News
2 August, 2026
High-rise Future for the Highlands
Just months after Wingecarribee Shire Council voted to align itself with the Illawarra Shoalhaven region, the NSW Government has unveiled a draft 20-year blueprint that places the Southern Highlands at the heart of one of the state's fastest-growing regions.
Just months after Wingecarribee Shire Council voted to align itself with the Illawarra Shoalhaven region, the NSW Government has unveiled a draft 20-year blueprint that places the Southern Highlands at the heart of one of the state's fastest-growing regions.
The draft Illawarra Shoalhaven Plan formally includes Wingecarribee in the planning region, saying the move recognises "the economic, environmental and strategic connections between Wingecarribee LGA and the rest of the region, and the potential of these connections between the region and the growing areas in south west Sydney."
The release follows Wingecarribee Shire Council's March decision to support leaving the current Joint Organisation based in rural and regional areas of Southern NSW in favour of joining an expanded Illawarra Shoalhaven Joint Organisation. The decision came after a Mayoral Minute from Mayor Jesse Fitzpatrick proposed the move.
The State Government's blueprint forecasts the Illawarra Shoalhaven region will grow by another 161,000 people over the next two decades, requiring 117,000 additional homes and creating almost 102,000 new jobs by 2046.
The plan identifies the Southern Highlands as one of the region's key urban fringe growth areas, stating:
"Growth across the urban fringe will be concentrated in existing centres such as Nowra, Kiama and the Southern Highlands centres cluster, with this approach reflected in increased Low and Mid-Rise housing."
The draft also elevates Moss Vale's status within the region.
Moss Vale is identified as an "emerging major centre" alongside Shellharbour and Nowra. The plan says these centres serve a wide catchment, accommodate around 20,000 jobs and provide significant commercial, civic, cultural and transport infrastructure, with some also containing major health and education facilities.
Bowral, meanwhile, is classified as an activity centre. According to the plan, activity centres typically support between 5,000 and 10,000 jobs while providing a range of social, cultural, civic and transport infrastructure that services local residents and workers.
The document also points to a significant shift in the type of housing the Government wants to see in the Southern Highlands.
It states that while Wollongong City Centre is already experiencing more high-rise development, "Nowra Bomaderry and the Southern Highlands can also be a focus for more mid- and high-rise housing."
The emphasis throughout the document is on accommodating future growth within existing towns.
It says Wingecarribee Shire Council is currently reviewing its Local Housing Strategy and says
"Wingecarribee Shire Council is reviewing its local housing strategy. Any new growth needs to be focused on maximising the efficiency of infrastructure in existing urban settlements rather than new greenfield locations. Ongoing work will pinpoint the relevant supply of diverse housing in existing urban areas and centres in this part of the region."
However, the draft plan also makes it clear that greenfield development will continue to play a role in meeting future housing demand.
"Not all new housing can be provided in existing areas with emerging growth areas in the West Kiama urban release area and South Bowral now in the planning pipeline."
The draft plan also reinforces the growing strategic importance of the Southern Highlands, highlighting its agricultural industries, visitor economy and increasingly important links with south west Sydney and the Illawarra.
It says the Highlands will continue to be a desirable place to live, work and visit while playing a larger role in one of NSW's fastest-growing regions.
The draft Illawarra Shoalhaven Plan is now on public exhibition before a final version is adopted.
The plan is available at the link below, where submissions can be made.
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Read More: Southern Highlands, Bowral, Moss Vale