Yesterday I spent seven hours in a Committee Hearing listening to submissions about zoning laws and planning. I thought learning more about the nuance of these issues might soften my position... but it has only strengthened my resolve to abolish all planning laws in NSW.
Some stakeholders, "experts" and contributors argued our planning don't go far enough. Some said they go too far. Some said they go too far in some areas and not far enough in others. The solution isn't to tweak this or to find an impossible middle ground. It's to divorce our state from a broken system no-one is happy with.
Here's the solution:
- Be Like Houston
- End Bureaucratic Waste
- No Needless Delays
- Stop Corruption
- Heritage Concerns
- Make Sydney Great Again
1. Be Like Houston
Houston is America's fifth largest city. It is the only major city in the world not to have zoning or planning laws as we know them. Local ordinances do provide some limits on what can be done with particular plots of land but they are far less intrusive and widespread than zoning laws or planning controls.
This has consistently allowed median rent and home ownership prices to remain affordable, remaining below the national average in the US and well below nearby Austin and Dallas.
Temporary housing shortages caused by immigration spikes or supply chain issues can still happen... but the Houston market is dynamic and adjusts quickly (unlike Sydney!)
Houston Agent is the industry journal for real estate professionals in that city. A few weeks ago it found:
"Houston’s median rent has been dropping for the past few years, with the occasional spike in price. The market took a major dip in March of 2023, and slowly returned to the below-average median over the course of the year.
Why is this happening? It’s primarily a supply-and-demand issue. Houston has been undergoing a major surge in housing and apartment construction, meaning supply is copious. New residential developments mean a greater array of choices for prospective renters, and landlords must lower their rates to stay competitive."
"One major perk that draws people to Houston is the affordable cost of living. Compared to other major cities in the US, you get more bang for your buck here.
Houston offers a variety of residences, ranging from luxurious condos to more affordable single-family homes, at prices much lower than other major US cities."
Doomsday prophets preaching about the dangers of removing zoning laws should take note of the quick Houston recovery and very competitive median house prices ... which would have been impossible under zoning laws or heavy regulation.
2. End Bureaucratic Waste
The sheer amount of time, effort and money (often but not always taxpayer money) that is poured into these disputes by different groups really stood out in the hearing
Bureaucrats not only manage overall state zoning plans but master council plans, individual developments, disputes, street designs and much more. Some councils even complained they couldn't meet housing targets because they didn't currently have enough qualified planning staff to get through all the applications (of course the they put their hand out for more state government grants).
Then we have the lobby groups from all sides, the compliance officers, the lawyers, the PR agents, the ministerial staff, the biodiversity experts, the time wasted by courts and tribunals... it's never ending.
If we just said "afuera!" to planning laws we could inject all that money and all that professional effort into more productive parts of the economy.
3. No Needless Delays
When demand for housing in Houston goes up, its dynamic market quickly allows for greater supply.
In NSW we are bogged down by sometimes endless delays caused by applications, objections, compliance checks, committees, council masterplans, state government zoning plans, sewerage reports, biodiversity reports, public exhibitions and so on. This doesn't just cost money, it costs time
Councils and other contributors yesterday complained about development applications and proposals being in limbo for as long as ten years. This doesn't just delay new housing - often projects are cancelled entirely as investors can't continue to pay off debt without a return on the property for that long.
4. Stop Corruption
A big downside of the convoluted system is the potential for corruption. Local councillors are paid as little as $20,000 to vote on billion dollar development applications, which is a recipe for disaster. All other levels of the approval, zoning and application process are similarly at risk of this to the point where in some areas it has become known that "greasing the wheels" is the only way to actually achieve much needed approval for new housing
With no planning laws there'd be no-one to bribe and no way for corrupt bureaucrats and councillors to make soft demands for favours in response.
5. Heritage Concerns
A big concern raised in relation to new development was the protection of heritage sites and buildings. We all value historical significant sites, but our current heritage system is not fit for purpose.
When an old toilet or a cracked footpath is heritage listed it often means the entire site can't be developed (or even if it can, only after more applications, reports, lawyers, hearings, committees, court cases and corrupt roadblocks). And it's much easier to give something heritage protection than to take it away.
When something a community truly values as a heritage building, site or monument is threatened, we inevitably see protests, articles, petitions, challenges to council, boycotts, lawsuits etc to save the heritage. That's a good thing because it shows that people are willing to put the time, effort and money into their goal. Entire lobby groups have been formed over this passion
But instead of focusing this energy and money on lobbying the state to block development, in a free market they'd pool these resources towards actually buying and maintaining the heritage they really cared about. They could set up companies or trusts whose founding documents gave them only that purpose, then ask for donations and volunteers to fund the efforts (much as they do now to lobby the government).
This would ensure that heritage sites with real community value were looked after without the heritage scope creep we've seen recently.
6. Make Sydney Great Again
Sydney is becoming a stagnant and overpriced city with too much of the burden for excessive immigration being placed on the south-western suburban areas. It shouldn't be this way.
Needless planning controls that block development and add serious amounts of time and cost to any new housing are only holding us back from our potential to be the greatest city in the world. There's no reason the inner city shouldn't be like Manhattan.
The way to Make Sydney Great Again is be like Houston and abolish the lot.