Regional Innovation Investment: Identification of the Loddon Campaspe Innovation Corridor
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1 Identification of the Loddon Campaspe Innovation Corridor
2 Today s Insights Project developed by City of Greater Bendigo and supported by REMPLAN A bit about Greater Bendigo and the Calder Corridor Strategic alignment of policy and regional planning Identification of Regional Innovation and Knowledge led business activity Emerging Government led initiatives 3
3 Loddon Campaspe Region Strong connections of networked townships and the city of Bendigo
4 Jobs growth - Loddon Campaspe Jobs in region (POW) Census Health Care & Social Assistance Construction Accommodation & Food Services 1725 Education & Training 1380 Agriculture, Forestry & Fishing Administrative & Support Services Manufacturing Professional, Scientific & Technical Services Public Administration & Safety Retail Trade Other Services Transport, Postal & Warehousing Mining Financial & Insurance Services Arts & Recreation Services Electricity, Gas, Water & Waste Services Rental, Hiring & Real Estate Services Information Media & Telecommunications -24 Wholesale Trade -344 Loddon Mallee RDA: Project overview & presentation 5
5 Loddon Campaspe - Region exports Top 5 Industry sectors Manufacturing Mining Agriculture, Forestry & Fishing Construction Financial & Insurance Services Billions Loddon Mallee RDA: Project overview & presentation 6
6 Loddon Campaspe - Industry (value-added) contribution to GRP As measure by value-added, excluding Rental, Hiring & Real Estate Services Financial & Insurance Services Health Care & Social Assistance Construction Manufacturing Education & Training , , Millions As measure by value-added, excluding Rental, Hiring & Real Estate Services Loddon Mallee RDA: Project overview & presentation 7
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8 Greater Bendigo - Overview Population (2016) 112,000 Increase in residents ( ) 2,100 Forecast population (2050) 200,000 Dwellings (2016) 49,000 Forecast additional dwellings (by 2050) 40,000 Gross Regional Product (REMPLAN estimate) Jobs (2016) 45,000 Jobs growth target (30 years) 40,000 Businesses 7,800
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11 Why the focus on innovation? Employment and Innovation Clusters (EIC s) commonly a focus for larger (metropolitan) centres However, regions and cities across the world all need to respond to: Technology advances Workforce shortages Increasing demand in higher skills Increased levels of creativity and innovation required to remain globally competitive is at the heart of investment in Employment and Innovation Clusters (EIC ). 12
12 EIC s Characteristics Asset category Economic Physical characteristic Concentration of: Large employing businesses Health & Education Institutions Government & non-government Organisations. Economic Benefit/s Concentration of highly skilled, driven professionals that enables a culture and outcome focussed business environment centred around innovation. Physical Public and privately buildings, Public spaces, streets, and infrastructure Networkin g Interaction and relationships between industries, professionals, local businesses and institutions Source: Brookings Institute, adapted by REMPLAN. High quality built environment where physical assets are designed and structured to promote increased levels of connectivity, collaboration, and innovation. Sharing of ideas, information and ultimately development of economic activity where increased relationships promote or accelerate better ideas and outcomes. 13
13 Policy alignment Plan Melbourne , recognises the significance of a concentration of businesses and institutions that support a diverse range of employment with a focus on knowledge based jobs. Seven key locations were identified within Greater Melbourne as National Employment & Innovation Clusters (NEIC). Focussed land use planning and infrastructure investment to support transformation. 14
14 Regional Innovation Corridor The corridor between Bendigo and Melbourne supports the highest concentration and fastest growing population base within the Loddon Campaspe region. Bound by the Bendigo and Melbourne the flow of economic activity is significant. Aligned with population, the corridor also supports a high density of businesses and as a result, employment. New business creation within the corridor over the last five years has been concentrated in Business Service industries and Construction & Wholesale Trade. The corridor has great connectivity with high speed train, freeway grade road and linkage proximity to Melbourne Airport.
15 Loddon Campaspe Connectivity supporting growth 44% of businesses are within the corridor south of Bendigo Link between Bendigo and Melbourne is significant in driving economic activity. Strong link between rail, road and network for townships. In general, access to high quality connectivity exists. 16
16 Annual new business entries within the Calder Corridor 17
17 Bendigo as an EIC 41% (45,280) Greater Bendigo residents live in the nominated Bendigo EIC (BEIC). The total BIEC land area is 4,645 ha, only 2% of the LGA s land area. 33,684 jobs are located in the BEIC, representing 70% of the LGA s employment base. 67% of Greater Bendigo s total output is generated within the BEIC. 68% of the Greater Bendigo s Gross Regional Product (GRP) is produced within the BEIC. Per capita GRP within the BEIC is over $40,000 higher than Greater Bendigo totals. 18
18 BEIC Jobs aligned to knowledge and innovation industry sectors 18,463 jobs (54.8%) of jobs in the study area are in knowledge and innovation sectors: Health Care & Social Assistance (22.4%), Education & Training (9.0%), Manufacturing (7.0%), Public Administration & Safety (5.8%), Financial & Insurance Services (5.7%) and Professional, Scientific & Technical Services (4.9%) Health Care & Social Assistance Education & Training Manufacturing Public Administration & Safety Financial & Insurance Services Professional, Scientific & Technical Services 3,027 2,346 1,962 1,932 1,641 7,555 19
19 Centres comparison Productivity & population metrics of selected Employment & Innovation Clusters. $ ,000 $ , ,000 $ ,000 $ ,000 $ , ,000 $ ,000 $0.00 Bendigo EIC Monash NEIC Greater Bendigo (LGA) Greater Ballarat (LGA) Newcastle (LGA) Wollongong (LGA) Greater Geelong (LGA) Inner Melbourne 0 Per Capita GRP ($'000) Per Worker GRP ($'000) Population (RHS) Jobs (RHS) 20
20 Broader regional city role than just Innovation! Top 10 Employing Industry Sectors selected Australian Cities and Employment & Innovation Clusters (% Jobs) Administrative & Support Services Information Media & Telecommunications Administrative & Support Services Health Care & Social Assistance Retail Trade Education & Training Construction Accommodation & Food Services Manufacturing Public Administration & Safety Financial & Insurance Services Professional, Scientific & Technical Services Other Services Transport, Postal & Warehousing 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% BEIC Inner Melbourne Monash EIC 21
21 Strong education base but not enough tertiary education and research jobs. 100% 90% 80% 70% 26% 60% 50% 83% 60% 40% 30% 20% 10% 0% 66% 27% 13% Bendigo EIC Study Area Monash NEIC Inner Melbourne Arts, Sports, Adult, Community & Other Education Tech, Vocational & Tertiary Education (undergrad & postgrad) Pre-School, Primary, Secondary & Special Education 22
22 Can a Regional Innovation Corridor be developed? Research findings Bendigo demonstrate a capital function within more akin to a metropolitan capital. Strength of regional governance models, networks and relationships observed in regions is strongly aligned to innovation district methods. Local strengths in health, manufacturing and business services presents an opportunity to expand the linkage between local tertiary providers to support research endeavours. However, there is a risk around the proportional share of tertiary education compared with other EICs. Leveraging the built form within Bendigo and it s network of historic regional townships presents significant opportunities to attract visitors and talent. Regional Capitals are positioned to exploit the employment and innovation clustering that drives export related activity, drives positive public policy and supports government investment to unlocks exponential private investment. 23
23 Establishing the Regional Innovation corridor Problem Benefit Solution Policy does not recognise the corridor as unique economic region bound by Melbourne and Bendigo. Local government capacity for investment in urban design and built form varies and can not always meet expectations of new residents. Connectivity infrastructure in the region is not world class. Existing regional governance models could leverage new adopted policy direction to drive investment and planning. High-quality urban design and architecture draw talent, innovators and creatives. Strong towns and high urban amenity are key to successful innovation districts. Policy that recognises the region s strategic direction to support economic policy, business environment and innovation infrastructure. A package of investment to support Local Governments renewal of Towns and Centres is good for visitors, residents and attracting talent. High speed fibre optic network. Infrastructure that provides high speed connections to support Industry 4.0 varies across the region. Respond to industry (Health, Education, Manufacturing, Agriculture and creative industries) who demanding technology and collaboration nationally and internationally. Positioning the region to leverage the Melbourne Airport Rail link. Focussing investment on research and tertiary education in the region. 24
24 City of Greater Bendigo Led (& Partners) FEW Nexus - Program of creating a circular economy with the essentials in life projects - Energy, Water, Sustainable Food Production and Waste management (supporting and enabling a range of industry sectors and community) Health Chronic Health in Regional and rural communities link to Health Informatics (Nationally leading with Global relevance) Smart Rural Areas/Agriculture 4.0 and Ag Tech Hub of Australia (linking to Food production and links to Intensive animal and food production systems across the region) Smart Cities Bendigo 4.0 Living Lab for experimentation (reg reform, technology trails, social innovation). Self-determined regional city with inclusive prosperity 25
25 Loddon Campaspe Regional Partnership Economic Statement In progress Opportunities around the Calder Innovation Corridor Establish the Calder corridor as a unique economic region, through policy and regional strategic planning. Gear investment around visitors and residents. Excellence in digital connectivity, urban design, active town centres and community infrastructure attracts talent and visitors. Strengthen regional links to arts, innovation, training building on concentration of artisans, designers, technologists and informers. Build a culture of start-ups and regional entrepreneurism to foster the most innovative regional settlement corridor in the country. Invest in opportunities for research and development that leverage existing high value manufacturing, health facilities & Universities. 26
26 Thank you
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