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10.3-Attachment-1-Regional-Economic-Development-Strategy-2018-2022.Pdf(PDF, 889KB) SNOWY VALLEYS 2018 – 2022 REGIONAL ECONOMIC DEVELOPMENT STRATEGY VISION The Snowy Valleys will build on its economic strengths and specialisations to grow the agriculture, forestry, timber product processing and tourism sectors and improve the liveability of the region to attract new residents and businesses DRAFT 13 June 2018 Preface The NSW Government has assisted local councils and their communities to develop 37 Regional Economic Development Strategies across regional NSW. Each strategy is designed around one or more local government areas that form a functional economic region as defined by economic data and community input. While the strategies have been developed using consistent methodology, each is a product of detailed data analysis and local community consultation to ensure ownership through a ‘bottom-up’ process: it sets out a vision for the region, the strategies, and early stage actions required to achieve the vision. Regional Economic Development Strategies articulate a framework for identifying actions crucial to achieving the regional vision. Projects listed within this strategy should therefore be viewed as example projects that have emerged from the initial application of the framework, rather than a comprehensive list of all potential projects. Adoption of these projects would be subject to further evaluative processes. The power of the strategy is its ability to be used on an on-going basis to identify additional high value projects over time. By complementing existing funding processes, these strategies present new opportunities to strengthen and increase investment in regional development across NSW. Importantly, the strategy should be viewed as the first stage of a process that will assist those with an interest in the economic development of the region, council, communities and local businesses, in planning their future economic activities. It provides a vehicle for engaging the community in a ‘conversation’ about regional needs and priorities, assists in bringing together key stakeholders and mobilising resources, and in so doing, can facilitate faster access to dedicated NSW Government funding, such as the Growing Local Economies Fund, as well helping to capitalise upon other economic opportunities. This Strategy, prepared by Sensing Value on behalf of the region, was formed in collaboration with the Snowy Valleys Council with input from key stakeholders and the broader regional community, which benefited from economic analytical assistance from the NSW Government’s Centre for Economic and Regional Development (CERD). It is presented in two documents, the Snowy Valleys Regional Economic Development Strategy 2018–2022 which allows the reader to quickly and easily determine key content, while the accompanying Snowy Valleys Regional Economic Development Strategy - Supporting Analysis 2018–2022 details the Strategy methodology, evidence and the strategy development process. For further information about the Regional Economic Development Strategies program please contact the CERD on 02 6391 3025 or [email protected]. SNOWY VALLEYS I Regional Economic Development Strategy I 2018 – 2022 ii Introduction The Snowy Valleys Regional Economic Development Strategy 2018–2022 (the Strategy) sets out a long - term economic Vision and associated strategy for the region’s economic development for the Snowy Valleys local government area. It builds on the endowments and economic strengths and specialisations of the region to guide investment over the next four years. 1 Economic principles suggest that endowments and specialisations play a key role in regional economy development.2 The Strategy aims to leverage the region’s endowments: its natural resource endowments including soils and water for agricultural production, its geographic location within driving distance of Sydney and Canberra and strong local institutions and businesses. These endowments are the basis of the region’s current and future specialisations in Agriculture, Soft Wood Forestry, Timber Product Processing and Tourism. These endowments and specialisations were identified through data analysis and informed by community consultation undertaken by Snowy Valleys Council. The Strategy, which builds on the endowments and specialisations, aims to ensure a long-term sustainable future for the region through a number of priorities. These include sector-specific strategies as well as a more general cross-sector strategy: • support and grow the Agriculture, Forestry and Timber Product Processing sectors; • continue to develop and grow the Tourism sector; • enhance the liveability of the Snowy Valleys region to attract new residents and businesses; • improve access to and reliability of infrastructure, utilities and telecommunications. While the order of these strategies reflects current opportunities to be leveraged or issues to be addressed, each priority should be considered as part of a holistic package that will be important for the overall growth of the regional economy in to the future. This strategy is the culmination of collaboration between the Snowy Valleys Council informed by input from the Snow Valleys community and the NSW Government’s Centre for Economic and Regional Development (CERD). 1 Regional Economic Development Strategies, Centre for Economic and Regional Development (https://www.dpc.nsw.gov.au/programs_and_services/centre_for_economic_and_regional_development/projects) 2 Regional Economic Growth Enablers Report (2017), Centre for Economic and Regional Development. SNOWY VALLEYS I Regional Economic Development Strategy I 2018 – 2022 1 Background The region’s boundaries and its constituent LGAs are shown in Figure 1. Figure 1: Snowy Valleys region boundaries The Snowy Valleys FER is comprised of the LGA of Snowy Valleys Council. The region encompasses a total land area of 8,960 square kilometres and is located in the western foothills of the Snowy Mountains, bordered by Kosciuszko National Park in south. Tumut and Tumbarumba, the two major industrial and population centres, are both within a three hour drive from Canberra International Airport. The local government area also includes the towns and villages of Adelong, Batlow, Brungle, Jingellic, Khancoban, Rosewood and Talbingo. The Snowy Mountains Highway is a major transport corridor within the region and connects with the Hume Highway. As at 2016, the total population of Snowy Valleys was 14,395 people of which 4.4% of were of indigenous heritage. Demographically, the region is characterised by a significant aging population. As of 2016, the population of the Snowy Valleys region has a higher proportion of older and retirement aged individuals compared to the NSW state average, as well as a significantly smaller proportion of working aged individuals from the ages of 15 to 49.3 This suggests that many young people leave the region for educational or employment opportunities elsewhere. Agriculture is one of the region’s major employing sector and plays a critical role in the regional economy. The major activities associated with this sector are Sheep, Beef Cattle and Grain Farming and Fruit and Tree Nut Growing. The other major employing sectors are Forestry and Timber Processing. The major activies 3 Australian Bureau of Statistics census data, August 2016 SNOWY VALLEYS I Regional Economic Development Strategy I 2018 – 2022 2 associated with these sectors are Log Sawmilling and Timber Dressing, Converted Paper Product Manufacturing and Forestry and Logging. The Sheep, Grains, Beef and Dairy Cattle sector has the highest value add within the Snowy Valleys region ($164 million) although activities related to forestry and timber processing in aggregate total $318 million value added (Paper Stationery and Other Converted Paper Manufacturing, Sawmill Product Manufacturing and Forestry and Logging). Employment size can be one indicator of a natural endowment or specialisation within a region. Using this employment data in conjunction with other sources such as community consultation and online surveys, as well as in consideration with other indicators such as sector value-add, exports and imports (which can be found in the Supporting Analysis Document), the natural endowments can be established within the region. Trends in employment in the regions industry sectors are shown in Figure 2 below. Figure 2. Employment in the Region, 2001–2016 1,400 1,200 Agriculture, Forestry and Fishing Manufacturing 1,000 Health Care and Social Assistance Retail Trade 800 Accommodation and Food Services 600 Education and Training Construction 400 Public Administration and Safety Transport, Postal and 200 Warehousing Administrative and Support Services 0 2001 2006 2011 2016 Ultimately, economic indicators represent one aspect of the approach to identifying key sectors. Other types of information, such as community consultation and online surveys, provide qualification and context that can be used in conjunction with these indicators to identify the sectors which represent the region’s comparative advantage. SNOWY VALLEYS I Regional Economic Development Strategy I 2018 – 2022 3 Endowments Endowments are strengths that a regional economy possesses and can capitalise on. Economic principles suggest that endowments play a key role in the economic development of each region. The CERD in its Regional Economic Enablers Report (2016) found that: the future of individual regional economies is inexorably linked to their natural endowments and attempts to retain or establish industries without an underpinning endowment
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