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Martin Foley MP Martin Foley MP Minister for Mental Health GPO 8ox4057 Minister for Equality Melbourne Victoria 3001 Minister for Creative Industries Telephone: +61 3 9096 7500 www.dhhs.vlc.gov.au Ref: BMIN1800492SR Mr Luke Howarth MP Chair of the House Standing Committee on Communications and the Arts CANBERRA ACT 2600 Dear Mr Howarth INQUIRY INTO THE AUSTRALIAN MUSIC INDUSTRY Thank you for your letter to the Premier of 16 August 2018· about the Parliamentary Inquiry into the Australian Music Industry. Your letter has been referred to me for my consideration and response as the matter you raise falls within my portfolio of responsibilities. On behalf of the State Government of Victoria, I am pleased to make a submission to the Inquiry. The Victorian Government "".'elcomes this inquiry and supports a national, coordinated approach to sustaining the growth of the Australian music industry. Victoria has a demonstrated reputation as a centre of music, with more live music than any other state in Australia and a diverse array of iconic cultural music institutions, as well as supportive music·related laws and strategies. The attached submission describes the Victorian Government's significant investment in the music industry, in particular how Music Works, the Victorian Government's major program commitment, has successfully addressed challenges and opportunities affecting the growth and sustainability of the music industry in this State. Thank you for inviting a submission from the· Victorian Government's and I look forward to hearing the outcomes of this inquiry. ~ rtin Folf MP ~ inister for Creative Industries Date: ~/. {2 .. t_o(r PARLIAMENTARY INQUIRY INTO THE AUSTRALl~N MUSIC INDUSTRY FACTORS CONTRIBUTING TO THE GROWTH AND SUSTAINABILITY OF THE AUSTRALIAN MUSIC INDUSTRY VICTORIAN ,. ' ... I JIP 1111p .-a BMISSION DECEMBER 2018 1: Introduction Victoria makes a strong claim to the title of 'music capital of Australia' Victoria's music industry enjoys a stellar reputation, attracting and promoting local talent, and drawing participants from ·across Australia and around the world. The industry is a valued and dynamic contributor to Victoria's social, cultural and economic life. The industry is also a vital component of Victoria's creative industries. Collectively, these industries make up eight per cent of the state's economy, contributing over $28 billion and 260,000 jobs.1 Victoria celebrates music in all its forms: from a community and social perspective; and, as a key cultural and economic driver that brings together communities and provides development opportunities. Victoria has a demonstrated reputation as a centre of music, an industry worth over $2.5 billion nationally, contributing to the reputation of Victoria as a centre of culture and innovation. Victorja also recognises that music crosses all practices and industries. · The Victorian Government therefore welcomes the House Standing Committee on Communications and the Arts inquiry into Factors contributing to the growth and sustainability of the A_ustralian mu_sic industry. 2: IV1us1c Industry in Victoria The quality and depth of the Victorian _music industry is demonstrated across live musl~, musicians, festivals, the physical music market, community radio and the dance scene. 2.1 Lave ,uslc Melbourne is the live music _capital of Australia, with high and increasing attendance at live music performances and a vast array of live music venues -from international stadium tours to smaller neighbourhood gigs. Melbourne offers more live music venues than any other city: 465 live music venues (or one venue per 8,915 residents); more than New York, Paris, London, Berlin and Tokyo.2 These include iconic m uslc venues - such as The Forum, The Pala is, The Espy, The Corner Hotel, The Prince Band room, 1 Estimates prepared In 2018 by Department of Economic Development, Jobs, Transport and Resourc~s based on methodology of Victoria's Creative and Cultural Economy, April 2015 by Boston Consulting Group. 2 Internal data provided by Tourism, Events and Visitor Economy Branch, Department of Economic Development, Jobs, Transport and Resources. and Festival Hall- as well as countless small-to-medium city venues and.almost 200 live music venues in regional Victoria. Live music in Melbourne is further bolstered by a thriving 'open all hours' economy, supported by· all-night public transport options. Live music events in Melbourne increased by 19 per cent between 2012 and 2017, and 55 per cent of music venues reporte.d an increase in live music audie.nces in 2017.3 In 2016, live music generated $175.S million in revenue from 2.1 millior.i audience members.4 Melbourne hosts more than 62,000 live music concerts annually, worth more than $250 million in ticket sales alone, and has three times more live music performances than the national average.5 Victoria also supports a thriving contemporary, classical and Jazz music scene. Cultural institutions, such as Arts Centre Melbourne, Melbourne Recital Centre and the Geelong Performing Arts Centre s_upport strong and diverse music programming: between them, these institutions drew audiences of more than three million people in 2016-17.6 Melbourne is home to the Melbourne Symph(?ny Orchestra, Opera Australia and Orchestra Victoria. And the city hosts the high-profile Melbourne International Chamber Music Competition and Melbourne International Jazz festival. In regional Victoria, the annual Wangaratta Festival of Jazz enjoys a national reputation for outstanding jazz programming and performances. Victoria offers opportunities to develop practice and to find supportive audiences. As such, Victoria attracts music creators, of all genres, from across Australia. These creators are drawn to our grants for creation, opportunities to perform live, and our informed and engaged audiences. Victoria has produced some of the biggest contemporary music acts in the world-including The Seekers, Nick Cave, Kylie Minogue, Gotye, Paul Kelly, The Avalanches, The Presets, Temper Trap, Courtney Barnett, Tash Sultana and, among many others, Vance Joy. Young musicians are the lifeblood of the industry and flock to Melbourne for the opportunities offered across the industry. Young musicians are nurtured through programs such as FFReeZA, a mentoring initiative that provides opportunities to participate in the planning, development and delivery of music and cultural events for young people in local communities. First established in 1997, the FReeZA program reflects the importance the government places on providing young people with practical opportunities to participate in the planning, development and delivery of music and cultural events for young people, in their local community. Sixty-three per cent of FReeZA events staged in 2017 included live music; the majority were staged in regional Victoria, 3 http$:/'www.~wc.com.aii11ndustry/entertainment-and-:medh1-trends-analy~ outlook/music.html#snapshot 4 http://reports.1 lveperforma nee.corn .a u/tlcket-survey-2016/states#vlc-results 5 Music Victoria and the City of Melbourne, Victorian Live Music Census 2012 6 https://creatlve.vic.gov.au/research/data/performing-arts with 97,915 young people attending regional events and 65,276 young people attending events in Melbourne.7 · Even the humble art of busking- a vital means by which young ~usiclans test and hone their craft - is welcome and supported on the city streets of Melbou.rne. 2.3 Music-basea t-est1va1s Music was a significant component (64 per cent) of the more than 430 festivals held throughout Victoria between 2015 and 2017. Events such as Melbourne Music Week, St Kilda Music Festival, the Port Fairy Music Festival and the leaps and Bounds Festival were among the estimated 350, year-round, statewide festivals that feature live music. Music-based festivals drive regional development and visitation. They help develop audiences and are a vital source of Income for performers. Music-based festivals should therefore be considered an important component of regional development and visitation strategies. 2.4 Community Rad o Victoria is home to Triple R (3RRR 102.7FM), PBS 106.7FM, SYN and 3CR-the highest community broadcasting membership per capita in Australia. The Music Victoria 2017 Melbourne Live Music Census indicated that more music fans in Melbourne Hsten to community and public radio stations (Triple RRR and PBS FM) than any other commercial station. This may well be a world-leading example of the local appetite for independen.t music. Further, quotas on Australian music are often exceeded on community broadcasters. 3: The Value of the Victorian Music Industry 3.1 Economic The music industry makes a significant employment and value-added contribution to the Victorian economy. More than 15,000 Victorians were employed in 2015 as performing artists, n:iusic composers or performing arts support workers.8 The portion of Australian consumer spend predicted to be spent on the music industry in 2022 is 6.4 per cent9. Research by the national live Music Office found that live music spending in Australia delivers at 10 least a 3:1 benefit-to-cost ratio • The economic contribution of live music in 2011 was estin,ated at $501 million; it created 17,200 jobs in small music venues alone (Deliotte). :$.~ Cultural 7 Data provided by the Office for Youth, Department of Health and Human Services 8 https:// creative. vic.gov.au: research/data tperfo rm ing-arts 9 h~1s_;// www.11wc.c0m.au/industi 1,entertainment-and-medla-trends-anal,sis/outloolf,/muslc.html#sna;shot 10 http://livemusicoffice.com.auLwo-content/uQloadsJ2015/08/LiveMusic-re1,ort-FINAL.r
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