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Economic
Development Strategy
2018-2021
Baw Baw Shire Council Draft Economic Development Strategy 1
2
Baw Baw Shire Council
Economic Development Strategy
Introduction
Baw Baw Shire is one of Victoria’s manufacturing history with an array calendar of year-round events
fastest growing regions, boasting of unique attractions, including fine draws an ever-increasing number
A-grade attractions and natural wineries, nature-tourism offerings of visitors, businesses and
wonders as well as easy access to and picture-postcard villages that residents.
Melbourne by road and rail. harken back to a simpler, quieter
Baw Baw Shire welcomes
time.
Though recognised as one of everyone from near and far to
the six local government entities The Shire’s unique blend of food find out why this hidden gem now
comprising the Gippsland region, and wine, hiking and biking trails, boasts a range of opportunities for
Baw Baw Shire combines this mountain scenery, wonderful growth and prosperity.
area’s rich agricultural and schools, community spirit and full
Shire at a glance:
Population 2016 48,479
Projected population 2031 71,000
Size 4,031 km2
Length of roads 2,473 km of roads
Gross Domestic Product $2.3B 2016/17
Median weekly wage $1,196
Baw Baw Shire Council Draft Economic Development Strategy 3
Working closely with Council to achieve its Vision to foster happy, healthy people sharing prosperity and
knowledge from living sustainably and in harmony with our rural identity, thriving villages, productive and
inspiring landscapes, Council Plan 2017-2021 is founded on four Objectives:
• Quality community focused services, facilities and
infrastructure to support a growing community
Vibrant • Managing Baw Baw’s growth and development
Communities • A Vibrant, healthy and inclusive community
• Thriving town centres, rural and remote communities
Thriving • Supporting innovative, thriving and sustainable local
Economy business and industry providing local employment
• Protecting and sustainably managing Baw Baw’s
Safe and environment
• Efficient roads, transport and parking
Sustainable • Community safety and protection
Environments • Preparing for the impacts and consequences of climate
change and extreme events
• Innovative, community focused and future ready
• Positive leadership, advocacy and decision making around
Organisational shared goals
• Providing community benefit by effectively managing
Excellence council’s resources and finances
• Staff who are supported to ensure they are effective, safe
and skilled in the workplace
4
While the Economic Development Following close consultation These documents include:
Strategy will help to enhance with industry, government, • The Council Plan 2017-2021
the overall Council Plan’s four community and tourism groups, (adopted by Council in 2017)
Objectives, it will figure prominently the strategy has identified a
• The Visit Baw Baw Destination
in delivering on the Thriving range of key projects across the
Branding Strategy (adopted by
Economy element. In addition to Shire’s leading and developing
Council in 2014)
the overall Economic Development business sectors that will focus
Strategy, the campaign will feature on increasing employment and • The Economic Development
a dramatically enhanced Visit Baw economic productivity. While many Strategy 2014-2018 (adopted by
Baw tourism website that includes of these will concentrate on short- Council in 2014)
major upgrades to both the front term (12-24-month campaigns), • The Visit Baw Baw Peer Review
and back end systems, and attention also has been given to and its recommendations
comprehensive, real-time analytics. longer term projects that will run in (adopted by Council in 2017)
The strategy also will include three parallel with the others. • TRC Consulting Tourism
Destination Action Plans, focusing Marketing Plan 2018
This strategy has been developed
on key tourism sites within the • The Recreational Vehicle and
in keeping not only with several
Shire: Walhalla and Mountain Tourism Signage Plan 2017
Council-adopted documents, but
Rivers; Noojee and Surrounds; and (adopted by Council in February
with others that have been initiated
Yarragon and Surrounds. 2018); and
in recent times.
• The Economic Development
Discussion Paper 2017.
Baw Baw Shire Council Draft Economic Development Strategy 5
SWOT Analysis Competitive Strengths Proximity to Melbourne and major markets Low unemployment Access to labour force Road/rail access Major events venues within the Shire, including Lardner Park and Mt Baw Baw Alpine Resort High production capacity Weaknesses Under-developed tourism marketing campaigns Land use pressures Under-resourced Economic Development/Tourism officers Lack of infrastructure in many key destinations Lack of large retail/shopping complexes Lack of quality accommodation Opportunities Export markets Productivity gains Improved local/regional branding Agri and eco-tourism developments Redevelopment of West Gippsland Arts Centre Establish close collaborations with state and federal agencies and local events venues such as Lardner Park and Mt Baw Baw Alpine Resort Grow existing and emerging markets including food and wine trails, cycling tours and weekend escapes. Threats Competing LGAs Ageing workforce Land use conflicts Growth of competing regional tourism destinations Regulatory compliance issues (particularly for farm-gate and hospitality businesses 6
Economic Development Framework
Following the framework set out in the Economic Development Discussion Paper provided by Urban Enterprise
in 2017, a series of meetings were undertaken with local businesses, state and federal government agencies,
industry and community groups and tourism operators. These meetings have confirmed the following four
guiding principles for the strategy.
Prior to outlining the initiatives contained within the Economic Development Strategy for 2018-2021, it’s worth
considering key economic indicators driving Baw Baw Shire.
Business • Ensure economic development staff are visible and active in
the local business community, and businesses are consulted
Engagement in an effective and meaningful way
Business • Attract investment from businesses, which diversify and
add value to the local economy, and ensure that Council’s
Attraction message to investors is that the Shire is ‘open for business’
Business • Advocate and represent the needs of local business both
Advocacy internally and externally
• Tourism has been added as a fourth principle due to its
Tourism importance to both the Shire’s employment and economic
productivity prospects
Baw Baw Shire Council Draft Economic Development Strategy 7
Local Government Economic Indicators
Local Government Indicators Gippsland Peri Urban
South
Baw Baw Latrobe Wellington Melton Mitchell
Gippsland
2006 GRP (billion) 1.22b 3.5b 1.08b 2.45b 0.92b 0.92b
2016 GRP (billion) 2.026b 4.3b 1.44b 2.53b 2.77b 1.56b
% GRP Growth 2006-2016 +54% +24% +33% 1% +201% +64%
2006 Jobs 12,646 27,372 9,535 14,629 11,404 8,489
2011 Jobs 14,127 25,620 9,997 14,192 16,139 9,483
% Jobs Growth 2006-2011 +12% -6% +5% -3% +42% +12%
% Unemployment (Mar 2017) 5.00% 7.80% 4.80% 6.60% 8.60% 6.10%
2014 Median House Price $338,500 $210,000 $260,000 $241,000 $400,000 $335,000
% Growth Median House Price 2006-2016 +64% +38% +46% +38% +57% +46%
2016 Population 48,072 74,026 28,017 42,266 138,641 40,595
2006-2016 Population Growth +27% +5% +8% +4% +72% +32%
Source: Remplan Economic Profile, Valuer General’s Guide to Property Values. Compiled by Urban Enterprise 2016
Employment
In 2016, there were 15,807 workers – an increase from 14,223 in 2011 in Baw Baw Shire. Health care and
social assistance and Agriculture, Forestry and Fishing remain as the largest employing industries. There has
been the greatest increase in those two sectors as well as in the Accommodation and Food Services industry.
Industry 2011 2016 Change
Health Care and Social Assistance 1,726 2,060 334
Agriculture, Forestry and Fishing 1,705 1,994 289
Education and Training 1,498 1,767 269
Retail Trade 1,616 1,540 -76
Construction 1,178 1,307 129
Accommodation and Food Services 1,016 1,298 282
Manufacturing 1,254 1,045 -209
Source: ABS Census, 2016
8
Economic Output
This refers to the gross revenue generated by businesses/organisations in each industry sector. Here are the
top seven:
Industry Sector Percentage Change
Manufacturing $724.80 mil 18%
Construction $556.52 mil 14%
Rental, hiring & real estate services $450.63 mil 11%
Agriculture, forestry and fishing $433.62 mil 11%
Wholesale trade $205.96 mil 5%
Health care & social assistance $196.01 mil 5%
Retail trade $180.45 mil 5%
Source: ABS Census 2016
Employment opportunities are expected to remain strong in health, agriculture, construction and retail.
Unemployment
The unemployment rate for Baw Baw Shire in March 2017 was 5 per cent - significantly lower than for the
Gippsland region overall rate of 6.7 per cent.
Baw Baw Shire has a relatively higher worker containment with 83 per cent of workers living in the area with
17 per cent working here but living elsewhere. Sixty-one per cent of Baw Baw residents also work in the Shire.
Thirty nine per cent live here but work elsewhere.
Worker Qualifications
Baw Baw Shire’s workforce has a similar level of qualifications to the Gippsland average. Compared with
Victoria, there is a lower proportion of workers with Bachelor or Postgraduate Degrees, but a higher proportion
with Certificate level qualifications reflecting the type of jobs available.
Baw Baw Victoria
Postgraduate Degree Level 4% 9%
Graduate Diploma and Graduate Certificate Level 4% 4%
Bachelor Degree Level 17% 27%
Advanced Diploma and Diploma Level 15% 15%
Certificate Level 42% 28%
Level of education inadequately described 1% 1%
Level of education not stated 18% 15%
ABS census 2016
Baw Baw Shire Council Draft Economic Development Strategy 9
THEME 1
Business Engagement
10Business Networking:
Based on the information revealed While it is not always possible to Baw Shire will increase local
in the data provided earlier, provide direct value to business employment and productivity while
Baw Baw Shire’s Economic networking, studies from here also enhancing skills and delivering
Development team has initiated a and overseas have shown that more value-adding opportunities.
series of programs ranging from these sessions can lead to By understanding and supporting
workshops and training sessions referrals, identify possible new local businesses, Council has the
for local business involvement with job candidates and raise each ability to provide the tools to assist
local business groups and taking company’s profile among other them in achieving their business
part in Gippsland-based incubators local providers, all ultimately goals.
and networks designed to increase leading to increased revenue
Project descriptions including key
employment opportunities and streams.
objectives, expected goals and
provide more productivity across
Moreover, helping existing measurable outcomes are outlined
the Shire.
businesses to grow in Baw below.
Business Networking Sessions:
Baw Baw Shire will take a lead role in organising a suite of business networking functions and seminars both in
conjunction with Small Business Victoria (SBV) and other regional/state agencies, as well as on its own.
6 February SBV - Effective business networking: Tips to connect with ease 6pm-8.30pm
20 February SPV - Taking your business online: What you need to know 6pm-8.30pm
14 April Grow Your Business Together Breakfast and Pop Up Information Centre (Warragul)
10 April ATO - Tax Essentials for small business 10am to 12 noon
1 May Grow Your Business Together Breakfast and Pop Up Information Centre (Trafalgar)
2 May Mobile Small Business Bus (Warragul)
8 May Grow Your Business Together Breakfast and Pop Up Information Centre (Drouin)
8 May SBV - Already online? How to drive your digital marketing further 5.30pm-9pm
15 May SBV - Creating effective digital content: What works and why 6pm-8pm
22 May SBV – Growing Together with a focus on social media performance: 7.30am-9am
24 May SBV - Growing Together with a focus on social media performance: 7.30am-9am
24 May ATO – Record Keeping workshop for small business 9.30am-12.30pm
29 May SBV – Facebook for your business: Everything you need to get started – 6pm-8pm
Baw Baw Shire Council Draft Economic Development Strategy 11Business Networking Sessions (continued): 19 June SBV - Pricing for maximum profit: How to set just-right prices 6pm-8pm 14 June ICN/GROW Business Industry Briefings @ Drouin Country Club (4pm-6pm) 24 July SBV - Marketing your business: How to get it right first time (tbc) 9 August Gippsland Small Business Festival Lunch (Warragul Country Club) 21 August SBV - Business Planning Essentials: How to build a road map to success (tbc) 24 August Victorian Chamber - Capture global business opportunities 9am-11.30am 11 September SBV - Business planning intensive: Strategies to accelerate growth (tbc) - Session 1 18 September SBV - Business planning intensive: Strategies to accelerate growth (tbc) - Session 2 11 September SBV – Finance Fundamentals: How to keep cash flowing (tbc) 23 October SBV - Start up: How to turn an idea into a business (tbc) 30 October SBV - Advanced marketing: How to make your strategy work smarter (tbc) TBC End of Year Business Networking Function (date/location tbc) The Baw Baw Shire Economic Development team also will take part and/or help coordinate meetings with business groups/networks as required across the region. These meetings include sessions with groups from across the three wards as required; the Independent Business Council (IBC); Warragul Business Group (WBG); Drouin District Business Group (DBG), Trafalgar Chamber of Commerce, Yarragon Business Association and Neerim District Progress Association as well as host quarterly meetings of the Council’s Business Advisory Board (BAB). 12
Business Briefings Working in parallel with the networking sessions, the unit will initiate one-on-one business briefings with key players across the Shire’s leading industry sectors, including agribusiness, construction and manufacturing, education and training and retail and tourism. The foundation to understanding and supporting local business is building strong and lasting relationships between Council, Shire officers, businesses, industry representatives and government agencies. This will be important for nurturing business, cultivating and diversifying the economy and promoting greater levels of industry collaboration and innovation. Baw Baw Shire Council Draft Economic Development Strategy 13
Startup Gippsland
Baw Baw Shire will take part in an has 25 per cent of the state’s per employee, according to a
innovative and exciting business population but only 3 per cent of Deloitte 2017 study.
incubator program including three startups.
Other benefits of this program will
other Gippsland-based shires that
Why are promoting startups be opportunities for participating
will be launched in late August
important to the regional economy? companies to gain introductions
2018.
Startups have been shown both to investors from Melbourne and
‘Startup Gippsland’ will give 5-10 here and overseas to create more interstate as well as to bring startup
startups per participating council jobs. Indeed, companies less industry leaders to Gippsland for
the ability to obtain 12-week than two years old in Australia the final showcase event.
educational and mentoring services created nearly all of the 1.6 million
This program is fully funded by the
for leading local providers. jobs in the country between
State Government (LaunchVic)
2003-2016, according to a report
Program participants also will meet during its first 12 months
from the Australian Financial
weekly at regional hubs in each
Review. Moreover, companies
shire to network and learn from
with advanced levels of digital
each other’s experiences.
engagement as opposed to those
There are many reasons for with basic levels are 50 per cent
why this program is important more likely to make more profit;
to Gippsland, which can best eight times more likely to be
be explained through looking at creating jobs; seven times more
some recent Australian Bureau of likely to be exporting and generate
Statistics figures. Regional Victoria 60 per cent more revenue earned
14Gippsland Business Connect Network
This is an online business directory business spending leaves local More than 1,400 businesses are
covering all six Gippsland shires. economies due to lack of visibility now listed on that registry – a
The program is a low cost, fully- of local suppliers. This program growth of more than 30 per cent in
hosted and supported system will give small businesses across the six months since launching. In
enabling local government to build Gippsland much greater visibility, 2017, Localised connected local
dynamic local business networks understanding and contact with businesses to large and small
that facilitate real business other small operators in the region purchasing opportunities worth $50
networking and connections in their while also supporting whole of million. Seven networking events
economy. government procurement policies also were set up reaching more
and practices. than 880 local businesses in that
The program is predicated on
region.
several factors including the Localised, the independent
fact that 97 per cent of the 2.1 contractor taking charge of the This online business registry
million businesses in Australia program, established a similar network is fully funded through the
are small businesses (20 or fewer online business registry in the Latrobe Valley Authority (LVA) for
employees). More than 40 per cent Greater Geelong region last year. the first year.
of all jobs are created by small
business.
Due to constraints and demands
on local businesses, billions of
dollars’ worth in business-to-
Baw Baw Shire Council Draft Economic Development Strategy 15Baw Baw Shire Think Tank
Keeping focused on short to The term “think tank” emerged group’s initial agenda will be kept
medium term deliverables in the 1940s and 1950s in the broad to ensure that any/all ideas
is always important for local United States as slang for a room raised by group members may be
government officers. Time should full of people assessing various considered.
be made, however, to occasionally approaches to battle. Think tanks
The first meeting is set for late
step back and think about different, are now more prevalent in the
June 2018. It is recommended
innovative ways of operating that private and non-profit sector where
that the group meet on a quarterly
lead to better outcomes for the groups of like-minded individuals
basis.
community. gather to study every conceivable
topic.
To this end, the Economic
Development Unit has initiated a Baw Baw Shire’s Think Tank
‘think tank’ to get together on a will be chaired by CEO Alison
quarterly basis and see if there Leighton and bring together
might be a new program, process a small but dynamic group of
or service that could be introduced leaders from different business
efficiently and effectively. and community backgrounds. The
16Medium to Long-term Projects
Agribusiness Alliance
Agriculture is the major rural land In addition to meeting with companies outside the alliance
use in the Shire and underpins individual companies to determine while preventing a wholesale
the local economy directly through ways in which we can support transfer of core skills to the partner.
on farm employment and through them, there is an opportunity
To date, discussions have taken
associated manufacturing, food to develop far larger business
place with three companies and
processing farm-gate tourism and efficiencies and export possibilities
the Agriculture Victoria facility
agricultural service industries. through holding regular sessions
operating at Ellinbank. One on
with a larger group of the Shire’s
Baw Baw’s competitive strengths one meetings with other leading
leading agribusinesses.
in primary production come from Baw Baw Shire agribusinesses
extensive farmland, versatile Such alliances of competing will continue through August with
soils, above average rainfall, companies is a tried and trusted a goal to establish the first formal
enabling production of high-value business networking approach alliance meeting in second quarter
products including milk, meat and in many parts of the world. For of 2018/19.
vegetables. These high value these collaborations to succeed,
This alliance will meet quarterly to
products underpin a significant each partner must contribute
assess what types of collaborative
food and timber processing sector something distinctive whether it be
ventures could be identified,
which leverages Baw Baw’s product development expertise,
developed and carried out over the
accessibility to services and skilled manufacturing capacity, access
next two to three years.
labour, proximity to Melbourne’s to distribution or marketing nous.
markets and ports, and strategic The challenge is to share enough
export opportunities. skills to create advantage over
Baw Baw Shire Council Draft Economic Development Strategy 17THEME 2
Business Attraction
18Introduction
New business is an important happens and where Council is Why Baw Baw?
source of investment. New committed to the longer-term • Availability of industrial and
business creates new employment growth and economic prosperity of commercial land
opportunities, diversifies the Shire.
• Affordable industrial and
the economy and increases
Baw Baw Shire is well positioned commercial land
productivity of the economy. New
to cater for growth into the future • Easy access by rail and road to
investment also has the potential
and offers attractive reasons to the suburbs of Melbourne
to strengthen business confidence
invest. As businesses continue to
within an area. • Rapidly growing population
experience the squeeze, they are
Attracting new business investment starting to look to the outer suburbs • Large local labour force which
will be about marketing these and beyond, including Baw is fast becoming more qualified
competitive features and letting Baw shire, which is increasingly and skilled
potential investors know that Baw becoming more accessible. • One of the leading agriculture
Baw is a place where investment providers in the state
• Strong levels of support from all
levels of Government
Short term
Priority Planning Team
For the majority of businesses, the In order for Council to attract A proactive and facilitative
most engagement they will have businesses to the operate in the approach to planning systems and
with Council will be through the shire, it is essential for the planning effective co-ordination between
planning system. Businesses can process to be as streamlined as Council and potential investors
often have trouble in understanding possible. To do this, Council has will ease the facilitation of major
the complex nature of the Local established a Priority Planning developments that generate
Planning Scheme. This can lead to Team. This team consists of economic benefit. The process will
delays that often frustrate potential Senior Planners, Engineers and ease unnecessary red tape and
investors and can potentially result will call on subject experts when give the clear message that Baw
in a business looking elsewhere. required. Baw is open for business.
Baw Baw Shire Council Draft Economic Development Strategy 19Business Prospectus
To showcase Baw Baw as an than you think’. Further into the geographical location of the
exciting and beneficial place document, key strengths of the shire. It is reasonable to assume
for a business to establish, the shire are highlighted drawing that this is also the case among
Economic Development team attention to all the benefits a many businesses. By producing
have prepared a short form glossy business can expect to receive and distributing the business
business prospectus. from operating in Baw Baw. prospectus, it is expected that
we will provide clarity around our
The prospectus takes the approach Through market research around
location and that the benefits
of highlighting Baw Baw’s proximity tourism in Baw Baw, it became
a business can expect in Baw
to the Melbourne CBD and eastern apparent that many people
Baw will entice newcomers to the
suburbs under the tagline ‘Closer were unaware of the exact
region.
ire
B aw Sh
Baw u thin
k
n yo
r tha
Close
hours in
born every 8
One child is Hospital
West Gippsland
2400Ha Zone
1095
Urban Growth
Farm Zone to
rezoned from Retail Trade
year
babies born per
on average
Food Services
Accommodation &
space
That’s enough
G’s!
to fit 1,200 MC ific & Technical Servic
es
Professional, Scient
ng
Education & Traini
Assistance
Health Care & Social
Estate Services
Rental Hiring & Real
2.9%
per annum th
population grow
try & Fishing
Agriculture, Fores
Manufacturing
test growing
One of the fas Construction
s in Victoria.
municipalitie
nomy
ase 2011 - 2016
expanding ecorevenue with
A strong and
Population Incre
12% 27%
ing
riencing boom
are expe is re
rs in Baw Baw . Local expenditu t.
Industry secto billion and rising place to inves
region of $4.5 Baw the ideal
Drouin outputs in the g making Baw
Warragul incredibly stron
/ 1 hour
100km
Melbourne
M1
Drouin Warragul IND USTRY
RKFORCE BY
BAW BAW WO
Retail Trade
Healthcare
Hospitality
Agriculture
d Manufacturing
A growing an Education
orce
siness diverse workf Construction
An Exciting Bu
sa
Baw can acces
Investors in Baw se range
lation with a diver
Location offers advantage
s that
growing popu
of skillsetssu
pply chains and
customers.
’s location to
Baw Baw Shire g, yet so close
h. A rural settin ial
are hard to matc and road arter
high speed rail .
Melbourne with s and customers
cing supply chain
networks servi
20Things we can offer New Businesses
Baw Baw Shire’s Economic to answer questions and aid this permit charges and environmental
Development team have process. approval fees.
implemented or gained access to
The Service will help direct Council officers will guide any
several ‘add on’ services designed
business enquiries to the relevant prospective new expanding
to attract new businesses to Baw
area, be they planning or business through this process,
Baw. These services will make
regulatory, as well as identifying offering assistance and providing
setting up a new business easier
any funding or assistance that may referrals and introductions to
and provide ongoing benefits for
be available. contacts at the LVA.
organisations operating in the
shire. In addition, a Business Hub offering The savings made through the
physical space and facilities in a waiving of establishment fees
Latrobe Valley Authority - co-working location is available combined with help navigating
Business Support Service for use to help a new business the process aim to create a better
The Latrobe Valley Authority (LVA) establish itself. business environment for the Baw
has recently established a team Baw, making it easier, faster and
Latrobe Valley Authority – less costly to do business.
specifically tasked to help new
stamp duty
businesses set up, the Business Cheap commercial land
Support Service, which is available Businesses in Baw Baw Shire are
for any new operation commencing eligible for financial assistance There is currently a wide range
in Baw Baw. from the LVA. Reimbursements are of vacant commercial land in
available for government fees and the shire. The average cost per
When setting up a new business, square metre of commercial land
charges incurred in establishing or
there are many entry points is considerably less than both the
expanding a business. Fees and
available and quite often these state average and other similarly
charges that will be reimbursed
are confusing or hard to navigate. places regional centres. (as
include planning application
The LVA Business Support Service outlined below)
fees, licensing application fees,
can act as a single point of entry
Type Baw Baw Victoria
Low Rise Office Building $1,237.11 $6,173.23
Shop & Dwelling $419.16 $2,259.62
Factory $ 86.93 $387.67
Industrial Development Site $137.22 $267.43
Warehouse $ 73.86 $440.03
A new business setting up in a business prospectus which has and industrial land for business
Baw Baw would experience been prepared as a selling point to expansion and attraction in Baw
significant cost savings compared attract new business. Baw. It is important that there is
to establishing in other areas of the a diversity of lot sizes available
The Economic Development
state. The availability and cost- for prospective businesses, and a
team will keep up to date with the
effective nature of commercial land diversity of land owners.
availability of suitable commercial
in the shire is promoted heavily in
Baw Baw Shire Council Draft Economic Development Strategy 21Economic modelling Assistance with grant Grant Guru
opportunities
Baw Baw’s Economic Development The Economic Development team Businesses in Baw Baw have
team are skilled and trained in ensure they are informed and up- access to a locally tailored grant
using both REMPLAN economic to-date with the various State and search website, Grant Guru. The
modelling and Australian Bureau of Federal Government grant funding site displays all open funding
Statistics (ABS) data. On request, programs that are available. opportunities that are available for
tailored economic modelling, The team has strong links to a business in Baw Baw, eliminating
forecasts and reports will be Government departments offering the need to search through often
provided in such areas as financial funding and will be proactive in irrelevant information.
projections, population scenarios, providing regular information
By understanding that a business’s
industry trends and comparison around any potential funding
time and easy access to
analysis. opportunities on to the business
information is important, providing
Having access to to this community.
this tool is expected to streamline
information will be invaluable to a Often business owners do not fund seeking.
new business or one thinking about fully understand the requirements
expanding, allowing the confidence and application process, or have
to proceed with the backing of the time to investigate these
robust information. opportunities. The Economic
Development team can provide
assistance to businesses in
completing a grant application,
enabling the best possible chance
of a successful funding submission.
22Grant seeking
Baw Baw Shire has a strong record in attracting Government grant funding, which compliments annual budgets.
These additional funds allow the construction and delivery of important infrastructure projects which aid
businesses in our Shire. Recent projects to have received funding include:
Funding
Funder Project Total Project received
Department of Infrastructure and
West Gippsland Arts Centre 13,400,000
Regional Development 4,000,000
Agriculture Victoria Labertouche North Road 1,160,000 582,000
Sport and Recreation Victoria Ellinbank Rec Reserve lighting 180,000 80,000
DELWP Drouin Library upgrade 202,000 275,000
DELWP Tarwin Street Basin 1,500,000 266,000
Department of Infrastructure Allambe Estate Road Bridges 1,040,000 520,000
Sport and Recreation Victoria Spotlight on Netball 203,500 80,000
Department of Education Co-location of a new early centre in Warragul 2,408,000 650,000
Latrobe Valley Authority Yarragon Skate Park 295,000 221,250
Sport and Recreation Victoria Bellbird Park Lighting Upgrade 223,000 80,000
Department of Infrastructure Early Learning Centre at Warragul Primary School 2,408,000 1,900,000
SRV Drouin Netball Courts Upgrade 600,000 600,000
DELWP Match day pavilion for netball and tennis 901,250 710,000
DEDJTR Old Sale Road Upgrade tbc 945,223
Total 9,809,473
In the upcoming years, Council expects to continue to bid for and receive grant funding with the intention of
enabling high quality infrastructure and routes to market within the shire. Anticipated projects include:
• Priority road projects
• Regional Sport and Recreation Centre
• Major national/international events
Baw Baw Shire Council Draft Economic Development Strategy 23Attracting new large-scale retail businesses
The presence of large-scale scale retailers to the shire would of Warragul, with negotiations
retailers is important for Baw Baw provide our residents with the taking place to bring the following
Shire for both the economic and option of retail choice with a local full-size stores to the site:
social well-being of our residents. convenience. Most importantly,
• Bunnings Warehouse
Aside from the major supermarkets such a development would see
in Warragul and Drouin, there are valuable spending dollars staying • Kmart
no other full size major retailers in in the shire, leading to significant • Kmart Tyre and Auto
the shire, with the closest options flow on economic benefits and the • Large retailer (tbc)
being in Moe to the east, and creation of new jobs.
• Food outlet (tbc)
Pakenham to the west.
Kmart Proposal • The proposal would generate
Consequently, consumers are an estimated 390 direct jobs as
Ongoing retail investment is
being forced to shop outside of the outlined below.
characterised by large scale
Shire. The ability to attract large
development planned for the east
Use Floorspace (sqm) Direct Jobs
Bunnings Warehouse 14,198 190
Kmart 6,387 115
Kmart Tyre & Auto 319 6
Large retailer (tbc) 3,894 65
Food outlet 212 14
Total 30,591 390
The ongoing retail employment opportunities would be particularly important for young people, who often must
travel outside Warragul to get jobs.
The indirect employment effect, accounting for employment associated with supplying the new businesses and
expenditure of wages would potentially create another 320 jobs across the local economy.
In addition to these ongoing jobs, employment would also be created during the construction period.
24Bulky Goods Precinct There have been sites in Warragul earmarked for development as ‘Bulky Goods’ sites. A Bulky Goods site is best defined as a medium to large retailer requiring a large floor area and direct vehicular access. Typically, these sites are located outside of a CBD and could sell a variety of goods ranging from furniture and whitegoods, to motor and sporting equipment. Over the past year, Council Officers have advised in the planning and construction process of a new Bulky Goods precinct on the corner of Burke and Howitt streets in Warragul. The precinct is home to six premises, of which, four have been tenanted. Tenant Size Supercheap Auto 804.02m2 Vacant 750.34m2 Intersport 750.34m2 Vacant 702.97m2 Boating Camping Fishing 1050.50m2 Vacant 402.12m2 Council has also identified further potential development sites in both Warragul and Drouin which are zoned for Bulky Goods and ideal for development, and have the potential to generate further economic and employment growth. Baw Baw Shire Council Draft Economic Development Strategy 25
26
Current Projects
West Gippsland Arts Centre
Construction works are underway The upgrade will also include an Economic projections show
on the $13.4 million upgrade of improved function space, a visitor benefits of enhanced visitor
the West Gippsland Arts Centre information service and a new spending at $21.4 million, net
with the project expected to be outward oriented café taking in the economic return of $10.9 million
completed later in 2018. The magnificent views of Civic Park. over the project lifecycle, Benefit
upgrade will see the theatre Cost Ratio of 2 to 1 and an
During the construction phase of
capacity increase from 480 to 750 investment repayment period of
the project, around 160 direct and
patrons, facilitating the attraction approximately 16 years.
indirect jobs will be created, with
of large-scale acts that will be a
21 permanent roles on completion
significant boost for the region.
providing ongoing economic
benefits for the region.
Baw Baw Shire Council Draft Economic Development Strategy 27Warragul Town Centre Transformation The Warragul Town Centre The Town Centre Project will high resulting in an increase Transformation Project is currently showcase a series of high amenity in economic benefit for local underway. The nine-stage project pedestrian areas and regenerate businesses and the creation and will develop a compact town centre its traditional link with an enhanced retainment of jobs. that supports a thriving mix of station precinct. By creating a town business and residential activity centre that is easy to access and while respecting its rural origins move around, consumer activity is and notable heritage assets. expected to increase and remain Warragul Town Centre Streetscape Project map and stages. 28
Manufacturing The manufacturing sector within Baw Baw Shire is robust and growing with products manufactured for domestic and export use. Businesses within the region have helped to shape what are now recognised as every day household products. The region’s products are now exported to many countries. Industry Sector $M Food Product Manufacturing 314.005 Metal & Metal Product Manufacturing 76,840 Technical Equipment & Appliance Manufacturing 49,968 Transport Equipment & Parts Manufacturing 49,351 Saw Mill, Wood & Paper Product Manufacturing 46,617 Non-Metallic Mineral Product Manufacturing 27,779 Apparel Manufacturing 20,084 Beverage Product Manufacturing 15,335 Basic Chemical, Cleaning & Polymer Manufacturing 10,656 Baw Baw Shire Council Draft Economic Development Strategy 29
Agribusiness
Baw Baw Shire’s Agribusiness availability of land, streamlined site in Longwarry. The proposed
sector is a nationally significant planning processes and the strong new site would enable easy
area for dairy, beef, potatoes and road network allows ease of access for both producers and
fruits as well as being the home establishment and transport to the buyers and the modern larger
to many leading horticulture region. There are also prospects site would see a smooth running
companies. Products grown under for standalone businesses aimed at of operations. Additionally,
protected horticulture include the export market or the option to construction of the new sale yards
tomatoes, capsicums, eggplants, join a cluster of businesses under will be in the region of $20 million
cucumbers, edible flowers and the one marketing arm. providing a substantial boost to
herbs. The region has led the way the local economy and numerous
In recent times, Council has been
nationally and internationally in a employment opportunities.
involved in discussions which
number of these areas.
would see the relocation of the
Opportunities exist in these areas Baw Baw Livestock exchange
to diversify into other crops. The from Warragul, to a greenfield
OUTPUT ($M) - BAW BAW (S) (JUNE 2018)
Sheep, Grains, Beef & Dairy Cattle
Other Agriculture
Poultry & Other Livestock
Agriculture, Forestry & Fishing Support Services
Forestry, Fishing & Hunting
Aquaculture
INDUSTRY SECTOR 0 50 100 150 200 250 300 350 400
$M
30Professional Services
The Professional Services sector is expanding with many businesses taking the opportunity to locate in the
region. Warragul is regarded as a service centre for the West Gippsland region and many businesses here have
many clients located in Melbourne due to the ease of travel and telecommunication.
Opportunities exist for businesses to expand and locate their head offices in the Baw Baw region with excellent
access to public transport and lifestyle choice for their workforce.
Toyota Insurance case study
In 2016 Toyota Insurance some time and after a detailed identified that Baw Baw is
established a regional operations analysis we identified Baw Baw growing fast. There are a lot of
centre in Warragul. They are Shire as being the perfect place. new families moving to the area,
a licensed general insurer that and the work force is expanding.
“Compared to suburban
underwrites retail insurance This is attractive to us, as we
Melbourne, there are a number
principally for Toyota vehicles. believe people in regional areas
of advantages of locating within
can provide us with higher
With the assistance of Council a Regional location including
retention levels and value working
and the State Government, office the affordability of commercial
locally,” said Mr Durakovic.
space in the CBD of Warragul office space. We eventually
was identified and Toyota settled on Warragul as it ticked Business is travelling along nicely
Insurance began operations a large number of the criteria we for Toyota Insurance in Warragul
with newly hired local staff, and had established for our search and its 75 employees – an
a small number of people on which included easy road and increase from the 30 originals in
secondment from its St Kilda rail connections to the city and its 2016. “Baw Baw has been great
Road head office. lively town centre.” for our business and I could not
recommend the area highly
Toyota Insurance CEO, Another factor that contributed
enough as a place for a
Anthony Durakovic, explained to the decision was the changing
regional office,” said Mr
“Establishing a regional base demographic within the area.
Durakovic.
had been an ambition of ours for “Through our research we
Baw Baw Shire Council Draft Economic Development Strategy 31Attracting new business Following on from the success of Toyota Insurance establishing a regional base in Warragul, the Economic Development team is committed to working towards attracting more organisations, public or private, to set up in the shire. A new operation like this would not only create jobs but stimulate economic development in the shire. New Jobs Indirect jobs Total Jobs Direct Impact Indirect Impact Total Impact 30 25 55 $7.47M $6.38M $12.85M 50 40 90 $12.45M $10.63M $23.08M 100 81 181 $24.90M $21.26M $46.16M Through preliminary discussions with prospective businesses, the main requirements that are needed to consider a relocation seem to be: • Easy access to rail and road connections. • Proximity to a town with eating and service facilities. • A large floor print capable of holding up to 50-100 people with car parking space. The most suitable locations for a new development would be where there is space for a new build in the Shire. The team will work with the State Government, property developers and real estate agents to identify these locations. There is the belief that if a new office development, a small high-rise style building with an anchor tenant, that the building would quickly be fully occupied. The knowledge and security of the initial business occupying the office will provide further businesses the incentive to also set up a regional base in the space. 32
Baw Baw Shire Council Draft Economic Development Strategy 33
THEME 3 Business Advocacy 34
The common meaning of advocacy are able to use these connections on important issues, such as new
is to provide support for a particular using a variety of techniques infrastructure, funding for programs
cause. For Baw Baw Shire Council, to advocate on behalf of a and businesses, or for identifying
advocacy is about stepping business, and to address issues of possible changes to policy or
up to speak out on issues that importance to an organisation. legislation.
matter to the local community,
These techniques include making Funding and support from
which include providing the best
effective submissions, direct Government also allows Council
possible economic benefits for our
lobbying, leading deputations, to progress key local projects and
businesses.
inviting decision makers to visit, continue to deliver high-quality
Baw Baw’s Economic Development hosting consultations, establishing services to the community.
Team has strong links to those who hearings, media strategies,
Growing jobs and driving economic
hold Governmental (bureaucratic advertising and conducting public
development in Baw Baw through
and elected), political or economic campaigns.
broad-based business advocacy in
power to implement public policies
We do this to seek positive all our sectors is Council’s overall
and projects to the benefit of our
outcomes from decision-makers objective.
residents and businesses. We
Short term
Meetings with politicians and ministers’ offices
Gaining access to politicians, This is where the Economic well as to many relevant Federal
be they the local member or a Department is able to help. Taking members.
minister, or to their departmental advantage of their network, the
Whenever one of these meetings
office can be hard for a business. team can help arrange meetings
takes place, the Economic
Even with the knowledge of which with the most relevant contact
Development team prepare a fact
area to contact, it can quite often to advocate the needs of the
sheet outlining the reason for the
be difficult navigating the maze business. Council’s political
meeting.
of government departments and network includes a contact within
agencies. Victorian ministerial offices, as
Baw Baw Shire Council Draft Economic Development Strategy 35Name Surname Title Date Topic
Local
Russell Broadbent Member for McMillan
Gary Blackwood Member for Narracan
Harriet Shing Member Eastern Region
Daniel Mulino Member for Eastern Victoria
Melina Bath Member for Eastern Victoria
Edward O'Donohue Member for Eastern Victoria
Jeff Bourmann Member for Eastern Victoria
State Ministers
Daniel Andrews Premier
Women, Prevention of Family Violence,
Natalie Hutchins
Industriall Relations
Richard Wynne Planning
Lisa Neville Water
Creative Industries, Equality, Mental Health &
Martin Foley
Housing
Ben Carroll Industry and Employment
Jacinta Allan Public Transport and Major Projects
Luke Donnellan Roads and Roads Safety, Ports
James Merlino Education and Training
John Eren Sport, Major Events and Veterans Affairs
Tim Pallas Treasurer
Jenny Mikakos Early Childhood Education
Jaala Pulford Regional Development, Minister for Agriculture
Gavin Jennings Special Minister of State
Jill Hennessy Minister for Health
Marlene Kairouz Minister for Local Government
Minister for Energy, Environment and Climate
Lily D'Ambrosio
Change
Minister for Small Business, Innovation & Digital
Philip Dalidakis
Economy, Trade & Investment
36Fact Sheets
As touched on in the above section, when a meeting is arranged with a political office, the Economic
Development team produce a two-page fact sheet to take along to the meeting.
As a general rule, the fact sheets contain background information in text, chart, graphics and images clearly
outlining the current situation on the front page. Then on the back, clearly articulated is what is needed both
from the meeting and long term.
The reason for the fact sheet is to provide meeting attendees with informative visual collateral, which is likely to
remain in their minds.
aw i n g Shire
B w
Baw ast Gro
–aF st
Over the past
deca
These have rang de, Council has successfu
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facilities and with the State
kindergartens Government
aste
We are grate to deliver new
ful and appreciat to road and rail infrastructure
the f toria
unable to keep ive for this supp projects. projects for our
up with the dem ort,
ands of our grow however we are at a point community.
o n e of Vic
ing community
.
now that witho
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Shir nal area
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48,47 2018
FOR MORE INFO
RMATION, PLE
Mark Kestigian
– ASE CONTACT:
e: Mark.kestigian Executive Manager – Com
@bawbawshire munity Infor
Tim Sweeney .vic.gov.au mation and Advo
– Grants and cacy
e: Tim.sween Advocacy Offic
ey@bawbawsh er
Baw Baw Shir ire.vi c.gov.au
e Council |
p: 5624 2411
| www.bawbaw
shire.vic.gov.
au
Baw Baw Shire Council Draft Economic Development Strategy 37Meetings with Government Agencies Similar to scenarios encountered when trying to contact political members, often businesses find it difficult to get in touch with Government agencies. It is important for businesses to have either a relationship with these agencies, or knowledge of information, programs and funding opportunities that are available. The Economic Development Team will meet with these bodies to advocate on behalf of businesses and act as a conduit for the transfer of information between the parties. The agencies most relevant to businesses include: • Regional Development Victoria • Latrobe Valley Authority • Department of Environment, Land, Water and Planning (DELWP) • AusIndustry • Visit Victoria • Invest Victoria In addition to advocating to agencies on behalf of businesses, the team will provide introductions and referrals when suitable programs or funding opportunities arise. Meetings with other councils For businesses in Baw Baw, operations do not simply cease at the borders of the shire. Council is committed to supporting business throughout the region, including further into Gippsland and beyond into metropolitan Melbourne. To facilitate an easy transfer of information, and ultimately trade within Gippsland, the six Local Government Authorities have come together to form a collaborative working group. The group has meetings scheduled quarterly, however, there are often meetings arranged outside these sessions.. In addition to the Gippsland Economic Development group, meetings will be initiated with nearby Councils in Casey and Cardinia, metropolitan Melbourne and similarly placed regional shires. 38
Assists – Helping Other Organisations
To provide an assist is a sporting term that occurs when one team member helps another to score. In this
scenario, everyone is a winner. The Economic Development team is committed to the belief that by providing
an assist to a business or the community, the entire region will benefit.
Examples of assists currently in play are:
Potential
Organisation Assist Intended result
Funding Amount
Council has been working closely with
Mt Baw Baw Installation of new gas turbines
Mt Baw Baw management to identify $200,000
Alpine Resort and an alternate energy system
alternative energy supplies.
Members of the golf club approached
Council has facilitated meetings
Trafalgar Golf Council seeking assistance with a project
with the LVA and will assist with $125,000
Club to repair the club house roof and irrigate
the funding submission.
fairways.
Working with Warragul Police officers to
An additional two resources
produce a report highlighting resource
Warragul Police allocated to Baw Baw to work in $200,000
shortages and high rate of family violence
the family violence unit.
occurrences.
Increase in events at the venue
Lardner Park Working together to attract large events. leading to more people in the $200,000
shire.
Baw Baw Shire Council Draft Economic Development Strategy 39Co-ordinating advocacy for the community
In addition to advocating for businesses in our shire, the Economic Development team assists in advocating for
important community campaigns that directly and indirectly assist the economic climate in the shire.
For businesses to operate successfully, it is imperative our shire has quality essential services and facilities
like hospital, roads, rail and education facilities. Failure to provide these will result in the likely departure of
businesses from the shire.
New Hospital for West Roads Kindergartens/Early
Gippsland Baw Baw is a highly productive Learning Centres
Located in Warragul, the West agricultural area with rich dairy, At present, Baw Baw Shire is
Gippsland Hospital services the forestry and mining activities. To experiencing unprecedented
people of West Gippsland. Baw improve efficiency, access and use growth. There is an influx of young
Baw is one of the fastest growing of high productivity freight vehicles, families moving to the Shire and
municipalities in Victoria and the outdated roads and bridges need as birth rates continue to rise,
existing infrastructure of the West to be upgraded. so does the need for early years
Gippsland Hospital is struggling It is important that we have safe services. At this point, enrolment
to keep up with the demand and and efficient roads for our heavy data and population trends suggest
growth of our region. vehicles transporting goods in that we will need to build a new
and out of region, as well as local kindergarten facility in the Shire
Council is a strong advocate for
commuters and tourists visiting every two years.
the need for a new hospital in West
Gippsland and is in full support of the region. Further investment A joint approach between State
the West Gippsland Healthcare in our agricultural roads will see and Federal Governments is
Group’s (WGHG) proposal to increased productivity across the necessary to assist growth areas
develop a new hospital. region and greater state of Victoria. like the Baw Baw Shire Council
address these urgent community
needs.
40Longer term Advocacy Projects
Sealing of South Face Road
Mt Baw Baw Alpine Resort is an logging trucks, thereby rendering it Benefits
iconic Victorian tourist destination a high-risk route for tourists and the
Sealing South Face Road will
being the closest major snowfield general community.
improve access to Mt Baw Baw,
to Melbourne, located a two-and-
South Face Road is an unsealed providing a faster, safer, more
a-half-hour car journey away.
road that provides a more direct comfortable direct route from
The Mt Baw Baw Alpine Resort
and less winding to Mt Baw Baw. Latrobe Valley and Melbourne,
offers a year-round, family friendly,
The road also connects Mt Baw greatly improving the visitor
environmentally-sensitive, alpine
Baw with Walhalla. The road is experience.
experience.
uneven and not sealed and is
The upgrade will also connect
Nearby Walhalla is picturesque therefore difficult for domestic and
Mt Baw Baw with the other key
former mining town that has been commercial vehicles to utilise and
local destination, Walhalla. This
preserved in its flourishing 19th unstable for construction traffic.
will enable the development of an
century state. The town is one of Buses generally will not use the
easily accessible tourist loop and
the biggest tourist drawcards in road as it is not sealed.
increase visitation numbers.
the shire attracting over 100,000
At present, around 50 per cent of
visitors a year. The sealed road will connect local
traffic to these destinations comes
services and facilities available
The only sealed access to Mt Baw via South Face Road. With the
in Erica, Rawson and the larger
Baw is via the precarious and road sealed, it’s anticipated that the
towns along the Princes Highway.
winding Tourist Road. It is a single visitation figures by day-trippers
The upgrade will a provide safe,
lane asphalt road, with limited and international visitors will
high speed, all weather road from
verges for passing oncoming double.
the Latrobe Valley region and for
traffic. It is also frequently used by
visitors from Melbourne.
Baw Baw Shire Council Draft Economic Development Strategy 41You can also read
