Macedon Ranges Shire Council’s bid to remove planning controls that have stymied Lancefield development has been rejected by the state government.
Earlier this month, the council sought to remove the restrictive DPO24 that applies across about 150 acres of township land in three residential zones, impacting about 22 landowners.
The planning tool intended to create coordinated development but has instead acted as a barrier due to the complexities and burdens placed on ordinary property owners.
MRSC’s planning director Rebecca Stockfeld said the development plan was limiting landowners’ ability to progress even modest development outcomes.
“The overlay requires a coordinated development plan across multiple properties before any development can occur, which has created a significant planning constraint,” she said.
“Advice from the executive director, State Planning Services and Heritage indicates that council cannot remove DPO24 without an alternative in place.
“As a result, council must either amend the existing overlay or replace it with a different planning control to ensure appropriate coordination of future planning and development in the area.”
Since MRSC introduced DPO24 in 2020, not a single home or development has taken place in the impacted areas. Property owners who have tried to make changes to their land have faced significant costs and red tape.
Planning Minister Sonya Kilkenny refused MRSC’s request for removal of DPO24 back in 2023, after the council recognised it had “become a barrier” to development.
At the time, Ms Kilkenny said complete removal might give rise to risk of uncoordinated development, however, if the council remained of the view that DPO24 was not feasible she was open to considering a planning scheme amendment to address those concerns. Two years on, it seems removing DPO24 is still not a supported option.
Responding for the Planning Minister last week, State Planning Services and Heritage executive director, Alison McFarlane, said DPO24 was “a local planning matter that is appropriate for the council to address”.
“I encourage council to seek authorisation for a planning scheme amendment to either revise the existing provisions of DPO24, or to replace the overlay with alternative provisions to coordinate the preferred planning and development outcomes for this area,” she said.
Last week Liberal MP for Northern Victoria Wendy Lovell slammed the Victorian Government for causing “planning chaos in Macedon Ranges Shire”.
The MP said the Minister for Planning was avoiding responsibility for resolving Lancefield’s planning stalemate.
Ms Lovell spoke during the last sitting of parliament to call on the Minister for Planning to intervene and remove DPO24.
“DPO24 is preventing houses from being built in areas of Lancefield that are already zoned residential and within the town’s settlement boundary,” Ms Lovell said.
“The Minister for Planning must use her powers to remove the overlay, instead of passing the buck to council and forcing them to spend hundreds of thousands of dollars preparing new planning scheme amendments.”
She said the Minister for Planning had also still not authorised the Gisborne and Romsey planning amendments that the council submitted more than two years ago, delaying long-term growth.
Ms Stockfeld said the council was seeking an urgent meeting with the Department of Transport and Planning to clarify the scope and expectations for any amended or replacement planning control.
“While council is advocating for change, all planning scheme amendments require approval from the Minister for Planning, who is the final decision-maker,” she said.
“Council remains committed to working with the Department of Transport and Planning to progress a suitable outcome that provides greater clarity and certainty for the community.”