NSW has nation's slowest development planning system

The UDIA NSW has called for reforms to the NSW planning system to speed up planning approvals
NSW has nation's slowest development planning system
Jonathan ChancellorFebruary 20, 2022

The NSW Government’s Productivity Commissioners review into the NSW Planning System in 2021, has shown that NSW is the slowest planning system in Australia, according to UDIA NSW research.

Delays in planning approvals are resulting in increased holding costs, the UDIA's Steve Mann said.

“Victoria has recognised the benefits of speeding up the planning system. 

"It will create jobs and help to solve the housing supply and affordability crisis. 

" NSW needs to get more ambitious if it is to tackle the housing supply and affordability crisis we face throughout the state," he said.

He said the major reforms in Victoria’s planning system aimed at speeding up building approvals and cutting red tape will see NSW falling further behind. 

The delays were especially with rezoning, approval timeframes and the coordinated delivery of utilities.

"Delays at these stages will directly and correspondingly increase holding costs for any proposed development and inevitably push up total project costs and house prices.  

"Our research also identified a dozen Sydney based priority precincts that have experienced a substantial delay in delivery from rezoning through development commencement of 6 years or higher.

"This is in addition to the lengthy delays to reach the rezoning stage with some taking more than 8 years."

It has have compared these timeframes to other Australian planning jurisdictions, which notably have shorter precinct release timeframes, especially during the rezoning stage.

Category                  Current NSW performance                           Other states 
Medium Density                       200 days                                     70 to 105 days 
High Density                             190 days                                          105 days 
Greenfield sub-divisions        130 days                           2nd slowest state – QLD (100 days)    

(Table showing the figures obtained from the Productivity Commissioner’s White Paper)

Jonathan Chancellor

Jonathan Chancellor is one of Australia's most respected property journalists, having been at the top of the game since the early 1980s. Jonathan co-founded the property industry website Property Observer and has written for national and international publications.

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