REASONS FOR DECISION TO EXERCISE POWER OF INTERVENTION UNDER SECTION 20(4) OF THE PLANNING AND ENVIRONMENT ACT 1987 MELBOURNE PLANNING SCHEME AMENDMENT C237 The Planning and Environment Act 1987 (the Act), the Heritage Act 1995 and the Victorian Civil and Administrative Tribunal Act 1998 provide for the intervention of the Minister for Planning in planning and heritage processes. In exercising my powers of intervention, I have agreed to: Make publicly available written reasons for each decision; and Provide a report to Parliament at least every twelve months detailing the nature of each intervention. REQUEST FOR INTERVENTION 1. No person other than the Minister has proposed or requested this intervention. WHAT POWER OF INTERVENTION IS BEING USED? 2. I have decided to exercise my powers to exempt myself from all the requirements of sections 17, 18 and 19 of the Act and the regulations in respect to Amendment C237 to the Melbourne Planning Scheme. 3. Section 20(4) of the Act enables the Minister for Planning to exempt an amendment which the Minister prepares from any of the requirements of sections 17, 18 and 19 of the Act or the regulations. 4. In seeking to exercise this power, section 20(4) of the Act requires that the Minister must consider that compliance with any of those requirements is not warranted or that the interests of Victoria or any part of Victoria make such an exemption appropriate. BACKGROUND 5. The amendment affects the Bourke Hill area and makes the existing discretionary height controls mandatory for an interim period of 12 months while another amendment undergoes a separate process to introduce mandatory height controls on a permanent basis. 6. The Bourke Hill area is identified in the Melbourne Planning Scheme at Clause 21.12 and Clause 22.04 as an important heritage area and a precinct which relies on a consistency of scale of buildings for its unique character. Recently planning applications have been lodged for buildings which would significantly exceed the height of current discretionary controls in the Bourke Hill area. This has highlighted the need for a review of the built form controls to protect this significant precinct of Melbourne. 7. In recognition of this Plan Melbourne Initiative 4.2.3 – Protect unique City precincts and our waterways from inappropriate development, identifies that planning provisions will be implemented which introduce mandatory height controls in and around appropriate Central City locations such as the Bourke Hill precinct. 8. Amendment C237 introduces Schedule 62 to the Design and Development Overlay which applies the same height controls, currently applied as discretionary height limits by Design and Development Overlay Schedule 2 (DDO2) in Areas 2, 4 and 8. The controls in the new Schedule 62 will expire in 12 months. As the DDO2 Areas 2 and 8 apply in other areas of the City, the new Schedule 62 is being introduced to limit the application of these changes to the Bourke Hill precinct only. BENEFITS OF EXEMPTION 9. The main benefit of the exemption is that it will enable a prompt decision to be made on the adoption and approval of the amendment which will protect the significant Bourke Hill precinct. 10. The need for urgent mandatory height controls is demonstrated by the fact that applications are being received for development that significantly exceeds the current discretionary height limits, putting at risk the unique character of the Bourke Hill precinct. 11. The amendment will mean that no planning applications can be considered which exceed the mandatory height limit until a concurrent amendment, to implement permanent mandatory height controls, has undergone a separate amendment process which will include public consultation. EFFECTS OF EXEMPTION ON THIRD PARTIES 12. The effect of the exemption is that potentially affected parties will not be formally notified of the amendment or have an opportunity to make a formal submission to a planning panel. 13. However Amendment C237 only has a temporary effect, to protect this important heritage precinct while a separate amendment is prepared to implement permanent controls. The impacts of Amendment C237 on affected parties are therefore limited in time as affected parties will have a full opportunity to provide input into the formulation of the permanent mandatory height controls through the public consultation process that will occur in relation to the separate amendment to apply these permanent controls. 14. Amendment C237 implements an initiative of Plan Melbourne, which was developed following extensive community consultation which involved government departments and agencies, with around 10,000 members of the community submitting their views via meetings and submissions. 15. There is one active planning application lodged with Melbourne City Council, for a 15 storey hotel at 20-30 Bourke Street, Melbourne, (known as ‘The Palace’), which will be prohibited by this amendment. The applicant will have the opportunity to provide input into the appropriate permanent height controls for this site through the process for the separate amendment to apply permanent mandatory controls. ASSESSMENT AS TO WHETHER BENEFITS OF EXEMPTIONS OUTWEIGH EFFECTS ON THIRD PARTIES 16. I consider that the benefits of exempting myself from sections 17, 18 and 19 of the Act outweigh any effects of the exemption on third parties for the following reasons: The mandatory height controls will be implemented on an interim basis while a separate amendment process, including consultation, is undertaken to implement mandatory controls on a permanent basis. The amendment will protect the heritage significance and low scale of the Bourke Hill precinct while permanent controls are formulated. The amendment supports an initiative of Plan Melbourne which was subject to extensive public consultation. DECISION 13. I have decided to exercise my power to exempt myself from all the requirements of sections 17, 18 and 19 of the Act and the regulations in respect of Amendment C237 to the Melbourne Planning Scheme. REASONS FOR INTERVENTION 14. I provide the following reasons for my decision to exercise my power under section 20(4) of the Act. 15. I am satisfied that Compliance with any of the requirements of sections 17, 18 and 19 of the Act and the regulations is not warranted because: The amendment introduces interim mandatory height controls only while a separate, public amendment process is undertaken, in relation to permanent controls. The impact of the amendment on existing landowners will be relatively limited, because the controls are only temporary in nature. It is in the interests of Victoria to exempt myself from compliance with the requirements of sections 17, 18 and 19 of the Act and the regulations because: Plan Melbourne, which was subject to extensive public consultation, identifies the need for mandatory controls to be applied to this significant area of Melbourne. It is important to protect the unique character of this important heritage precinct in Melbourne on an urgent basis while permanent controls are being formulated. Signed by the Minister MATTHEW GUY MLC Minister for Planning Date: 11 June 2014