Response to Victorian Government's Economic Growth Statement

The Committee for Frankston & Mornington Peninsula is encouraged by the Victorian Government's announcement it will review zoning of surplus port-zoned land in Hastings, and calls on the Victorian Government to act quickly.

The announcement was included in the Victorian Government's 'Economic Growth Statement' released this week. Specifically, the Victorian Government stated it will "review the zoning of up to 3 300 hectares at Altona North and Hastings - currently restricted under Special Use Zoning – unlocking it for new and growing businesses."

This has been an advocacy priority for the Committee since 2018, and was included in this year's submission to the Port of Hastings Port Development Strategy.

The Committee previously made a submission to the last PDS for the PoH in relation to Special Use Zone 1 land deemed surplus to the requirements of the Port Authority. The 2018 Port of Hastings Strategy identified areas deemed surplus to Port needs and recommended those areas be investigated for industrial uses.

585 hectares of 3,500 was identified by the Port as suitable for this purpose. Although approximately six years has passed, the amendments to the planning scheme to rezone these areas from SUZ1 to general industrial remain uncertain.

The Committee urges local and state governments to act now in addressing these rezoning proposals to support local industry and retain local jobs on the Mornington Peninsula. As of 2021, there were 43.3 hectares of vacant Industrial 3 and Commercial 2 zoned land within the Mornington Peninsula Shire.

Based on current industrial land exhaustion rates, this supply is estimated to last 3.4–4.3 years. Additionally, 19.6 hectares of vacant Industrial 3 Zone land is subject to overlays that may delay development in the short term due to planning constraints.

This indicates that there may be as little as 1.9–2.4 years of remaining developable industrial land in the Mornington Peninsula Shire. Further consumption of industrial land since 2021 has exacerbated the already critical situation in the Mornington Peninsula Shire.

Whilst welcoming the inclusion of this initiative in the Government's Economic Growth Statement, the Committee calls on the government to act now. Surplus port-related land should be made available for broader industrial and commercial uses to support local industry, encourage investment and create and retain local jobs alongside the establishment of the proposed Renewable Energy Terminal.

 Rezoning of Special Use Zone 1 land is critical to meet the growing demand of general industrial use and appropriate development within the Mornington Peninsula Shire. The need for this rezoning to occur is even more crucial with developments surrounding the Port, and the potential for major projects like the VRET and proposed Hydrogen Energy Supply Chain (HESC) to be established in the region provide further economic opportunities.