The Allan Labor Government is delivering the biggest overhaul of Victoria's planning laws in decades - cutting red tape, speeding up decisions and getting things built faster so more young people can have a home of their own.
Minister for Planning Sonya Kilkenny today introduced the Planning Amendment (Better Decisions Made Faster) Bill 2025 into the Victorian Parliament - updating the Planning and Environment Act 1987 and bringing Victoria's old-fashioned "NIMBY" planning laws into the modern era.
Faster timelines for simpler projects
Currently, a planning permit on average takes 140 days to get approved - and if there is an objection, it blows out to more than 300 days. That's time Victorian families, renters and builders shouldn't have to waste.
Under the existing Act, most projects - no matter how big or small - go through the same process. This can mean a single home is assessed the same way as a multi-storey apartment block.
This Bill fixes that. It creates three separate pathways for planning approvals, so the process matches the type of home being built. Simpler projects won't get stuck in the same queue as major developments.
These three streams will slash timeframes so homes can get off the ground sooner - with stand-alone homes and duplexes set to take 10 days, townhouses and low-rise developments to take 30 days, and larger apartment buildings to take 60 days to approve. It'll save weeks or even months of time on applications.
Common sense appeal rights
This Bill will establish common sense appeal rights. Victoria currently has the broadest third-party appeal rights in the country - allowing anyone to object to a planning permit - even if they live nowhere near the proposed development. This has led to homes being delayed for years by people who are not directly impacted.
The new streams for homes, duplexes, townhouses and low-rise apartments will require no notice and have no third-party appeals.
For the third stream for higher density apartments, only those who are directly impacted - like neighbours in the area - will get notice and be able to appeal.
Faster processes
The Bill also makes it easier for councils and the Government to update local planning rules or planning scheme amendments.
Every council has a planning scheme which outlines what can be built and where. But changing those rules is slow and complicated, even for small fixes. This reform introduces a smarter way to assess those changes.
Simple updates like fixing a zoning boundary or adjusting a local policy will be easier. More complex proposals - like rezoning land for a completely different use - will go through a more detailed process. It's about making the system more flexible, responsive and easier.
Together these changes are expected to unlock more than $900 million of economic value each year - getting more homes off the ground faster.
This reform builds on major steps already taken by the Labor Government to boost housing supply including through setting housing targets for every local government area, unlocking space for homes near trains and trams, making it easier to build a townhouse.
As stated by Premier Jacinta Allan
"Victoria's planning laws were written decades ago - now we're bringing them into the 21st century."
"We want a planning system that makes better, faster decisions because we want more homes for young people."
"Victoria leads the nation when it comes to building and approving homes - but we know the system needs to move faster. That's exactly what this Bill will do."
As stated by Minister for Planning Sonya Kilkenny
"Neighbours have a right to their say about a high-density development, but new homes shouldn't be delayed by people who don't live anywhere near a proposed project. It's not common sense."
"We're fixing a planning system that's been slowing things down - this new Bill is creating clearer rules, faster decisions, and fewer delays for people trying to build a home."
