3 June 2026

Victoria's planning system is in the middle of its most significant reform in decades, and the regulations needed to implement changes to the Planning and Environment Act are now under development.

The Planning Regulations Advisory Committee (PRAC) — a stakeholder body established by the Minister under section 151 of the Planning and Environment Act 1987 to provide expert input into the reform program — held its second meeting on 26 May 2026.

PIA holds a seat and actively contributes to PRAC, giving the profession a direct voice in how these reforms are shaped. The work of PRAC will not replace public consultation; formal consultation on subordinate instruments will still occur.

Implementation is structured across three phases:

1. Phase 1: Initial proclamations not requiring new subordinate instruments — due for completion imminently
2. Phase 2: Planning scheme amendment reforms, including impact category criteria — consultation due June–July, implementation October 2026
3. Phase 3: Planning permit and all remaining reforms — implementation concluding October 2027.

Phase 1 is almost done

The first tranche of reforms is effectively complete, with a set of reforms included in the Planning Amendment (Better Decisions Made Faster) Act 2026 coming into effect on 3 June 2026, following their proclamation.

These provisions are primarily administrative and include:

• Updates to Distinctive Areas and Landscapes (DALs) provisions
• Changes to compensation provisions
• New requirements to give notice of VC amendments
• Changes to how Infrastructure Contributions Plans (ICPs) can be administered
• Changes to how Growth Area Infrastructure Contributions (GAIC) can be administered

New compliance and enforcement provisions have also been proclaimed to commence on 3 August 2026.

Phase 2: PSA reforms are on track

Phase 2 covers the reforms relating to planning scheme amendments (PSAs), including the impact category framework and new public engagement requirements. DTP is targeting completion of regulations before the caretaker period, with public consultation planned for June and July 2026.

The central reform is the streaming of amendments into low, medium or high impact categories:

DTP is drafting regulations to prescribe impact categories, with a principles-based framework to determine the scale and degree of impact for amendments that don't meet prescribed criteria. The regulations will also prescribe minimum content requirements for public engagement plans, which will be required for all PSAs.

Phase 3: Permits, the VPP and more

Phase 3 is the biggest body of work, covering planning permits, the Victoria Planning Provisions (VPP), gifts and donations, and monitoring, compliance and enforcement policy. Most significantly, it will include new regulations to implement the three new planning permit types — the rollout of which will depend on associated ICT system upgrades. The recent state budget includes funding to prepare a business case for a new statewide planning ICT system for 2027 Budget consideration.

Work on Phase 3 will commence in the second half of 2026, with consultation in 2027 and finalisation in October 2027.

What this means for planners

The reform program is ambitious and timelines are tight - particularly with an election on the horizon that DTP has acknowledged will influence priorities and outcomes.

PIA will continue to engage actively through PRAC and keep members updated on progress. Watch this space for PIA's call for member input in the coming months.

For questions about PRAC or PIA's policy and advocacy work, contact Kat Smith, Senior Policy Officer, at [email protected].