UDIA (VIC)

Executive Director of the Urban Development Institute of Australia, Victoria, Tony De Domenico today will tell the Federal Coalition Deregulation Taskforce, sitting in Melbourne, that continual tax rises and the cost of unnecessary red and green tape is seriously undermining the industry, costing jobs and cutting housing affordability.

Mr De Domenico said, "In Victoria the industry directly employs around 310,000 full time employees, contributes around 12 per cent of the state's gross product and contributes $4.6 billion in taxes to all tiers of government".

"Nearly a quarter of a house and land package is in federal, state and local taxes / charges and there has been a $13,500 rise in taxes and charges - $125 a week, on an average block of land in just two years".

"On top of the taxes and charges the industry is facing a massive cost from environmental regulation which is out of control and is forcing excessive costs on new home buyers when we need to create employment."

Mr De Domenico said, "the current confused regulatory approach to environment issues in the property and development areas is destroying the credibility of environmental policies through the lack of a strategic approach and a hide and seek decision making process."

"How do you tell workers their job could be years away as the bureaucracy hides behind a decision to ban a project with a couple of hundred jobs on the hope a Growling Grass Frog will hop by one day, or an Orange Bellied Parrot might fly over in the next few years."

"In 2011 the development industry in Melbourne alone contributed $92.2 million to waterways and wetlands according to the Melbourne Water Healthy Water Ways annual report. The Growling Grass Frog is living at The Boardwalk Estate in Point Cook, in wetlands built some ten years ago."

Mr De Domenico said, "both the Federal Government and Opposition should do a rapid review of red tape and green tape policies in these tough economic times as part of the stimulus package for the housing and development industry to kick start a boost to employment".

"On the green front the reality is, especially on the fringe, projects are often taking over degraded farm land and during construction there are hundreds of trees planted and substantial wetlands created as part of restoring natural habitats and protecting water resources."

The UDIA (VIC) will launch a statewide community awareness programme 'Living with the Wetlands' on Friday 24 February 2012 at Point Cook in the west of Melbourne.

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