Federation councillors have unanimously approved a second petrol station for Mulwala.
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The proposal for a fuel outlet on the corner of Melbourne and Inglis streets had drawn community opposition with concerns about traffic, noise, illumination, fumes and its impact on property prices.
However, councillors David Fahey and Aaron Nicholls spoke in favour of the $1.8 million project.
"As far as I'm concerned this is a lawful development," Cr Fahey said at a meeting on Tuesday, December 12, when the project was approved.
"Now there were some issues people brought up about traffic, well, I think Melbourne Street would be a nightmare any time of the holiday season, regardless of what type of shop is there.
"Some of the assumptions made with property prices, noise and insurance and all that, I don't think they're validated.
"There's no empirical evidence to say you're going to lose, you know you've got a munitions factory in town - I think that would be more dangerous than a service station."
Cr Nicholls said there was a need for a second fuel station and the related shop being open until 10pm would be beneficial for tourists wanting bread and milk late at night.
"For a town that expands exponentially over the holiday season one fuel station is not enough," Cr Nicholls said.
He said the existing fuel vendor struggled to cope with boats and caravans, so having another provider would be an asset to Mulwala.
Councillor Sally Hughes said she was reluctantly supporting the development.
"This development is compliant, but personally I do not believe this location is ideal," Cr Hughes said.
"I do not think this is the best long-term planning decision, but as Cr Fahey said it is all legal under our LEP (local environmental plan)."
Seven councillors in attendance approved the development with mayor Pat Bourke and David Longley apologies.
Artwork for the new station suggests it will be a BP-branded site; Mulwala's existing petrol site is under that banner.