A DECISION to allow on-site worker accommodation at a Mildura South table grape property has been hailed as an "enormous" win for growers.

The Victorian Civil & Administrative Tribunal (VCAT) on Thursday ruled the property's seasonal worker accommodation was ancillary to use of the land for horticulture, provided it remained contained to an existing complex of five detached dwellings.

It was also to house a maximum of 10 workers, be used only during harvest, only by workers and provided at no cost to the workers.

Grower Joe Lando said the issue arose when Mildura Council told him anyone living in the accommodation had to be removed, which made it hard to attract workers for this year's harvest.

Mr Lando acknowledged he should have sought approval for upgrades to the living quarters, which had been on the property for 50 years.

But he said despite efforts to follow the correct processes, he was told he had six months to remove the accommodation.

VCAT heard the matter last month after the council applied for a declaration hearing, used for matters of interpretation.

Planning consultant Roy Costa, who represented Mr Lando, said the decision would benefit an industry that generated hundreds of millions of dollars in the district.

"The decision is enormous because now Joe and other growers can actually provide accommodation on the site of their vineyard where they work," Mr Costa said.

"Over harvest periods, where growers have always had trouble attracting workers to the district and finding them accommodation, they can now provide it on-site.

"There are certain requirements you need to meet, but as long as you meet those requirements, and you need to get the right advice, we believe that this can now occur on a lot of the table grape properties in the district."

Mr Lando said he was pleased with the outcome, noting the difficulties of finding living arrangements in town for workers who were only in the district a short time.

He said the VCAT fight had cost him "a lot of money" and expressed disappointment with the council, which he said should do more to work with growers.

"They should be able to help us, not put obstacles in our way," he said.

"Horticulture is a big thing in Mildura and Sunraysia was brought up with pickers' huts and accommodation like that -- the old style -- but now they just make it very hard."

Mr Lando also questioned how much ratepayers' money was put towards reviewing the council's decision, estimating it to be in the tens of thousands of dollars.

A statement from Mildura Council did not respond to questions about whether the VCAT decision set a precedent, whether it would change the way the council viewed similar applications in the future or the cost incurred by council.

The statement said the council's position was not a win-or-lose approach, stating it went to VCAT to seek greater guidance on a complicated matter.

The council needed to provide the opposing argument to "flesh out the issues", the statement said.

The council position was for "suitable" on-farm accommodation that supported the horticulture industry, but did so in a framework that delivered appropriate safety and amenity outcomes.

The VCAT ruling "placed little weight on council's submission on policy or planning 'merits' issues".

It also found a council argument that the "logical extension" of making seasonal worker accommodation ancillary would include factory workers during seasonal peaks or lawyers in offices during heavy case loads as "somewhat 'clutching at straws'".

"I do not think that the council has made out its case for a declaration that the workers accommodation here is a separate and distinct use that is no...