State planning reforms

The Victorian Government has introduced major, far-reaching changes to planning in Victoria, to deliver its Housing Statement and housing targets.

The reforms particularly aim to significantly boost the supply of housing by:

  • reducing the restrictions on development
  • reducing the breadth of assessment conducted for housing proposals
  • reducing the scope for the Council to prepare residential development and activity centre planning policy.

Although Council recognises the need for a significant increase in the supply and diversity of well designed housing to meet community needs, we are concerned about these aspects of the reforms:

  • lack of consultation with Council and the community in preparing and implementing the reforms
  • loss of decision-making for Council, for example see Projects with Minister for Planning
  • reducing the ability for Council to require outcomes which support Council and community priorities, such as retaining and promoting 30% tree canopy across Banyule, better design standards, and neighbourhood character
  • lack of co-ordination with Council to ensure the reforms are effectively implemented and beneficial for the Banyule community.

Council has and continues to strongly voice its concerns to the Victorian Government.

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In the Council chamber

The meetings listed were forums where Council considered aspects of the Victorian Government planning reforms. The meeting dates link to the full details of the meeting, including recordings, agendas, attachments and minutes. Where relevant formal submissions and letters from Council are also listed.

Date of ordinary Council meeting Relevant meeting agenda item Agenda item title  Formal submission
14 July 2025 6.3 and 6.4

Submission of the Municipal Association of Victoria to the Select Parliamentary Committee on Amendments VC257, VC267 and VC274 (State Government Planning Reforms)

Council’s Communications for the State Government Planning Reforms

NA
24 March 2025 6.1 Victoria Government Changes to Planning
Letter to the Minister for Planning
3 March 2025 6.2 How the Future Homes (Clause 53.24) Policy Operates in the Banyule Planning Scheme NA
10 February 2025 6.2 Banyule Council’s submission to the State Government’s Activity Centre Program
Submission to the Activity Centre Program(PDF, 223KB)
9 December 2024 6.1 and urgent business

Banyule’s Feedback on Stage 1 of the Bell-Bardia Social and Affordable Housing Project 

Minutes of meeting only, Urgent Business Motion – Advocacy Future Homes

Letter to the Minister for Planning
16 September 2024 6.1 Banyule's Response to Planning Reforms - Changes to Rescode Provisions 

Submission to the proposed Rescode Deemed to Comply Provisions(PDF, 4MB)  

Letter to the Minister for Planning

26 August 2024 3.1 Banyule's Response to Plan for Victoria and draft housing targets
Submission to Plan for Victoria(PDF, 507KB)

Projects with Minister for Planning

This shortlist of project planning applications are recent examples where the Victorian Government has removed Council from the decision making. Full details of all Victorian Government planning applications and any outcomes from the Minister for Planning can be found on the Ministerial permits register.

125 Mountain View Parade ROSANNA

Proposal description

Residential development considered as part of the Future Homes program, for a 3-storey apartment building with 17 residential apartments over a basement carpark.

Permit application number

P1135/2024 (Council)

P137/2025 (VCAT)

Contact

Development Approvals
Department of Transport and Planning

development.approvals@transport.vic.gov.au

View Victorian Government Committee referral P137/2025 details

View details of application P1135/2024

1A/106-126 Main Street GREENSBOROUGH— Next to Savers

Proposal description

Use and development of site the for a 17-storey building comprising of 211 affordable housing dwellings, ground level retail, commercial uses and 100 car spaces.

Permit application number

PA2503550

Contact

Development Approvals
Department of Transport and Planning

development.approvals@transport.vic.gov.au

View details of application PA2503550

322-366 Bell Street HEIDELBERG WEST— Bell-Bardia housing, stage 1

Proposal description

104 new homes at the Bell-Bardia housing site in Heidelberg West including 53 social homes and 51 affordable homes.

Permit application number

Exempt from a planning permit, refer to Banyule Planning Scheme Clause 52.20

Contact

Homes Victoria
Department of Families, Fairness & Housing Services

westheidelberg@homes.vic.gov.au

View details of the Bell-Bardia project

27–31 Plunkett Street BELLFIELD

Proposal description

Buildings and works for construction of a three-storey apartment building and the removal of vegetation.

Permit application number

PA2402855

Contact

Development Approvals
Department of Transport and Planning

development.approvals@transport.vic.gov.au

View details of application PA2402855

Key changes in Banyule

Most of the changes to planning introduced by the Victorian Government are state-wide or affect metropolitan Melbourne. This list identifies the key changes that involve Banyule.

  1. Planning and Environment Act review
  2. Plan for Victoria and housing targets
  3. Townhouse and Low-Rise Code and the 4 Storey Apartment Standards
  4. Great Design Fast Track
  5. Inclusion of Heidelberg into the Victorian Government's Activity Centres Program
  6. Powers for the Victorian Government to approve significant developments

Details for each key change

Change 1

Planning and Environment Act review

The Victorian Government announced on 25 February 2025 it is reviewing the Planning and Environment Act to increase the supply of housing in Victoria. The announcement has confirmed that the review will consider:

  • streamlining the planning scheme amendment process and providing different pathways for different types of amendments.
  • further reducing planning permit delays and blockages, including different assessment and approval processes for projects with lesser impact.

Change 2

Plan for Victoria and housing targets

Plan for Victoria, released 28 February 2025, sets the state-wide vision for how Victoria will grow over time. The Plan replaces the existing metropolitan strategy Plan Melbourne 2017-2050 and regional growth plans.

The Plan identifies five pillars:

  • Housing for all Victorians
  • Accessible jobs and services
  • Great places
  • Sustainable environments
  • Self-determination and caring for Country.

The stated aim of the plan is to deliver more homes, more jobs and great communities. To achieve this the plan sets out 22 actions including specific actions to increase the supply of housing in established areas, such as:

  • Setting housing targets for every local council that will be included in the local planning scheme. For Banyule the 2051 target is 45,500 additional dwellings. The Plan also states that the Victorian Government will step in to create housing capacity, should council fail to do so.
  • Implement new planning controls to streamline planning in activity centres

Council provided feedback on the draft housing targets and the ‘8 big ideas’ in August 2024. Read the officer report and Council submission to Plan for Victoria and draft housing target(PDF, 507KB).

Change 3

Townhouse and Low-Rise Code and the 4 Storey Apartment Standards

The ‘Townhouse and Low-Rise Code’ (the Code) (amended Clause 55) and ‘Residential Buildings of Four Storeys’ (new Clause 57), set new standards for residential developments which aim to ensure that they respond to neighbourhood character, protect amenity and are liveable and sustainable.

The amendments were approved on 6 March 2025 and apply to all applications lodged after that date. For applications lodged or for amendments to permits approved prior to this date, the previous requirements of Clause 55 continue to apply.

The Code applies to residential developments up to 3 storeys in height and introduces ‘deemed to comply’ standards. While nearby properties will still be notified of a proposal and have the opportunity to comment, if all standards are met, a planning permit must be issued and there will be no opportunity to appeal the decision. Council's consideration is also limited to the matters contained within the Code and is not required to consider the wider Planning Policy Framework, the purpose of the zone or decision guidelines in Clause 65 of the Planning Scheme.

If a proposal does not meet the ‘deemed to comply’ standards, or there are other planning controls requiring consideration (such as overlays applying to the site), the usual planning permit process including appeal rights will apply.

The new clause relating to four storey developments includes similar standards to the Code. However it does not include a ‘deemed to comply’ pathway and, even if a standard is met, Council must still consider relevant policy, purpose of the zone and decision guidelines contained within the Planning Scheme. Decisions made under this clause will continue to have appeal rights.

Change 4

Great Design Fast Track

The Victorian Government has introduced this as a planning approval pathway to encourage well-designed apartment and townhouse proposals.

To qualify for this approval pathway, the development must meet the criteria:

  • 2 to 8 storeys high
  • Provide at least 8 homes
  • Show how the design principles have been met.

The Minister for Planning will be the ultimate decision-maker for ‘great design’ applications. Councils will be notified if the application affects land in Banyule and can provide feedback, which will be considered by the Minister for Planning before a decision is made.

While the community will be able to provide feedback during the advertising period of the application, there will be no opportunity for appeals to VCAT if the Minister for Planning decides to issue a planning permit.

For more information, visit the Victorian Department of Transport and Planning's website: Great Design Fast Track.

Change 5

Inclusion of Heidelberg into the Victorian Government's Activity Centres Program

Even though each Council previously had the primary role of planning its municipality's major activity centres, one of the Victorian Government's planning reforms is that its Activity Centres Program has assumed control for the planning of 60 centres. The Victorian Government announced on 27 February 2025 that one of the centres to be included in this program is the Heidelberg Major Activity Centre (MAC).

A particular aim of the state government in directly planning these centres is to set a planning framework which significantly increases the supply of housing in and around MACs. One method sought by the state government to do this is to apply a new zone, the Housing Choice and Transport Zone (HCTZ), around activity centres. This zone can allow higher development than typically permitted in residential areas on the periphery of activity centres.

It is frustrating for Council that the Heidelberg MAC has been included within the Activity Centres Program as Council had as recently as 10 February 2025 adopted a new structure plan, with a new planning scheme amendment to support the plan, for the Heidelberg MAC. Development of this new structure plan and amendment had considered community views and those of an independent planning panel to best balance providing more housing and growth with appropriately protecting the character of the activity centre, including in sensitive residential areas within the periphery of the centre.

Change 6

Powers for the Victorian Government to approve significant developments

In November 2023, the Victorian Government introduced provisions into planning schemes, including Banyule's scheme. These provisions give authority to the Victorian Government to directly approve proposals for either significant economic development, or significant residential development with affordable housing. This is subject to each proposal meeting certain criteria. The provisions are at:

  • Clauses 53.22 — Significant Economic Development
  • Clause 53.23 — Significant residential development with affordable housing
  • Clause 52.20 — Government Funded Housing Development
  • Clause 53.20 — Housing by or on behalf of Homes Victoria.