Victoria’s independent infrastructure adviser has found the state would be $43 billion better off by 2056, if new homes were concentrated in Melbourne’s existing suburbs rather than sprawling to the city’s urban fringes.
The infrastructure adviser modelled five options for the future of housing in Victoria by 2056, when the state is projected to be home to 11 million people.
Chief executive Jonathan Spear said the report found Victorians would be $43 billion better off in a compact city, compared to a more sprawling one, through boosted productivity, increased house prices and people having more access to jobs.
“There’s a real opportunity for Victoria’s cities to be better connected, and more compact,” he said.
“If we do that, we’re all going to have a better quality of life, a stronger economy and a more sustainable environment.”
The modelling also shows there would be 17.3 million tonnes less emissions from trucks and cars in a compact city than in a dispersed city.
The report makes a series of recommendations to the government, including publishing long-term housing and infrastructure targets for growth areas and established suburbs.
Infrastructure Victoria also wants the government to set housing targets for established suburbs, reform the way developers pay for infrastructure, scrap the first home buyers grant and stamp duty, and plan for resilient electricity infrastructure.
It’s also calling for urban growth boundaries around regional cities, including Geelong, one of the fastest-growing areas in Victoria.
Last month, the state government released its long-awaited housing plan, with a target of 80,000 new homes a year for the next 10 years.
The plan identifies 10 areas across Melbourne with a target of 60,000 new homes, including Broadmeadows, Epping, Niddrie, North Essendon and Preston in the city’s north, Ringwood and Camberwell East in the east and Frankston, Moorabbin and Chadstone in the south-east.
Mr Spear said the government should go further.
“We’re calling on the Victorian government to continue to deliver on the aspiration they have in the housing statement, to unlock the opportunity to deliver more medium-density high-quality homes in the established areas of Melbourne and our regional cities,” he said.
(ABC)
