The High Court has found a government rental scheme affecting remote communities in the Northern Territory was unlawful.
The 'Remote Rental Framework', implemented by the Territory government in February 2023, applied to some 72 communities across the NT, as well as certain properties in Tennant Creek.
Ostensibly a "simplified" system, the framework saw rents jump for 68 per cent of First Nations tenants.
The case was brought by four First Nations renters from remote communities across the Top End: Asher Badari, Ricane Galaminda and Lofty Nadjamerrek from Gunbalanya, and Laramba woman Carmelena Tilmouth.
In a decision handed down on Wednesday, the court found the government had not afforded the renters procedural fairness with the framework, thereby annulling it.
Aboriginal Housing NT (AHNT), a critic of the framework, welcomed Wednesday's decision.
"The Remote Rent Framework further disadvantaged remote Aboriginal tenants and households who are already experiencing some of the highest costs of living nationally," said Leeanne Caton, the AHNT CEO.
"Aboriginal tenants and households in remote communities are already being forced to pay inconceivably high prices for basic goods, essential groceries, fuel and standard day to day items.
"The [framework] exacerbated the high numbers of rough sleepers and people experiencing homelessness in Darwin, Alice Springs, Katherine and Tennant Creek, as many people in remote communities who are unable to afford the increased rent are effectively forced into seeking alternative accommodation – often in urban centres."
In a statement, the Minister for Housing, Local Government and Community Development Steve Edgington said the government "acknowledged" Wednesday's High Court decision.
“All public housing tenants, remote and urban, are still required to pay rent," he said.
“The Northern Territory Government is considering options to ensure a valid rental framework is in place for remote tenants.”
A 'simplified' framework
The framework implemented a 'dwelling based' rent model: $70 per bedroom per week, up to a maximum of $280.
This made remote public housing tenants in the NT the only ones in the country subjected to such a system.
An information sheet from the government, still available on its website, said the new system was "easier for tenants to understand and easier to administer."
This replaced the existing, "difficult to understand" income-based model.
In developing the scheme, one of the principles used in assessing options was "increased rent revenue".
In a media release, Australian Lawyers for Remote Aboriginal Rights (ALRAR) said no renter had been consulted before the changes, and that Wednesday's decision meant the NT government had been collecting $9.2 million in additional rent unlawfully.
“Renters of Gunbalanya and Laramba led this fight for the benefit of all remote tenants in the NT, and today their persistence has paid off," said Daniel Kelly, ALRAR lead solicitor.
"This is a much-deserved victory for the many families who’ve been battling to keep their heads above water since these unwarranted and destabilising rent hikes were implemented.
"Now is the time for the NT Government to start the conversations with remote Aboriginal public housing tenants about what rent method works for each of them.
“I look forward to the government working with communities to develop a new rent model that keeps a roof over everyone’s head and reduces financial stress for thousands of NT families."
The Northern Territory has the worst rates of homelessness in the country, according to the government's Department of Children and Families.
Over 13,000 people experience homelessness on any given night, with First Nations people making up nearly 90 per cent of this cohort.
The Closing the Gap data also reveal the Territory in last place on housing measures: the latest figures from the Productivity Commission reveal only 43.4 per cent of the NT's First Nations population are living in 'appropriately sized' dwellings.
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