Midfield operating capacity affected by housing crisis

Midfield Group's Dean McKenna said the company had been waiting for two years on a decision about a proposed workers village.

The multi-million-dollar project would house 400 workers and the company is proposing opening 25 per cent of the dwellings to employees from other businesses.

Mr McKenna said a lack of housing remained a big issue for Midfield.

"We're in a holding pattern at the moment," he said.

"We're totally tapped out on housing."

Mr McKenna said the state government needed to speed up the planning process.

He said in addition to the long wait on a decision for the village, the company faces delays when trying to build worker accommodation on farms.

Mr McKenna said he had experienced first hand how the process could be improved.

"South Australia is an easier place to do business at the moment," he said.

A decision on the proposal is expected before the end of the year.

Mr McKenna said the company's other option was to purchase motels and convert them into worker housing.

But he said this affected the amount of accommodation available in the city.

"If we do that it can have a negative effect on the whole community," Mr McKenna said.

His comments come as Rural Councils Victoria (RCV) released its Rural Housing Action Plan.

RCV chair Mary-Ann Brown, a Southern Grampians Shire councillor, said research conducted found rural Victoria needs 87,400 new homes by 2036.

Failure to provide the extra homes could mean annual Gross Regional Product losses across rural Victoria of between $200 million and $1 billion, the report found.

"Councils across rural Victoria are tackling the housing crisis themselves, providing practical solutions and new ways of getting homes built," Cr Brown said.

"But they can't do it all by themselves.

"Government support is needed. It's not all about governments providing money, though financial support is part of the solution.

"We need governments to help councils by making it easier for development to occur in rural communities. "Through strategic financial support for the Rural Housing Action Plan, rural housing markets can be revitalised, economic stability promoted, and overall quality of life in rural communities enhanced."

The Action Plan calls for help providing connections to sewerage, water and energy, bridging funds to help councils develop homes, adequate staffing to deliver project implementation and oversight and reforms to housing approvals.

David Knight, chief executive officer of Aberlea aged care in Mortlake, spoke at the launch of the plan.

"It doesn't matter what industry you are in, it is imperative for staff to be able to find a place to live in rural and regional Victoria," he said.

"It is hard to attract employees to rural and regional areas but when you tell them there is nowhere to live you might as well give up."

He said the 11 studio-style cabins built by Moyne Shire at the Mortlake and Koroit Caravan Parks for key workers had proved a godsend.

"If there were more of them we would use them more. It gives new employees or agency staff a new, clean and comfortable place to stay while they settle into new jobs and provides them with time to find a place to stay.

"I would like the government and shires across rural and regional Victoria to know that one of the biggest blockers to filling jobs is the lack of accommodation. It is holding businesses back across all sectors."

IN OTHER LOCAL NEWS:

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content: