The New South Wales (NSW) Labor government has announced significant changes to the state’s planning laws, aiming to modernize the system and tackle the ongoing housing crisis. This overhaul, described by Premier Chris Minns as necessary for creating a “modern, faster, and fairer” planning framework, comes in response to the growing challenges faced by one of Australia’s most populous regions.
The Environmental Planning and Assessment Act, originally introduced in 1979, is now considered outdated. With Sydney’s population rising from 3.2 million in 1979 to approximately 5.6 million today, the existing regulations have been criticized for being overly complicated and burdened with “red tape.” These issues have contributed to a housing crisis that has seen residents leaving the area and investments stymied.
To meet the federal government’s target of delivering 377,000 new homes by 2029 under the National Housing Accord, the NSW government is implementing these long-overdue reforms. During a press conference on Wednesday, Minns emphasized that the changes are designed to streamline the process, stating that the aim is to make it “quicker and simpler to navigate, so that more homes and jobs can be delivered.”
One of the key changes includes the establishment of a three-person Housing Delivery Authority, which will be enshrined in legislation. This authority, operational since January, has the power to expedite approvals for major residential development proposals exceeding $60 million, allowing them to bypass local councils. According to Planning Minister Paul Scully, the authority has already assessed 240 projects that collectively represent 80,000 dwellings deemed “state significant developments.”
The government will also introduce a new “targeted assessment pathway,” aimed at bridging the gap between comprehensive development assessments and complying development. This pathway is expected to simplify the approval process for projects that have already undergone strategic planning and community consultation. While specifics regarding which projects will qualify for this streamlined pathway are yet to be clarified, it seems logical that developments with established master plans should not require a complete resubmission of a development application.
In a notable concession to local governments, councils will now have 10 days to approve minor variations on complying development applications. This change allows certain projects to receive planning approval more quickly without undergoing a lengthy development application process. The government had previously faced speculation that it might strip planning responsibilities from councils due to significant backlogs and delays in processing thousands of development applications.
With the new rules and strict timeframes in place, the government aims to alleviate the “nightmare” stories of homeowners facing long delays and excessive costs when attempting to renovate their properties. The changes signify a proactive approach to addressing the urgent need for housing in NSW, reflecting a broader commitment to ensuring that residents have access to affordable and timely housing solutions.
As the reforms take shape, the success of these initiatives will depend on effective implementation and the ongoing collaboration between state authorities and local councils.
