Planning Permit vs Building Permit in VIC: How the Two Approvals Work

What it is

A planning permit and a building permit are different things in VIC. A planning permit is consent for the use or development of land under the Planning and Environment Act 1987 and is issued by the responsible authority, usually the local council. A building permit is consent to carry out building work under the Building Act 1993 and is issued by a registered building surveyor (RBS), either a private surveyor or a municipal one.

Planning sits in the front end and asks whether the proposed use, siting, height, neighbourhood character and amenity impacts pass the planning scheme. Building sits at the construction end and asks whether the proposed drawings and specifications meet the National Construction Code (NCC), Australian Standards called up by the NCC and the regulations under the Building Act.

When a planning permit is required

The planning scheme for the municipality drives this. Each scheme has zones (Neighbourhood Residential, General Residential, Residential Growth and others) and overlays (Heritage Overlay, Significant Landscape Overlay, Design and Development Overlay, Bushfire Management Overlay, Land Subject to Inundation Overlay). The zone sets default permit triggers for dwellings, dependent persons units, two-or-more dwellings on a lot, subdivision and use changes. Overlays add their own triggers, often catching what the zone would have exempted.

A common pattern for a single new dwelling on a standard suburban lot in a General Residential Zone is no planning permit needed because the zone exempts a single dwelling on a lot over 300 sqm. Drop a Heritage Overlay on top of that lot and almost any external work needs a planning permit. Add a Bushfire Management Overlay and the application picks up the BMO bushfire planning report and CFA referral.

Clause 55 and Clause 56

Two-or-more dwellings on a lot trigger ResCode under Clause 55 of the Victoria Planning Provisions. Subdivision triggers Clause 56. ResCode runs through 35 standards and objectives covering neighbourhood character, street setbacks, site coverage, permeability, energy efficiency, overshadowing, overlooking and private open space. Council can vary a standard if the objective is met.

When a building permit is required

A building permit is needed for almost all new construction, additions, structural alterations, restumping, demolition of buildings other than Class 10 sheds under a certain size, swimming pools and pool barriers, retaining walls over one metre and re-roofing in many cases. The Victorian Building Authority (VBA) regulates the system. The RBS appoints inspection stages, issues directions to fix and issues the occupancy permit or certificate of final inspection at the end.

Sequence: planning first then building

The two approvals are sequential. If a planning permit is required, it must be in place before a building permit can be issued for the same work. The Building Regulations 2018 require the RBS to confirm the planning permit has issued and that the building application matches the endorsed planning plans. Building work outside the endorsed plans is a breach of the planning permit and a building offence.

Designer and builder responsibilities

The designer maps the project against the planning scheme early. A planning property report from the VicPlan portal gives zone, overlays and amendments in one PDF and costs nothing. The builder confirms that no construction starts before the RBS issues the building permit, mandatory inspections are booked at footings, frame; pre-pour and final; plus an occupancy permit issues before the owners move in. Major domestic building work over $16,000 requires domestic building insurance (DBI) before the building permit is issued.

Cost and timing differences

Planning permit fees are set by the Planning and Environment (Fees) Regulations 2016 and scale with the cost of development. Statutory turnaround is 60 days but most permits run longer due to notice, objections and Victorian Civil and Administrative Tribunal (VCAT) review rights. Building permit fees are commercial because they sit with private RBSes. Building permits issue once the documents satisfy the NCC and the Building Regulations, often within one to two weeks for a well-prepared submission.

Common traps

Starting framing before the building permit issues is the single most common breach the VBA prosecutes. Building outside the endorsed planning plans, especially on setbacks or window placement, voids the building permit and exposes the builder to rectification orders. Demolition without a planning permit where a Heritage Overlay sits over the title is another. The cheapest control is a one-page planning and building checklist signed by the designer before the contract is signed.