State defies inquiry over secrecy of $12 billion public tower knock-down plan
It has been revealed that the redevelopment of the state’s public housing towers will cost at least $12 billion after the government refused to hand over 146 secret cabinet documents supporting the project.
in it official response In a parliamentary inquiry into the high-rise plan tabled on Tuesday, the government confirmed it would press ahead with plans to systematically raze all 44 of Melbourne’s inner-city public housing towers by 2051; He flatly rejected the inquiry’s recommendation to immediately halt the controversial 25-year demolition program until it puts in place feasibility plans.
The Allan government also published a publication to support the “mere destruction” logic: a body of internal technical evaluations By firms such as MGS Architects, Arup and Approval Systems. Reports reveal that an extensive architectural retrofit would trigger state building regulation 233, which legally requires 1960s-era towers to be retroactively upgraded to modern codes; companies say it’s nearly impossible.
This comes after the true cost of the massive project was revealed at a recent hearing of the Public Accounts and Estimates Committee (PAEC); Homes Victoria managing director Simon Newport estimated the cost of the entire 44-tower demolition-rebuild scheme would be around $12 to $13 billion over 30 years.
For nearly three years, the government has justified its universal demolition approach by claiming that simply maintaining aging concrete towers would cost $2.3 billion over 20 years.
In December, the Committee on Legal and Social Issues of the Legislative Council, which is controlled by non-governmental organizations, a harsh final reportAllan called for an immediate halt to the demolition program until the government delivers key evidence that would justify the multibillion-dollar project.
The report accused the Allan government of ignoring parliamentary rules to conceal important documents and found that the refusal to produce them meant it was impossible to verify whether demolition and subsequent rebuilding, rather than infill and renovation, was the most cost-effective option.
The Greens’ housing spokeswoman, Gabrielle de Vietri, said the response to the inquiry was “arrogant and extremely disrespectful on the Labor Party’s part”.
“They are embarking on a project that has no support from experts or society, has no justification, and has no public benefit.”
The opposition has been calling for the disclosure of secret documents for a long time.
Late last month tenants won the right to take their fight against the demolition plan to the Supreme Court in Canberra later this year after the court accepted a rare appeal. This means Homes Victoria has been prevented from evicting a handful of residents in North Melbourne and Flemington while the case is ongoing.
In 2024, the Supreme Court rejected a class-action lawsuit filed on behalf of hundreds of tenants to overturn the demolition decision. The case was able to be referred to the Court of Appeal but was rejected again in December 2025.
The Supreme Court rarely grants special leave to appeal a case. In April, it rejected 38 applications from across the country and accepted only four.
In January, seven more towers were scheduled to be demolished in suburbs including St Kilda, Albert Park and Prahran, all of which were designated communities for older residents. Since the programs were announced, the first two towers on Elgin Street in Carlton have been demolished, along with replacements at towers across the city.
Designs of replacement buildings last week Hippodrome Road land New towers have been launched in Flemington, showing a cluster of new high-density towers for both private and public housing.
with Gemma Grant
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Rachael Dexter is a journalist working for The Age’s City team. Contact her at rachael.dexter@theage.com.au, rachaeldexter@protonmail.com or via Signal at @rachaeldexter.58.Connect with: Facebook or email.
