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UNCLASSIFIED

UNCLASSIFIED CONFIDENTIAL

CONFIDENTIAL

Municipal Association of

Victoria

Rural and Regional Planning

Conference

Update on Review

25 June 2015

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2

Update on the Review

Big drivers of growth

1

2

Next steps 3

OVERVIEW

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The Review was announced by the Minister for Regional Development, the

Hon Jaala Pulford, on 12 February 2015.

The purpose of the Review is to identify:

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SECTION 1 UPDATE ON THE REVIEW

best practice, evidence-

based policy directions to

better position regional

Victoria for future growth and

job creation

the approach to regional

service delivery best able to

deliver regional growth and

job creation in regional

Victoria

THE REVIEW TASK

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The review has been overseen by an External Advisory Board made up of

representatives with a broad range of experience in regional and rural

development:

• The Hon John Brumby, Chair

• Dr Bronte Adams, Director, Dandolo Partners

• Ms Jo Bourke, Executive Director, Wimmera Development Association

• Mr Ross Brown, Executive Director, Brown Brothers

• Prof Jane den Hollander, Vice-Chancellor, Deakin University

• Mr Richard Elkington, Chair, Gippsland Regional Development Committee

• Mr David McKenzie, Chair, Committee for Greater Shepparton

• Mr Craig Niemann, CEO, City of Greater Bendigo

EXTERNAL ADVISORY BOARD

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Public

Submissions

• 95 submissions were received from external organisations and

individuals

Targeted

stakeholder

engagement

• Mr Ben Hubbard of Creswell Advisory undertook an

independent program of targeted one-on-one interviews with

74 regional leaders across industry, local and state

government and the community.

Advisory

Board

meetings

• 5 meetings over the course of the Review to consider the

range of inputs and provide expert opinions on directions and

recommendations

• presentations from 15 groups, including peak industry and

local government organisations, education providers and

businesses

Internal VPS

consultation

• 49 interviews have been conducted with senior VPS

executives regarding opportunities, challenges and ideas for

reform

• 11 staff workshops in Melbourne and regional Victoria,

attended by more than 380 staff.

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CONSULTATION AND MEETINGS

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• Individuals

• Councils

• Businesses

• Regional

planning groups

• Industry

associations

• Special interest

groups

• Public sector

bodies

Submissions are available at: http://economicdevelopment.vic.gov.au/news-and-media-releases/regional-review/Responses-

to-the-Regional-Economic-Development-and-Services-Review-now-available


NEARLY 100 PUBLIC SUBMISSIONS WERE RECEIVED

http://economicdevelopment.vic.gov.au/news-and-media-releases/regional-review/Responses-to-the-Regional-Economic-Development-and-Services-Review-now-available





























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Key areas of focus

• Approaches to regional planning

• Funding challenges

• RDV’s role to facilitate and broker relationships


Presentations to the Board x4 Submissions x30

LOCAL GOVERNMENT HAS BEEN HEAVILY ENGAGED

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•Asia, Asia, Asia (particularly China)

•Connectivity

- Transport

- Broadband/e-commerce

•Demographics

- Population growth

- Ageing

SECTION 2 BIG DRIVERS OF GROWTH

BIG DRIVERS OF GROWTH

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0

0.5

1

1.5

2

2.5

3

3.5

2009 2030

Billi

on

s o

f m

idd

le c

las

s p

eo

ple

THE RISE OF ASIA WILL BE INCREASINGLY IMPORTANT TO

REGIONAL ECONOMIC PERFORMANCE

- Asia’s growing population

and rising incomes

driving demand for food

- Diets expanding to

include dairy, meat and

other high value goods

(e.g. wine, processed

foods)

- Victoria, a competitive

supplier of ‘premium food

and beverages’ to the

enormous new

consuming class on our

doorstep

- Chinese FDI is also

increasing

9

0.5bn

1.3bn 1.7bn

3.2bn

Asia

Rest of

the world

The rise of Asia 2009 and 2030

Source: OECD, The emerging middle class in developing countries, 2010


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VICTORIA’S REGIONS ARE BETTER CONNECTED THAN

EVER

10

Proportion of premises with unmet demand for broadband, 2015

Source: Victorian Government modelling undertaken by Deloitte Access Economics.

Note: Broadband is classified as a service with a speed of 8MBPS - 50MBPS in this

figure.

0% 10% 20% 30% 40%

Metropolitan

Barwon South West

Gippsland

Grampians

Hume

Loddon Mallee

142,989

Total regional Victoria 200,293

The opportunities are

huge:

- e-commerce

- telecommuting

- reach and

efficiency of

service delivery

Innovation in communications technologies is transforming business and trade

There is also a

revolution in transport

connectivity

- Significant investments

in road and rail e.g. RRL

- reduces transport costs

for businesses

Online

sales in

China

worth

more

than

AUD

$500

billion

There are 33,000 people commuting to Melbourne


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DEMOGRAPHICS WILL ALSO SHAPE THE FUTURE OF

REGIONAL VICTORIA

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Source: DTPLI, Victoria in Future 2014

• Victoria’s

population is

projected to rise

to 7.7 million in

2031

• Population

ageing presents

both

opportunities

and challenges


0%

5%

10%

15%

20%

25%

Regio

na

l

Me

tropo

lita

n

Regio

na

l

Me

tropo

lita

n

Regio

na

l

Me

tropo

lita

n

2011 2021 2031

Proportion of people aged 65 and over in regional

Victoria and metropolitan Melbourne

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•Building on key strengths

•Transport, infrastructure and land use planning

• Industry and innovation policy

•Trade and investment facilitation

•Education and skills

•A stronger RDV

POSITIONING FOR GROWTH


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REGIONAL VICTORIA CAN BUILD ON ITS KEY STRENGTHS

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Contribution to the State

Food and

fibre

193,450 jobs state-wide

Output value of

agriculture, fisheries and

forestry in 2013 =

$12.2bn

Visitor

Economy

109,000 jobs in regional

and rural Victoria

generated $10.9 billion

to regional Victoria in

2011-12

Renewable

energy

13% of Victoria’s

electricity was generated

from renewable

sources in 2014


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NEXT STEPS

The Review’s recommended reforms span

• Policy

• Governance

• Service delivery

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Finalisation of report

Will be provided to government very soon

Government response

Likely later in the year

SECTION 3 NEXT STEPS

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THANK YOU

QUESTIONS

SECTION 3 NEXT STEPS

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