Good planning is at the centre of the budget

This federal budget has a strong emphasis on the delivery of social and affordable housing; responding to the climate crisis; and beginning to measure well-being.

Good planning is central to achieving the budget’s long-term aspirations, and it’s vital for planners to be valued for their capacity to deliver joined-up outcomes. 

This week’s federal budget places planning at the core of its key commitments for housing, infrastructure and wellbeing.

As part of a Housing Accord, the Commonwealth commits to delivering a million houses over the next five years from 2024. While this is in the range of current planning targets, the budget stresses that they will be “well located and energy efficient”.

There will be an additional $350 million of funding on top of the $10 billion Housing Australia Future Fund for social and affordable housing.

This will fund commitments over five years for 20,000 new social homes (matched with the states) and 20,000 homes delivered via the private sector that are available to rent in an affordable range.

The commitment to social and affordable housing delivery is commendable, even as the shortfall continues to grow notwithstanding tremendous growth in housing supply.

However, the Falinski Inquiry was given evidence by the Planning Institute of Australia (PIA) that more supply in the home-buyer market won’t have a big impact on price while the overwhelming investment advantages of housing assets remain in place.

Planning should be engaged in improving the diversity and performance of the housing that is delivered, and governments should take action to address demand drivers that artificially inflate the housing market, such as tax settings.

The housing commitments will need to be part of an integrated pipeline of planning decisions and infrastructure investments. They should roll out under joined-up national, state and local strategies that create great places and communities – not just houses.

It is the role of planning to ensure the housing we need is delivered in the places we need it.

This means homes located in well serviced communities and designed fit for purpose. This is vital if the budget theme of “wellbeing” is to become a fixture. 

All governments must remain accountable to a range of liveability, accessibility and environmental measures.

To perform well, governments will need to examine the spatial impacts of their policies and investments. They will need a plan.

This is why a National Settlement Strategy is so important, and planning must play its role in reducing carbon in housing and improving climate resilience.

The PIA’s input to Australia’s Infrastructure Plan is reflected in the budget – we advocated for the national electricity grid to be made climate-ready to accommodate the expanding renewable energy use and production requirements of new and existing housing. $12 billion is allocated to firming up and interconnecting the grid.

We will continue to advocate for initiatives that enable us to achieve net zero carbon before 2050.

Integrated planning is essential for major infrastructure to give the best return on investment. The PIA has also advocated for rapid intercity rail connections (including between Sydney and the Hunter $500 million committed).

Planning must take this opportunity to be the enabler for the wellbeing improvements sought through housing provision in this budget.