Slow the growth of peak-hour traffic
Parking maximums are rules in the planning scheme that limit the number of off-street car parking bays that can be built in new developments. Developers who wish to add more parking need to apply for an exemption, and demonstrate why the extra parking won’t increase peak-hour traffic congestion on nearby streets.
Where they apply
Parking maximums apply for new dwellings and offices in Category 3 or 4 areas covering approximately half of the municipality, as defined by Clause 52.06 of Yarra’s Planning Scheme, and with maps available on VicPlan. Table 1 in the clause defines minimums and maximums for various land use types for each of the four categories of Public Transport Accessibility Level (PTAL). These reforms to Yarra’s planning scheme were imposed by the state government in December 2025, to support Action 5 of Plan for Victoria, i.e. to match car and bike parking requirements and bike facilities with demand.
Support from VCAT
The state’s reforms to car parking requirements are supported by the VCAT Red Dot Decision Ronge v Moreland CC [2017], in which the Tribunal made the following statements:
Our roads are already congested and will be unimaginably so if a ‘business-as-usual’ approach is accepted through until 2050. The stark reality is that the way people move around Melbourne will have to radically change, particularly in suburbs so well served by different modes of public transport and where cycling and walking are practical alternatives to car based travel.
Policy tells us the future must be different.
Oversupplying parking, whether or not to comply with Clause 52.06, has the real potential to undermine the encouragement being given to reduce car based travel in favour of public transport, walking and cycling.
One of the significant benefits of providing less car parking is a lower volume of vehicle movements and hence a reduced increase in traffic movements on the road network.
VCAT Red Dot Decision
What happens to on-street parking?
In the inner-city there isn’t enough street space to supply everyone’s desire for free on-street parking. That fundamental principle is valid now, even without new construction, and won’t change as new apartments or offices are built, irrespective of how many off-street parking bays are delivered with each new development.
Instead, access to a street’s limited on-street parking should be managed using permit zones and ticket zones, residential (including visitor) parking permits, and demand responsive pricing. Such reforms would enable people to find a park near their home or destination, even as our population increases.
Examples in other cities and countries
City of Waverley in Sydney
The City of Waverley in Sydney has eliminated minimums and imposes maximums:
New Zealand
New Zealand has recently removed parking minimums for all cities larger than 10,000 people. The new rules are discussed in this article by Greater Auckland Inc.
London, UK
In 2004, London reversed its parking requirements, eliminating the previous minimums and putting new maximums on parking supply for all developments in the metropolitan area.
Zhan Guo, ACCESS Magazine
California, USA
Other information on parking
Learn more from our collection of pages related to parking:
Or from these websites: