Port Phillip Economic Development Strategy by The City of Port Phillip

port phillip ECONOMIC DEVELOPMENT STRATEGY 2012-2016

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

CONTENTS GLOSSARY OF TERMS A MESSAGE FROM THE MAYOR

EXECUTIVE SUMMARY

Background

Economic Vision

Value of Economic Development in Port Phillip

Port Phillip Strategic Context

Strategic Policy Context

Economic Context

Strategic Directions

Disclaimer Parts of this document may contain estimates based on assumptions that may be subject to error. Although all care has been taken to verify such estimates readers must not alter their position or refrain from doing so in reliance on them. If you have any doubts about the accuracy of this document, we would advise that you find out from alternative sources.

Economic Development Policy and Direction

Centres of Industrial and Business Activity

Environmental Sustainability Policy and Direction

SECTION 5 ECONOMIC CONTEXT

Key Findings

Population Trends

26 27 28

Commuting Patterns

Economy

Vision

10 11

SECTION 2 ECONOMIC DEVELOPMENT AND THE ROLE OF THE CITY OF PORT PHILLIP

What Is Economic Development?

What Can Council Do to Influence Economic Development Within Port Phillip?

FIGURES

Social Disadvantage

Background

The Value Of Economic Development to the City Of Port Phillip

SECTION 4 STRATEGIC POLICY CONTEXT

Demographic Profile

SECTION 1 INTRODUCTION

Economic Development Strategy Framework

Acknowledgement City of Port Phillip acknowledges Urban Enterprise Pty Ltd in the development of the Port Phillip Economic Development Strategy 2012-2016.

SECTION 3 STRATEGIC CONTEXT

Strategic Location Context

Strategic Strengths

Strategic Weaknesses

Strategic Opportunities

Strategic Threats

SECTION 6 STRATEGY ACTION PLAN

Strategic Direction 1: An Integrated and Inclusive Local Community

Strategic Direction 2: Sound Environmental Leadership

Figure 1: Economic Development Strategy Framework

Figure 2: City Of Port Phillip

Figure 3: Port Phillip Age Profile, 2006

Figure 4: Spatial Distribution Of Professional Services & Property Businesses In Port Phillip

Figure 5: Map Of Manufacturing, Trade & Industry Businesses In Port Phillip

Figure 6: Map Of Activity Centres In Port Phillip

Figure 7: Concentration Of Creative Workers By Municipality

Figure 8: Spatial Distribution Of Creative Industries, Arts & Recreation Businesses In Port Phillip

Figure 9: Clustering Of Performing Arts Businesses In Port Phillip

TABLES Table 1: The Value of Economic Development to the City of Port Phillip

Table 2: Population Trends, 2001–2006

Table 3: Population Forecasts, 2006–2026

Strategic Direction 3: A World-Class Tourism Destination Which Balances Visitation and Amenity

Strategic Direction 4: Flourishing Activity Centres

Table 4: Seifa 2006 Analysis (Index of Relative Socio-Economic Advantage)

Table 5: Employment by LGA Location, 2006

Table 6: Industry Sector Performance

Table 7: Major Industry Categories

Strategic Direction 5: Strong Economic Clusters Strategic Direction 6: The Creative City

SECTION 7 MONITORING & EVALUATION

Photos (opposite top and front cover, top-right): John Gollings

Table 8: Overnight Visitors to City of Port Phillip

Table 9: % Of Home Workers, 2006

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

GLOSSARY OF TERMS ABS Australian Bureau of Statistics APBCC Albert Park Business & Community Committee C Council CBD Central Business District CD Community Development (City of Port Phillip Council Department) CL Culture & Leisure (City of Port Phillip Council Department) CLUE Census of Land Use & Employment CRM Customer Relationship Management CSR Corporate Social Responsibility DIIRD Department of Innovation, Industry & Regional Development DoT Department of Transport EDU Economic Development Unit (City of Port Phillip Council Unit) ESD Ecological Sustainable Development FYC Families, Youth & Children (City of Port Phillip Council Department) IMAP Inner Melbourne Action Plan LGA Local Government Area LLEN Local Learning & Employment Networks PCA Property Council of Australia PS Property Services (City of Port Phillip Council Department) SD Statistical Division SEIFA Socio-economic Indexes for Areas SKTA St Kilda Tourism Association SMM South Melbourne Market (City of Port Phillip Council Department) SLA Statistical Local Areas SP Strategic Planning Unit (City of Port Phillip Council Unit) SUS Sustainability (City of Port Phillip Council Department) SWOT Strengths, Weaknesses, Opportunities & Threats VFR Visiting Friends & Relatives VIC Visitor Information Centre

A MESSAGE FROM THE MAYOR The City of Port Phillip is a great place to do business. Visitor numbers are up, our local economy is strong and the first class facilities we are famous for have never looked so good. The job of the Council and City in helping local business is an important one. Each year, we produce an Action Plan which supports our five-year Economic Development Strategy. The strategy has three objectives. These are to: • E nhance competitive advantage for businesses in the municipality • I ncrease connections between the business, not-for-profit sector, visitor and residential communities • D rive prosperity across the entire Port Phillip community.

Council’s role is as an enabler of better business. Our job is to facilitate and influence so that local businesses are supported to grow and prosper. In order to do this we work with businesses and business groups, we promote innovative ways of doing business, we partner with State and Federal Government agencies, and we conduct activities, programs and campaigns to stimulate economic growth. The City of Port Phillip is a great place to live and it’s a terrific place to work. Local businesses have an exciting future ahead. If you would like to download an electronic copy of this document, please visit our website at www.portphillipbusiness.com.au, or if you would like more information on this Economic Development Strategy, please call ASSIST on +61 3 9209 6777.

Rachel Powning Mayor

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

EXECUTIVE SUMMARY BACKGROUND The City of Port Phillip Economic Development Strategy 2012-2016 is a key strategic document that will deliver Council’s vision by presenting a coherent and actionable plan for the next five years. It has been informed by consultation with the community (residents, businesses and their key representatives) and is underpinned by the Local Government Act 1989, the Council Plan and other strategic documents including Municipal Strategic Statement, Towards Zero Sustainable Environment Strategy, Health and Wellbeing Plan and the Sustainable Transport Plan.

The purpose of the Economic Development Strategy is to identify timely, practical and evidence-based strategies and actions that will: • Enhance competitive advantage for businesses in the municipality • I ncrease connections between the business, not-for-profit sector, visitor and residential communities • Drive prosperity across the entire Port Phillip community • Focus on ‘green’ business through supporting sustainable business operations and promoting participation in green business programs.

ECONOMIC VISION Port Phillip will be a vibrant, inclusive, prosperous and sustainable local economy that meets the needs and aspirations of our community.

Photo: St Kilda Road Parkview Hotel

VALUE OF ECONOMIC DEVELOPMENT IN PORT PHILLIP Economic development promotes prosperity and improved quality of life across the whole community by supporting, serving and advocating for local businesses. This is achieved through a range of value-added services which foster a sustainable, vibrant business environment. The value of economic development to the Port Phillip community is multi-faceted. It: • D evelops skills, knowledge and experience that can be celebrated and utilised by the community • Tackles climate change by providing local businesses with practical advice and measures to reduce carbon emissions and reduce operational costs, thereby increasing the capacity of business

• Maximises local multiplier effects (where an increase in one economic activity starts a chain reaction in others) • Facilitates social inclusion • Enhances the vibrancy, atmosphere, diversity and liveability of the area • Fosters economic growth and business prosperity • Encourages local access to goods and services for the City of Port Phillip community, which supports local jobs and business growth in the municipality. The City of Port Phillip recognises that, although it does not directly deliver business outcomes, its role is as an enabler. The Council’s objective is to facilitate and promote economic development within the context of its wider environmental, social and cultural sustainability objectives. As such, Council’s role is to influence appropriate investment and business development in line with Council goals and facilitate a conducive business environment.

Achieving these outcomes requires a partnership approach i.e. close coordination between the Economic Development Unit, other units within Council and other levels of Government and business groups/representatives. Council is an enabler of economic development. Its role is to create the environment where businesses can grow and new opportunities will be considered and explored.

PORT PHILLIP STRATEGIC CONTEXT The City of Port Phillip enjoys a drawcard location. Strategically positioned between the Melbourne CBD, the bay and the port, the City of Port Phillip is a landmark for a range of reasons. The area has convenient transportation access for freight and distribution as well as excellent public transportation links. The City of Port Phillip has first class tourism assets and infrastructure and is home to some of Victoria’s best known attractions. Renowned for its unique

atmosphere and diversity, the area is an attractive destination for a wide cross-section of residents, visitors and businesses. The City of Port Phillip is an iconic Victorian location with first class tourism assets, sophisticated infrastructure and celebrated diversity. The City’s image is somewhat threatened by perceptions that there are safety/security issues in some areas which may impact on amenity. There are similar concerns relating to the impact of high rents on maintaining the City’s unique diversity and vibrancy. Stakeholder consultation conducted in development of this strategy revealed that some business people felt that major and neighbourhood activity centres within Port Phillip were becoming increasingly homogenised in their retail, food and entertainment offer. Finally, Council’s development of this strategy aims to strengthen its engagement with local business and community members.

EXECUTIVE SUMMARY

STRATEGIC POLICY CONTEXT A review of the existing regional and local policy context revealed a number of policy directions relating to creating a sustainable economic future for Port Phillip. These are outlined on page 20 of this document and key points include: • The importance of seeking to achieve social, environmental and cultural sustainability aims, not just economic growth at whatever cost • P ort Phillip has a strong competitive advantage in professional services and property quality and that retaining these competitive strengths should be a priority • The City of Port Phillip has a vision for a vibrant well-managed tourism industry and encourages visitation (local, domestic and international) which delivers benefits to the local community • T he importance of retaining the significant role of Fishermans Bend (Port Melbourne) as a manufacturing, trade and industry hub

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

• The City of Port Phillip supports a diverse, creative city with safe and affordable cultural events • The development of lively, viable, diverse and attractive retail precincts • Support for green business and encouraging businesses and organisations to be environmentally sustainable • Social inclusion, health and wellbeing, and social justice are underpinning principles in a range of existing policies. A sustainable business environment in the City is underpinned by a range of government and businessbased policies.

ECONOMIC CONTEXT

• P ort Phillip is an area where a significant proportion of the population earn above the average Melbourne weekly income, suggesting that it is a relatively affluent area, however, there are localised pockets of social disadvantage within the municipality • A lthough there are more jobs than working residents in Port Phillip, 75 per cent of working residents are employed outside the municipality. This diminishes local multiplier effects and impacts on environmental sustainability • Professional services and property, manufacturing, trade and industry, tourism and retail trade account for over 75 per cent of jobs in the municipality

• P ort Phillip's population is growing • Emerging sectors within the fast and this is set to continue in the municipality include green short-medium term businesses and home–based businesses. • Port Phillip has a significant proportion of working age adults indicating a large resident workforce. Evidence suggests that people over 60 years of age are moving to Port Phillip, while at the other end of the scale, younger people under 24 years of age are moving out of the area

The City of Port Phillip has a strong economic foundation. Further growth is predicted.

STRATEGIC DIRECTIONS The strategic directions are the bridge between vision and strategy. They reflect the areas of focus and priorities for Council to achieve its vision. Council has defined six strategic directions, each of which links back to the Council Plan. A Strategy Action Plan is included in the final section of this document which outlines strategies and actions linked to each of the strategic directions. Council has developed six strategic directions to set a course for the future. STRATEGIC DIRECTION 1: AN INTEGRATED AND INCLUSIVE LOCAL COMMUNITY The Port Phillip community will be one where business people, residents, visitors and community organisations value and benefit from each other’s strengths to contribute to a greater sense of vitality, vibrancy, sustainability and liveability. Opportunities to meaningfully participate in community life by way of employment, recreation, education and social and civic activities are open to all community members. Feature activities: • C reate partnerships between business and the community to promote diversity, support community interaction and create local employment • D eliver the biennial Business Excellence Awards (to be held in 2012, 2014 and 2016) to reward and recognise the success and achievements of businesses in the Port Phillip community

• H ost a series of networking events, training and mentoring sessions to strengthen the business community, build capacity and support growth of businesses • E stablish an Economic Development Advisory Panel to provide guidance to Council in relation to economic issues and to foster and encourage the achievement of sustainable economic development within the municipality • E nsuring access to education, training and learning opportunities for personal, professional and career development that encourages life-long learning. STRATEGIC DIRECTION 2: SOUND ENVIRONMENTAL LEADERSHIP Environmental sustainability will be at the forefront of the Port Phillip economy both in relation to existing business practices and development of innovative green business clusters. Feature activities: • E ncourage participation in the CitySwitch program by employing a dedicated CitySwitch Officer to recruit participants to the program • C ollaborate with (or promote) Council, State and Federal Government climate change programs to local businesses in the City of Port Phillip

• E valuate the effectiveness of the pilot Green Business Program and develop a staged implementation plan that progressively rolls out the program to various activity centres across the municipality over the next three years. STRATEGIC DIRECTION 3: A First class TOURISM DESTINATION WHICH BALANCES VISITATION AND AMENITY Port Phillip will encourage sustainable tourism experiences and respectful visitation which does not compromise local amenity or the natural environment. Feature activities: • C ollaborate with City of Melbourne, City of Stonnington and City of Yarra through the IMAP Tourism Working Group to strategically develop and position Inner Melbourne as a vibrant and welcoming destination • H elp build the capacity of the St Kilda Tourism Association • P artner with Destination Melbourne in the development of tourism publications, which will continue to grow all parts of Port Phillip as an exceptional visitor experience • P romote and support the Tourism Accreditation Program, which enhances industry professionalism and improves standards.

EXECUTIVE SUMMARY

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGIC DIRECTION 4: FLOURISHING ACTIVITY CENTRES The Port Phillip community will be supported by a number of strong, vibrant, differentiated and accessible major and neighbourhood activity centres providing convenience and a connection to the local community for residents and visitors.

STRATEGIC DIRECTION 5: STRONG ECONOMIC CLUSTERS Port Phillip will continue to be home to a number of industry clusters of state-wide significance supported by a variety of emerging industry clusters that serve to make the municipality a premium destination for employers and employees alike.

STRATEGIC DIRECTION 6: THE CREATIVE CITY The City of Port Phillip will be renowned within Victoria and nationally as the ‘creative city’, respected for its high proportion of creative businesses and workers, creative events and leading arts and cultural institutions.

Feature activities:

• C ontinue the ongoing administration and governance of Special Rates Schemes, in partnership with Business Associations, to enable:

• P romote the strong competitive position of St Kilda Road as a core commercial hub

—> Business Associations to develop individual business plans which maintain a ‘point of difference’ and diversified business mix —> Local self-sufficiency in the retail offering available to the community —> The facilitation of business development and coordinated marketing and promotion. • P rovide governance training and capacity building for board members of Business Associations • F acilitate ‘Building Connections – Business Associations Network’ between the Business Associations across the municipality.

• E stablish a dedicated business forum for Fishermans Bend Industrial Precinct • U ndertake primary research on Fishermans Bend to collect and analyse key data and information on businesses to support economic development and planning initiatives

Feature activities: • U ndertake an economic benefit analysis to understand the value of the creative sector to Port Phillip’s economy and identify opportunities for future business development and clustering

• E xplore the significance of Fishermans Bend to the state and regional economy, and advocate • Work with Business Associations on behalf of Fishermans Bend with in Albert Park and Elwood to other levels of Government support community festivals • Actively promote Fishermans in non-levied neighbourhood Bend to a range of stakeholders activity centres to provide using a variety of communication creative, community-based strategies and media formats. activities that stimulate business growth and development.

SECTION 1

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

INTRODUCTION The City of Port Phillip Economic Development Strategy 2012-2016 is a key strategic document that seeks to deliver Council’s vision by presenting a coherent and actionable plan for the next five years. It is informed by consultation with the community (residents, businesses and their key representatives) and is underpinned by the Local Government Act 1989, the Council Plan and other strategic documents including the Municipal Strategic Statement, Towards Zero Sustainable Environment Strategy, Health and Wellbeing Plan and the Sustainable Transport Plan. The purpose of this document is to identify timely, practical and evidence-based strategies that will enhance competitive advantage for businesses in the municipality, increase connectivity between the business, residential and visitor communities, and drive prosperity within the Port Phillip region.

The strategy is intended to provide an achievable plan for the future while responding to the challenges and opportunities presented by the local economic context (actions that underpin the strategy are outlined further in this document, commencing on page 44). In addition, Council is moving to position economic development in a much wider context of environmental, social and cultural sustainability, while being conscious of the need to balance these aims against the continued financial viability of local businesses. This strategy has been informed by a detailed economic profile and situation analysis, and consultation with stakeholders across the Port Phillip business community.

VISION The City of Port Phillip’s vision for economic development is as follows:

Port Phillip will have a vibrant, inclusive, prosperous and sustainable local economy that meets the needs and aspirations of our community. ‘Our community’ refers to the residents, businesses and visitors who have a stake in the Port Phillip economy.

ECONOMIC DEVELOPMENT STRATEGY FRAMEWORK

• C onsultation with internal departments of Council (e.g. Community Development, Sustainability, Strategic Planning, Communications and Engagement) and external stakeholders (e.g. community

• Strategies define how Council will

groups, Business Associations and local businesses) has

move towards achievement of its

helped to shape the vision

strategic directions

and determine the strengths,

Figure 1 shows how this economic development strategy has been developed. The key components of the strategy are as follows:

• Actions relate to the specific,

weaknesses, opportunities and

tangible and measurable activities

threats that apply to the City of

that Council undertakes to achieve

Port Phillip economic context

realisation of the strategies,

• The strategic directions are

strategic directions and vision.

informed by the vision and supported with background research to define the directions in which Council is heading with regard to economic development in the municipality

Consultation External: Business owners, Business Associations Internal: City of Port Phillip stakeholders Vision & Themes

Strategie Policy Context

SWOT

Economic Situation Analysis

Socio-Economic Profile

Strategic Directions Where Council should be going to achieve its Vision Strategies How Council can get there Strategy Action Plan

BACKGROUND

Actions What Council can actually do

Figure 1 Economic Development Strategy Framework

SECTION 2

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

ECONOMIC DEVELOPMENT AND THE ROLE OF THE CITY OF PORT PHILLIP WHAT IS ECONOMIC DEVELOPMENT? Economic development is the practice of stimulating, attracting or maintaining business activity and/or employment within a defined geographic region. The task of economic development is usually undertaken by a responsible governing authority but can also be performed by community organisations and/or other independent agencies. Successful economic development is typically characterised by an improvement to the economic wellbeing of an area and is commonly quantified via measures such as an increase in the number of jobs, higher incomes, greater investment and/or higher tax revenues to fund infrastructure and services.

In the case of Port Phillip, the focus of economic development is to achieve sustainable economic growth that delivers positive outcomes for environmental, social and cultural sustainability within the municipality. As such, in addition to traditional measures of job growth and investment attraction, indicators relating to social inclusion, environmental business practices and creativity will also be relevant.

THE VALUE OF ECONOMIC DEVELOPMENT TO THE CITY OF PORT PHILLIP Economic development promotes prosperity and improved quality of life across the whole community by supporting and serving the needs of local business people. This is achieved through a range of value-adding services that foster a sustainable, vibrant business environment.

Investing in economic development should not only deliver outcomes for the local business community but also create benefits for the wider community. Table 1 shows the value that economic development brings to the entire Port Phillip community, mapped against the Council Directions in the Council Plan. Achieving these outcomes requires close co-ordination and co‑operation between the Economic Development Unit and other departments and units within Council which influence economic development directly or indirectly. For example, Sustainability, Strategic Planning, Events, Community Development, Communications and Engagement, and South Melbourne Market.

Council Direction

The Value of Economic Development

1. Engaging and Governing the City

The business community in Port Phillip contains a wealth of skills, knowledge and experience. Economic development facilitates sharing of these skills and knowledge with the wider community through facilitation of corporate citizenship, leadership and/or networking programs.

2. Taking Action on Climate Change

Economic development can play a lead role in tackling climate change by advocating emissions reduction strategies for businesses in areas such as: —> Retrofitting buildings —> Maximising renewable energy opportunities —> Reducing water use. Economic development can help encourage green businesses to relocate to Port Phillip. Economic development is effective in maximising local multiplier effects in terms of getting more residents to work and shop locally, consequently minimising the need for car travel. Economic development influences the take-up of more sustainable modes of transportation and advocates for improvements to public transport infrastructure.

3. S trengthening our Diverse and Inclusive Community

Economic development can address social exclusion by increasing employment opportunities amongst disadvantaged groups. For example, by developing partnerships between industry and community organisations with the purpose of identifying jobs and training opportunities for the less advantaged. It also provides a mutual benefit for business and community organisations as relationships are created, skills and expertise are shared and networks are extended. Economic development leverages from the City’s existing creative economic base to further enhance the vibrancy, atmosphere and cultural diversity of the area.

4. Enhancing Liveability

Economic development, as its central aim, seeks to improve quality of life for all community members through supporting local businesses, and strengthening the links between local community and businesses. Economic development broadens working opportunities available to residents by providing support for home-based businesses and entrepreneurs. Economic development enhances the overall appeal and attractiveness of the area through well-managed tourism visitation and retail diversification, and access to a range of goods and services. Table 1 The Value of Economic Development to the City of Port Phillip

SECTION 2

WHAT CAN COUNCIL DO TO INFLUENCE ECONOMIC DEVELOPMENT WITHIN PORT PHILLIP? Through its networks with local businesses and knowledge of industry, Council aims to strengthen business within Port Phillip, facilitate economic growth and reduce the barriers that impede growth within the municipality. Within the City of Port Phillip, Council aims to produce a range of benefits for the business and community by: • I mproving financial returns for business through various workshops and seminars • F acilitating business and community partnerships to reduce unemployment and underemployment • E xhibiting community leadership and building community relations • C reating networking forums for businesses to share knowledge, ideas and issues • I mproving environmental efficiency within business and educating business on sound environmental practises • I ncreasing the level of visitation within the municipality while ensuring the impacts to the residential community are minimised

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

• S trengthening business capacity and resilience in major and neighbourhood activity centres in Port Phillip through building networks and promoting individual precincts • I ncreasing investment and retention of business in the municipality • E mpowering different industries critical to Port Phillip’s economic success through clustering • S trengthening the creative industry within Port Phillip, building on our competitive advantages to attract, retain and integrate businesses within this sector. PARTNERSHIPS WITH GOVERNMENT AND NONGOVERNMENT AGENCIES In addition to delivering on its own initiatives, Council also aims to partner with the State and Federal Government to successfully deliver programs, services and information to local businesses. The State and Federal Governments have a range of initiatives that target all industry types within Victoria. The City of Port Phillip is focused on selecting and communicating the initiatives that best suit the business, industry and community needs of the municipality, and which also contribute to the overarching Council Plan.

Accordingly, local knowledge and understanding of local business and community needs allows Port Phillip to achieve maximum value and effectiveness for these initiatives. The State and Federal Governments do not have the networks or the capacity to engage business at a local level as effectively as the City of Port Phillip. Therefore, it is considered part of the City of Port Phillip’s responsibility to ensure local businesses are made aware of the State and Federal Government’s offerings, disseminating information in a consistent, targeted and efficient manner. Council has the local knowledge, the networks and understanding to interpret State and Federal Government initiatives most appropriate to local businesses. In terms of partnership opportunities, Council is focused on a number of initiatives that meet local business needs and contribute to the goals and priorities of the City of Port Phillip. For example, Council has developed, and is currently developing, partnerships with a number of agencies including Tourism Victoria, the Department of Business and Innovation, Sustainability Victoria and AusIndustry. These partnerships will contribute to a number of economic development strategies, such as delivering business mentoring, increasing visitation in the municipality and improving energy efficiency among local businesses.

Council also works with a number of local, non-government agencies and organisations in order to achieve economic development for Port Phillip. For example, Council is working closely with Destination Melbourne and the Victorian Employers' Chamber of Commerce and Industry (VECCI), focusing on a number of partnership opportunities in the areas of tourism marketing and development, and sustainability, specifically targeting small business. Council also collaborates with other local government associations around Victoria, working together to improve the team’s service delivery and exploring ideas to better address key areas of economic development. Additionally, Council also works closely with Business Associations across the municipality’s major activity and neighbourhood centres to promote their precincts in Port Phillip and beyond, and to address issues impacting their ability to grow and prosper.

Therefore, Council has an accurate assessment of local needs, and understands the key factors that not only contribute to economic growth, but the collective issues that impede economic growth. Subsequently, Council can use this knowledge to create a favourable framework to do business in Port Phillip by harnessing existing strengths, and reducing or removing barriers that suppress economic growth.

Art galleries: • T he Gallery located at the St Kilda Town Hall, The Gallery presents exhibitions which encourage an appreciation for arts and culture, and are of particular relevance to the area and its community • T he Linden Gallery has been devoted exclusively to the exhibition of art produced by living artists for over 20 years

The City of Port Phillip operates • Gasworks Arts Park and/or is involved with a number of owned by the City of Port Phillip, organisations, events and attractions this precinct is leased by Gasworks across the municipality. This support Arts Inc, a community based and collaboration contributes to the non-profit organisation which ongoing success and vibrancy of presents an annual program Port Phillip. Council has involvement of festivals, events, exhibitions with the following: and performances. Markets: • S outh Melbourne Market Council operates the South Melbourne Market, Melbourne's oldest continuing market, which has achieved remarkable status within the community as a leading market in Melbourne

PARTNERSHIP WITH BUSINESSES • St Kilda Esplanade Market Council works with businesses established in 1970 as an arts themselves. While it is impossible incubator and opportunity for the for Council to engage with all of Port sale of arts and crafts produced by Phillip’s estimated 16,500 businesses the local artists’ community. individually, it is able to gain valuable information and knowledge by consulting with a large number of businesses within the municipality in a range of different industries.

The City of Port Phillip works closely with local businesses and business representative groups to research, develop and promote initiatives which assist local businesses.

SECTION 3

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGIC CONTEXT STRATEGIC LOCATION CONTEXT The City of Port Phillip is an inner city Local Government Area (LGA) within metropolitan Melbourne. It is bordered by the City of Melbourne to the North and West, the City of Stonnington to the North East, the cities of Bayside and Glen Eira to the South East and Port Phillip Bay to the South and South West. The City contains the suburbs of South Melbourne, St Kilda, St Kilda West, Elwood, Albert Park, Middle Park, Ripponlea and Balaclava and parts of St Kilda East, Windsor, St Kilda Road (Melbourne) and Port Melbourne.

STRATEGIC STRENGTHS STRATEGIC WEAKNESSES

MELBOURNE CBD SOUTH SOUTH WHARF BANK

PORT OF MELBOURNE

CITY OF MELBOURNE

SOUTH MELBOURNE

PORT MELBOURNE

ALBERT PARK

CITY OF STONNINGTON

ST KILDA ROAD

MIDDLE PARK

PORT PHILLIP BAY

The City of Port Phillip enjoys a drawcard location for residents, visitors and workers alike. Port Phillip’s strategic position between the Melbourne CBD, the bay and the port has allowed it to prosper economically and socially.

WINDSOR

ST KILDA WEST ST KILDA

ST KILDA EAST BALACLAVA

city of port phillip neighbourhoods 0

0.5 kilometers

ELWOOD

CITY OF GLEN EIRA RIPPONLEA

CITY OF BAYSIDE

Figure 2 City of Port Phillip Source: City of Port Phillip & Land Victoria data September 2011

The area has convenient transportation access for freight and distribution as well as excellent public transportation links to the CBD and elsewhere by train, tram and bus. The City of Port Phillip has first class tourism assets and infrastructure and is home to some of Victoria’s best known attractions including Luna Park, the St Kilda Foreshore, Station Pier and the popular beaches along Port Phillip Bay. Port Phillip is renowned for its unique atmosphere and cultural diversity which makes the area an attractive destination for a wide cross-section of residents, visitors and businesses.

The City of Port Phillip’s image is somewhat impacted by perceptions that there are safety/security issues in some areas which effect amenity for residents, visitors and businesses. There are similar concerns relating to the impact of high rents on maintaining the City’s unique diversity and vibrancy. For example, there is anecdotal evidence of a ‘creativity drain’ whereby artists and arts businesses are relocating to the inner North because they cannot afford Port Phillip rents. Stakeholder consultation also revealed that some business people felt that major and neighbourhood activity centres within Port Phillip were becoming increasingly homogenised in their retail, food and entertainment offer. Additionally, despite the abundance of local job opportunities, the vast majority of residents work elsewhere which leads to poor job containment.

SECTION 3

STRATEGIC OPPORTUNITIES The strategic opportunities for the City of Port Phillip build on the comparative advantages of the municipality. Specifically, opportunities exist to: • S trengthen relationships between the business community and local residents • F acilitate employment partnerships to address social disadvantage and take the lead in creating a conducive business environment to attract green and creative businesses • I ncrease the degree of connectedness between business and council and enhancing knowledge capital through research • C ontinue to develop strong business networks with industry partners • D evelop Fishermans Bend to maximise the area’s business development potential

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

• M aximise the City’s location on Port Phillip Bay for tourism development, including leveraging from cruise ships and St Kilda as a key tourism destination for local, domestic and international visitors

STRATEGIC THREATS External threats are where Council has little to no control. For example, fluctuations in the Australian dollar affect a number of industries, particularly tourism.

A higher Australian dollar results in more outbound international travel and decreases the level of inbound travel. Additionally, Council programs can hinge on the policies of the State and Federal Government, • Strengthen the city’s unique activity centres to meet the needs such as the introduction of the price on carbon, State Government related of local residents and visitors planning decisions and changes in • Further attract and retain interest rates. While Council has little professional business services in to no control over these external St Kilda Road and South Melbourne. factors, the key concern for Council will be knowledge sharing with industry and educating businesses on these factors and how they will be affected, including strategies that can mitigate their impact. • H arness the creative communities of Port Phillip to grow and develop new business in the arts, production and media industries

SECTION 4

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGIC POLICY CONTEXT A review of the existing policies underpinning this Strategy revealed a number of general policy directions (as outlined below) that relate to creating a sustainable economic future for Port Phillip. The City of Port Phillip Economic Development Action Plan 20052009 outlined a number of strategic directions for economic development in the municipality including fine-tuning (not structural change) of the local economy; a greater Council role in economic development leadership; marketing and promotion of local businesses; creation of vibrant, bustling activity centres for neighbourhood shopping; and development of a business advisory board.

The strategy also encouraged active participation by local residents in what the community has to offer.

ECONOMIC DEVELOPMENT POLICY AND DIRECTION • The City of Port Phillip Council Plan 2009-2013 aimed to: —> Facilitate economic development which supports a diverse and sustainable community and underlines the importance of seeking to achieve social, environmental and cultural sustainability aims, not just economic growth at whatever cost —> Implement strategies to encourage positive behaviour from visitors

In addition, the City of Port Phillip Tourism Strategy 2007-2010 sought to manage visitation; encourage —> Promote the development of visitor respectfulness; focus safe and affordable cultural on promoting existing tourism events and the development strengths over building new product; of integrated arts and learning develop stronger networks with hubs whilst building a creative industry partners; and provide community. positive support to the local tourism industry.

• T he Fishermans Bend Planning and Economic Development Strategy 2010 provides a number of initiatives that identify directions for further development into a high technology industrial precinct. This would deliver increased opportunities for employment and business development within an environmental industry business cluster, while redefining the role of industrial land in South Melbourne to accommodate a shift in land use to better utilise existing infrastructure • T he Port Phillip Business Confidence Survey 2011 identified up-skilling in “advertising and marketing” as the most popular business development services that Council can provide for businesses, followed by “networking” programs. These findings are consistent with the Port Phillip Business Confidence Survey 2009 which found that businesses regarded networking and professional development as key services that Council can provide.

CENTRES OF INDUSTRIAL AND BUSINESS ACTIVITY Many of Port Phillip’s major activity centres are viewed as rejuvenated and powerful economic engines, drawing in visitors and destination shoppers from overseas, interstate and country Victoria as well as greater Melbourne. However, there is a need to ensure that Port Phillip’s activity centres serve the weekly shopping and convenience needs of the local population. • The City of Port Phillip Activity Centres Strategy 2006 provided a holistic understanding of the complex role and function of activity centres. It further provides an understanding of the contribution activity centres make to creating and supporting sustainable communities

• The South Melbourne Central • T he Municipal Strategic Statement Structure Plan 2007 aimed to seeks to build on Port Phillip’s establish South Melbourne Central competitive strengths to maximise as the principal retail , business, job opportunities in a changing cultural and community centre economy through: within the local area —> Protecting the core industrial hub of Fishermans Bend and its • The South Melbourne Activity Centre Business Plan 2007-12 vision association with the port is to develop the South Melbourne —> Maintaining the role of St Kilda Business Precinct as the preRoad as the City’s premier eminent shopping, business and commercial strip community centre in the City —> Facilitating the transition of key of Port Phillip and as one of the business clusters to capitalise on significant traditional activity the proximity to the Melbourne centres in Melbourne Central Business District, and • The Port Melbourne Activity Centre the emerging demand for Business Plan 2007-11 sought to advanced business services and position the precinct as the ‘heart’ knowledge based industries. of Port Melbourne, offering vibrant • The Fishermans Bend Planning street life, local convenience and Economic Development shopping and a destination Strategy 2010 laid out a number of for tourists strategies for the Fishermans Bend • The Fitzroy Street Strategic Business precinct including strengthening Plan 2007-11 sought to create a existing business clusters, rolling Fitzroy Street brand and diversify out skill building programs and the business mix to ensure the investigating the potential for future viability of the precinct limited rezoning in the area to attract different uses

SECTION 4

• T he St Kilda Village (Acland Street) Business Plan 2009-10 aspired to a vision of St Kilda Village becoming Melbourne’s most famous and loved seaside village, with a special vibe and atmosphere that is unique to St Kilda • T he Carlisle Street Activity Centre Structure Plan 2009 sought to enhance Carlisle Street’s retail offer and facilitate the evolution of a multi-functional activity centre • T he Creative Futures Strategy 2008 aimed to promote Port Phillip as a home-base for cultural organisations, maximising the economic and cultural contribution of the arts industry to the municipality.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

ENVIRONMENTAL SUSTAINABILITY POLICY AND DIRECTION •

•

—> The City of Port Phillip’s Sustainable Transport Strategy has a vision for Port Phillip to be a connected and liveable city where residents, visitors The City of Port Phillip Council Plan and workers can live and 2009-2013 focuses on the role travel car-free by improving of environmental sustainability the convenience, safety, as a driver for development in accessibility and range of the municipality sustainable travel choices The City of Port Phillip Budget 2011-12 across our City announced significant funding —> The City of Port Phillip’s Walk for climate change programs and Bike Plans set out proposed including environmental retrofits strategies and actions to of commercial buildings improve walking and bicycle The Fishermans Bend Planning and riding in the City of Port Phillip Economic Development Strategy 2010 from 2011-2020. These plans will addresses the impact of industrial help Council, together with the development on climate change, community, to take action on and is focused on establishing climate change by encouraging Fishermans Bend as the ‘premier’ the use of sustainable transport environmental industry business modes that minimise energy use cluster in Victoria —> The City of Port Phillip’s The City of Port Phillip’s 2007 Climate Change Adaptation Plan Toward Zero, Sustainable Environment recognises the need for climate Strategy set community emissions change adaptation in the future reduction targets to reduce the design and development of the community’s greenhouse gas municipality. To this end, the emissions by 50 per cent by 2020 City will work with all sectors —> The City of Port Phillip’s Draft of the community, regional, 2011 Greenhouse Plan further state and federal stakeholders outlines how Council intends to deliver good planning to work with the community policy and urban design, and to reduce its greenhouse gas ensure that development of emissions infrastructure and public spaces are climate-adept —> The City of Port Phillip’s Water Plan sets targets for the community to reduce mains water consumption by 50 per cent by 2020 and outlines Council’s role in building community capacity to achieve this

—> The Waste Management and Resource Recovery Plan 2009 2014 sets a target to achieve a 75 per cent reduction in per capita community waste to landfill by 2020, in collaboration with regional, state and federal partners.

• T he City of Port Phillip’s Public Transport Advocacy Statement outlines what upgrades to our public transport infrastructure are required to make the City more liveable and accessible, and to reduce our reliance on vehicle use • T he Port Phillip Business Confidence Survey 2011 found that 73 per cent of businesses agree that there is a role for Council in assisting local business understand and respond to issues arising from climate change. The most commonly identified was the need for Council to assist local businesses respond to climate change including “awareness, information and education” and “advice for/ communication with business” • T he Municipal Strategic Statement encourages the operation of commercial and industrial buildings to be environmentally sustainable. Review and analysis of government, economic and environmental policies have been central to development of this strategy.

SECTION 5

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

ECONOMIC CONTEXT KEY FINDINGS

• P ort Phillip, as a whole, is an area of significant social advantage. • The City of Port Phillip’s However, there are localised population is growing rapidly and pockets of social disadvantage this is set to continue in the short to within the municipality. medium term Opportunities exist to develop partnerships between industry • Port Phillip has a significant and community organisations proportion of working age with the purpose of identifying adults indicating a large resident employment, education and workforce. Evidence suggests that training opportunities for the people over 60 years of age are socially disadvantaged and moving to Port Phillip, while at the under-employed other end of the scale, younger people under 24 years of age are • Although there are more moving out of the area, as outlined jobs than working residents in in section 5 Port Phillip, 75 per cent of working residents are employed outside the municipality. This diminishes local multiplier effects and impacts on environmental sustainability

• P rofessional services and property, manufacturing, trade and industry, creativity and knowledge, tourism and retail trade account for over 80 per cent of jobs in the municipality. Opportunities exist to: —> Leverage from Port Phillip’s competitive advantage in professional services and property to develop the area’s reputation as a hub for advanced business services —> Transition Fishermans Bend towards the production and distribution of higher valued industrial products and services

—> Drive increased tourism yield and dispersal, better leverage from growth in the Australian cruise sector and maximise potential from events —> Position Port Phillip as the ‘creative city’ and develop key industry-attracting clusters to promote economic development within the municipality —> Brand and differentiate each of the major retail precincts to avoid homogenisation. There is also the potential to build on South Melbourne Central’s existing core retail role and transform it into a premier retail destination for an expanded catchment base.

• E merging sectors within the municipality include green businesses and home–based businesses. Opportunities exist to: —> Develop an environmental business cluster in Fishermans Bend and encourage existing businesses to adopt environmentally sustainable practices —> Recognise and nurture the home-based business sector (acknowledging the important role these businesses play) by facilitating networking events and providing a small business hub.

SECTION 5

POPULATION TRENDS Table 2 shows the City of Port Phillip’s resident population for 2001 and 2006. The population rose from 80,552 in 2001 to 90,458 in 2006, representing an average annual growth rate of 2.45 per cent which is 0.88 per cent higher than the growth rate for Melbourne Statistical Division during the same period. The significant growth in the Port Phillip West SLA reflects the recent trend towards high density brownfield and infill redevelopment in the Port Melbourne vicinity. The City of Port Phillip resident population is forecast to grow by 31.1 per cent to 118,616 in 2026 (refer Table 3). This represents an average annual growth rate of 1.46 per cent, outstripping the expected annual growth rate for Melbourne Statistical Division. The greater opportunities for residential development intensification that exist in Port Phillip West (especially around Port Melbourne, Queens Road and St Kilda Road) are likely to continue to drive growth in the northwestern areas of the municipality.

The City’s resident population is forecast to grow by 31.1 per cent to 118,616 in 2026.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Estimated Resident Population

2001

2006

Average Average Annual Growth Growth

Port Phillip (C)

80,552

90,458

12.29%

2.45%

St Kilda (SLA)

48,545

52,770

8.7%

1.74%

Port Phillip West (SLA)

32,007

37,688

15.07%

3.01%

3,471,625

3,744,373

7.86%

1.57%

Melbourne (SD)

Table 2 Population Trends 2001-2006 Source: ABS Census 2001, 2006

Estimated Resident Population 2006 2010

2015

Average Annual 2020 2026 Growth

Port Phillip (C)

DEMOGRAPHIC PROFILE Figure 3 shows that in 2006, 39 per cent of Port Phillip residents were aged between 25 and 39 years compared to only 23 per cent in Melbourne Statistical Division. Port Phillip is also significantly under-represented in the 5-19 years category (8 per cent compared to 19 per cent for Melbourne). This data suggests that the primary demographic for Port Phillip is young couples, young families and single adults under 40. The large number of working age adults is indicative of a significant resident workforce within Port Phillip.

The primary demographic for Port Phillip is young couples, young families and single adults under 40.

The highest proportion of Port Phillip residents are aged between 25 and 39 years.

16%

90,458

96,135

102,984

109,981

118,616

1.46%

St Kilda (SLA)

52,770

55,790

59,097

62,707

67,633

1.25%

Port Phillip West (SLA)

37,688

40,345

43,887

47,274

50,983

1.55%

12%

3,471,625

4,018,336

4,334,338

4,644,070

5,000,048

1.36%

10%

Melbourne (SD)

Between 2001 and 2006, there was a significant decrease in the 5-24 years age cohort and very low growth in the 65+ group which may indicate forced emigration of young people and older residents from Port Phillip due in part to housing stock suitability, affordability and gentrification pressures.

14%

Table 3 Population Forecasts 2006-2026

Source: VIF 2008

6% 4% 2% 0%

0-4

5-9

10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 Port Phillip (C)

75+

Melbourne (SD) Figure 3 Port Phillip Age Profile 2006 Source: ABS Census 2006

SECTION 5

SOCIAL DISADVANTAGE As Table 4 shows, Port Phillip is an area of high socio-economic advantage, ranking in the top 10 per cent of Local Government Areas (LGAs) in Victoria and significantly above the Melbourne metropolitan average. However, Port Phillip has several pockets of significant disadvantage and advantage which do not show up in aggregate Socio-economic Indexes for Areas (SEIFA) analysis. In particular, some areas of St Kilda rank as areas of moderate socioeconomic disadvantage.

COMMUTING PATTERNS Table 5 shows that 75 per cent of residents work outside the municipality and that more people work in the City of Melbourne (35 per cent) than in Port Phillip (25 per cent). The data clearly shows that the vast majority of Port Phillip residents look outside the area for work despite a high jobsto-worker ratio of 1.64 within the municipality. This not only reduces local multiplier effects but also has implications for environmental sustainability, especially given that almost 25 per cent of residents travel a distance greater than 10km to get to work. 75 per cent of Port Phillip's working residents are employed outside the municipality.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Local Government Area

2006 SEIFA Score

Ranking in Victoria*

Port Phillip (C)

1065

Bayside (C)

1096

Glen Eira (C)

1071

Melbourne (C)

1049

Stonnington (C)

1088

Melbourne (SD) Average

1002

N/A

• Ranking out of 80, 80 being the highest. Table 4 Seifa 2006 Analysis (Index of Relative Socio-Economic Advantage) Source: ABS SEIFA, 2006

Local Government Area

Total Employed

% employed

Mean Travel Distance*

Melbourne (C)

16,494

35%

6.3km

Port Phillip (C)

11,628

25%

0km

Stonnington (C)

2,551

2.2km

Yarra (C)

2,301

8.5km

Monash (C)

1,396

22.3km

Boroondara (C)

1,255

10.2km

Glen Eira (C)

1,254

3.8km

Kingston (C)

1,041

13.3km

Bayside (C)

905

5.9km

Other/Not Stated

8,350

18%

Travel less than 10km

76%

Travel more than 10km

24%

Total

47,447

ECONOMY

According to the Port of Melbourne Corporation’s own data collection REGIONAL ECONOMIC CONTEXT it is estimated that the Port Although the City of Port Phillip of Melbourne accounted for enjoys a strong economy of its own, approximately $80 billion of its unique geographic position movements in trade in the 2010-11 means that it is also significantly period, indicating the significant influenced by its high profile economic impact the port has neighbours, namely, the Melbourne on Victoria as a whole. At the CBD and the Port of Melbourne. local level, the Port of Melbourne The Melbourne CBD is characterised exercises substantial influence by a highly diversified economy over Port Phillip through its and plays a vital regional role in the key port infrastructure and the finance, IT, professional services and related industries that directly and tourism industries. Furthermore, the indirectly service the port. The Port city wields considerable influence on supports 248 jobs in Port Phillip, the national economy as a whole and largely through transport, logistics is home to the headquarters of some and distribution companies. of Australia’s largest corporations including Rio Tinto and BHP (mining); NAB and ANZ (finance); telecommunications (Telstra) and automotive (Ford, Toyota, Holden). Melbourne’s role as an important national financial centre delivers flow-on benefits to neighbouring Port Phillip and has allowed for the development of a financial precinct along St Kilda Road.

The City of Port Phillip enjoys a strong economy, bolstered by those of neighbouring councils.

100%

*M ean travel distance is calculated as the shortest distance given on Google Maps between the respective council offices for each LGA (for example St Kilda Town Hall to Prahran Town Hall gives a distance of 2.2km from Port Phillip to Stonnington). Table 5 Employment by LGA Location 2006 Source: ABS Journey to Work, 2006; maps.google.com, 2010

Economic Analysis of the Port of Melbourne (PriceWaterhouseCoopers, 2007)

SECTION 5

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Total Jobs (2006)

% Number of Industry of Jobs Businesses Growth (2006) (2009) 2001-2006

Accommodation and Food Services

5,644

7.2%

948

0.6%

Administrative and Support Services

4,285

5.5%

948

-2.8%

Agriculture, Forestry and Fishing

142

0.2%

194

2.6%

Arts and Recreation Services

2,742

3.5%

598

9.8%

Construction

4,007

5.1%

1359

24.9%

Education and Training

2,559

3.3%

352

8.0%

Electricity, Gas, Water and Waste Services

695

0.9%

26.9%

Financial and Insurance Services

7,260

9.3%

3200

19.4%

Information Media and Telecommunications

3,701

4.7%

623

-12.4%

Health Care and Social Assistance

4,304

5.5%

792

15.5%

Manufacturing

4,432

5.7%

569

-9.5%

Mining

155

0.2%

-3.1%

Other Services

3,295

4.2%

957

11.2%

Professional, Scientific and Technical Services

15,863

20.2%

3913

5.8%

Public Administration and Safety

2,851

Rental, Hiring and Real Estate Services

2,291

2.9%

2257

6.4%

Retail Trade

5,538

7.1%

1124

9.4%

Industry Sector

Transport, Postal and Warehousing

2,991

3.6%

3.8%

30.9%

352

4.9%

Wholesale Trade

4,106

5.2%

982

10.7%

TOTAL

78,414

100.0%

19,374

8.8% Table 6 Industry Sector Performance

Source: ABS Census, 2006, ABR 2010

ECONOMIC SECTOR OVERVIEW Table 6 provides an assessment of the economic contribution from each industry sector in the City of Port Phillip showing the total number and percentage of jobs in 2006, the total number of businesses in 2009 and the industry growth from 2001 to 2006 as represented by change in industry employment. MAJOR INDUSTRY CATEGORIES Based on Table 6, it is possible to identify four major industry categories which, together, account for over 75 per cent of employment in the municipality. Each of the four specific industry categories is described below and unique opportunities for growth and development are also identified. PROFESSIONAL SERVICES & PROPERTY Professional services and property is the most dominant sector of the Port Phillip economy, accounting for 37 per cent of jobs and almost 50 per cent of registered businesses in the municipality. Furthermore, several professional and property industries are identified as key growth sectors both globally and nationally, for example, accounting, financial planning and land development (IBIS World, 2009). Locally, between 2001 and 2006, the Professional Services and Property industry grew 6.1 per cent from 2001 to 2006 with Finance and Insurance Services expanding by almost 20 per cent.

Industry Groupings

Industry Sectors

Professional Services and Property

Financial and Insurance Services, Information Media and Telecommunications, Professional, Scientific and Technical Services, Rental, Hiring and Real Estate Services

Manufacturing, Trade and Industry

Construction, Electricity, Gas, Water and Waste Services, Manufacturing, Transport, Postal and Warehousing, Wholesale Trade

20.7%

Tourism

Accommodation and Food Services, Arts and Recreation Services

10.7%

Retail Trade

% of Jobs 37.1%

7.1%

Other industries

24.4%

TOTAL

100% Table 7 Major Industry Categories

At the same time, Council needs to be aware of the ongoing trend of converting commercial properties into residential use (especially in St Kilda Road) and understand what influence this may have on the Port Phillip economy.

Spatial analysis reveals that professional service businesses are concentrated in the St Kilda Road and South Melbourne areas of the city (refer Figure 4). Opportunities exist for Port Phillip to further leverage from its competitive advantage in the professional services and property markets to continue to develop the City’s reputation as a hub for advanced business services.

SOUTH WHARF

PORT MELBOURNE

MELBOURNE

SOUTH MELBOURNE SOUTH YARRA

ALBERT PARK MIDDLE PARK WINDSOR PORT PHILLIP BAY

ST KILDA WEST ST KILDA ST KILDA EAST

Number of professional services & property businesses by suburb 2,930 to 2,950 (2) 1,750 to 2,930 (1) 700 to 1,750 (3)

400 to 700 (2) 60 to 400 (3)

BALACLAVA ELWOOD ELSTERNWICK

Figure 4 Spatial Distribution of Professional Services and Property Businesses in Port Phillip

SECTION 5

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Professional services and property is the largest sector of the economy, accounting for 37 per cent of jobs and almost 50 per cent of registered businesses.

MANUFACTURING, TRADE and INDUSTRY Manufacturing, trade and industry account for 21 per cent of all jobs in the municipality. From 2001 to 2006, Port Phillip saw significant growth in the construction (24.9 per cent) and wholesale trade (10.7 per cent) industries while there was a decline in manufacturing (-9.5 per cent), a pattern which mirrors the national trend of a restructuring of the economy away from manufacturing towards service-oriented industries. Manufacturing, trade and industry activity is clustered in the northern parts of the municipality around

Port Melbourne, South Melbourne and Melbourne (St Kilda Road). Of particular importance is the Fishermans Bend area which is recognised as one of the most significant industrial precincts in the Melbourne metropolitan region. Employment in Fishermans Bend has contracted over the last two decades with wholesale trade picking up new jobs at the expense of manufacturing, transport and storage. As such, the City of Port Phillip is taking action to protect the area’s core function as a high amenity industrial hub.

SOUTH WHARF MELBOURNE

PORT MELBOURNE

SOUTH MELBOURNE SOUTH YARRA

ALBERT PARK

MIDDLE PARK WINDSOR PORT PHILLIP BAY

ST KILDA WEST ST KILDA ST KILDA EAST BALACLAVA

ELWOOD

Number of manufacturing, trade & industry businesses by suburb 514 to 524 (2) 255 to 514 (2) 93 to 255 (2)

ELSTERNWICK

53 to 93 (2) 14 to 53 (3)

Figure 5 Map of Manufacturing, Trade and Industry Businesses in Port Phillip

SECTION 5

Opportunities exist to expand the role of Fishermans Bend to provide a high amenity, well-serviced environment for manufacturing, trade and industrial businesses and to potentially develop new industry clusters to augment the existing economic landscape.

Construction and Wholesale Trade industries are growing.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

TOURISM Port Phillip is host to numerous natural and man-made tourist attractions of state-wide and national significance including St Kilda Beach and foreshore, Luna Park and Station Pier. The City also enjoys a reputation as a thriving arts and entertainment hub boasting theatres, galleries, cinemas and several arts-based events and festivals. A significant number of visitors are attracted to the range of attractions and activities on offer, the diversity and atmosphere of the area and the quality of the experience.

Research and consultation have highlighted the need for improvements in visitor experience and increased dispersal throughout the municipality to relieve pressure on the St Kilda region. Port Phillip is part of the Inner Melbourne region, the second largest tourism market in Australia. The City attracted an estimated 1.4 million overnight visitors in the calendar year 2009. Visitors staying in commercial accommodation accounted for over 1 million of total overnight visitors, whilst visitors staying with friends and relatives accounted for an additional 341,000 visitors. The typical visitor to the City of Port Phillip is somebody who lives within the Melbourne metropolitan area. They are aged between 25-34 years old and visit alone or with their partner. Opportunities exist in Port Phillip to drive increased yield and dispersal, better leverage from the growth in the Australian cruise sector and investigate the potential for new community-oriented events.

Port Phillip is home to numerous first class tourist attractions. During 2009, the City had some 1.4 million overnight visitors, 75 per cent of them in commercial accommodation.

RETAIL TRADE Retail trade is a significant industry in Port Phillip, accounting for 7 per cent of jobs and representing a reputation as a retail ‘hub’. The municipality has five major activity centres of regional importance: Acland Street – St Kilda Village; Fitzroy Street and environs, St Kilda; Carlisle Street, Balaclava; South Melbourne Central; and Bay Street and surrounds, Port Melbourne. There are also six neighbourhood activity centres: Victoria Avenue, Bridport Street and Dundas Place – Albert Park; Armstrong Street – Middle Park; Elwood Village – Ormond Road and Glenhuntly Road; Tennyson Street – Elwood; Glen Eira Road SOUTH MELBOURNE CENTRAL

CENTRE AVENUE

SOUTH WHARF

MELBOURNE

SOUTH MELBOURNE

ST KILDA ROAD

ALBERT PARK

Classification

Visitor Nights

Visitors

Number of Visitors Staying in Commercial Accommodation

2,009,011

1,057,374

Number of Visitors Staying with Friends and Relatives

647,765

340,929

TOTAL

2,656,776

1,398,303

SOUTH YARRA

PORT MELBOURNE

BAY STREET & SUROUNDS

MIDDLE PARK ALBERT PARK VILLAGE

WINDSOR

ARMSTRONG STREET

ST KILDA WEST ST KILDA

PORT PHILLIP BAY FITZROY STREET & ENVIRONS

Source: PAVE model, Urban Enterprise Major Activity Centres Neighbourhood Activity Centres

ST KILDA EAST

BALACLAVA

ST KILDA VILLAGE

Table 8 Overnight Visitors to City of Port Phillip

CARLISLE STREET

ELWOOD

GLEN EIRA ROAD

RIPPONLEA TENNYSON STREET

ELWOOD VILLAGE

ELSTERNWICK

Figure 6 Map of Activity Centres in Port Phillip Source: Adaptation from City of Port Phillip & Land Victoria data September 2011

– Ripponlea; and Centre AvenueGarden City (refer Figure 6) . Retail is well dispersed throughout the city although there is a significant concentration in the South Melbourne area influenced by the presence of the South Melbourne Market. The retail precincts serve both the needs of residents and visitors, providing daily and weekly convenience goods and services as well as promoting a broad retail offer that is attractive to tourists. Opportunities exist to apply unique branding to clearly differentiate each of the major retail precincts to avoid homogenisation and maximise local multiplier effects by encouraging more residents to shop locally.

SECTION 5

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

SOUTH WHARF MELBOURNE

PORT MELBOURNE

At the same time, Council needs to ensure that local business associations are empowered to deliver positive outcomes, and is proactive in its efforts to build the capacity and resilience of these associations.

The major and neighbourhood retail–based activity centres are vital to the City’s profile and economy. CREATIVE INDUSTRIES Since the 2002 publication of Richard Florida’s seminal book ‘The Rise of the Creative Class’, many urban governments have sought ways to attract the so-called ‘creative class’ in the belief that the presence of people with creative jobs and talents helps to build a strong local community, contributes to an overall sense of identity and enhances the city’s economic competitiveness. The City of Port Phillip can justifiably be labelled as ‘Victoria’s creative city’ given that it has the highest proportion of creative workers (15 per cent of total employees) of any municipality in the state (refer Figure 7). These workers are employed across a wide span of creative industries including computer systems design; advertising and communications; architecture; motion picture production; audio/video production and the performing arts.

There are two dominant locations for creative industries in Port Phillip: South Melbourne and St Kilda (refer Figure 8). South Melbourne is characterised by Advertising and Marketing, Film, TV and Radio, Music and Sound Recording and Architectural services while the St Kilda cluster is centred on Performing Arts, Entertainers and Photography (refer Figure 9).

Opportunities exist for Port Phillip to cement its ‘creative city’ status and further develop key industryattracting clusters to promote economic development within the municipality. In particular, Port Phillip can leverage from projected global and/or national growth in industries such as online information services, social media and video games.

SOUTH MELBOURNE SOUTH YARRA

ALBERT PARK

MIDDLE PARK WINDSOR PORT PHILLIP BAY

ST KILDA WEST ST KILDA ST KILDA EAST BALACLAVA

ELWOOD

Number of creative arts & Recreation businesses by suburb 266 to 312 (2) 165 to 266 (2) 96 to 165 (2)

ELSTERNWICK

42 to 96 (2) 9 to 42 (2)

WHITTLESEA

Figure 8 Spatial Distribution of Creative Industries, Arts and Recreation Businesses in Port Phillip

NILLUMBIK

HUME

SOUTH WHARF

MELTON BRIMBANK

MARIBYRNONG MELBOURNE HOBSONS BAY WYNDHAM

MELBOURNE

BANYULE

MORELAND

MANNINGHAM BOROONDARA

PORT MELBOURNE

MAROONDAH

SOUTH MELBOURNE SOUTH YARRA

PORT PHILLIP GLEN EIRA

MONASH

ALBERT PARK

KNOX

MIDDLE PARK

BAYSIDE

WINDSOR GREATER DANDENONG

PORT PHILLIP BAY CARDINIA

ST KILDA WEST ST KILDA

CASEY

ST KILDA EAST

FRANKSTON

BALACLAVA

ELWOOD

performing arts operation businesses by suburb Figure 7 Concentration of Creative Workers by Municipality Source: ABS Census 2006 Note: the orange scale (dark to light) shows areas with the highest concentration of creative workers

31 to 34 (1) 11 to 30 (3)

ELSTERNWICK

5 to 10 (3) 0 to 5 (3)

Figure 9 Clustering of Performing Arts Businesses in Port Phillip Source: Australian Business Register 2010

SECTION 5

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

The City has a higher proportion of ‘creative workers’ than any municipality in Victoria.

EMERGING INDUSTRY SECTORS

Two types of enterprise are growing and have significant potential for further growth: green businesses and home-based businesses. The City is well positioned to capitalise.

GREEN BUSINESSES Green businesses are defined as companies that operate in the manufacturing, research and development, administrative and related service industries that contribute substantially to preserving or restoring environmental quality. The green business sector is anticipated to be a growth industry over the coming decades with environmental consulting identified as a key global growth sector (IBIS World, 2009). Port Phillip is well positioned to capitalise on this potential. The municipality boasts a high amenity, well- serviced business and industry environment in Fishermans Bend which could be suitable to develop environmental technology, renewable energy and related industries. In addition, there are opportunities for Council to encourage existing businesses to adopt environmentally sustainable practices.

Local Government Area

% of residents working at home (2006)

Port Phillip (C)

4.5%

Bayside (C)

6.4%

Glen Eira (C)

4.4%

Melbourne (C)

3.9%

Stonnington (C)

5.3%

Yarra (C)

4.4%

Melbourne (SD)

3.7% Table 9 Percentage of Home Workers, 2006 Source: ABS Census 2006

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGY ACTION PLAN Based on the Strategic Context, Strategic Policy Context and Economic Context, and informed by in-depth consultation with stakeholders, Council has defined six strategic directions to steer economic development within the City of Port Phillip over the next five years. The strategic directions are the bridge between vision and strategy. They relate to where Council needs to go and what it needs to achieve in order to realise its vision. The six strategic directions are intended to be pragmatic in that they can be addressed by specific strategies and actions as outlined in the Strategy Action Plan.

Six strategic directions will steer economic development in Port Phillip. They are:

1. An integrated and inclusive local community 2. Sound environmental leadership 3. A first class tourism destination which balances visitation and amenity 4. Flourishing activity centres 5. Strong economic clusters 6. The Creative City The Strategy Action Plan includes a number of actions intended to achieve the desired strategic directions.

The core business activities (labelled as ongoing) and projects funded in the 2011/12 period are also captured in the tables on the following pages, supported by proposed initiatives for the 2013 to 2016 period, subject to future funding submissions and ongoing assessment of the business/economic environment.

SECTION 6

STRATEGIC DIRECTION 1: AN INTEGRATED AND INCLUSIVE LOCAL COMMUNITY

The Port Phillip community will be one where business people, the not-forprofit sector, residents and visitors value and benefit from each others’ strengths to contribute to a greater sense of vitality, vibrancy, sustainability and liveability in the area.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Opportunities to meaningfully participate in community life by way of employment, recreation and social and civic activities are open to all community members. RATIONALE As noted in section 3, there is opportunity to foster engagement in Port Phillip between the local business community, residents and Council. In particular, the City of Port Phillip aims to highlight the contribution and value that the business community brings to the municipality. Strengthening these connections can help to build a more integrated community. This can be achieved through improved information sharing, celebrating the contribution of local businesses and business people, as well as improved communication and facilitation of networking and similar events to bring stakeholders together.

At the same time, Council should work with the business sector to deliver benefits to the wider community through corporate social responsibility initiatives. Port Phillip has a significant proportion of working age adults and a fast growing population (refer section 5). Increasing the number of residents working locally can contribute to a stronger, more integrated community as well as helping to achieve sustainability objectives relating to reduced car use for commuting (as per section 5, 75 per cent of Port Phillip working residents are employed outside the municipality). Council also recognises that the home-based and small business sectors make a vital contribution to theCity of Port Phillip economy (refer section 5) and that better integrating these businesses into the community and wider economy should be encouraged.

Section 5 identifies that there are pockets of social disadvantage within the municipality. Economic development can help to address this issue by fostering greater social inclusion through increasing the employability (skills, training, volunteering, and job opportunities) of local socially disadvantaged residents. The retail and tourism sectors in Port Phillip (refer section 5) presents an excellent opportunity to develop partnership programs that can train and up-skill unemployed and/or underemployed residents, while providing an expanded local worker pool for local businesses and increasing job containment within the municipality.

COUNCIL PLAN ALIGNMENT Strategic Direction 1 correlates with the following Council Plan Direction and Strategies: Direction 1: Engaging and Governing the City 1.1.2 Strengthen relationships with those who impact the Port Phillip community. 1.1.3 Continue to develop and encourage community leadership. 1.2.6 Provide seamless and consistent information to the community. 1.3.2 Review services to ensure they meet community needs. Direction 3: Strengthening OUR Diverse and Inclusive Community 3.1.3 Build on local strengths to develop active, connected communities. 3.1.7 Provide opportunities for positive youth activity and engagement. 3.1.8 Continue to strengthen our relationship with Aboriginal and Torres Strait Islanders and actively support reconciliation. Direction 4: Enhancing Liveability 4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 1: Continue to facilitate capacity building for local businesses

Strategy 3: Connect the business community with the City of Port Phillip

Action

Outcomes

Partner

Timeline

Action

Outcomes

Partner

Timeline

1.1.1

—> Rewards and recognises the success and achievements of business in the Port Phillip community

Local Business

Ongoing

1.3.1

—> Highlights business excellence within the City of Port Phillip

Local Business

Ongoing

Information Systems Department, Comms and Engagement Unit, Local Business

End 2011

City of Port Phillip Business Website Subscribers

Ongoing

Information Systems Department

Ongoing

Information Systems Department

Mid 2012

Local Business, business associations

End 2012

Develop and administer the biennial Business Excellence Awards through promotion, nomination process and ongoing enhancement of the program.

—> Encourages business development and innovation towards whole of community benefit

Develop business newsletters, distributed to local businesses, electronically and via direct mail.

—> Increases the level of engagement and networking between the business community, not-for-profit sector, residents and Council.

—> Shapes and influences the direction of business in Port Phillip —> Attracts strong partnerships with external stakeholders.

1.1.2

1.1.3

Host a range of networking events, business development workshops and business mentoring programs.

—> Assists business people to improve their skills and strengthen their networks

Collaborate with the City of Obu in Japan, Port Phillip’s Sister City, to exchange skills and products of various industries by:

—> Enables an inclusive, welcoming community that values and celebrates diversity

• Supporting mutual visits by industrial bodies between Port Phillip and Obu

—> Encourages meaningful links and friendships between the residents of Port Phillip and Obu.

—> Increases capacity and resilience of business.

—> Promotes the development of commerce, trade and tourism between City of Port Phillip and City of Obu

Small Business Victoria, Local Business

Ongoing

City of Obu, Comms and Engagement Unit

Ongoing

1.3.2

1.3.3

• Conducting product exhibitions. 1.1.4

Develop exchanges of skills and products of various industries to promote the development of commerce, trade and tourism, under Port Phillip’s Friendship Agreement with Hindmarsh Shire.

—> Facilitates the development of friendship and achieves a connection and understanding between the respective inner urban and rural communities —> Promotes and exhibits tourist sites and products.

Hindmarsh Shire Council, Comms and Engagement Unit

Ongoing

1.3.4

1.3.5

Strategy 2: Promote the benefits of economic development and a strong business sector to the local Port Phillip community Action

Outcomes

Partner

Timeline

1.2.1

—> Provides an opportunity for businesses to connect with residents of the local communities which make up their primary consumer base

Comms and Engagement Unit

End 2011

Develop an iPhone App to provide a social media platform for Port Phillip and its businesses, in particular, retail precincts.

—> Inspires residents to shop locally, attracts new visitors to Port Phillip and provides a one-stop shop virtual guide for the community

1.3.6

Build and design a new City of Port Phillip business website and upgrade online marketing communications tools.

—> Provides opportunity for greater engagement with the business community

Maintain the new City of Port Phillip business website, communicate electronically to website subscribers and distribute quarterly business newsletters per year.

—> Provides essential information to businesses in Port Phillip, such as up-to-date information on legislative changes, grants and funding opportunities, achievements and events

—> Assists business to better navigate Council’s services and processes.

—> P rovides an inexpensive and effective means for communication.

Facilitate online networks to connect local businesses with each other and with the City of Port Phillip through the Business Website, including videos, blogs and forums.

—> Creates a networked business sector to foster information sharing, advice, ideas and resources

Develop a customer management and communications system within the Business Website to track business stakeholders, event attendance and workshop participation.

—> Increases Council’s knowledge of local business issues and needs

Establish an Economic Development Advisory Panel, with an ability to establish sub-committees to assist in the delivery of programs such as the Business Excellence Awards.

—> Advises and increases the knowledge of Council in relation to economic and business issues

—> Increases capacity and resilience of business —> Strengthens the local economy through maximising the “local multiplier effect”.

—> Enhances the ability for Council to work more closely with the Port Phillip business community.

—> Creates new perspectives and ideas from the Port Phillip business community to guide Council in the implementation of the Economic Development Strategy —> Improves communication between Council and the local business community.

—> Allows businesses listed on the App to add social media-styled news stories to their profile. 1.2.2

Promote ‘local heroes’: businesses and business people who have served the community well and contributed to its diversity and vibrancy by producing a suite of vignettes to tell their stories.

—> A suite of videos available on the City of Port Phillip Business Website that rewards and recognises the success and achievements of individuals and businesses in the Port Phillip community.

Local Business

End 2011

1.2.3

Undertake economic research to produce an ‘economic profile’ for the City of Port Phillip available to the community via the internet.

—> P rovides an easy accessible source of economic data for Port Phillip businesses and potential investors on the economic position of the municipality, and opportunities for future growth

Local business, State & Federal agencies

End 2011

—> Tracks the growth of Port Phillip in terms of industry development and employment trends.

—> Promotes the Council’s programs, events and campaigns to the business community

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 4: M aximise opportunities for corporate social responsibility within local businesses

Strategy 6: Promote and facilitate a greater percentage of job containment in the municipality

Action

Outcomes

Partner

Timeline

Action

Outcomes

Partner

Timeline

1.4.1

Work in partnership with Community Development to encourage local businesses to invest and support local charities and community-based, not-for-profit organisations.

—> Supports the needs of community through business sponsorship and partnership with community-based, not-for-profit organisations.

Community Development Department, Local Business, Not-for-profit sector

Ongoing

1.6.1

Organise and run a series of job matching events by industry sectors to bring together local businesses looking for staff and local residents interested in career opportunities.

—> Provides a forum which connects business and the community by matching jobs with residents, thereby increasing the proportion of residents working locally.

Local Business

Mid 2013

1.4.2

Develop partnerships between industry and community organisations in the arts, recreation, retail trade and accommodation and food sector with the purpose of identifying jobs and training opportunities for the socially disadvantaged.

—> Improves the employment prospects for the socially disadvantaged within the City of Port Phillip

Local Business, local industry groups, community organisations, St Kilda Inclusion Project

End 2012

1.6.2

Undertake research to investigate opportunities for greater job containment within the City. The research should include:

—> Identifies opportunities for job containment within the municipality

Mid 2013

• Assessment of labour and skills shortages

—> Capitalises on the opportunity to place students within various Council Departments.

Inner Melbourne Action Plan, Other LGAs, Local Business

• Review of successful job matching schemes from other LGAs

—> Enables local access to learning opportunities for professional and personal development.

Business Associations, Local Industry Groups, State & Federal agencies

Ongoing

—> Reduces unemployment levels within the municipality and improves quality of life for residents —> Raises awareness amongst a broad audience about issues contributing to disadvantage.

Strategy 5: Increase the employability of disadvantaged, unemployed and underemployed residents Action

Outcomes

Partner

Timeline

1.5.1

—> Continues to strengthen our relationship with Aboriginal and Torres Strait Islanders and actively support reconciliation

Community Development Department, Koori Business Network

End 2011

Local Learning and Employment Networks, Youth and Community organisations, Family, Youth and Children Department

End 2012

Partner with Community Development to build capacity of the local Aboriginal and Torres Strait Islander Community’s employment and business development potential by:

—> Builds on local strengths to develop active, connected communities.

• Sponsoring the Yulkuum Jerrang Economic Development Conference • Assisting in the implementation of the Aboriginal Employment Strategy. 1.5.2

Reinvigorate Council partnerships with education and training providers and institutions and networks including the Local Learning and Employment Network (LLEN) and youth and community organisations to increase skills coaching, work experience and education and training opportunities for the unemployed, underemployed and disadvantaged, enhance career development and encourage life-long learning.

—> Provides opportunities for positive youth activity and engagement. —> Provides those who are underemployed and those disengaged from the workforce with opportunities to improve their skills and experience, thereby increasing job prospects and improving quality of life. —> Connects community groups and disadvantaged, providing support and a sense of belonging.

—> Allows businesses and Council to target specific skills and industries to better match individuals with jobs

• Utilisation of the Inner Melbourne Action Plan ‘Work Integrated Learning’ program. 1.6.3

Investigate and actively pursue opportunities to attract new business and industry to the City of PortPhillip

—> Ensures the City of Port Phillip openly supports new business intenders and enquiries. —> The City of Port Phillip is willing to work with all stakeholders to attract and establish new business and industry opportunities.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGIC DIRECTION 2: SOUND ENVIRONMENTAL LEADERSHIP

Environmental sustainability will be at the forefront of the Port Phillip economy both in relation to existing business practices and development of green business clusters. RATIONALE Economic development helps to drive environmentally sustainable business practices. As per section 4, there are a range of strategies and plans that Council has adopted that are targeted to the business sector in relation to improving the knowledge and application of environmentally sustainable practices. Council should promote these strategies and investigate new opportunities and initiatives to bolster Port Phillip’s green credentials.

Photo: John Gollings

Section 5 identifies an emerging opportunity in green businesses. There is an excellent opportunity for the City of Port Phillip to leverage from projected national growth in the green sector to attract environmental businesses to establish or relocate in the municipality. In particular, Fishermans Bend should be investigated to examine its potential as a high-amenity green business precinct. In terms of the total annual greenhouse gas emissions for the Port Phillip Community, the commercial sector accounts for 52.3 per cent of total emissions. The residential sector and industrial sector account for 35.5 per cent and 12.2 per cent respectively. These numbers reflect Port Phillip’s economic makeup in terms of Port Phillip businesses operating primarily in the commercial space. Action taken at a commercial level is the most effective path for Port Phillip to reduce carbon emissions for the community. Most energy efficiency actions will pay for themselves within a short time (in some cases, instantly) and are often a solution with little to no cost to implement.

COUNCIL PLAN ALIGNMENT Strategic Direction 2 correlates with the following Council Plan Strategies:

Strategy 7: Promote environmentally friendly business practices Action

Outcomes

Partner

Timeline

2.7.1

Collaborate with (or promote) Council, State & Federal Government climate change programs to local businesses in Port Phillip.

—> Assists local businesses in becoming more environmentally sustainable

Ongoing

—> Increases in the number of local businesses using Council climate change programs.

State & Federal Government Agencies, Sustainability Department, Local Business

Evaluate the effectiveness of the pilot Green Business Program.

—> Provides local business owners with a tailored range of options to improve the efficiency and reduce the environmental impact of their business.

Sustainability Department, Local Business

Mid 2012

Direction 2: Taking Action on Climate Change 2.1.3 Facilitate community action in reducing potable water and non-renewable energy use. 2.3.1 Improve community understanding and build resilience in responding to the impacts of climate change. 2.3.2 Investigate and manage the impact of climate change on the City’s assets and infrastructure. Direction 4: Enhancing Liveability 4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community. 4.3.3 Promote increased community action in caring for our environment.

2.7.2

Apply key learnings to develop a staged implementation plan that progressively rolls out the program to various activity centres across the municipality over the next three years. 2.7.3

Participate in the CitySwitch program by employing a dedicated CitySwitch Officer to recruit signatories to the program.

—> Provides local business owners with a tailored range of options to improve the efficiency and reduce the environmental impact of their business.

Sustainability Mid 2012 Victoria, City of Melbourne, City of Yarra, Local Business

2.7.4

Promote the use of Ecologically Sustainable Development (ESD) initiatives such as solar panels, ‘green roofs’, wind generation and water collection on all new or retrofitted commercial buildings.

—> Manages the impact of climate change on the City’s assets and infrastructure.

Strategic Planning Unit, Sustainability Department, Local Business

Mid 2013

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 8: Provide a business environment in Port Phillip that is attractive to green businesses Action

Outcomes

Partner

Timeline

2.8.1

—> Provides an understanding of green business potential within Port Phillip

Local business, Sustainability Department, State & Federal agencies

Mid 2013

Undertake research to inform Council on green business opportunities and investment attraction. Research includes: • Auditing existing green businesses • Surveying existing green businesses to understand what attracted them to Port Phillip and what creates a good environment for the green sector

—> Identifies the strengths and opportunities within the green sector, and the key factors that can attract and retain businesses within the municipality —> Creates opportunity for Council to partner with State & Federal government agencies, aligning the Council’s goals and strategies for green businesses accordingly.

• National and international research on green jobs • Engagement with State & Federal government agencies to understand emerging green business trends and opportunities. 2.8.2

Prepare a business plan for the growth of the environmental industry, including businesses to be targeted, employment and training opportunities, and sources of support funding. This could focus on the Fishermans Bend precinct.

—> Continues the growth of the environmental business sector in Port Phillip, supporting development in the Fishermans Bend precinct through targeted investment and employment —> Provides key strategies and actions to foster economic growth and support jobs in the municipality —> Advocates for the future use of Fishermans Bend.

Local business, State & Federal agencies

Mid 2013

STRATEGIC DIRECTION 3: A First class TOURISM DESTINATION WHICH BALANCES VISITATION AND AMENITY

Port Phillip will encourage sustainable tourism experiences and respectful visitation which does not compromise local amenity or the natural environment.

RATIONALE Port Phillip boasts excellent tourism infrastructure, a drawcard location, an iconic atmosphere and a wide range of natural and man-made assets. The municipality currently enjoys very high levels of visitation and, not surprisingly, tourism is a pillar of the local economy (refer section 5).

COUNCIL PLAN ALIGNMENT Strategic Direction 3 correlates with the following Council Plan Strategies:

Research and consultation indicates that Council’s priorities for tourism development should be focused on the overall visitor experience, increasing visitor dispersal throughout the municipality to relieve the burden on tourism ‘hotspots’ such as St Kilda foreshore, leveraging off the growing cruise sector and encouraging higher yielding product development.

Direction 2: Taking Action on Climate Change

Achieving these outcomes can be facilitated through strategic partnerships with local tourism associations (for example, the St Kilda Tourism Association and regional and state organisations including the Inner Melbourne Action Plan, Tourism Victoria and Tourism Alliance Victoria).

Direction 1: Engaging and Governing the City 1.1.3 Continue to develop and encourage community leadership.

2.2.1 Promote transport modes that minimise energy use. 2.4.1 Maximise partnerships and resource sharing in mitigating the impacts of climate change on the community. Direction 3: Strengthening our diverse and Inclusive Community 3.1.3 Build on local strengths to develop active, connected communities. Direction 4: Enhancing Liveability 4.1.4 Improve the interface between residential and visitor impact. 4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 9: M aximise tourism yield from existing assets and increase visitation dispersal throughout the municipality

Strategy 9: M aximise tourism yield from existing assets and increase visitation dispersal throughout the municipality (CONTINUED)

Action

Outcomes

Partner

Timeline

Action

outcomes

Partner

Timeline

3.9.1

—> Assists tourism operators to meet the ever increasing domestic and international visitors’ expectations of receiving quality professional products and services leading to a positive visitor experience

Australian Tourism Accreditation Program, Tourism Operators, Melbourne Visitor Information Centre

Ongoing

3.9.6

—> Generates high yield visitation, including visiting friends and family

Tourism Victoria, Destination Melbourne, St Kilda Tourism Association, St Kilda Village Business Association, Fitzroy St Business Association

June 2012

Tourism Victoria Destination Melbourne, St Kilda Tourism Association, Industry partners

End 2012

St Kilda Tourism Association, Destination Melbourne

End 2012

Support the Tourism Accreditation Program, which is a development tool designed to establish and continually enhance industry professionalism and improve standards.

—> Provides both consumers and industry with an assurance that the accredited tourism business is committed to quality business practises and professionalism —> Ensures consistent standards of product and service delivery meet and, where possible, exceed the visitors’ expectations.

3.9.2

3.9.3

Collaborate with City of Melbourne, City of Stonnington and City of Yarra to strategically develop and position Inner Melbourne as a vibrant and welcoming destination by: • Showcasing the personality of Inner Melbourne to maximise the benefits to local community and economy • Identifying and influencing ways to make it easy for visitors to explore Inner Melbourne.

—> S upports businesses in Port Phillip through increased visitation

Participate in Destination Melbourne partnership campaigns, which include:

—> Positions the City of Port Phillip as an integral Inner Melbourne destination

• Melbourne Official Visitors’ Guide • Visiting Friends and Relatives’ Program • Insider’s Guide to Melbourne • Accommodation Guide

—> I ncreases international and domestic visitor dispersal to Port Phillip with clearly articulated gateways to enter the municipality

—> Enhances visitor experience by linking with regional initiatives (e.g. Visit Victoria) —> Promotes active local participation and a strong sense of community pride.

Inner Melbourne Action Plan, Tourism Working Group

Ongoing 3.9.7

—> P ositions the City of Port Phillip as an integral inner Melbourne destination.

3.9.8

Destination Melbourne, Other LGAs, St Kilda Tourism Association

Ongoing

Sustainability Department, Local Tourism Businesses

Ongoing

Local Tourism Operators, Port Melbourne Inc., Port of Melbourne Corporation

Ongoing

—> Promotes City of Port Phillip to a wider audience, and through a number of communication channels, increasing the volume of visitors to the municipality.

• Cruise Arrival Guide • Representation at Industry Expos. 3.9.4

Produce and distribute City of Port Phillip visitor maps with embedded walking and cycling messages to drive visitor dispersal and encourage sustainable transport modes.

—> Promotes transport modes that minimise energy use —> Improves the interface between residential and visitor impact —> Reduces car parking demand —> Creates opportunities for reallocating road space, thus reinforcing sustainable travel choices within key visitor destinations.

3.9.5

Investigate opportunities to build share of visitation from cruise shipping at Port Melbourne.

—> Captures flow-on benefits from cruise shipping across the municipality —> Generates a greater volume of visitors through activity centres and business precincts in Port Phillip.

—> Empowers community group and helps build capacity of the St Kilda Tourism Association to deliver positive visitation outcomes —> Assists with the dispersal of visitors and through increased awareness and direction to key attractions

—> E nables Port Phillip to capitalise on the international and domestic visitors who may only visit the City of Melbourne, ensuring flow-on benefits for Port Phillip

—> Develops integrated and co-operative marketing opportunities between City of Port Phillip and Destination Melbourne to encourage greater demand, yield and visitor dispersal

Work in partnership with the newly-formed St Kilda Tourism Association to build its capacity and assist the achievement of its strategic objectives.

Conduct research to understand visitor and resident perceptions of local tourism products, review current industry trends and assess potential new tourism markets (e.g. Asia) to inform future tourism strategic directions for tourism.

—> A ssists Port Phillip Council in understanding visitor trends, perceptions and preferences

Undertake an audit of existing tourism product and identify where product is under-utilised and/or has capacity for increased visitation and dispersal.

—> Improves the allocation of visitor resources within the municipality

—> Creates opportunity to explore new tourism markets and open new visitor channels, either as an individual Council or with Council’s Tourism Partners.

—> Assists in the identification of gaps in existing tourism products.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 10: Educate local tourism operators on the need to balance visitation against amenity and environmental impacts Action

Outcomes

Partner

Timeline

3.10.1

Continue to develop and support tourism networks and partnerships both internally (between local operators) and externally (with industry/regional tourism associations and significant tourism attractions or product).

—> Facilitates information and resource sharing within the tourism network, increasing the capacity and resilience of tourism businesses.

St Kilda Tourism Association, Local Tourism Businesses, Melbourne Visitor Information Centre

Ongoing

3.10.2

Host Tourism Excellence Workshops facilitated by industry experts on tourism excellence to assist business people to improve their skills.

—> Provides tourism operators with information and guidance on best-practise

Australian Tourism Accreditation Program, St Kilda Tourism Association, Destination Melbourne, Local Tourism Operators

Ongoing

3.10.3

Host the preparatory workshop designed for all entrants of the Victorian Tourism Awards.

—> Provides a valuable step-by-step guide for tourism businesses to complete the award submission, including templates, helpful tips and important dates.

Victoria Tourism Industry Council, Tourism Victoria, St Kilda Tourism Association

Annually (May)

3.10.4

Undertake a Green Tourism program to promote environmentally sustainable practices to local tourism operators.

—> Contributes to the impact reduction of climate change on the community

Tourism operators

End 2012

Partner with Community Development to educate and inform local tourism operators with respect to harm minimisation, safety and amenity programs. For example, the Port Phillip Accord program, which encourages and promotes best practice in licensed premises in the City of Port Phillip.

—> Promotes respectful behaviour and minimises negative impacts on the residential community

Community Development Department, Local Business

Mid 2013

3.10.5

—> Increases capacity and resilience of tourism businesses.

—> Improves the awareness and adoption of green principles by business operating in the tourism industry.

—> I mproves the interface between residential and visitor impact —> I ncreases the attractiveness of Port Phillip as a tourist destination.

SECTION 6

STRATEGIC DIRECTION 4: FLOURISHING ACTIVITY CENTRES

The Port Phillip community will be supported by a number of strong, vibrant, differentiated and accessible major, neighbourhood and local activity centres providing convenience to the local community.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

RATIONALE Retail is a significant industry in Port Phillip (refer section 5) and acts as a major attraction for visitors. However, as per section 3, there are concerns that Port Phillip’s retail precincts are becoming increasingly homogenised in their retail, food and entertainment offer. To maintain both local and regional competitiveness, major and neighbourhood activity centres and other shopping precincts should be developed so that they: • R einforce the ‘point of difference’ in their retail offer • P romote local containment of retail and personal services to ensure activity centres meet the weekly shopping and convenience needs of the local population • P rovide residents and visitors with a connection to the local community hub. Council will empower Business Associations to provide capacity and leadership, which will strengthen their capability to empower individual traders within their respective precincts.

COUNCIL PLAN ALIGNMENT Strategic Direction 4 correlates with the following Council Plan Strategies:

Strategy 11: Optimise the branding and differentiation of activity centres to be based on unique product strengths Action

Outcomes

Partner

Timeline

Direction 1: Engaging and Governing the City

4.11.1

—> M aintains and builds upon the unique character of the city’s neighbourhoods

Major Activity Centres, Business Associations, Local Business, Finance Department

Ongoing

Neighbourhood Activity Centres, Business Associations

June 2012

1.1.3 Continue to develop and encourage community leadership.

• Business Associations to develop individual business plans which maintain a ‘point of difference’ and diversified business mix

1.2.1 Promote a culture of good governance.

• Local self-sufficiency in the retail offering available to the community

1.2.6 Provide seamless and consistent information to the community. 1.3.2 Review services to ensure they meet community needs.

Continue the ongoing administration and governance of Special Rates Schemes, in partnership with Business Associations, to enable:

4.11.2

Evaluate the potential of establishing a special rate scheme or charge for non-levy neighbourhood activity centres.

4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community.

—> Maintains and strengthens Council’s collaborative and informative relationship with the Business Associations to facilitate flourishing activity centres.

—> Increases collaboration between businesses within activity centres, potentially leading to increased investment, employment and quality of life —> Enhances the viability of businesses in neighbourhood activity centres and creates opportunities for employment growth —> Increases connection between business and residential community.

3.1.3 Build on local strengths to develop active, connected communities.

4.1.1 Maintain and build upon the unique character of the City’s neighbourhoods.

—> E nhances business promotion through the special rate scheme

• The facilitation of business development and coordinated marketing and promotion.

Direction 3: Strengthening ouR Diverse and Inclusive Community

Direction 4: Enhancing Liveability

—> E nsures the community is able shop locally to support economic and environmental sustainability objectives

Strategy 12: Continue to strengthen the role and capacity of Business associations Action

Outcomes

Partner

Timeline

4.12.1

Provide governance training for board members of Business Associations within the City of Port Phillip.

—> Promotes a culture of good governance within the Business Associations

Business Associations

Ongoing

4.12.2

Conduct quarterly ‘Building Connections’ networking events for the Business Associations within the City of Port Phillip.

—> Establishes strong networks and alliances between Business Associations, providing support, advice and direction on a number of common issues and opportunities.

Business Associations

Ongoing

4.12.3

Conduct the biennial Port Phillip Business Confidence Survey.

—> P rovides insight into the overall local business environment and performance including business confidence

Local Business

Ongoing

—> Enhances board member’s skills and knowledge, improving the operational effectiveness of the Business Associations.

—> Monitors changes in the characteristics of the local business community.

SECTION 6

STRATEGIC DIRECTION 5: STRONG ECONOMIC CLUSTERS

Port Phillip will continue to be home to a number of industry clusters of state-wide significance. Clusters are geographic concentrations of inter-connected companies and institutions in a particular field. Clusters encompass an array of linked industries and other entities important to competition. They include, for example, suppliers of specialised products and services such as components, machinery, and their support, and providers of specialised infrastructure. Businesses located in a cluster generally have a stronger growth and survival rate than those located outside it. This is partly because the physical proximity of the companies facilitates exchanges of information and talent among the competing firms, and encourages businesses to be more innovative, competitive and productive.

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

The key findings were: A cluster-based approach has become an integral part of economic • South Melbourne is the dominant development and includes a number business cluster in Port Phillip of aspects that contribute to the • There are four significant strengthening of industry. economic clusters in the area: For example, a cluster helps: Finance & Insurance (St Kilda Road and South Melbourne), • Address competitiveness and Transport, Postal & Storage (Port innovation Melbourne), IT & Telecoms (South • Businesses with retention and Melbourne) and Arts & Recreation expansion (St Kilda) • Assist export development • There are two dominant locations • Create jobs, and foster skills and for creative industries in Port training Phillip: South Melbourne and St Kilda. South Melbourne is • Engage disadvantaged characterised by Advertising communities & Marketing, Film, TV & Radio, • Conduct R&D and technology Music & Sound Recording and transfer. Architectural services; the St Kilda cluster is centred on Using data derived from the Performing Arts, Entertainers and Australian Business Register, Photography. geographic clustering analysis was undertaken to map different industry and business types within the City of Port Phillip to identify regions of competitive advantage that can be further developed.

Fishermans Bend will play a significant role as an industrial location that will continue to evolve in response to global industrial trends. Characterised by the attraction of a new generation of intensive, high value adding industrial activities, Fishermans Bend will deliver business development and employment opportunities for residents and other key stakeholders in Port Phillip.

RATIONALE As per section 5, the Port Phillip economic landscape is characterised by several significant industry clusters most notably the professional services and property cluster centred on St Kilda Road and the manufacturing, trade and industry cluster in Port Melbourne/ South Melbourne. Port Phillip also has the greatest proportion of creative workers within Victoria, which is evidenced by the high proportion of creative industries within the municipality. Due to the significance of the creative sector in Port Phillip, Strategic Direction 6 (refer page 62) has been developed to cultivate this industry. In addition, Port Phillip enjoys a privileged position surrounded by nationally prominent economic clusters in the neighbouring Melbourne CBD and Port of Melbourne (refer section 5). By leveraging from this existing base, Council can actively promote the further development of existing business clusters and target the establishment of new clusters, such as green technology (refer section 5).

This will include measures to develop the Fishermans Bend precinct into a high-amenity industrial hub for the future. As services functions become an increasingly important part of industrial related activities, Fishermans Bend will also attract a new generation of industrial businesses.

COUNCIL PLAN ALIGNMENT Strategic Direction 5 correlates with the following Council Plan Strategies:

Similarly, as the Melbourne CBD continues to grow, there will be an increasing requirement for industrial related services for properties, businesses and residents.

Direction 3: Strengthening our diverse and Inclusive Community

Direction 1: Engaging and Governing the City 1.1.3 Continue to develop and encourage community leadership.

3.1.3 Build on local strengths to develop active, connected communities. Direction 4: Enhancing Liveability 4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 13: Investigate opportunities to strengthen existing economic clusters and/or establish new clusters in Port Phillip Action

Outcomes

Partner

Timeline

5.13.1

—> Maximises the effectiveness of industry clusters through the partnership between the City of Port Phillip and the City of Melbourne

Strategic Planning Unit, City of Melbourne, Property Developers and Owners

Mid 2012

Collaborate with the City of Melbourne, St Kilda Road Precinct and Promotions Committee and Club 3004 to enhance the competitive positon of St Kilda Road by: • Strengthening the existing professional, property and hotel business clusters within Port Phillip

—> Integrates businesses that are, despite their close proximity, across the two different municipalities —> Highlights St Kilda Road as an attractive location for investment

Strategy 14: Reposition Fishermans Bend as a core industrial hub and promote the area as a high amenity, well serviced business environment Action

Outcomes

Partner

Timeline

5.14.1

—> Develops the necessary business intelligence to support Council’s strategic planning and economic development initiatives in Fishermans Bend

City of Melbourne, Strategic Planning Unit, Local Business

Mid 2011

Undertake research to assess existing clusters and identify new cluster opportunities. The research should include a:

City of Melbourne, Department of Innovation, Industry and Regional Development, Strategic Planning Unit, Local Business

Mid 2012

—> Contributes to the retention of existing businesses on St Kilda Road.

• Labour force analysis and examination of barriers to employment that may prevent the successful development or establishment of industry clusters

—> F acilitates the strengthening existing, organicallyformed clusters within Port Phillip —> Supports the development of new clusters in Port Phillip, further solidifying the collaboration and cross-fertilisation of businesses within specific industries

Based on the results of action 5.13.2, develop an action plan to strengthen existing clusters within Port Phillip, focusing on providing support activities in areas such as: • Knowledge and technology transfer through networking

Austrade, AusIndustry, Local Business

Mid 2013

5.14.2

Establish a dedicated business forum for Fishermans Bend Industrial Precinct by: • Focusing on networking between high-tech businesses with common interest in operating in Fishermans Bend

—> Enhances the local economy through shared resources, greater investment, improved efficiency, export growth and the identification of synergies to overcome common barriers.

—> Promotes opportunities for networking between businesses to encourage collaboration and obtain business input on strategic issues shaping the future development of Fishermans Bend —> Fosters relationships between local businesses and between the business sector and Council to promote the cross fertilisation of ideas on a range of local issues.

• Provide input into promotion and marketing of precinct, advocacy on strategic land use, transport, industry and business development • Organise briefing sessions and presentations specifically targeting industrial issues of relevance to members.

—> S trengthens existing industry clusters in Port Phillip, which supports competition, the cross-fertilisation of knowledge and technology, and enhances local comparative advantage

Local Business

5.14.3

Actively promote Fishermans Bend to a range of stakeholders using a variety of communication strategies and media formats.

—> Attracts new business to Fishermans Bend whose activities and profile are consistent with the vision of the Fishermans Bend Planning and Economic Development Strategy.

City of Melbourne, Local Business

Ongoing

5.14.4

Establish partnerships with external organisations offering expertise in industry training relevant to businesses in Fishermans Bend and the City of Port Phillip

—> Promotes skills development through ensuring the local provision of training programs specifically targeting the needs of industry in Fishermans Bend and the City of Port Phillip.

Business Skills Victoria, TAFEs, Training Providers, Local Business

Mid 2012

5.14.5

Facilitate the development of an environmental technology industry sector in Fishermans Bend.

—> Establishes Fishermans Bend as the ‘premier’ environmental industry business cluster in Victoria

Local Business, Department of Innovation, Industry and Regional Development, Green Building Council of Australia, City of Melbourne, Sustainability Department

End 2013

Mid 2014

—> Builds a culture of co-operation and collaboration between firms.

• Establishing forums for information exchange • Creating new, high value jobs.

—> Assists Council in understanding the changes to Fishermans Bend, such as movement of businesses into and out of the area, the factors influencing these relocations and the characteristics of the facilities occupied by businesses.

• Explore the significance of Fishermans Bend to the state and regional economy, and advocate on behalf of Fishermans Bend with other levels of government.

• Review of other successful clusterbuilding initiatives nationally and from the Melbourne region to understand how Council can facilitate the development of new clusters e.g. Dandenong bridal cluster, Hume-Whittlesea food cluster. 5.13.3

Undertake primary research on Fishermans Bend to: • Collect and analyse key data and information on businesses to support economic development and planning initiatives using Census of Land Use and Employment

• Promoting the area as a high amenity, well serviced, commercial hub. 5.13.2

—> Provides greater opportunity for employment and business development within the environmental industry —> Establishes Fishermans Bend as an attractive location for investment in the environmental technology industry.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

STRATEGIC DIRECTION 6: THE CREATIVE CITY

The City of Port Phillip will be renowned within Victoria and nationally as the ‘creative city’ respected for its high proportion of creative businesses and workers, creative events and leading arts and cultural institutions. A detailed clustering analysis of creative industries in Port Phillip identified the geographic dispersion of creative industry categories across different suburbs and highlighted the distribution of the ten most abundant creative business types in the municipality.

The key findings were as follows: • T hree major creative clusters exist in Port Phillip: —> Music and Performing Arts cluster in St Kilda —> Advertising and Marketing cluster in South Melbourne —> Writing, Publishing and Print Media cluster, also in South Melbourne. • O ther significant smaller clusters in South Melbourne and St Kilda include: —> Film, Television and Radio in St Kilda —> Architecture, Design and Visual Arts in South Melbourne —> Music and Sound Recording in South Melbourne —> Software Development and Interactive Content in South Melbourne —> Performing Arts Operation in St Kilda —> Music and Entertainers in St Kilda —> Architectural Services in South Melbourne —> Photography services in St Kilda.

• I n terms of the proportion of creative jobs compared to total jobs within Port Phillip suburbs, the greatest representation can be found in: —> St Kilda West (21.2 per cent) —> Elwood (20.5 per cent) —> Ripponlea (19.1 per cent) —> St Kilda (17.1 per cent).

SECTION 6

The City of Port Phillip operates and/or is involved with a number of organisations, festivals, events and attractions across the municipality. This support and collaboration contributes to the cultural development and vibrancy of Port Phillip’s creative sector. The City of Port Phillip contributes to the local economy by: • O perating and producing the St Kilda Festival, which is one of Australia’s best known and Melbourne’s most loved events. The festival attracts crowds of more than 300,000 people each year and injects in excess of $15 million into the local economy

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

• P resenting and producing the St Kilda Film Festival (celebrating its 30th year in 2013), which screens Australian short films in all genres including drama, comedy, documentary, animation and digital media

• L easing the Gasworks Arts Park (owned by the City of Port Phillip) to Gasworks Arts Inc. This community-based, non-for-profit organisation presents an annual program of festivals, events, exhibitions and performances

• Subsidising the Linden Centre Celebrating the spectacular for Contemporary Arts, which triumphs of our local film industry is a unique, not-for-profit with a cavalcade of pictures, the contemporary art gallery housed festival has gained worldwide in a significant historical building, recognition for featuring the and devoted to the creation and cream of the crop of Australian presentation of contemporary art. short films, giving local filmmakers the opportunity to have their work screened on a grand scale • O perating The Gallery, located at the St Kilda Town Hall, which presents exhibitions that encourage an appreciation for arts and culture, and are of particular relevance to the area and its community

RATIONALE As per section 5, the City of Port Phillip can justifiably be labelled as Victoria’s 'creative city’ given that it has the highest proportion of creative workers (15 per cent of total employees) of any municipality in the state and is home to a number of significant creative clusters. Council should leverage from these existing strengths to understand what it is that attracts creative businesses to Port Phillip in the first place and what can be done to attract similar businesses in the future and encourage existing ones to expand.

Council may also need to address the issue of rental pressure to ensure that creative businesses and workers are not priced out of the area. Finally, Council can contribute to creative and cultural diversity by working with local businesses to organise events and festivals.

COUNCIL PLAN ALIGNMENT Strategic Direction 6 correlates with the following Council Plan Strategies: Direction 3: Strengthening our diverse and Inclusive Community 3.1.3 Build on local strengths to develop active, connected communities. 3.2.1 Build an active and creative community. Direction 4: Enhancing Liveability 4.2.4 Facilitate economic development that strengthens and supports a diverse and sustainable community.

SECTION 6

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

Strategy 15: Strengthen Port Phillip’s position as the ‘creative city’ Action

Outcomes

Partner

Timeline

6.15.1

—> Strengthens Council’s understanding of why the creative cluster has formed and what benefit the creative cluster brings to the local community

Local business, State & Federal agencies

Mid 2012

Local business

End 2012

Local business

Mid 2013

Undertake an economic benefit analysis to understand the value of the creative sector to Port Phillip’s economy and identify opportunities for future business development. The study should include:

—> Identifies strategies and actions to implement, which will further solidify Port Phillip’s status as Victoria’s ‘creative city’.

• Quantification of creative jobs, businesses and clusters • Identification of current and projected trends • Consultation with creative business owners • SWOT analysis • Identification of investment attraction strategies. 6.15.2

6.15.3

Based on the results of 6.15.1, establish 2-3 creative clusters (e.g. film production in South Melbourne) to: • Increase the productivity of the companies in the cluster • Drive innovation in the field • Stimulate new businesses in the creative industry.

—> Enhances the local economy through shared resources, greater investment, improved efficiency, export growth and the identification of synergies to overcome common barriers

Produce a creative prospectus focusing on the newly-formed 2-3 key creative clusters.

—> Supports further growth of creative businesses in the City of Port Phillip

—> Fosters both competition and collaboration between businesses.

—> Promotes Port Phillip as an attractive investment location for businesses in the creative industry —> Solidifies Port Phillip’s reputation as the ‘creative city’.

Strategy 16: Support events which celebrate creativity and sustainability Action

Outcomes

Partner

Timeline

6.16.1

—> Builds an active and creative community

Business Associations, local community, Comms and Engagement Unit

Ongoing

Work with Business Associations in the non-levy neighbourhood activity ventres of Albert Park and Elwood to support community festivals to provide creative, community-based activities that stimulate business growth and development.

—> Develops and strengthens the reputation of Port Phillip’s creative economy —> Connects local residents and visitors to Port Phillip with businesses in the creative industry —> Creates a sense of place and provide a showcase for local creativity.

SECTION 7

ECONOMIC DEVELOPMENT STRATEGY 2012-2016

MONITORING & EVALUATION The success of this Economic Development Strategy can only be determined by measuring its performance over time. It is recommended that the implementation of the strategy is regularly monitored by the City of Port Phillip’s Economic Development Unit. The team will conduct regular reviews on the success of the strategy and the status of actions by assessing outcomes against key economic indicators, historic data, and other quantitative and qualitative measures. This includes measuring: • T he level of engagement with local businesses and their representatives

• T he level of satisfaction and achievements within the business associations • T he levels of retention of large existing businesses in the municipality • I ncreases in the level of visitation and visitation expenditure in the municipality • P articipation in the biennial City of Port Phillip Business Excellence Awards • A ttendance levels and satisfaction of Port Phillip events, networking sessions and workshops. These key economic indicators will be measured through:

• I ndustry growth and Gross Regional Product

• I nformed Decisions, which contains key economic and community specific data to which City of Port Phillip has subscribed

• C hanges in the number of business establishments in the municipality

• S urvey data, such as ‘Business Confidence’ and ‘Visitor Profile and Satisfaction’

• C hanges in the level of employment

• C ensus of Land Use and Employment data

• T he retention/turnover of businesses in Activity Centres

• C hanges in the ‘Index of Relative Socio-Economic Disadvantage’ for Port Phillip, where the higher the index, the less disadvantaged that area is compared with other municipalities in Victoria. To ensure the Economic Development Strategy remains relevant to the current economic climate, the Council will review the economic data underpinning the strategy in 2012 based on the information available from the 2011 Census. It is important for Council to understand that the structure of the local economic landscape is fundamental to shaping economic development within the municipality. In light of this, it may be necessary to update some of the strategies and actions based on the new data. The Council will also continue to consult with local business people to determine their issues and priorities so that the City of Port Phillip may continue to support and assist them through proactive economic development.

Monitoring and evaluation of this plan will continually test its effectiveness. It will also provide updated intelligence and data which the Council uses to guide, promote and reinforce the sustainability and growth of the local economy in the City of Port Phillip.

CONTACT INFORMATION: To download an electronic copy of this Economic Development Strategy please visit our website at www.portphillipbusiness.com.au or for more information, suggestions or assistance, please telephone ASSIST on +61 3 9209 6777.

This document is printed on Australian made, 100% recycled paper. Designed and printed locally in Port Melbourne by Stokes Street Studio and Kosdown Printing â&#x20AC;&#x201C; Winner 2008 CitiPower Port Phillip Business Excellence Environmental Sustainability Award.