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Policy shift in Victoria promotes efficient land use

25 Feb, 2026
Policy shift in Victoria promotes efficient land use



Urban planning and transport experts from RMIT University have endorsed the Victorian government’s decision to replace blanket minimum car parking requirements with a more flexible system that varies according to public transport accessibility.

Under the revised planning approach, developments in areas with stronger public transport connections will be able to provide fewer car spaces, while minimum parking requirements will remain (and can even be increased) in more car-dependent outer suburbs or regional centres.

Dr Chris De Gruyter, Senior Research Fellow in the Centre for Urban Research at RMIT University, said the change represented a significant step towards aligning land use and transport planning across the state.

“The shift away from blanket state-wide minimum car parking requirements towards a system that assesses how well an area is connected to public transport is to be commended,” Dr De Gruyter said.

“With less car parking required in areas with higher levels of public transport accessibility, these changes aim to support more sustainable travel choices and address instances of oversupply in off-street car parking, freeing up land for more productive uses.”

He added that the new system still recognises the different needs of communities across Victoria.

“It is important to note that minimum car parking requirements still exist and in some highly car-dependent outer suburban and regional areas of Victoria, these minimums can be exceeded to reflect market needs.”

Dr De Gruyter, whose research focuses on the relationship between transport and land use planning, said the reform could help reduce unnecessary car parking construction, which often adds cost and consumes valuable urban land.

The changes are expected to streamline the development process, particularly for projects near high-frequency train, tram, and bus routes.

RMIT Lecturer in Sustainability and Urban Planning, Dr Liam Davies, said the system’s simplicity made it relatively easy to implement.

“This approach to determining car parking requirements is simple to apply,” he said.

“However, to remain relevant, it needs to be regularly updated to reflect changes in the transport landscape.”

Previously, developers proposing projects close to major transport corridors were often required to seek planning permits to reduce parking provision below existing minimums — a step that added time and expense.

Dr Davies said the new framework should help eliminate those inefficiencies.

“Previously, many developments that were close to quality public transport needed to apply for permits to provide less parking than the planning scheme required,” he said.

“The new approach is likely to remove many of these planning permit requirements, making developments more streamlined.”

He said the system also had potential benefits beyond parking.

“The categorisation of land based on public transport service levels can be used for more than just parking,” said Dr Davies.

“It can also be used to identify public transport ‘black spots’ in Melbourne or to alter parking requirements ahead of major infrastructure, such as the Suburban Rail Loop.”

Dr Davies’ research focuses on equity and policy reform across transport, housing, taxation, and land use planning. Both experts agreed the reforms reflect an ongoing shift in Victoria toward integrated land use and mobility planning to support more sustainable, connected communities.

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