Whilst the Planning and Environment Act has served us well for nearly 40 years, review and reform are overdue for Victoria’s planning system in order to respond to the issues of today and tomorrow. Our framework must evolve to address housing supply, improve efficiency, and support stronger outcomes for communities across the State.

The Victorian Government has today introduced the most significant update since 1987 through the Planning Amendment (Better Decisions Made Faster) Bill 2025. The proposed reforms aim to deliver a more efficient, consistent, and certain system that accelerates housing approvals and improves decision-making.

At present, planning permits take an average of 140 days to approve, extending to more than 300 days when objections are raised. The Government estimates these reforms could unlock over $900 million in economic value each year, supporting both housing delivery and the construction sector.

A key feature of the Bill is the introduction of three fast-track approval pathways, a recognition that one size does not fit all. In principle, this tiered approach is supported and logical, aligning assessment timeframes with the scale and complexity of each project.

Under the proposed system:

• Single dwellings and duplexes could be approved within 10 days
• Townhouses and low-rise apartments within 30 days
• High-density apartment developments within 60 days, with notice and appeal rights limited to immediate neighbours

 
For small and medium residential projects, public notice and third-party appeal rights would be removed to reduce delays and provide greater certainty for applicants.

While the focus on facilitating faster approvals for housing is positive, more needs to be done to ensure these approvals translate into constructed homes. Questions remain around whether Councils are adequately resourced to meet the new targets being set. There is also some uncertainty about the process and responsibility for assessing compliance, and whether consistent processes will be applied across all Councils.

If passed, the Planning Amendment (Better Decisions Made Faster) Bill 2025 will represent a significant step toward a more transparent and timely planning system, provided adequate resourcing, clear responsibilities, and consistent standards are maintained.