Victoria's Planning Law Just Changed: What the Better Decisions Made Faster Act 2026 Means for You

Victoria's planning system has taken its next step forward. Key provisions of the Planning Amendment (Better Decisions Made Faster) Act 2026 were proclaimed and commenced on 3 June 2026 — marking the first wave of what is widely described as the most significant overhaul of the Planning and Environment Act 1987 in decades.

Here's what's changed, and what it means for landowners, developers and councils across Victoria.

Background: What Is the Better Decisions Made Faster Act?

The Act received Royal Assent on 17 February 2026 and forms the centrepiece of the Victorian Government's legislative reform agenda for planning. It amends the Planning and Environment Act 1987 with a clear goal: a faster, more proportionate planning system capable of supporting the delivery of 2.24 million homes across Victoria over the next 30 years.

The Act will be fully operational by 29 October 2027, with provisions staged across multiple commencement dates.

What Commenced on 3 June 2026?

The provisions proclaimed on 3 June 2026 are primarily administrative in nature. While they won't dramatically alter day-to-day permit assessment immediately, they lay important groundwork for what's coming.

1. Distinctive Areas and Landscapes (DALs) —

Updated Provisions

Changes to the DALs framework reduce the administrative burden on planning authorities when declaring and protecting Victoria's most valued landscapes. Further amendments to DALs provisions will follow alongside broader changes to the planning scheme amendment process.

Why it matters: If your land sits within or near a DAL — including areas like the Mornington Peninsula or the Yarra Valley — stay across how these updated provisions may influence future amendment and development proposals.

2. Compensation Provisions — New Flexibility for Courts and VCAT

The Supreme Court and VCAT can now pause or reduce the accrual of interest on disputed compensation claims where good cause exists — such as where a claimant causes unnecessary delay.

Why it matters: This reform is designed to encourage earlier negotiation and faster resolution of compensation disputes. For landowners involved in ongoing claims, this is worth noting.

3. Notice Requirements for VC Amendments — New Obligations

New requirements have been introduced for giving notice of VC (Victoria Comprehensive) planning scheme amendments. These changes strengthen transparency and procedural rigour around state-initiated amendments.

Why it matters: Councils and affected landowners should ensure they understand the updated notification obligations attached to VC amendments affecting their municipality or land.

4. Infrastructure Contributions Plans (ICPs) — Changes to Administration

Amendments to how ICPs can be administered provide greater flexibility and efficiency in the delivery of infrastructure contributions across growth areas.

Why it matters: Relevant for developers and landowners in growth corridors where ICPs underpin the cost-sharing framework for roads, drainage and community infrastructure.

5. Growth Area Infrastructure Contributions (GAIC) — Updated Administration

Corresponding changes to GAIC administration align with the ICP reforms and support more streamlined management of contributions in Melbourne's growth precincts.

Why it matters: If your project triggers a GAIC liability, updated administration procedures may affect how and when contributions are calculated or collected.

What's Coming on 3 August 2026?

New compliance and enforcement provisions have also been proclaimed, commencing 3 August 2026. Details on these provisions will be covered in a separate post as the commencement date approaches.

The Bigger Picture

The 3 June 2026 commencement is just the beginning. The full implementation of the Better Decisions Made Faster Act — including new tiered assessment pathways for permits and amendments, proponent-initiated amendment processes, gifts and donations disclosure requirements, and curtailed objection rights — will reshape how planning works across Victoria between now and October 2027.

For applicants, developers and landowners, now is the time to understand how these reforms will affect your next project.

Need Advice?

Equinox Town Planning is a Melbourne-based planning consultancy with deep experience across residential, commercial, industrial and strategic planning matters. We help clients navigate a changing planning system with clear, practical advice.

Get in touch with Equinox Town Planning today.

For more information on the Better Decisions Made Faster Act, visit planning.vic.gov.au.