NPPF paragraph 68 - 10% of housing on small sites - Public forum - Planning Advisory Service (PAS)

NPPF para 68 states that LPAs should identify 10% of their housing requirement on sites no larger then 1 hectare.It appears that there may be at least two interpretations of this requirement either

i) 10% of the Plan requirement (Likely to be based on LHN) but including the potential contribution from windfall

ii) 10% of the number of dwellings to be allocated after taking account of commitments. 

I would be interested to know what approach others are taking.