HIA calls for the next ACT Government to:

• Remove the 120 sqm building limit for dual occupancy in RZ1
• Remove building controls over number of dwellings in RZ2
• Increase building height in RZ2 to 3 stories
• Deliver greater accountability and transparency

The residential building and construction industry welcomed the new Territory Plan and the approach of creating an ‘outcomes-based’ planning system. However, this ideal has already been effectively watered-down with the inclusion of arbitrary controls that work against the provision of new housing supply. 

HIA has identified simple amendments that can facilitate additional development opportunities, which will still be subject to the broader controls of the planning system to ensure its objectives are met. 

There are a number of factors affecting the price of land, including economic growth, population growth and household sizes. However, accepting the basic economic premise that supply of a commodity influences prices, then it is intuitive that limiting the supply of greenfield land, without a commensurate increase in supply elsewhere, will push prices up for all housing types – new and existing. 

The lack of affordable land in the ACT continues to constrain the delivery of housing at an affordable price. The government land release strategy executed by the Suburban Land Agency has seen an ad hoc supply which creates a ‘boom or bust’ approach for the community and the industry. Consistency of supply is key to reducing the spikes in demand and pricing. 

HIA calls on the next government to develop and publish a plan for the supply of shovel ready land for residential development over the next 15 years horizon with clearly identified short, medium and long term development sites.

• Remove the 120 sqm building limit for dual occupancy in RZ1 and use the existing planning rules to control the scale of development to align with the RZ1 objectives.
• Remove building controls over number of dwellings in RZ2 and let site coverage and height requirements in the Territory Plan govern the maximum number of dwellings permitted.
• Increase building height in RZ2 to 3 stories.
• Deliver greater accountability and transparency with respect to the Indicative land release program by identifying dwelling types in the annual plan, increase its horizon to 15 years and report against performance annually.