The Victorian Government has begun the next stage of local government consultation on the draft housing capacity targets which will be tailored for every local government in the state.
Victorian Premier Jacinta Allan and Minister for Planning Sonya Kilkenny joined City of Kingston Mayor Jenna Davey-Burns to announce the draft targets for each local government area (LGA) – with final targets set to be released by the end of 2024.
The State Government said that Victoria has the largest annual population growth of all Australian states, and it needs more than two million additional homes by the 2050s.
The government said that more homes are needed in established suburbs – close to jobs, transport, education, and services – to give more young people the chance to live near where they grew up, and to reduce future growth pressure on families in Melbourne’s booming outer suburbs.
The draft council housing targets are largely based on access to the jobs, transport and services Victorians need.
By 2051, the well-connected Boroondara LGA is proposed to accommodate 67,000 new homes – which would represent a significant increase in new dwelling approvals against its recent average. The Kingston LGA is proposed to accommodate 59,000 new homes – contributing to a pattern of growth along the Suburban Rail Loop corridor.
By reaching their targets, many council areas across inner and middle Melbourne would double their number of new dwellings every year – helping deliver the Housing Statement goal of 70 per cent of new homes going in established areas and 30 per cent in outer-suburban growth areas.
In regional cities and rural areas, the targets are also expected to help deliver more new homes in cities and towns to boost key worker and affordable housing. The City of Greater Geelong is proposed to accommodate 139,800 new homes by 2051.
The State Government has said that Victoria’s councils have the powers to unlock space for more homes by proposing changes to local planning rules, and that it will consult closely with councils to harness their local knowledge – with councils to report back on the draft target and the local changes they propose.
The State Government said that it wants to hear from councils about the continued infrastructure support that communities need to grow sustainably.
The targets were outlined in the landmark Housing Statement and are the next stage of the discussion the government is having with Victorians as part of the new plan for Victoria – a long-term vision for Victoria’s next 30 years.
Victorian Premier, Jacinta Allan, said that to give industry the confidence they need to get on and build, the state needs government and all councils working towards the same goal: more homes for Victorians – in the right places.
Victorian Minister for Planning, Sonya Kilkenny, said, “We want to work in partnership with councils to build more homes in the areas where people want to live – close to the people they love and the things they love to do.”
Industry response
Victorian Local Government Association (VLGA) CEO, Kathryn Arndt, said that little consultation had occurred before the announcement of these proposed targets and that the approach from the Victorian Government would need to change significantly for this policy to succeed.
“Local councillors and council staff have a deep understanding of their local communities and the potential benefits that new housing can bring,” Ms Arndt said.
“It is critical to this policy’s success that local government’s role in developing planning schemes is valued.
“The goal of increasing the number of homes in the places where people want to live, work and play is a good one. The question that Victorians will be asking themselves is whether or not this will be done in partnership with local communities or driven by developers.”
Ms Arndt said that in most cases, councils should retain powers to make planning decisions based on meaningful community engagement and agreed planning schemes that will deliver the best outcomes for current and future generations of people living and working in their municipalities.
“Victoria’s 79 local councils are ready to step up and work with the Victorian Government to deliver more and better housing options for Victorians.”
Boroondara Deputy Mayor, Felicity Sinfield, said that the State Government’s approach to the housing crisis is both disappointing and flawed, and that the suggestion that setting housing targets will solve the need for additional housing is misleading.
“First, the housing crisis is the result of poor planning policy by federal and state governments over many years,” Deputy Mayor Sinfield said.
“The cost of government taxes, cost of borrowing for both developers and purchasers, the cost of building materials, shortage of skilled labour due to government projects, cost of living and immigration levels have created this crisis.
“These are matters for state and federal governments, not local governments. The setting of housing targets does not address any of these fundamental causes.”
Deputy Mayor Sinfield said that to release housing targets on the scale proposed (a 300 per cent increase on the number of dwellings constructed each year to date in Boroondara) without making any commitment to the infrastructure required to support such growth is unrealistic.
“Our community has a right to such fundamentals as public open space, adequate drainage and sewage systems, education facilities, health services and transport networks.
“There is no analysis of this and no corresponding budget allocation over future years from the state. The government must be aware of the need for infrastructure planning given the experience of residents in growth areas, repeated over decades, who continue to have poor access to fundamental services.”
Deputy Mayor Sinfield said that housing targets do not produce housing, developers do.
“Councils cannot force developers to make planning applications for new development and Councils cannot force developers to build the housing for which they have approval. This is clearly evidenced by the thousands of dwellings which have approval across the state but are not being built.
“If the state and federal governments were to accept their roles in planning for adequate housing supply in this country, there would be a joint taskforce focused on the macro-economic factors required to stimulate supply and their respective budgets would allocate infrastructure funding required in long term financial plans.
“This will assist in ensuring quality neighbourhoods and living environments are created for our communities. Community wellbeing and sustainable housing supply should be our focus.
“We look forward to a more holistic approach.”
Image: Alistair McLellan/shutterstock.com





