalue their assets?

It depends on the jurisdiction. Western Australia mandates revaluation every 5 years by regulation, and ACT agencies every 3 years under Treasury policy. NSW requires an annual fair-value assessment but expressly does not mandate a comprehensive cycle; Queensland’s five-year norm is Treasury policy (NCAP 3) that councils adopt voluntarily; Victoria, SA, Tasmania and the NT rely on AASB 116’s “sufficient regularity” requirement alone.

What does “sufficient regularity” mean under AASB 116?

That revaluations must be frequent enough that the carrying amount does not differ materially from fair value at reporting date. In practice, most public-sector bodies run comprehensive revaluations every 3 to 5 years with annual indexation or fair-value assessments in between — but it is a materiality principle, not a fixed timetable.

Who can perform a council asset revaluation?

Rules vary. Queensland’s NCAP 3 requires registered valuers for land and allows quantity surveyors, engineers or qualified internal officers for other assets. NSW guidance expects operational land to be valued by an independent qualified valuer. The ACT permits external valuers, the ACT Valuation Office, or internal experts with independent review. WA’s regulation is silent — but every jurisdiction’s numbers face audit scrutiny, which in practice favours independent, documented valuations.

What do auditors find wrong with council asset valuations?

The recent reports are consistent: deficiencies in valuation processes (68 NSW councils), incomplete asset registers (63 NSW councils), weaknesses in asset accounting (56 of 77 QLD councils), inadequate documentation of assumptions and missed fair-value assessments (VAGO). Most uncorrected audit errors in NSW — 84% — relate to infrastructure, property, plant and equipment.

How much local government infrastructure is there in Australia?

Australia’s 537 councils manage around $643 billion in non-financial assets, including roughly 77% of the national road network by length. Victoria’s 79 councils alone hold $153 billion of property, infrastructure, plant and equipment; Queensland’s 77 councils manage $148 billion of infrastructure assets.

Disclaimer

This article is general information about Australian public-sector asset revaluation requirements, not accounting or audit advice. Instruments and policies change — confirm the current requirements applying to your organisation with the relevant regulator, Treasury or your auditor. For an independent, audit-ready asset revaluation, see our asset valuation service or request a quote.

Sources:

• NSW — OLG Code of Accounting Practice and Financial Reporting 2025/26 and Appendices; Audit Office of NSW — Local Government 2025
• VIC — LG (Planning and Reporting) Regulations 2020; VAGO — Results of the 2024-25 Audits: Local Government
• QLD — Local Government Regulation 2012; Queensland Treasury NCAP 3; QAO — Local government 2025
• WA — LG (Financial Management) Regulations 1996, reg 17A
• TAS — Local Government Act 1993 (Tas)
• ACT — ACT Accounting Policy AAPP 117 — Property, Plant and Equipment
• NT — Local Government (General) Regulations 2021
• ALGA — Facts and figures on local government

Last verified: 14 July 2026. Codes, regulations and Treasury policies in this area are reissued regularly — this article is reviewed against each update cycle. Spot a superseded provision? Contact info@landmark-valuations.com.au.

See also

• AASB 13, AASB 116 and AASB 140 Summarised — what each standard requires for property valuation
• Strata Insurance Valuation Requirements by State — the private-sector counterpart to this comparison
• Council Rates by Capital City Australia 2026 — the revenue side of council finances
• Australian Property Valuation Statistics 2026 — the market-wide data hub
• Replacement Cost vs Market Value — the two bases that anchor DRC work