Victoria

Value Creation and Capture Framework released by Victorian Government

VICTORIAN Major Projects Minister Jacinta Allan last week released the State Government's Value Creation and Capture Framework, which aims to create maximum value for Victorians from the state's multibillion-dollar pipeline of major projects.

The Framework provides guidance to all government departments, business, industry and community sector partners on ways that government will generate more industry and skills development, affordable housing, open spaces, community facilities and energy efficiency from future projects.

Victoria's Value Creation and Capture Framework

The Framework will apply to all major projects and precinct developments in Victoria, with agencies required to explore all value capture and creation options in the development of their proposals.

In a statement, Ms Allan said the Australian Government has suggested that one type of value capture – beneficiary charging – could be used to replace, or be a condition of, grant funding from the Commonwealth Government.

"This has often been used as an excuse by the Commonwealth for providing Victoria less than eight per cent of national infrastructure funding," Ms Allan said.

"The Labor Government supports value capture, but also recognises the role of government to invest in better communities without charging those communities for it. The Government rejects this excuse by the Turnbull Government to deny Victoria the funding it deserves.

"The Labor Government is already using its massive pipeline of major infrastructure projects to put Victorians first, creating thousands of jobs."

Ms Allan said the new Framework will complement other State Government initiatives like the Major Project Skills Guarantee, which ensures that at least 10 per cent of all work on major projects in Victoria is done by trainees, apprentices and cadets.

"In addition, under our Local Jobs First Policy, strategic projects valued at over $50 million require companies to meet minimum local content requirements using local firms, materials, expertise and skills," she said.

More information is available from the Department of Premier and Cabinet website at <http://dpc.vic.gov.au/index.php/news-publications/value-creation-and-capture-framework>.

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