Following a meeting between NSW Premier Chris Minns and opposition leader Mark Speakman to discuss the state’s planning system, the local government peak has written to both to seek council engagement on future reform.
LGNSW president Phyllis Miller highlighted the need to include local government in any discussions about reforming housing. “We are at the forefront of local planning and are best placed to provide feedback on where improvements can be made,” she said.
With that aim in mind, Miller – also Mayor of Forbes Shire – has written to the government and the opposition to seek collaborative engagement on the issue.
However, whilst LGNSW is eager to participate in discussions, Miller said reviewing the planning system now is poor timing. “It will serve to create further uncertainty for all stakeholders and would most likely stall housing construction further, as developers may consider delaying projects in anticipation of potentially more favourable outcomes under a future framework.”
Speaking of the meeting held on Tuesday, the NSW opposition leader said: “It was a constructive discussion about potential bipartisan solutions, touching on general principles and specific proposals.”
“We’re keen to engage in a genuine dialogue with the government to deliver a planning system that works better for everyone and delivers more housing. We’ve agreed to meet again soon, with further-developed ideas to be reviewed and considered,” Speakman added.
Tuesday’s meeting – also attended by Planning Minister Paul Scully and shadow minister for planning Scott Farlow – was held ahead of a bipartisan roundtable called for by the NSW opposition at the beginning of the year.
Hosted at Parliament House in coming weeks, the roundtable will bring together “housing industry leaders, local councils and other key stakeholders to identify barriers and deliver a plan for reform,” says an earlier statement from the office of the opposition leader.
New planning body receives more EOIs than expected
Meanwhile, the newly established Housing Delivery Authority – which sits within the NSW planning department to fast-track larger-scale development approvals – has received almost 100 proposals with the potential of providing more than 40,000 homes, the government has announced.
So far, 85 expressions of interest in metropolitan sites have been received and 11 in regional areas of the state – a number that has exceeded expectations. “We expected 80 to 100 EOIs in the first year,” said Scully.
Each EOI is assessed against its capacity to deliver high-yield well-located residential developments worth more than $60 million in Sydney and $30 million in rural and regional areas of NSW. Submissions through the HDA bypass council approval.
“By speeding up the approval of new homes near existing infrastructure and removing red tape that seems to have been designed to slow down development, we’re delivering the homes that young people, families and workers need,” Minns said. “For far too long, it has been made harder and harder for people to build homes in NSW, so it is wonderful to see these reforms starting to turn that around.”
A joint statement from Minns and Scully blamed “council planning systems” for allowing “complex projects” to “get stuck”. “These delays compound declining housing availability,” it read.
LGNSW strongly rejects claims from government and industry that councils are responsible for the state failing to meet its housing supply targets. “Local government is often targeted as the barrier to housing supply, which is simply not true,” Miller said. “Rather, the lack of housing supply is due to many factors including a decline in the number of development applications being lodged for assessment, not a lack of council action.”
LGNSW reiterated that rising construction costs, labour shortages, and higher interest rates for loans are all contributing to a “perfect storm” that continues to negatively impact housing supply across the state, particularly as seen in recent dwelling commencement and completion figures.
The HDA will meet in early February to recommend proposals to be declared a State Significant Development project. “This pathway is about seeing good quality projects move through the planning system faster,” said Scully, adding: “If we don’t see shovels in the ground in two years, proponents will lose their approval.”
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