OPINION: Regional cities are central to Victoria’s growth story
One of the most important conversations facing Victoria is where and how we will grow over the next 25 years.
Today, Regional Cities Victoria will have that conversation with some of the state’s most influential housing and infrastructure leaders at Parliament House. Together, we’ll be talking about some of the top issues facing our regional cities and what should be done about them.
As Chair of Regional Cities Victoria and Mayor of Greater Shepparton, I know our cities have never been more important to the state’s future.
Infrastructure Victoria’s draft 30-year strategy acknowledges regional and rural areas contribute nearly 20 per cent of Victoria’s economy and account for around one-third of its exports. We are fundamental economic drivers, not merely support hubs.
In fact, developing regional Victoria is a core focus of the 30-year plan, with approximately a quarter of the strategy’s 43 recommendations specifically addressing regional infrastructure needs, from transport and connectivity to social and community services.
I know that the opportunities ahead – if we plan well for them – can deliver enormous benefits for all Victorians.
The most recent Regional Movers Index (March 2025) shows this shift is already under way. Wodonga, Latrobe and Geelong all ranked in the top 10 local government areas nationally for net regional migration. These are people voting with their feet – moving to regional cities that offer affordability, lifestyle and jobs.
That’s not just a trend – it’s a signal.
It’s a signal that regional cities are not just part of the solution to Melbourne’s population pressures, but are actively shaping a shared and sustainable Victoria.
The Victorian Government has set housing targets for regional cities. We need to deliver 280,950 by 2051 – that’s about 30 houses a day for the next 25 years.
We can do it.
But we can’t do it alone.
That’s why we invited the REIV, HIA, UDIA, the Property Council, Infrastructure Victoria and the Master Builders Association to our Annual Forum. These are organisations that hold enormous influence in the way housing, infrastructure, and planning are shaped in Victoria. And it’s vital that when they speak to government about the future of growth, our voice – regional voices – are part of that conversation.
We share more in common than ever before. We all want faster planning approvals. We all need more skilled workers – especially planners, engineers and surveyors. We all want reliable investment in infrastructure. And we all want a development pipeline that gives certainty to business, communities and councils alike.
Regional cities can help deliver on all of that, and we’re ready to go.
We have land for new homes – with the right infrastructure. We have councils that have done the work for growth. We have communities that want to welcome new residents and businesses. What we need now is partnership and confidence – from government and industry.
That means a commitment to long-term, regionally inclusive investment strategies. It means replacing what was lost with the end of the Regional Jobs and Infrastructure Fund, which once allowed local government, state and industry to co-invest in transformative projects. And it means not placing additional burdens on already stretched councils and ratepayers – like the sudden Emergency Services Volunteer Fund levy, which will cost regional cities tens of millions of dollars each year.
Victoria’s growth challenge is not just a metropolitan issue. It’s a whole-of-state opportunity. And if we get it right, regional cities can offer solutions that benefit everyone – from more affordable housing and sustainable services to stronger local economies.
The next state government, due to be elected in November 2026, has a unique opportunity to put regional cities at the centre of today’s conversation about growth.
Together with the state’s housing industry partners, regional cities can offer sustainable growth for Victoria’s future, and we can do that with essential investments to deliver those ambitions.
Cr Shane Sali is Mayor of Greater Shepparton and Chair of Regional Cities Victoria – an assembly that represents Victoria’s 10 largest regional cities: Ballarat, Bendigo, Geelong, Horsham, Latrobe, Mildura, Shepparton Wangaratta, Warrnambool and Wodonga.
Media: Emily Broadbent 0413 133 627.
