REASONS FOR DECISION TO EXERCISE POWER OF INTERVENTION

UNDER SECTION 20(4) OF THE PLANNING AND ENVIRONMENT ACT 1987

Melbourne and Port Phillip PLANNING SCHEME AMENDMENT GC44

The Planning and Environment Act 1987 (the Act), the Heritage Act 1995 and the Victorian Civil and Administrative Tribunal Act 1998 provide for the intervention of the Minister for Planning in planning and heritage processes.

In exercising my powers of intervention, I have agreed to:

§  Make publicly available written reasons for each decision; and

§  Provide a report to Parliament at least every twelve months detailing the nature of each intervention.

REQUEST FOR INTERVENTION

1.  The amendment facilitates the expansion of the Melbourne Convention and Exhibition Centre (MCEC) by replacing the incorporated document titled ‘Melbourne Convention Centre Development, Southbank and North Wharf Redevelopment, Docklands, April 2006,’ with ‘Melbourne Convention Centre Development, Southbank and North Wharf Redevelopment, Docklands, April 2006, Amended May 2016.’

WHAT POWER OF INTERVENTION IS BEING USED?

2.  I have decided to exercise my powers to exempt myself from all the requirements of sections 17, 18 and 19 of the Act and the regulations in respect of Amendment GC44 to the Melbourne and Port Phillip Planning Schemes.

3.  Section 20(4) of the Act enables the Minister for Planning to exempt an amendment which the Minister prepares from any of the requirements of sections 17, 18 and 19 of the Act or the regulations.

4.  In seeking to exercise this power, section 20(4) of the Act requires that the Minister must consider that compliance with any of those requirements is not warranted or that the interests of Victoria or any part of Victoria make such an exemption appropriate.

BACKGROUND

5.  Planning Scheme Amendment C116 to the Melbourne and Port Phillip Planning Schemes was approved by the Minister for Planning on 17 May 2006. This amendment inserted the incorporated document, the Melbourne Convention Centre Development, Southbank and North Wharf Redevelopment, Docklands, April 2006,’ into the Melbourne and Port Phillip Planning Schemes.

6.  Amendment C116 facilitated the redevelopment of the precinct with a new convention centre, retail space (South Wharf DFO), a hotel, a public car parking area amongst other associated changes.

7.  A formal planning scheme amendment application was lodged on 11 February 2016 to prepare, adopt and approve Amendment GC44 to the Melbourne and Port Phillip Planning Schemes, under section 20(4) of the Act.

8.  The amendment seeks to amend the Incorporated Document, and is required to facilitate a planned expansion of the MCEC.

9.  The expansion will increase exhibition space by 18,000 square metres through the construction of a new 9,000 square metres exhibition hall, additional 5,700 square metres of meeting, banquet and pre-function space, new central hub linking the convention and exhibition facilities, new multi-storey car park with additional 1166 car parking spaces, a new 3.5 star hotel and upgrades to the public realm.

Benefits of exemption

10.  The benefit of the exemption is that it will enable the prompt approval of the amendment to facilitate the next stage of this state significant project to be constructed. Enabling the approval of the amendment without formal statutory notice will ensure the project proceeds in a timely manner and ensure that Melbourne maintains the leading position in business tourism and exhibitions in Australia, in circumstances where the current exhibition space cannot meet all forms of demand and as a result this business is being turned away.

11.  The MCEC is a state significant site as it is a key event destination in Melbourne, hosting over 2 million visitors and 1000 events a year. The expansion of the MCEC will generate revenue of approximately $1 billion per annum and provide an increase of 25% in financial turnover. The MCEC expansion project is outlined in Victoria’s 2020 Tourism Strategy, July 2013 with the project receiving funding in the State Government’s 2015/16 budget.

12.  The proposed MCEC expansion is time critical to ensure that the development is completed by early 2018.

Effects of Exemption on Third Parties

13.  The effect of the exemption is that third parties will not receive notice of the amendment and will not have the opportunity to make a submission or be heard by an independent panel in relation to the amendment.

14.  The site is physically separated from surrounding uses, being bound by the Yarra River, the West Gate Freeway and other main roads. That being the case, the extent to which the proposed expansion will impact on third parties is considered to be low, particular in circumstances where neighbouring uses are largely commercial and there is little to no neighbouring residential development which will be adversely impacted.

15.  During the design phase of the project, the project proponent engaged informally with key authorities to seek feedback into the project design. This included numerous meetings and site visits. It also included two Office of Victorian Government Architect Design Review Panels held on 22 October 2015 and 16 December 2015. A third Panel was convened on 3 May 2016 and released its report 12 May 2016. Representatives of the Department of Environment, Land, Water and Planning, the City of Melbourne and the City of Port Phillip participated and provided feedback on project design in each of the Panels.

16.  On 10 April 2016, I agreed to undertake targeted consultation to affected parties pursuant to section 20(5) of the Planning and Environment Act 1987 , which included notice of the amendment to City of Melbourne, City of Port Phillip, Office of the Victorian Government Architect, Vic Roads, Public Transport Victoria and Transurban. I considered that these organisations and key authorities are in the best position to provide input into the development of appropriate planning controls which will balance facilitation of the project with ensuring design excellence, functionality and the protection of local amenity.

17.  The City of Melbourne, City of Port Phillip, Office of the Victorian Government Architect, VicRoads and Public Transport Victoria have responded to the targeted consultation. Transurban has indicated that it does not intend to respond. The City of Melbourne, the City of Port Phillip, VicRoads and Public Transport Victoria have made officer level submissions offering conditional support for the proposal. The Office of the Victorian Government Architect has expressed the view that numerous design and public realm improvements could still be made to the proposal.

18.  Where possible, the concerns raised by the affected parties through the Section 20(5) consultation process have been addressed by way of conditions in the incorporated document.

Assessment as to whether benefits of exemptions outweigh effects on third parties

19.  The main benefit of the exemption is that it will promptly allow approval of the amendment to facilitate the next stage of this state significant project.

20.  The use of the exemption will affect third parties, with the ability to make submission regarding the amendment removed.

21.  However, targeted consultation has occurred and the views of the key authorities are known. Many of the concerns raised through this targeted consultation have been addressed by way of conditions within the Incorporated Document.

22.  I am of the view that the benefits of prompt approval of the amendment outweigh the effects on third parties.

23.  Accordingly I consider that the benefits of exempting myself from sections 17, 18 and 19 of the Act outweigh any effects of the exemption on third parties.

DECISION

24.  I have decided to exercise my power to exempt myself from all the requirements of sections 17, 18 and 19 of the Act and the regulations in respect of Amendment GC44 to the Melbourne and Port Phillip Planning Schemes.

REASONS FOR INTERVENTION

25.  I provide the following reasons for my decision to exercise my power under section 20(4) of the Act.

26.  I am satisfied that -

Compliance with any of the requirements of sections 17, 18 and 19 of the Act and the regulations is not warranted because:

·  Pursuant to section 20(5) of the Planning and Environment Act 1987 targeted consultation was undertaken with the relevant parties affected by this amendment.

·  The views of the parties consulted have been considered in formalising the form of the Incorporated Document.

The interests of this part of Victoria make such an exemption appropriate because:

·  The exemption from notice and prompt approval of this state significant project outweigh the effects on third parties of not providing public notice.

SIGNED BY THE MINISTER

HON RICHARD WYNNE MP

Minister for Planning

Date: 17 May 2016