People are constrained in what they can do today, their neighbours have certain rights and entitlements that can't be trampled by the selfish actions of a one individual. Let's not pretend that this proposal will distinguish those rights entirely.
Indeed they are constrained but the news is full of the same selfish people who push the boundaries in the existing system and get away with it because enforcement seems to be a huge problem.
I don't disagree that infrastructure is a huge problem - without a managed development system you also cannot adequately plan for future infrastructure: the two go hand in hand.
But the bigger question for me is why, if we are zoning 5 years in advance in local development plans, there isn't a corresponding response from grid planning, water infrastructure etc to respond to how they are going to future infrastructure requirements in light of that decision.
Otherwise councils are really just sitting there are saying yes you can build on that land but in reality there is no possibility because of a lack of infrastructure which nobody is going to be accountable for.
There is a really good example of this in my locality where a dodgy PP given 20 years ago left the landowners (2 brothers) with planning but half the land wasn't serviced so in reality he could only build on half of it. 20 years later they decided to look for rezoning on the remainder of their land, with a suggestion a lot of their land could be gifted to the council to extend an already huge public park.
The far left literally lost their spleen and actually picketed the council offices locally several times at the outrage.
In practice the planners recommended rejection anyway on the grounds that they hadn't used half their already zoned land (they couldn't, as it wasn't serviced) so the whole thing came to nothing. Everybody lost, except for the local far left who had their day in the spotlight.
I did a year on contract working for the company who designs the grids, and used to regularly go for pints with one of the grid designers. Apparently in the process of planning they have to take everything into account, from elevation, ground type, to proximity to residences and things like intersections with roads etc, but apparently the problem is that once their plan goes to the councils, they make mincemeat of plans.
There are very nice political careers to be had via saying no to all change.