NSW South Coast Council’s game-changing tiny homes trial

A groundbreaking local trial of new planning rules for mobile tiny homes could pave the way for future approvals across the country.

Navigating varied regulations for tiny homes across Australia has proved a complex and difficult task for residents and councils grappling with assessment processes.

Shellharbour Council’s two-year pilot program affords a planning pathway that could provide a streamlined statewide framework and affordable housing opportunity.

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Mobile tiny homes can be registered like a vehicle under the Road Transport Act 2013

Designed as small, movable homes built in trailers, mobile homes can be registered like a vehicle under the Road Transport Act 2013 if they comply with specific regulations.

According to Shellharbour Council, for the trial to proceed, a Planning Proposal must be prepared to amend the Shellharbour Local Environmental Plan 2013 that would allow mobile homes to be installed on existing residential properties without a development application, subject to strict conditions.

This would include minimum setbacks, connection to essential services and compliance with fire safety and construction standards.

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Shellharbour Council’s two-year pilot program aims to cut red tape for tiny homes

“The trial will simplify the process for placing mobile tiny homes on existing properties by exempting the need for Development Applications, while keeping essential planning and safety requirements in place and being able to connect to existing infrastructure,” the mayor of Shellharbour, which sits on the NSW South Coast about 100km south of Sydney, Chris Homer said.

Mr Homer said the trial still requires a State Government process of submitting the amended LEP through a gateway proposal submission, which could take up to six months.

This also includes a 28 day public exhibition period.

Chris Homer

“Tiny homes provide a flexible, fast, lower-cost option that increases housing choices for community and key workers,” Mr Homer said.

“The trial reflects Council’s commitment to exploring innovative solutions to meet the evolving needs of the housing crisis while ensuring developments are safe and well-managed.”

Real Estate Intitute of NSW CEO Tim McKibbin said the trial is an example of the innovative approach local governments statewide should be investigating, with a view to fast-tracking the supply of diverse new housing options for renters and buyers.

“The housing crisis plaguing our state is the result of long-term supply inertia on the part of multiple stakeholders, including Governments at all levels,” he said.

“This is an example of a local Council understanding it has an important role to play for its community, and taking innovative action.”

Tim McKibbin

Mr McKibbin said mobile tiny homes will not be suited to everyone, just as large family homes are often not, but at the very least offer new choices at a time when constrained supply is resulting in many people facing housing insecurity.

“While REINSW will continue to advocate for policy solutions and reforms to address the chronic housing undersupply at a state level, it is incumbent on Councils to consider the needs of their own communities and begin thinking outside the box to urgently deliver more housing in their local Government areas,” he said.

“Prohibitive planning regimes are the enemy of new housing.

“Innovative planning action is what all Councils should be taking.”

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