Vic Lib leader's planning moves audited

All the zoning decisions of former Victorian planning minister Matthew Guy will be audited after a report criticised his handling of the Fishermans Bend precinct.

The decision to rezone 250 hectares of inner urban industrial land as "capital city zone" without the necessary strategic planning was described as "unprecedented in the developed world".

The report also said the previous government did not prepare adequate transport, infrastructure and education links for the South Melbourne development area.

"I have asked my department to co-ordinate a whole of government effort to conduct an audit of all land rezoning decisions taken by the previous government," Treasurer Tim Pallas told Question Time on Tuesday.

"We need to know how much the leader of the opposition's cowboy approach to rezoning is eventually going to cost the Victorian taxpayer."

The government report found development applications flooded in after Mr Guy zoned it for development, even though transport and education needs had not been considered.

But Mr Guy, now Victoria's opposition leader, says the report is a political stitch up from a committee stacked with former Labor candidates.

"If Fishermans Bend is so bad, why has Labor expanded it? Why has the Labor government approved more permits than I approved?" Mr Guy asked reporters.

He said the government spent several million dollars buying space for a school site in Fishermans Bend.

The Fishermans Bend train station planned for the area had been scrapped by Labor, in favour of the Melbourne Metro rail project, he said.