Controversial public housing changes that were set to increase the rent of thousands of remote Northern Territory residents have been delayed, after backlash from Aboriginal land councils.
A new pricing scheme for public housing residents in remote areas was meant to start next week, with tenants to be charged per room instead of based on income.
Some experts believe the changes would have increased rent for 80-per-cent of tenants in Central Australia — in areas plagued with overcrowding, a lack of housing and few job opportunities.
Northern Territory Housing Minister, Selena Uibo, said the government has listened to feedback from land councils that wanted more consultation.
"The constructive feedback we've received, is about making sure that there's been more face-to-face meetings with remote residents," she said.
"The feedback has been positive around the actual change in the framework and the implementation, but it's been mostly around the communication and making sure that it's been properly communicated."
The changes mean the Northern Territory's remote areas will be the only jurisdiction in Australia not income tested for rental properties.
In a statement, the Northern Council said delaying the rollout was a welcome move.
"It's important that tenants and stakeholders have the time and opportunity to provide feedback on any proposed changes," the statement said.
'Back to the drawing board'
The reforms, originally scheduled to start next Monday, will now come into effect in five months' time, on February 6.
While supportive of the delay, federal member for Lingiari Marion Scrymgour said she didn't believe the NT government was being realistic about the task ahead.
"I think it's going to take longer than February," she said.
"If they haven't been able to implement this now, what makes them think that it's going to change in [five months]?"
The move towards a per-room payment system meant some tenants were facing rent hikes of up to $200 per week.
The reforms also include tenants being responsible for damage bills, contributing to repairs.
'Safety net' provision extended
Ms Scrymgour said while remote residents would support the need to contribute to repairs and maintenance, she questioned whether the scale of increases faced by some residents was necessary.
"I think they need to go back to the drawing board," she said.
"Rethink this policy and look at a better ways in which people can contribute to the repairs, maintenance, but also the rental of their house, and they will do it."
The NT government has promised to help tenants struggling to pay rent, by including a "safety net" provision, where residents may be charged 25 per cent of their household income for a limited time.
In a fact sheet sent out to stakeholder yesterday, it said that provision would be automatically applied to households "at risk of rental stress", and re-assessed after six months.
Ms Uibo said just over 600 of about 5000 households had been identified "at risk", and would automatically have rent capped at 25 per cent.
"It was going to be an application process," she said.
"But we've really pushed that to be automatic to identify those people possibly at risk. And then of course to support those people."
Ms Uibo said the reforms were part of a long term strategy to transfer public housing assets across to community housing providers, a process which she said had begun in Darwin and Palmerston.
"We're looking at more opportunities, including in our remote housing setting, to be able to pass assets across and that process of rent collection, repairs and maintenance and the support for public housing tenants," she said.
"So having a process and a system that is clear [and] transferable is a big part of the longer-term picture for the Northern Territory."
