Media Release


Business Welcomes Victorian Government Action on Building Industry Job Strategy



It is estimated over $1.5 billion worth of investment and ultimately jobs are being held up in a paralysed planning system.


Tony De Domenico 
Executive Director

The injection of an extra million dollars into resourcing VCAT to cut the times in planning decisions has been welcomed by Victoria's peak property body, the Urban Development Institute of Australia (UDIA), as a boost to jobs.

UDIA (VIC) Executive Director, Tony De Domenico said, "at a time of an overseas financial crisis and the need to do everything to protect the Victorian economy, local manufacturing and jobs, Victoria simply cannot afford to continue with a dysfunctional land use planning system of delays and uncertainty.

"We are pleased the Baillieu Government has recognised the importance of unblocking the VCAT bottleneck of planning delays which significantly contributes to the uncertainty in Victoria's urban planning system".

"With over 1800 planning issues backed up, VCAT is a threat to the recovery of the Victorian housing market with banks reluctant to lend funds as projects are delayed and caught up in red tape."

Mr De Domenico said in Victoria we have an estimated $1.5 billion worth of investment and ultimately jobs being held up in a paralysed planning system which could see a lack of land supply for new homes drive up prices and continue to erode housing affordability.

Mr De Domenico said, "the Baillieu Government, through the work of the Justice Minister and Minister for Finance Robert Clark, had re-introduced the Major Case List at VCAT as a starting point, and the announcement by Planning Minister Matthew Guy to add more resources will boost employment prospects in the industry".

"The ultimate aim should be to cut down the amount of projects going to VCAT by having an agreed approach to planning within Victoria".

"Project delays, through councils being unable to make decisions or process applications because of workload or political manoeuvring, can cost tens of thousands of dollars a week, which is ultimately added to the cost of the block of land and paid for by the consumer".

"The lack of timely, consistent and certainty in the land development industry in Victoria has a domino effect, not only of new home buyers who ultimately bear the cost, but also can have a severe impact on employment, manufacturers and suppliers," Mr De Domenico said.

Media Enquiries:
Ron Smith, Corporate Media Communications, UDIA (VIC) - Mobile: 0417 329 201