Update on Victorian Government planning reforms
A new plan for Victoria
Update 21 January 2026
In September 2023, the Victorian Government released Victoria’s Housing Statement which committed to reforming the Planning and Environment Act 1987. The Government has progressed this commitment through two separate pieces of legislation:
- The Consumer and Planning Legislation Amendment (Housing Statement Reform) Act 2025 passed by Parliament in March 2025 and the subject of this update.
- The Planning Amendment (Better Decisions Made Faster) Bill 2025 currently before the Parliament.
Summary of key changes
To deliver on the commitments set out in Victoria's Housing Statement, the State Government has introduced the Planning Amendment (Better Decisions Made Faster) Bill 2025 to the Victorian Parliament. The Bill aims to make the planning system more effective and efficient to support the goal of building 2.24 million new homes across Victoria by 2050.
This new legislation will reform the Victorian planning system by setting up different assessment pathways for planning permit applications (requests for permission to develop land) and planning scheme amendments (changes to planning rules or policy). This will mean that smaller, less complex permit applications can be processed and approved faster, and that low impact changes to the planning scheme can be implemented more quickly. This frees up Council and state planners to spend more time carefully assessing larger projects that have a greater impact on our neighbourhoods.
The proposed changes will also:
- Establish clearer roles for state and regional plans, ensuring our local planning reflects the overall strategic vision for Victoria.
- Improve transparency and accountability for various actors within the planning system, reflecting recommendations from key integrity reports.
- Strengthen enforcement powers for building and land use compliance, leading to more consistent planning outcomes on the ground across Victoria.
- Reshape notice and third-party appeal rights, so that only those directly impacted by a proposed development can appeal the decision at VCAT.
Changes to permit and Planning Scheme amendment processes
The State Government passed the Housing Statement Reform Act in March. This law is already making changes to how some parts of the planning process operate.
For our community, this means that some minor amendments to the Moonee Valley Planning Scheme and planning permit applications will now be managed through a different process with decision timeframes tied to the expected impact of the proposal. This is intended to reduce delays in the planning system.
These changes are significant because they affect the process for how our local planning rules are set, as well as dictating the way permits for development are assessed. Council continues to advocate for local outcomes that ensure growth in Moonee Valley supports and enhances the liveability of our municipality. Council officers provided a report (PDF) to Councillors on 25 November 2025 reviewing the state government reforms package.
Read more about the latest state planning reforms
Planning protections for waterways
The Victorian Government has introduced new and expanded planning protections for a number of waterways including the Maribyrnong River, Moonee Ponds Creek and Steele Creek. The new planning controls seek to help conserve natural habitats, safeguard wildlife corridors, and protect the health of creeks and rivers across public and private land.
The previous interim Significant Landscape Overlays (SLOs) that applied to the Maribyrnong River and Moonee ponds Creek corridors have been expanded to include additional properties, reviewed, updated, and made permanent. A new SLO has also been applied to the Steel Creek corridor.
Landowners affected by the overlay will require a planning permit for certain activities near the protected waterways – including removing native vegetation, undertaking significant earthworks, or constructing high or solid fencing – so Council can ensure the proposed works properly consider the surrounding landscape and the long-term health of our rivers and creeks.
Our waterways provide habitat for wildlife, keep our suburbs cooler, manage flooding when heavy rain hits, and give communities places to enjoy the outdoors. These controls recognise waterways as living, connected entities, reflecting the cultural values of Traditional Owners, the Wurundjeri Woi-Wurrung people. They also protect important landscapes and biodiverse corridors in our urban environment as our city grows.
The changes are effective from 20 January 2026. More information about the changes is available on the Department of Transport and Planning website.
To discuss how this impacts your land or development with Council's Statutory Planning team, email Council@mvcc.vic.gov.au or call 9243 8888.
Update 15 April 2025
The Victorian Government released a new plan for Victoria on 28 February 2025. It is the Victorian Government’s big-picture plan for the state’s future.
The Plan has five pillars:
- housing for all Victorians,
- accessible jobs and services,
- great places,
- sustainable environments, and
- self-determination and caring for Country.
To deliver the vision, 22 short term actions have been announced with new actions to be developed over time.
Niddrie (Keilor Road) and North Essendon Activity Centres
Planning Scheme Amendment (GC252)
On Friday 11 April 2025 the Victorian Government implemented the Niddrie (Keilor Road) and North Essendon Activity Centre Plans and associated planning controls.
The changes introduce new planning controls for:
- New built form and height controls apply to the core of the centres through a Built Form Overlay and Residential Growth Zone. The heights are consistent with previous planning controls and information previously circulated by the Victorian Government.
- A streamlined ‘deemed to comply’ planning application process applies to properties in the core area. This includes removal of third-party notice and review rights if specific building heights, street wall heights and setbacks are met. Otherwise, the standard planning processes will apply.
- A new Housing Choice and Transport Zone (Area 2) applies to the surrounding catchment. This zone allows for building heights up to 3 storeys, and up to 4 storeys on larger lots over 1,000m².
- The Design and Development Overlays that applied across both centres have been deleted as the information has now been translated into the new Built Form Overlay.
- The Design and Development Overlay that applies to the Mt Alexander Road corridor has been adjusted to extract reference to the North Essendon centre.
- Final Plans for each of the Activity Centres have been introduced as background documents into the Planning Scheme.
Any new application for development within the Niddrie (Keilor Road) & North Essendon Activity Centre must now follow the new planning controls.
What has not changed
- Heritage Overlays and Neighbourhood Character Overlays remain. This ensures our valued heritage places will continue to be protected, though the overlay and zone have competing objectives which will need to be balanced.
- Land in the Special Building Overlay that shows land subject to flooding has not changed.
Please visit Department of Transport and Planning for the latest information on Niddrie (Keilor Road) and North Essendon Activity Centres.
For more information, please email activity.centres@transport.vic.gov.au
Housing targets
Following the release of the draft housing targets for Victorian Councils in June 2024, the Victorian Government on Monday 24 February released final housing targets for each local government area within Victoria to deliver over the next 30 years:
- The City of Moonee Valley’s initial draft target was an additional 57,000 dwellings to 2051.
- The draft target has been revised to a final target of an additional 47,500 dwellings to 2051.
For further information refer to:
Townhouse and Low-rise Code
On Tuesday 25 February, the Victorian government announced a new Townhouse and Low-rise Code to come into effect via an amendment to all planning schemes, subject to gazettal in the Victorian Government Gazette.