The Kings Hill housing development at Port Stephens has been raised in federal parliament as an example of a project that has been thwarted by red tape and bureaucracy.
Hunter-based Nationals Senator Ross Cadell cited the project on Tuesday night during a speech about barriers to solving the housing crisis.
Kings Hill, outside of Raymond Terrace, would deliver 3,500 houses within close proximity of existing employment areas. It is estimated it would create $71.7 million worth of economic activity annually when complete.
But Mr Cadell said the project had been "barricaded towards defeat" by endless red and green tape.
"We have a plan that says Port Stephens needs 11,000 new houses over 20-years, yet, at current pace we will struggle to deliver even a quarter of that," he said.
"Labor and The Greens continue to kneecap the development industry, the very industry that will deliver houses, with ludicrous controls, inconsistent determinations, and gross nimbyism that will see hard working families never achieve the great Australian dream."
Mr Cadell said the project's proponent had spent a decade in an endless game of "pass-the-buck" between planning bodies, local council, and government departments.
Despite this, not a single home had been constructed.
"Twenty plus years ago, this land was identified for housing, yet, here we are, down the road, puttering towards more legal fees, consultants and staff hours rather than tradesmen with power tools in hand.
"This project is an example of everything that is wrong with the planning system.
Mr Cadell applauded the NSW Premier Chris Minns for removing planning and height restrictions close to public transport.
But he urged him to take the next step and fast track lifestyle blocks for houses for young families.
"Let's get these critical regional projects moving," he said.
The Albanese Labor Government needed to stop with the golden shovel announcements, and rather than turn sods, allow industry to build houses.
"It is time to stop loitering over housing shortages and start problem solving.
"It is time to remove the barriers, listen to the majority not the loud minority, and give families back the hope of the great Australian dream."