Regional
Development
Victoria

Annual Report

12-13

Front and back cover image shows the new $52.6 million Regional and Community Health Hub (REACH) at Deakin University’s Waurn Ponds campus in Geelong.

CONTENTS

Highlights 2012-13______2

Introduction______6

Chief Executive Foreword 6

Overview______8

Responsibilities8

Profile9

Regional Policy Advisory Committee11

Partners and Stakeholders12

Operation of the Regional Policy Advisory Committee14

Delivering the Regional Development Australia Initiative15

Working with Regional Cities Victoria16

Working with Rural Councils Victoria17

Implementing the Regional Growth Fund18

Regional Growth Fund: Delivering Major Infrastructure20

Regional Growth Fund: Energy for the Regions28

Regional Growth Fund: Supporting Local Initiatives29

Regional Growth Fund: Latrobe Valley Industry and Infrastructure Fund31

Regional Growth Fund: Other Key Initiatives33

Disaster Recovery Support34

Regional Economic Growth Project36

Geelong Advancement Fund37

Farmers’ Markets37

Thinking Regional and Rural Guidelines38

Hosting the Organisation of Economic Cooperation and Development38

2013 Regional Victoria Living Expo39

Good Move Regional Marketing Campaign40

Future Priorities 2013-1442

Finance ______44

RDV Grant Payments 45

Economic Infrastructure63

Output Targets and Performance69

Revenue and Expenses70

Financial Performance71

Compliance71

Legislation71

Contact Information______72

HIGHLIGHTS 2012-13

July 2012

  • Launched the Latrobe Valley Industry and Employment Roadmap.
  • Provided funding for three Flood Recovery Officers in the Hume region.
  • Released the Fire Recovery Housing Survey, identifying rehousing progress achieved since the 2009 bushfires.

August 2012

  • Hosted the Case for Growing Regions seminar on 30 August 2012 with the Organisation of Economic Cooperation and Development (OECD) and the Grattan Institute.
  • Coordinated the OECD field trip around the G21 region for its global comparative study of how regions are developing partnerships to enhance interactions between cities and rural areas.
  • Provided a $300,000 grant to initiate stage one of the Regional City Growth Strategy, a partnership between Regional Development Victoria (RDV) and Regional Cities Victoria to improve planning for future city growth.
  • Supported a $1.5 million water and infrastructure project for Olam Orchards with $467,528 from the Regional Growth Fund.
  • Supported the building of Bayer CropScience’s $14 million world-class Wheat and Oilseeds Breeding Station with $1.24 million in State support.
  • Supported the Northern Mallee Leadership Program with $400,000 from the Regional Community Leadership Program.
  • Approved funding for two Flood Recovery Officers for East Gippsland and Wellington Shire Councils.

September 2012

  • Announced the date for the 2013 Regional Victoria Living Expo at the Good Move campaign stand at the Royal Melbourne Show.
  • Workforce Development in the Grampians Region research study completed by the Grampians RDA in conjunction with the University of Ballarat.

October 2012

  • Provided $5 million towards the Flood Support Program to help five catchment management authorities with flood restoration projects.
  • Announced the successful developer of the $28 million Vibe Hotel and Conference Centre in Marysville.
  • Announced a $2 million contribution from the Regional Growth Fund for the Cattle Underpass Program.
  • Supported an $8.27 million access project for the Warrnambool Eastern Industrial Precinct with $3.6 million from the Regional Growth Fund.

November 2012

  • Requested expressions of interest from companies to deliver natural gas to priority towns using compressed natural gas (CNG) and liquefied natural gas (LNG) as part of the next phase of the $100 million Energy for the Regions program.
  • Officially opened the $5.57 million Ballarat Airport upgrade, a project supported by $3.43 million in State Government funding.

December 2012

  • Supported the $46.9 million redevelopment of central Wodonga with $3 million from the Regional Growth Fund.
  • Supported Wodonga Rendering‘s
    $4.12 million Tri-Generation Plant Project at the Wodonga Abattoirs with $1 million from the Regional Growth Fund.
  • Commenced the $2 million Flood Recovery Community Infrastructure Fund to support flood-affected communities in the Hume and Gippsland regions.
  • Gippsland RDA undertook the Young Dairy Development Leadership project that generated development workshops for young farmers.
  • Completed $52.6 million REACH centre on Deakin University’s Waurn Ponds campus in Geelong with $7 million provided by the Victorian Government.

January 2013

  • Shortlisted leading energy companies with the technical and financial capability to tender for the development and operation of a delivered natural gas capacity for regional Victoria utilising CNG or LNG alternative delivery solutions.

February 2013

  • Held a public event at Melbourne Museum to commemorate the fourth anniversary of Black Saturday.
  • Released the Bushfire Recovery Four Year Update report.
  • Supported Mars Australia’s $6.2 million utilities efficiency investment project with $1.5 million from the Regional Growth Fund to help deliver significant water and energy efficiencies at its Ballarat manufacturing facility.
  • Published Reinventing the Regions report in collaboration with the Committee for Economic Development of Australia.
  • Held the Regional Policy Advisory Committee’s (RPAC) Regional Leaders Workshop to identify long-term investment priorities for regional Victoria.

March 2013

  • Launched the $11 million Geelong Advancement Fund to drive jobs growth, increase skills and innovation, and deliver economic and community infrastructure in Geelong.

April 2013

  • Held the 2013 Regional Victoria Living Expo at the Melbourne Convention and Exhibition Centre from 19 to 21 April which attracted almost 9,500 visitors – a 15 per cent increase on the inaugural event in 2012.
  • Announced Avoca’s connection to natural gas as part of the Energy for the Regions program.
  • Launched the Regional Policy Advisory Committee’s Thinking Regional and Rural Guidelines across the Victorian Government.
  • Led the development of the Framework for Regional Economic Development, a key element of the work program of the Council of Australian Governments’ Standing Council on Regional Australia.

May 2013

  • Helped the local council, business and community in Bendigo benefit from the new $650 million Bendigo Hospital by providing $350,000 to ensure local jobs, investment and business growth opportunities.
  • Supported Rural Councils Victoria’s Rural Summit held from 2-3 May in Lakes Entrance.
  • Announced natural gas connection for Bannockburn as part of the Energy for the Regions program.
  • Construction began on Marysville’s $28 million Vibe Hotel and Conference Centre.
  • Supported Golden Plains Shire Council’s Infrastructure to Expand Intensive Agriculture for Food Security and Economic Development project, with $2.94 million from the Regional Growth Fund.
  • Approved the thousandth project funded under the Regional Growth Fund.

June 2013

  • Announced natural gas connection for Winchelsea and Wandong-Heathcote Junction as part of the Energy for the Regions program.

CHIEF executive foreword

Now in our tenth year, Regional Development Victoria’s operations in 2012-13 confirmed the agency’s capability as a pivotal access point into government for regional and rural Victorians.

We delivered more than $200 million in regional infrastructure commitments and approved more than 1,000 regional projects under the Victorian Government’s $1 billion Regional Growth Fund, making up $325 million invested into projects worth $1.3 billion in only two years.

Regional and rural Victoria plays a key role in Victoria’s future prosperity and growth. Our regions account for about a quarter of the state’s economic output and employment and its population is projected to grow by an extra 528,000 people – from 1.48 million to 2.01 million – by 2036.

Regional Cities Victoria recently updated its report by Essential Economics that showed that by supporting growth in the regions we can help reduce the estimated $95 billion in cumulative congestion costs associated with expanding Melbourne’s outer-metropolitan areas over the next 20 years. The report forecasts costs of $1 billion to support an additional 50,000 people in regional cities compared to more than $3 billion for an equivalent number in metropolitan Melbourne.

In 2012-13, RDV played a leading role in delivering key outcomes to help manage regional growth and boost regional economies. Our work ranged from facilitating large-scale infrastructure to small-scale projects that address specific business and community needs. All activities were underpinned by comprehensive strategic planning and policy development in partnership with key stakeholders, including local government, business and community organisations.

The agency helped develop and deliver important infrastructure in collaboration with industry and all tiers of government, as illustrated by programs like the Energy for the Regions rollout which enables Avoca, Huntly, Bannockburn, Winchelsea and Wandong-Heathcote Junction to experience the social and economic benefits of natural gas in their communities.

During the year, we facilitated projects in Victorian regional cities, such as helping fund a $46.9 million revitalisation of Wodonga’s CBD, and supported events designed to improve the future of small towns around Victoria, like Rural Councils Victoria’s Rural Summit held in May 2013 at Lakes Entrance.

The RDV team continued to help the recovery of fire and flood-affected regional communities by offering targeted support to re-establish important community infrastructure and flood recovery officers. We invested to ensure the conference and convention business once again supports the Marysville economy through important new facilities like the Marysville Hotel and Conference Centre.

RDV’s place-based interventions continued to provide ongoing benefits for regional and rural Victorians. For example, RDV provided essential development assistance through the initial implementation of the Latrobe Valley Infrastructure and Employment Roadmap – a bi-partisan arrangement with the Commonwealth Government that is now helping secure the economic future of the Latrobe Valley by encouraging business innovation and training, and facilitating jobs in emerging industries.

During the year, RDV hosted international experts in regional development – delegates from the Organisation of Economic Cooperation and Development – and supported their visit to the G21 region as part of the organisation’s worldwide tour of regional-urban planning partnerships.

We encouraged thought leadership on rural and regional matters through the Case for Growing Regions seminar, held in conjunction with the OECD and Grattan Institute, and the Thinking Regional and Rural Guidelines to support regional development thinking in government decision-making. We also supported the development of the Framework for Regional Economic Development – a key element of the work program of the Council of Australian Governments’ Standing Council on Regional Australia.

In April 2013, we encouraged more Melburnians to enjoy life in the country by making the 2013 Regional Victoria Living Expo even bigger and better than last year. The 2013 Expo attracted almost 9,500 visitors which represents a 15 per cent increase on the inaugural event in 2012. The 2013 Expo was supported by the Victorian Government’s successful Good Move marketing campaign that emphasises the benefits of ‘making the move’ to regional Victoria.

RDV is proud to have delivered sustained developmental support to Victoria’s regions throughout 2012-13. I am proud to lead such a talented and committed team, and look forward to continuing our good work in
2013-14.

Lachlan Bruce
Chief Executive,
Regional Development Victoria

Deputy Secretary,
Department of Planning and
Community Development

responsibilities

In accordance with the Regional Development Victoria Act 2002, Regional Development Victoria (RDV) works closely with various State Government agencies to facilitate economic, infrastructure and community development to improve the quality of life for regional Victorians.

RDV has primary responsibility for:

  • Developing integrated, regionally-focused policies and programs, including the implementation of the Regional Growth Fund – the Government’s initiative to support future priorities for the social and economic development of regional Victoria.
  • Creating vibrant and dynamic regional communities and economies through facilitating new jobs, investments, exports, infrastructure for strategic projects and competitive businesses.
  • Delivering programs and information to help grow a robust and sustainable economy and strengthen communities throughout regional Victoria.
  • Developing and implementing initiatives to promote the State, to attract business and increase the population of Victoria’s regions.

PROFILE

Regional Development Victoria (RDV) is the Victorian Government’s lead agency in developing regional and rural Victoria.

RDV’s role involves facilitating new investment, business growth and job creation, infrastructure development, instigating policy and planning initiatives, and co-ordinating the delivery of Government programs, services and resources in rural and regional Victoria.

This role includes implementing the Regional Growth Fund, facilitating consultation between the public and private sectors and communities about economic and community development in rural and regional Victoria, and promoting these areas.

It also includes advising the Minister for Regional and Rural Development and the Minister for Regional Cities on matters relating to development in regional and rural Victoria, and supporting communities affected by the 2009 fires through the Fire Recovery Unit.

For most of 2012-13, RDV was located within the Department of Planning and Community Development.

On 9 April 2013, the Premier of Victoria announced responsibility for RDV would shift to the Department of State Development, Business and Innovation (formerly the Department of Business and Innovation). This will be effective from 1 July 2013 although the transition commenced from the announcement date.

RDV staff work closely with organisations and businesses to help facilitate investment, jobs and exports. Staff are accessible at offices located in Ballarat, Bendigo, Geelong, Mildura, Shepparton, Traralgon, Wangaratta and Wodonga. RDV also has a presence in Horsham, Sale, Swan Hill and Warrnambool.

In 2012-13, RDV operated through the following groups:

Regional Programs and Recovery Group

The Regional Programs and Recovery Group is responsible for the delivery of a range of programs and activities including the local initiatives component of the Regional Growth Fund, the Regional Development Australia initiative in Victoria and bushfire and flood recovery programs. This includes the operations of the Fire Recovery Unit.

Fire Recovery Unit

The Fire Recovery Unit was established in July 2011 following the closure of the Victorian Bushfire Reconstruction and Recovery Authority. In 2012-13, the Fire Recovery Unit provided continuity of Government support and oversight for the reconstruction and recovery effort after the 2009 bushfires by facilitating strong relationships and co-ordinated responses to ongoing community needs.

INFRASTRUCTURE GROUP

The Infrastructure Group identifies, facilitates and delivers infrastructure projects which contribute to the enhanced productivity, liveability and sustainability of regional and rural Victoria, including those initiated through the Regional Growth Fund.

POLICY AND PLANNING GROUP

The Policy and Planning Group provides policy and strategy leadership to RDV, co-ordinating with other departments to develop ideas, knowledge, policies and programs that support the Victorian Government’s commitment to regional and rural Victoria. The group is also responsible for overseeing the implementation of the Regional Growth Fund, delivering research and analysis to support regional policy, and managing strategic relationships across and outside the Victorian Government.

MARKETING AND PROMOTION GROUP

The Marketing and Promotion Group delivers a range of activities to promote the business and lifestyle qualities of life in regional and rural Victoria. In particular, the group is responsible for implementing the Regional Victoria Living Expo and the Good Move advertising campaign.

REGIONAL POLICY ADVISORY COMMITTEE

The Regional Policy Advisory Committee (RPAC) was established under legislation to provide independent advice to the Minister for Regional and Rural Development and Minister for Regional Cities on priorities in regional Victoria, and to monitor and advise on the impacts of legislation and policy decisions on regional and rural Victoria.

RPAC has a broad focus to provide external advice to government on the regional impacts of policy and legislation, long-term priorities to support regional growth and prosperity plus any other regional policy matters referred to the Committee by government.

RPAC includes three independent members and the chairs of the five non-metropolitan Regional Development Australia (RDA) Committees. As at 30 June 2013, the RPAC members were:

1. Ian McClelland OAM – Chairperson

Mr McClelland is the founder and Chairperson of the Birchip Cropping Group, a successful farm support and agricultural research organisation in Victoria’s north-west. He was awarded the Medal of the Order of Australia for service to agriculture.

2. Bruce Anson

Mr Anson is Chairperson of the Barwon South West RDA Committee and Chief Executive Officer of Warrnambool City Council.

3. Stuart Benjamin

Mr Benjamin is Chairperson of the Grampians RDA Committee, a Director of Elmstone Property Group and Chair of Ballarat Regional Tourism.

4. Mark Byatt

Mr Byatt is Chairperson of the Hume RDA Committee and has been Mayor of Wodonga since 2008.

5. Jenny Dawson

Ms Dawson is the Chairperson of the LoddonMallee RDA Committee, and a Non-Executive Director of Bendigo and Adelaide Bank.

6. Richard Elkington

Mr Elkington is the Chairperson of the Gippsland RDA Committee and a Director of East Gippsland Water.

7. Ross Lake OAM

Mr Lake is the General Manager of TASCO Inland, a major fuel and oil distributor based in Mildura. He received the Medal of the Order of Australia for service to arts administration, to social welfare, and to the community.

8. Val Lang AM

Ms Lang is Victorian representative for Australian Women in Agriculture. She was made a Member of the Order of Australia for service to women living in rural and regional communities.

PARTNERS AND STAKEHOLDERS

Regional Development Australia

Regional Development Australia (RDA) is a partnership between the Commonwealth, State and Territory and local governments to support the growth and development of Australia’s regions. RDV is working closely with RDA to deliver important projects for regional Victorians through the implementation of the Regional Strategic Plans.

The five non-metropolitan RDA Committees work in partnership with regional leaders to set the strategic direction and priorities for their respective regions. RDA Committees also provide local recommendations in regard to the Putting Locals First Program component of the Regional Growth Fund, and provide RDV with strategic advice on business and development opportunities. RDV also administers the Operational Funding Contract in partnership with the Commonwealth Government.