Kilkenny to stop farm subdivisions: No dwellings on less than 40ha

New Victorian government amendments will see councils prohibited from allowing houses to be built on less than 40ha of farmland within 100km of Melbourne.

Planning Minister Sonya Kilkenny has promised to implement 20 actions to stop the carve up of farmland.

Building a house on less than 40ha within farming and rural activity zones will be banned within 100 kilometres of Melbourne, under Victorian government planning amendments.

Up until now local councils have allowed some landholders to build on less than 40ha, on the basis the dwelling was needed to run a small farm.

But Planning Minister Sonya Kilkenny announced such agreements would be banned, as part of 20 actions the government was taking to protect agricultural land within 100km of Melbourne.

Former Mornington Peninsula Councillor and farmer David Gibb said the reforms would help prevent the carve-up of agricultural land by peri-urban councils whose planners came straight out of university with little understanding of agriculture.

But he called on the government to ensure the prohibition on issuing dwelling permits on less than the minimum lots size, usually 40ha, applied right across councils that straddled the 100km zone.

The government will also introduce right to farm protections within the Victorian Planning Provisions in rural zones and introduce an overlay that protects the 3000ha Werribee and Bacchus Marsh irrigation districts from inappropriate development.

The decisions form part of the Victorian Government’s drawn out consultation on Planning for Melbourne’s green wedges and agricultural land, which started in 2019 and went through two rounds of public consultation, receiving 879 submissions.

As part of the consultations in 2021, former Planning Minister Richard Wynne proposed removing farmers’ right to build a dwelling on 40ha or more without a planning permit within 100km of Melbourne.

But the 2024 action plan dumped the proposal stating concerns were raised “in some submissions and in the media about the perceived impacts this option may have on land values”.

“There is also a view that a single dwelling on a lot should continue to be permitted as-of-right to support farm succession planning,” the plan stated.

Macedon Ranges farmer and real estate lawyer Randall Gerkens said it was a “huge relief” that the government had abandoned stripping landholders of their dwelling rights on 40ha or more.

OTHER CHANGES TO PLANNING LAWS IN THE FARMING AND RURAL ACTIVITY ZONES WITHIN 100KM OF MELBOURNE INCLUDE:

EXPLORE opportunities for water authorities’ views to be considered in the assessment of planning permits for Melbourne’s peri-urban areas where there is current or planned recycled water supply.

UPDATE agricultural planning policy to better protect agricultural land within 100km of Melbourne and make the best use of our fertile soils.

STRENGTHEN the ‘right to farm’ by expanding the ‘agent of change’ principle within 100 kilometres of Melbourne – assign responsibility for mitigating the impacts of sensitive uses on lawful agricultural operations to the permit applicant to achieve better land use management.

UPDATE the Planning Policy Framework to encourage appropriate siting, design and scale of sensitive uses and development in rural areas within 100 kilometres of Melbourne – thereby avoiding conflicts with agricultural uses.

AT A STATEWIDE LEVEL THE GOVERNMENT WILL:

CONTRIBUTE to better decisions by providing more guidance for local government planners in assessing planning permit applications within agricultural areas through the development of a Planning Practice Note.

INCREASE flexibility for primary produce/farm gate sales.

PROHIBIT new data centres in the Green Wedge Zone, Green Wedge A Zone and the Rural Conservation Zone.

STRENGTHEN the link between host farm accommodation and operating agricultural properties.

INTRODUCE a new permit trigger for soil dumping (clean fill).

INTRODUCE land use terms for community halls.

INCREASE flexibility for farmers selling produce at the farm gate.

WITHIN THE GREEN WEDGES SURROUNDING MELBOURNE THE GOVERNMENT WILL:

UPDATE planning policy to emphasise the non-urban values, purpose, and character of the green wedges.

UPDATE Planning Practice Note 31 ‘Preparing a Green Wedge Management Plan’ to better direct green wedge planning at the local level.

DEVELOP a new Planning Practice Note for urban-rural interface areas that manages land use pressures and supports a permanent edge to growth.

REVIEW and update decision guidelines and application requirements for planning applications in green wedge zones.

INTRODUCE mandatory site coverage, setbacks and building heights for discretionary uses in the Green Wedge Zone and Green Wedge A Zone as a pilot project.

INSERT new conditions for exhibition centres, group accommodation and hotels.