Wednesday, 4 February 2026

 Daniela DE MARTINO (Monbulk) (10:25): It is my distinct pleasure to speak on the Legislative Assembly’s Environment and Planning Committee inquiry into the supply of homes in regional Victoria. At the outset, I would like to acknowledge our wonderful committee, led by our great chair, the member for Wendouree, and deputy chair, the member for Morwell. I would also like to give my thanks to the other members of our committee, the members for Ripon, Bass, Croydon and Narracan. This is a committee that has consistently worked together to get to the root of the matter we inquired upon and delve deeply to proffer recommendations for improvement. It is a delight to be part of this committee, which always seeks to find solutions to the matters at hand for the betterment of Victorians in the most bipartisan of ways.

Our final report, which was tabled last November, contains 12 findings and 34 recommendations, all with the view of addressing the housing challenges facing regional communities. This report could not have been made possible without the hard work and dedication provided by the ever-professional committee secretariat. As our chair did in her report to this place, I would like to commend the great work of our committee managers, Igor Dosen, who has moved on, and Dr Marianna Stylianou, research officer Samantha Leahy and administrative officers Imogen Bacon and Helen Ross-Soden, who returned after parental leave. Their research and evidence gathering, report writing and stakeholder management is second to none. Thanks to them all. Thanks must also go to everyone who contributed to our inquiry through written submissions, by attending public hearings or by allowing us to visit their worksites. The insights we gained from them all made this report possible.

With only a few minutes to speak, I want to highlight some of the key findings of our inquiry. Firstly, regional Victoria’s expanding population is increasing housing demand. People are moving to the regions, and this is driving up costs and worsening already low rental vacancy rates. An ageing population and growth in lone person and couple households are increasing demand for smaller homes close to essential services. Not everyone needs a three- or four-bedroom home anymore, so a mix of housing is absolutely important and required here. Another finding was that housing stock in regional Victoria is underutilised and mismatched to household needs. As I have just mentioned, this is due to large homes, an ageing population, growth in short-stay accommodation and demand being driven up, with affordability being reduced.

We heard some distressing stories, which led to another finding: Aboriginal Victorians face greater difficulty accessing secure housing due to larger household size, income inequality and systemic racism. It was very upsetting to hear how difficult it can be for Aboriginal Victorians to secure rentals, and there is definitely racism inherent within the system. That was reflected in many contributions that came to us from them. If there is something we really need to address, it is that problem, which continues, unfortunately, even in the 2020s.

Another finding was that property prices in regional Victoria have risen sharply, up 40 to 50 per cent in five years, while home ownership rates have declined. Low rental vacancy rates have been intensifying competition, driving up rents across regional communities. The supply of new homes is not keeping pace with demand, hindered by limited infrastructure and serviced land, high construction costs, low valuations and financing barriers. Demand for social housing is increasing faster than new supply despite our great Big Housing Build delivering new and refurbished homes. Housing stress and insecurity in the regions is also rising and housing shortages disproportionately impact vulnerable groups, including young people; Aboriginal Victorians, as I mentioned before; older people; recent migrants; people who might be experiencing mental illness or have disability; and those experiencing family violence.

Caravan and residential parks actually play a really important and often overlooked role in providing affordable housing and community connection, especially for older regional Victorians. We did go and visit one of those caravan parks, and it was quite interesting to look at this situation. There were a number of very interesting site visits that we undertook, even just looking at different construction materials and methodologies. As we modernise in many other ways in life, so too does the construction industry need to do so. I know many in my committee have heard me bang on about hemp as a building material, but it is an incredible material, and I just want to put on the record that something that can go from basically being planted to being harvested and ready to be turned into a building material in 100 days is something that I think the industry needs to look closer at and pay more attention to. It is also highly flame-proof, so I would love to see most of my buildings clad in it eventually across the Dandenong Ranges.