On 7 August 2026, the Minister for Planning gazetted new Ministerial Directions for Infrastructure Contributions Plans (ICPs) and Development Contributions Plans (DCPs).
The new ICP Direction now applies to:
- Metropolitan Greenfield Growth Areas;
- State-Led Infill Precincts; and
- the Suburban Rail Loop (SRL) East Planning Area.
Summary of changes
Key changes include:
- ICPs may now be applied in State-Led Infill Precincts;
- Standardised levies and infrastructure categories have been introduced;
- greater flexibility in identifying and funding infrastructure projects; and
- a bespoke framework for SRL East.
What does this mean for councils?
Councils involved in activity centre planning and housing growth may be affected by the new State-Led Infill Precinct framework.
The framework:
- allows levies to be imposed on residential, commercial and industrial development in designated infill precincts.
- sets standard contribution rates and distribution rules for local and state infrastructure.
- allows funding to be allocated to broad priority categories, rather than requiring every project to be identified upfront.
This may help councils respond to changing infrastructure needs over time.
The SRL East
The new Direction creates a dedicated framework for the SRL East Planning Area, with levies apportioned between local, state and SRL-related infrastructure.
This extends the infrastructure contributions framework beyond traditional growth area settings, allowing contributions to support infrastructure associated with the SRL East project.
For councils in the SRL East corridor, the framework will be central to future precinct growth and infrastructure delivery.
Key takeaway
The new Directions expand Victoria's infrastructure contributions system into state-led infill and SRL precincts.
Councils should consider how the frameworks may affect activity centre planning, housing growth strategies and infrastructure delivery priorities.
How can we help?
Our Planning and Environment team advises councils, government agencies and developers on infrastructure contributions frameworks.
We can assist with the new ICP and DCP requirements, contributions plans, planning scheme amendments, governance arrangements and infrastructure funding strategies.
Please contact our team if you would like to discuss how the new Directions may affect your planning initiatives, infrastructure funding arrangements and growth planning.