20 June 2013
Building construction activity in NSW is well below that of other states on a per capita basis and this could get worse as the supply pipeline from Part 3A projects dries up, says the Urban Taskforce.
“11,000 housing approvals this financial year in NSW have come from Part 3A projects but the current government has stopped this process and the large stimulus to housing supply may dry up,” says Urban Taskforce CEO, Chris Johnson. “On top of this we are about to move from one planning system to a new one and this could take in excess of two years to be fully implemented.”
“The combination of the transition to a new planning system and the end of housing approvals through the Part 3A system could lead to a real downturn in housing supply for the state unless an interim strategy is put in place now.”
“We acknowledge the efforts of the NSW Government to encourage the building and housing industry through infrastructure support and First Home Owners grants but the data coming from the Australian Bureau of Statistics still indicates that NSW is underperforming.
“The Urban Taskforce has developed a 7 point action plan to lift NSW from being behind Queensland, Victoria, and Western Australia on building construction per capita to being Number One. This is what the state government’s State Plan calls for and what the current government was elected to do.
“We won’t become Number One if we don’t provide strong leadership during this transition period.
“A robust building industry will deliver jobs across many trades and professions including carpenters, painters, electricians, bricklayers and the accountants and lawyers that support them.”
“Our 7 point plan builds on the governments own processes and many of the proposals in the White Paper on planning reform. The transition period is a good opportunity to test some of the proposals and gain useful feedback to the New Planning System.”
The 7 Actions are:
1. An Interim State Environmental Planning Policy (SEPP) should set out a path to increase housing and building production.
2. The SEPP should establish Urban Activation Precincts (UAPs) at all railway stations, town centres and along urban renewal corridors.
3. A Building Stimulus Taskforce should be established in the Department of Planning and Infrastructure to drive production.
4. The Government should call for nominations for development potential in Urban Activation Precincts from the private sector.
5. Priority UAPs where most development is likely should have Precinct Plans prepared and exhibited.
6. Codes should be established for developments up to 25 meters to enable faster approvals.
7. Development Applications would be lodged if precinct plans are complete or private sector concept plans that are consistent with State planning objectives would be lodged to the government and assessed through a gateway process.
“This interim strategy focuses on sites that the private sector has that can be developed now rather than focusing government resources on designing plans where there may be no private sector interest in developing sites. The most effective way to ensure a flow of housing and building projects is to facilitate private sector proposals that fit within the governments planning policies.
“For the last 10 years NSW has been lagging behind other states in the value of building construction on a per capita basis. We need a focused and strongly driven strategy to lift NSW up to the Number One position. The beneficiaries of this will be those wanting new houses, those looking for cheaper rental housing and the vast number of small businesses that rely on a sustainable building industry to survive.
Download Urban Taskforce publication Making NSW No.1 in Planning & Building.
