Stronger BUSINESS Stronger VICTORIA 2018 State Election Regional Priorities
VICTORIAN ELECTION 2018: THE VICTORIAN CHAMBER S TOP 8 REGIONAL PRIORITIES 1 2 3 4 5 6 7 8 Commit to deliver key road and rail transport infrastructure projects to improve travel for regional business and all Victorians Increase the payroll tax threshold to $850,000 and improve the operating environment for regional business Increase regional apprenticeships and traineeships through a public campaign to promote their value Strengthen Victoria s Industry Participation Policy to maximise regional content in Victorian projects and expenditure Grow regional exports and supply chains Lift the moratorium on onshore conventional gas exploration to help reduce regional energy costs Provide $200 million to advance Victoria s high value, competitive industries Provide a safe and secure regional business environment 2 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
STRONGER BUSINESS, STRONGER VICTORIA REGIONAL PRIORITIES The Victorian Chamber of Commerce and Industry s 2018 State Election platform to grow regional business and jobs. Contributing $72 billion to the Victorian economy each year and employing more than 600,000 people, Victoria s regions are vital to the growth and prosperity of the State. On behalf of Victorian regional businesses, the Victorian Chamber calls on all political parties to commit to our election priorities. Our priorities have been developed by regional business for regional business. They have been shaped and informed by member input, including extensive consultation across the State as part of the Victorian Chamber s 2017 Victoria Summit. If adopted, they will build a stronger Victorian economy with higher living standards for all. Victoria s 590,000 businesses employ nearly 2.5 million people and contribute a quarter of Australia s economic output. Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 3
COMMIT TO DELIVER KEY ROAD AND RAIL TRANSPORT INFRASTRUCTURE PROJECTS TO IMPROVE TRAVEL FOR REGIONAL BUSINESS AND ALL VICTORIANS What the next State Government must do Commit to a scoping study for Ballarat and Geelong fast rail links with Melbourne Finalise a site for Melbourne s third airport Complete the North-East Link to support the transport of regional products around the state and to the Port of Melbourne Fund stage 2 of the Shipwreck Coast Masterplan Upgrade strategically significant roads, intersections and bridges used by important regional industries like agribusiness to get their goods to market. The objective must be to improve efficiency and connectivity to port, arterial road and national highway networks. Benefits will include enhanced road safety, less product damage and reduced travel times Develop a comprehensive population plan that ensures Victoria s regions share the prosperity associated with the growth of the State s population Make strategic investments in Victoria s rural water infrastructure such as those being undertaken as part of the Macalister Irrigation District modernisation program. Explore the feasibility of reversing the flow of the Sugarloaf pipeline to provide water security to towns and communities in both directions Fast-track the progression of the Avalon Airport Master Plan which proposes upgrading Avalon s domestic terminal to be used by international flights, constructing new terminals and extending the runway Commit to and implement the individual regional infrastructure and project priorities identified on page 13 4 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
INCREASE THE PAYROLL TAX THRESHOLD TO $850,000 AND IMPROVE THE OPERATING ENVIRONMENT FOR REGIONAL BUSINESS What the next State Government must do Increase the payroll tax threshold to $850,000 from 1 July 2019 Retain the lower payroll tax rate of 2.425 per cent available to eligible regional employers from 1 July 2018 Reintroduce payroll tax exemptions for eligible new apprentices and trainees, as currently exists in NSW, QLD, WA 1 and TAS Provide a 25 per cent discount on stamp duty applying to commercial and industrial properties located in regional Victoria. Saving regional businesses around $20 million per annum, this will encourage businesses to set up or relocate their businesses in regional areas Establish a series of Enterprise Zone s across regional and metro Victoria, offering tax concessions, infrastructure incentives and reduced regulations to attract investment and grow jobs Repeal the Grand Final eve public holiday and the Easter Sunday public holiday Set an ambitious target for red tape reduction and publicly report on progress. Undertake an independent review of the licences, registrations, certifications, permits or approvals impacting on regional business. Significantly reduce their number, scope and complexity 1 From 1 December 2017 the exemption for trainees will be restricted to new employees with annual wages of $100,000 or less. Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 5
INCREASE REGIONAL APPRENTICESHIPS AND TRAINEESHIPS THROUGH A PUBLIC CAMPAIGN TO PROMOTE THEIR VALUE What the next State Government must do Fund a dedicated communication campaign to attract young talent and improve the image of apprenticeships in priority regional industries including agribusiness, tourism and hospitality, education and health services Continue to provide funding to support labour force adjustment and transition strategies in regions experiencing economic decline. The objective must be to link latent workforce capacity in declining regional towns with employment opportunities in neighbouring regions characterised by emerging and/or high growth industries Encourage regional TAFEs to work more closely with major regional employers and clusters of smaller enterprises to deliver training that is tailored to the needs and characteristics of local businesses (for example, the energy, oil and gas sector in Gippsland, the dairy industry in Colac and the fruit industry in Wangaratta) Improve student accommodation across the State, facilitating affordable close to campus and on campus options Improve financial support for students moving to regional universities. This is needed to help address the fact that less than 20 per cent of those aged 25 to 34 in regional Australia reach degree level, compared to 42 per cent in metropolitan areas. Because capital cities monopolise overseas students (accounting for 97.6 per cent in Victoria), stronger marketing is also needed to attract more international students to the regions Create a centralised online portal to link higher education students to regional employers with information on available internships, post study placements, research and training projects Address barriers to apprenticeship completion and provide more support to regional apprentices that drop out of training to help them either complete their training with another employer or transition into new training Continue to invest in improving mobile coverage and connectivity for commuters along major Victorian railway corridors including the Geelong, Ballarat, Bendigo, Traralgon and Seymour rail lines which see more than 15.5 million passenger trips annually 6 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
What the next State Government must do 1 STRENGTHEN VICTORIA S INDUSTRY PARTICIPATION POLICY TO MAXIMISE REGIONAL CONTENT IN VICTORIAN PROJECTS AND EXPENDITURE Amend current Victorian Industry Participation Policy (VIPP) to require government departments and agencies to consider competitive local suppliers, including SMEs, when awarding contracts valued at $500,000 or more in regional Victoria (compared to the current threshold of $1 million or more) Require all Government expenditure to prioritise local content and introduce a stronger requirement for government departments and agencies to award government contracts to regional based companies, including SMEs, when tendering Monitor progress in maximising local content in Victorian projects by requiring an annual report to be tabled in Parliament detailing how departments and agencies targeted Victorian businesses and what proportion of spending has been fulfilled in Victoria Require major project contractors to support measures and demonstrate how they will prioritise Victorian suppliers Provide $5 million to deliver regional small business training on how to access government procurement, including how to prequalify and where to find out about tenders Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 7
GROW REGIONAL EXPORTS AND SUPPLY CHAINS What the next State Government must do Provide $25 million to deliver an Export Ready program for all businesses participating in a government funded trade mission Expand the program of targeted inbound and outbound trade missions with key markets and strengthen pre- and postmission support for participants to build longer term, trusted business relationships Provide targeted support to help small and medium sized regional enterprises leverage the benefits of existing and emerging clusters. This could include the development of specific local industry participation plans, improved access to finance and business training support Provide $25 million to pilot an industry led Supply Chain Development program that encourages large companies to work with small and medium sized regional businesses within their supply chain, assisting them to build new networks and business opportunities, particularly in export markets Implement an online learning program to support regional tourism and events businesses to grow exports to Asian markets Allocate $5 million to create a Regional Small Business: Global Opportunities promotional and information campaign to address the lack of awareness among regional small businesses of export opportunities and direct them to programs and support specifically targeted at first time exporters Grow the Victorian Jiangsu Business Program (VJBP) to help regional businesses develop new links, capabilities and mutually productive trade and investment opportunities with their counterparts in China 8 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
LIFT THE MORATORIUM ON ONSHORE CONVENTIONAL GAS EXPLORATION TO HELP REDUCE REGIONAL ENERGY COSTS What the next State Government must do Lift the moratorium on onshore conventional gas exploration Work with the Federal Government to ensure Australian gas fields can provide enough affordable gas for domestic industry and households Establish a $20 million Energy Market Transition Fund to help medium sized businesses lower energy bills and improve productivity (e.g. energy audits, equipment upgrades, process improvements) Work with industry associations to create a single source of advice, or gateway, for business to access government energy assistance which is currently spread across multiple departments and agencies Work with the Commonwealth to implement a national emissions reduction mechanism to encourage investment in new generation and reduce energy prices Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 9
1 PROVIDE $200 MILLION TO ADVANCE VICTORIA S HIGH VALUE, COMPETITIVE INDUSTRIES What the next State Government must do Establish a series of Global Best Practice seminars to share and build best practice innovation, research, processes and practices within high growth sectors. Delivered by the private sector, the seminars will highlight the experiences of businesses who have overcome barriers to growth and are excelling domestically and internationally Boost the commercialisation of research in high growth sectors by providing grants of up to $50,000 per eligible business to partner with Victorian universities to undertake a project to innovate, diversify, improve productivity or take new products to market Strengthen Invest Victoria s focus on and engagement with regional Victoria Strengthen investment in existing food clusters, and new ones, including the Geelong Seafood Cluster, Plenty Food Group, (formerly North East Food Cluster) and East Gippsland Food Cluster Fund a $2 million pilot program to boost customer service training in Victoria s regional tourism and hospitality industry. This funding would complement professional development programs like ATAP and help regional tourism and venue operators meet increased demand and strengthen their customer experience, language and cultural awareness skills Double the size of the Regional Events Fund to better support year-around visitation to regional Victoria to deliver increased visitor nights and yield, with a particular focus on achieving growth in off-peak periods 10 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
PROVIDE A SAFE AND SECURE REGIONAL BUSINESS ENVIRONMENT What the next State Government must do Continue the current program of police recruitment and training to ensure a visible police presence in business areas Fund Victoria Police to increase the focus on crime prevention and community policing through business partnerships, helping police to better understand business concerns, target crime prevention activities and reduce the likelihood of offending Increase public transport safety by extending Victoria Police Protective Services Officers operating times in high risk areas Continue to install and monitor CCTV cameras in high risk locations Provide training and support for businesses to help them manage and improve staff and customer safety from crime on their business premises Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 11
PRIORITIES FOR VICTORIA S REGIONS Stronger business, stronger Victoria calls on all political parties to support a range of individual regional priorities. These include: 12 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
MILDURA REGION Commence the second stage of the Murray Basin Rail Project to improve Victoria s freight network and provide the region with more efficient rail freight services and activities Return passenger rail services to Mildura Fund Stage 2 of the Mildura Riverfront Precinct Redevelopment Commence the Loddon South West Pipeline and Mitiamo Pipeline to enable the diversification of agricultural enterprise Progress the Redevelopment of Benetook Avenue as a truck bypass route BALLARAT REGION Fast-track the Ballarat Station Precinct redevelopment Complete the Ballarat Link Road (Stage 1B Construction of the Rail Overpass of the Ballarat-Ararat railway and a new roundtable at the intersection of Ballarat Link Road/re-aligned Blind Creek Road) Progress key priorities under the Central Highlands Regional Partnership: Complete Stage 2 of the Ballarat Line Upgrade Fund the Connecting Regional Communities Program to support broadband trials, digital agricultural applications and minimise blackspots BENDIGO REGION Fund Stage three of the Bendigo Airport redevelopment to deliver a contemporary business park to allow for existing businesses to expand and new businesses to be established. This will capitalise on the stage one and two investments in a new runway and associated ground infrastructure Progress the development of the Marong Business Park Progress the planning for the Greater Bendigo Public Space Project to support a more liveable environment for the community, preserve space for natural areas and wildlife, and promote tourism HUME REGION (WODONGA AND SHEPPARTON) Fund the full 36km four lane Shepparton Bypass to provide a fully duplicated highway from Shepparton to Melbourne Progress a rail freight link to the Goulburn Valley Freight and Logistics Centre (GV Link) in Shepparton Commence the Wodonga CBD Revitalisation Project Progress the Rutherglen Bypass on the Murray Valley Highway Improve water and telecommunications (ICT) infrastructure GREAT SOUTH COAST REGION Support the implementation of the Shipwreck Coast Masterplan Commence the Colac Bypass and the building of additional passing lanes between Warrnambool and Colac to enhance the efficiency of the Princess Highway which connects Warrnambool to Geelong and Melbourne Commence the Warrnambool Line Upgrade and the Surf Coast Rail Project Progress the funding of the development of the 12 Apostles walking and cycling trail, and support new accommodation investment to compliment agritourism opportunities in the region Commence Stage 2 redevelopment of the Warrnambool Base Hospital GIPPSLAND REGION Finalise a site for a new airport in Melbourne s southeast, maximising opportunities for private sector investment. Leverage the experience of the Brisbane West Wellcamp Airport in facilitating agribusiness exports Complete the duplication of the Princes Highway between Traralgon and Sale and fund the Traralgon Bypass Progress to Stage 2 of the Macalister Irrigation District modernisation program Complete commuter amenity upgrades at Traralgon, Morwell, Moe and Trafalgar stations under the Gippsland Rail Corridor Station Upgrade Program GEELONG REGION Upgrade freight connections from the Geelong Ring Road to the Port of Geelong Fast-track the progression of the Avalon Airport Master Plan which proposes upgrading Avalon s domestic terminal to be used by international flights, constructing new terminals and extending the runway Progress the development of the Moolap site and the planning for the Point Henry redevelopment Ensure Stage 2 of the development of the Geelong Performing Arts Centre is completed on time and on budget Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 13
WHY OUR REGIONS ARE IMPORTANT Key Industries for Regional Employment 2017 Agriculture 73,300 employees Contribution to Gross State Product $74B REGIONAL VICTORIA $327B METROPOLITAN VICTORIA Source: Victorian Regional Information Portal, 2017 Manufacturing 61,300 employees Construction 59,400 employees Retail trade 76,500 employees Accommodation and food services 54,600 employees Education and training 56,500 employees Health care and social assistance 98,600 employees Source: Labour Market Information Portal Employment in regional Victoria 16,000 15,301 14,000 12,780 12,000 11,106 10,000 8,000 6,000 4,000 6,339 6,051 8,355 3,531 1,332 284 8,091 3,892 1,372 284 4,536 9,640 7,826 3,762 1,199 260 5,070 7,129 3,430 2,000 2,131 379 1,229 451 257 270 2,022 1,539 1,644 307 0 Latrobe - Gippsland Geelong Hume North West Shepparton Warrnambool and South West Ballarat Bendigo Number of non-employing businesses 1-4 employees 5-19 employees 20 or more employees Source: ABS Data by Region 14 Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES
The adoption of the Victorian Chamber s 2018 State election priorities will create stronger regional businesses and a stronger Victoria: Rising output and employment Increased business competitiveness Stronger vocational and training outcomes with more apprentices and trainees TBC More local content in Victorian projects and expenditure Lower energy costs More prosperous regions A growing share of trade and investment Further growth as a major tourist destination and an even stronger reputation as a location of choice for international students World leading high value adding industries Increased liveability, not only through better infrastructure and rising incomes associated with business and jobs growth, but a safer and more secure environment Stronger BUSINESS Stronger VICTORIA 2018 State Election Regional Priorities Stronger BUSINESS Stronger VICTORIA 2018 State Regional Election PRIORITIES 15
victorianchamber.com.au facebook.com/victorianchamber twitter.com/vicchamber linkedin.com/company/victorianchamber Authorised by Mark Stone AM, Chief Executive, Victorian Chamber of Commerce and Industry, 150 Collins Street, Melbourne, Victoria 3000. Proudly printed in Victoria by Eastern Press, 37-39 Glenvale Crescent, Mulgrave, Victoria 3170. Victorian Chamber of Commerce and Industry 2018 DISCLAIMER: This document was prepared by the Victorian Chamber of Commerce and Industry. From time to time, and on the basis of new information and research, the Victorian Chamber will update its policies and recommendations. While the Victorian Chamber has endeavored to provide accurate, reliable research and analysis, it will not be held liable for any claim by any party utilising this information.