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Building a Better Victoria Victorian Budget 2014|15 Building a Better Victoria Regional and Rural Victoria Budget Information Paper The Secretary This publication makes reference to the This work, 2014-15 Budget Information Paper Department of Treasury and Finance 2014-15 Budget Paper set which includes: Regional and Rural Victoria, is licensed under 1 Treasury Place Budget Paper No. 1 – Treasurer’s Speech a Creative Commons Attribution 3.0 Australia licence. You are free to re-use the work under Melbourne Victoria, 3002 Budget Paper No. 2 – Strategy and Outlook that licence, on the condition that you credit the Australia Budget Paper No. 3 – Service Delivery State of Victoria (Department of Treasury and Telephone: +61 3 9651 5111 Budget Paper No. 4 – State Capital Program Finance) as author and comply with the other Facsimile: +61 3 9651 2062 Budget Paper No. 5 – Statement of Finances licence terms. The licence does not apply to Website: budget.vic.gov.au (incorporating Quarterly Financial Report No. 3) any images, photographs or branding, including the Victorian Coat of Arms, the Victorian Authorised by the Victorian Government © State of Victoria 2014 Government logo and the Department of 1 Treasury Place, Melbourne, 3002 Treasury and Finance logo. Printed by Impact Digital, Brunswick Copyright queries may be directed to [email protected] ISSN 1440-6969 Published May 2014 Printed on recycled paper Contents 02 Introduction 21 Protecting a growing Victoria 03 Strong population and employment growth 21 Responding to emergencies 23 Protecting our community 04 State-shaping infrastructure to build a better Victoria 04 Regional rail investments 24 Strengthening a growing Victoria 06 Regional road investments 24 Commemoration of the Anzac centenary 07 Major projects 24 Celebrating our diverse community 24 A vibrant sporting and community life 10 Regional Growth Fund: 25 Supporting Aboriginal communities investing in regional and rural development 26 Helping vulnerable and disadvantaged Victorians 10 Strategic projects 27 Initiatives by region 11 Local initiatives 27 Barwon South West 12 Investing in our future: 28 Gippsland boosting skills, education and training 29 Grampians 12 Upgrading our schools 30 Goulburn-Ovens Murray 13 Building solid foundations for learning in the early years 31 Loddon Mallee 13 Assisting children with a disability to learn and achieve 13 Investing in the skills that lead to jobs 14 Building a stronger Victorian economy 14 Investing in food and agriculture 15 Supporting regional business 16 Reducing the cost of doing business 17 Promoting investment in tourism 18 Strengthening health care 18 Investing in regional health infrastructure 19 Enhancing access to health services 20 Supporting liveability and the environment 20 Planning for future liveability in regions 20 Maximising our natural assets 20 Securing our water resources Regional and Rural Victoria 1 Introduction FMP Group Ballarat, manufacturing vehicle brake linings and disc pads. Across regional and rural areas of Victoria is Australia’s largest food and With Victoria’s population projected to Victoria, businesses and communities fibre exporting state, and our rise significantly from its current level are shaping the competitiveness and agricultural exports make up 29 per cent of 5.8 million to 8.7 million by 2051, prosperity of the State. The of the national total for this sector, regional areas have an opportunity to Government recognises this earning around $9 billion each year. benefit from a much greater share of contribution and is working to deliver future growth. Regional economies provide attractive new prosperity, more opportunites, and locations for businesses, support a Unlocking the growth potential of a better quality of life for regional and diverse range of industries, and offer regional cities will allow them to rural Victorians. significant lifestyle benefits. Victoria’s support expected population growth The Government’s economic strategy to regions benefit from compact and provide greater choice for drive growth and employment, and geography, natural resources and people about where to live, work or cater for the State’s growing population, quality transport networks. start a business. is focused on boosting productivity and As a result, Victoria’s regional The Government is committed to strengthening Victoria’s economic economies are among the healthiest in ensuring that regional cities and fundamentals. This includes investing the nation. Victoria has the lowest country communities will share in the in major economic infrastructure for the regional unemployment rate of all the prosperity, opportunities and better future, creating a responsive education states. Over 2012-13, regional quality of life that future growth and training system, ensuring Victoria population growth in Victoria was will bring. is a competitive and attractive place to equal highest among the non-mining do business, growing new markets, and states. Adjusted for household investing in services to support composition, disposable incomes in liveability and population growth. regional Victoria show less inequality than any other state. 2 2014-15 Budget Information Paper Strong population and employment growth REGIONAL UNEMPLOYMENT RATES 8.5 6.6 6.2 5.8 6.0 5.4 CENT AVERAGE PER AUSTRALIAN 6.0% VIC WA QLD NSW SA TAS Source: Australian Bureau of Statistics. Original data, 12 month average to March 2014. Regional and rural Victoria has enjoyed strong population growth in recent years. AVERAGE ANNUAL POPULATION GROWTH 2002-03 TO 2012-13 In the five years to 2012-13 the average PER CENT annual regional population growth was VICTORIA 1.8 1 per cent compared with 0.7 per cent 1.5 in the preceding five year period, with 1.0 this trend evident in almost all regions. REGIONAL VICTORIA 0.7 The number of people employed in 2.0 regional Victoria grew by 31 200 over MELBOURNE 1.8 the year to March 2014. 1.5 BALLARAT 0.9 BENDIGO 1.3 1.0 1.7 GEELONG 1.2 HUME 0.7 0.5 1.2 LATROBE - GIPPSLAND 0.9 NORTH WEST -0.1 -0.1 0.6 SHEPPARTON 0.6 0.0 WARRNAMBOOL & SOUTH WEST 2008-2013 0.3 2003-2008 Source: Australian Bureau of Statistics Regional and Rural Victoria 3 State-shaping infrastructure to build a better Victoria IMPROVING SERVICES AND CHANGING THE WAY PEOPLE AND GOODS MOVE AND CONNECT THROUGHOUT VICTORIA UP TO $27 BILLION FOR NEW INFRASTRUCTURE PROJECTS • INCREASING TRANSPORT CAPACITY AND RELIABILITY • BOOSTING WORLD-CLASS FREIGHT AND LOGISTICS • BETTER ACCESS TO HEALTH AND EDUCATION • ENSURING A SAFE AND SECURE ENVIRONMENT Infrastructure projects included in the The proceeds from divestment of the The Port-Rail Shuttle Project will 2014-15 Budget, together with those Rural Finance Corporation will facilitate provide targeted infrastructure works already announced, are staged to create a additional investment in key regional to support the development of a program of infrastructure investment that and rural infrastructure. Metropolitan Intermodal System. builds a better Victoria and creates jobs. This will ensure that privately-owned intermodal terminals in strategic In the 2014-15 Budget the Government Regional rail investments is committing to an unprecedented locations across Melbourne are better Good project management means that linked by rail to the Port of Melbourne. infrastructure investment program of up the Government will deliver the to $27 billion including $1.2 billion Regional Rail Link at a reduced total Transport link to Avalon specifically in regional Victoria. This estimated investment of $4.1 billion. Transport links to Avalon will be investment will drive economic growth, This project is a vital piece of improved with an additional $1.3 million support jobs growth and boost infrastructure for regional Victoria that to enable continued planning for the productivity in Victoria. This will ensure will transform regional rail services, Avalon Airport Rail Link transport Victoria’s rail and road networks are acting as an important foundation for corridor. Avalon Airport is increasingly enhanced and well positioned to meet future growth in capacity and reliability important as a general aviation hub and the population growth challenges. of Victoria’s train network. this investment will support its future as Improving the connectivity of the The 2014-15 Budget provides an Victoria’s second international airport. regions to Melbourne, across regions additional $100.5 million over five years and to interstate destinations is critical for the ongoing maintenance of new Bus interchange in Geelong for maintaining the competitiveness of stations, bridges and other Victoria’s regional industries. It also The bus interchanges at North Shore infrastructure, including operational cements the future liveability and and Moorabool Street, Geelong, will be control and power systems to maximise prosperity of key regional centres. upgraded. This will improve links to the benefit from this major An efficient freight system will drive train services and access to the infrastructure investment. productivity throughout the broader Regional Rail link, and reduce travel economy, including Victoria’s regions. The Government is also funding several times. The Geelong Station will also be projects to improve the efficiency and upgraded with an additional $5 million An important source of funding for to improve disability access. the Government’s infrastructure effectiveness of rail services in regional Victoria, ensuring that maximum value program is the recycling of existing Ballan crossing loop assets. The Government will enter into is gained from existing transport assets. An additional $14.1 million will enable a medium-term lease over the operations The efficiency of freight movement will of the Port of Melbourne and will divest a new railway crossing loop to be be improved through a commitment of constructed at Rowsley, which will the Rural Finance Corporation. $58 million for an important intermodal The proceeds of leasing the Port of improve train reliability and increase initiative in line with Victoria - The the number of trains able to operate in Melbourne will be invested in new Freight State. productive economic infrastructure the Ballarat corridor.
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