Options Assessment 2- Economic, Social and Environmental Assessments and Option Relationship Mapping

Transcription

1 Options Assessment 2- Economic, Social and Environmental Assessments and Option Relationship Mapping Advice to Infrastructure Victoria 20-May-2016 Prepared for Infrastructure Victoria ABN: N/A 20 May 2016

2 Options Assessment 2- Economic, Social and Environmental Assessments and Advice to Infrastructure Victoria Client: Infrastructure Victoria ABN: N/A Prepared by AECOM Australia Pty Ltd Level 9, 8 Exhibition Street, Melbourne VIC 3000, Australia T F ABN In association with PricewaterhouseCoopers Freshwater Place, 2 Southbank Boulevard, Southbank VIC 3006, Australia T: , F: , ABN May-2016 Job No.: AECOM in Australia and New Zealand is certified to the latest version of ISO9001, ISO14001, AS/NZS4801 and OHSAS AECOM Australia Pty Ltd (AECOM). All rights reserved. AECOM has prepared this document for the sole use of the Client and for a specific purpose, each as expressly stated in the document. No other party should rely on this document without the prior written consent of AECOM. AECOM undertakes no duty, nor accepts any responsibility, to any third party who may rely upon or use this document. This document has been prepared based on the Client s description of its requirements and AECOM s experience, having regard to assumptions that AECOM can reasonably be expected to make in accordance with sound professional principles. AECOM may also have relied upon information provided by the Client and other third parties to prepare this document, some of which may not have been verified. Subject to the above conditions, this document may be transmitted, reproduced or disseminated only in its entirety.

3 Quality Information Document Ref Date Prepared by Reviewed by 20-May-2016 AECOM & PwC Sarah Close (PwC), Austin Kennedy (AECOM) Revision History Revision Revision Date Details Name/Position Authorised Signature B 02-May For review Austin Kennedy Director - Infrastructure Advisory C 20-May Final Austin Kennedy Director - Infrastructure Advisory

4 Table of Contents Executive Summary i Introduction i Purpose of this report i Approach to economic, social and environmental assessment i Process to undertake assessment i Criteria applied in assessment ii Approach to option relationship mapping iv Key results iv Results by need iv Results by infrastructure sector iv Results by cost grouping iv Results by ESE category outcome v Highly Detrimental vi 1.0 Introduction Infrastructure Victoria s 30 year strategy Option development and assessment to date Purpose of the economic, social and environmental and option relationship mapping assessments Updates from IV s We Hear You consultation paper Structure of this report Approach to Options Assessment Process to undertake Assessment Background literature and research Approach to economic, social and environmental assessment Economic, social and environmental rating methodology Reporting of rating outcomes Criteria applied in assessment Approach to option relationship mapping Defining relationships Method for option relationship mapping assessment Assumptions and limitations Options assessed Results by option Results presentation Results by need 27 Need 1 Address infrastructure demands in areas with high population growth 27 Need 2 Address infrastructure challenges in areas with low or negative growth 28 Need 3 Respond to increasing pressures on health infrastructure, particularly due to ageing 29 Need 4 Enable physical activity and participation 30 Need 5 Provide spaces where communities can come together 31 Need 6 Improve accessibility for people with mobility challenges 33 Need 7 Provide better access to housing for the most vulnerable Victorians 34 Need 8 Address expanded demand on the justice system 35 Need 9 Provide access to high-quality education infrastructure to support lifelong learning 37 Need 10 Meet growing demand for access to economic activity in central Melbourne 38 Need 11 Improve access to middle and outer metropolitan major employment centres 40 Need 12 Improve access to jobs and services for people in regional and rural areas 41 Need 13 Improve the efficiency of freight supply chains 42 Need 14 Manage threats to water security, particularly in regional and rural areas 43 Need 15 Manage pressures on landfill and waste recovery facilities 44 Need 16 Help preserve natural environments and minimise biodiversity loss 45 Need 17 Improve the health of waterways and coastal areas 46 Need 18 Transition to low carbon energy supply and use 47

5 Need 19 Improve the resilience of critical infrastructure Results by infrastructure sector Economic/General Policy Planning Public transport heavy rail Public transport general Active transport Ports and freight Roads Water Power Environment Education Health Justice Arts, culture and sport Results by ESE category Economic Social Environmental Results by cost category Highly detrimental rating Option relationship mapping Results by relationship Complementary relationships Enabling relationships Dependent relationships Either/or relationships Next steps 114 Appendix A IV Needs A Appendix B PwC's GEM Model B Data extraction b-3 Economic and demographic classifications b-3 Geographic classification b-3 Appendix C Subject matter specialist feedback C

6 Important Notice AECOM Australia Pty Ltd and PricewaterhouseCoopers (The Consultants) have prepared this report and options assessment in accordance with the usual care and thoroughness of the consulting profession for the use of Infrastructure Victoria and only those third parties who have been authorised in writing by The Consultants to rely on this Report. It is based on generally accepted practices and standards at the time it was prepared. No other warranty, expressed or implied, is made as to the professional advice included in this Report. It is prepared in accordance with the scope of work and for the purpose outlined in the contract dated 23 February Where this Report indicates that information has been provided to The Consultants by third parties, The Consultants have made no independent verification of this information except as expressly stated in the Report. The Consultants assume no liability for any inaccuracies in or omissions to that information. This Report and assessment was prepared between 23 February 2016 and 20 May 2016 and is based on the information available at the time of preparation. The Consultant disclaims responsibility for any changes that may have occurred after this time. This Report should be read in full. No responsibility is accepted for use of any part of this report in any other context or for any other purpose or by third parties. This Report does not purport to give legal advice. Legal advice can only be given by qualified legal practitioners. Except as required by law, no third party may use or rely on this Report unless otherwise agreed by The Consultants in writing. Where such agreement is provided, The Consultants will provide a letter of reliance to the agreed third party in the form required by The Consultants. To the extent permitted by law, The Consultants expressly disclaims and excludes liability for any loss, damage, cost or expenses suffered by any third party relating to or resulting from the use of, or reliance on, any information contained in this Report. The Consultants do not admit that any action, liability or claim may exist or be available to any third party. Except as specifically stated in this section, The Consultants do not authorise the use of this Report by any third party. It is the responsibility of third parties to independently make inquiries or seek advice in relation to their particular requirements and proposed use of the site.

7 i Executive Summary Introduction Infrastructure Victoria (IV) is developing a 30-year strategy (the Strategy) as the first of its three key roles including providing advice to the Victorian Government, and publishing research on infrastructure matters. To demonstrate to the community, stakeholders and government that a detailed evidence base approach has been taken to develop the strategy, IV has released an Options Paper All things Considered and a Draft Options Book detailing which options are being considered and the assessment that has been undertaken to date. This is intended to be an open process, with assessments helping form preliminary views on options, before more detailed work can be undertaken. An initial assessment process (Assessment 1 plotted options by their anticipated contribution to meeting a draft infrastructure need versus an estimate of the whole of life cost, along with identification of the degree of evidence (information and analysis) available for each. As documented in Appendix A, the 25 draft needs were condensed to 19 following consultation and during Assessment 2. This is summarised in the We Hear You consultation report. AECOM and PwC Australia (PwC) have been commissioned to undertake Assessment 2 economic, social and environmental assessments and options relationship mapping. This advice was expanded to include supplementary Assessment 1 work which was required following the changes to the needs (see Supplement B). Purpose of this report This report presents the methodology and results for Options Assessment 2, which involves two key areas of assessment: 1. A high-level economic, social and environmental assessment for the options shortlisted comparing the economic, social and environmental contribution of each shortlisted option (for summaries of this assessment, see Supplement A) 2. An option relationship mapping assessment evaluating an option s potential impact on other options in meeting needs. This identifies where it may be beneficial to consider options together, and also where potential conflicts between options should be avoided. The assessment in this report is not intended to be used to rank options; rather, it is intended to provide an initial indication of relative benefits and dis-benefits of options. The report also presents the supplementary Assessment 2 work (Supplement B) which is to be read in conjunction with another technical report produced by Deloitte/Aurecon and available on Approach to economic, social and environmental assessment Papers previously prepared to support the Strategy, including Laying the Foundations: Setting objectives and identifying needs for Victoria s 30 year infrastructure strategy, have identified the importance of understanding infrastructure in the context of both its influence upon and the ways it which it is influenced by society, the economy and environment. PwC s Economic, Social and Environmental Framework (ESE Framework) is a decision process designed to help identify, analyse and prioritise, in a transparent way, both reform and capital investment infrastructure options through the three different lenses of economic, social and environmental impact. The ESE Framework has been tailored to the objectives of the 30 year strategy, to enable a comparative, relative assessment of each option. Process to undertake assessment AECOM and PwC have applied the process illustrated in Figure 1 to undertake a high level assessment of each option against a set of qualitative and quantitative criteria.

8 ii Figure 1 Assessment Process Source: PwC Criteria applied in assessment The ESE Framework brings together assessments of a number of economic, social and environmental criteria. In order to reflect cost benefit analysis as closely as possible for the economic, social and environmental assessment, options have been rated from highly beneficial to highly detrimental against criteria, which align to the objectives Infrastructure Victoria has identified to underpin the 30-year strategy. A range of qualitative and quantitative criteria were applied and are shown in Figure 2.

9 iii Figure 2 Assessment criteria Source: PwC

10 iv Approach to option relationship mapping The purpose of the option relationship mapping was to identify an option s interactions with other options. In the assessment, option groupings that may be beneficial were identified, as were cases where options may clash and trade-offs may need to be made. This guidance may then be used to inform decision-making relating to potential sequencing and packaging of options. The following questions guided the option relationship mapping: 1. Complementary relationships: Would an option provide an even greater contribution (be complementary) if it were packaged with one or more other options? 2. Enabling relationships: Which options enable others? 3. Dependent relationships: Does an option depend on any other options proceeding in order to contribute to meeting a need? 4. Either/or relationships: Would undertaking an option either minimise the need for another option, or make another need redundant? Key results The results of the ESE and options mapping were presented in the following ways to enable multiple ways of interpreting and analysing results. Results by need Options and their ratings were grouped into corresponding needs as identified by Infrastructure Victoria. This allows for quick comparison of options within a need across economic, social and environmental ratings and whole of life costs. Visual results for all 19 needs are provided in Section 4.2. Results by infrastructure sector As a way of further analysis, the options were separated into 14 infrastructure sectors and end markets as assigned by AECOM and PwC. This allows for a greater understanding of how the options rated against equivalents within their respective sectors and end markets. Visual results are provided in Section 4.3 Results by cost grouping Each of the options were assigned an estimated whole of life cost during Assessment 1. These costs fit into six categories: - Whole of life cost of less than $100 million - Whole of life cost between $100 million and $500 million - Whole of life cost between $500 million and $1 billion - Whole of life cost between $1 billion and $5 billion - Whole of life cost between $5 billion and $10 billion - Whole of life cost greater than $10 billion. A summary of the overall economic, social and environmental ratings by cost category is provided in Figure 3.

11 v Figure 3 Economic, social and environmental results by cost category Results by ESE category outcome ESE category outcomes were assigned to each of the options. When comparing an individual options rating across the three ESE categories, this shows for which category, that option rated highest, i.e. if that option rated highest for economic, social or environmental outcomes. Of the 130 options, the highest rating for 46 of those was for economic outcomes; 58 options had their highest rating for social outcomes; and 26 options rated highest for environmental outcomes. Summaries of key results are provided in Section 4.4. Detailed results on how and why an individual option was rated a certain way for an ESE category is provided in Supplement A.

12 vi Highly Detrimental Options with highly detrimental ratings assigned to them during the economic, social and environmental assessment were drawn out according to economic, social or environmental outcomes. Those options which had at least one highly detrimental rating is provided in Table 1. Table 1 Options which rated highly detrimental against criteria of the ESE Framework Code Option ESE Category CCJ Central city job cap Number of highly detrimental ratings per ESE category Economic 2 Specific Criterion Business innovation/cost savings Contribution to GSP Social 1 No. of beneficiaries SCU1 School campus utilisation Economic 1 Contribution to GSP LLI Landfill levy increase Social 1 No. of beneficiaries Environmental 1 HPF HPFV network completion Environmental 1 Source: AECOM and PwC analysis Noise pollution and visual amenity Resource use and emissions

13 1 Introduction and approach

14 2 1.0 Introduction Infrastructure Victoria (IV) is developing a 30 year infrastructure strategy (the Strategy) as the first of its three key roles to guide Victoria s long term infrastructure planning and investment. This strategy will subsequently be used as a centrepiece in its remaining two key roles of providing advice to the Victorian Government, and publishing research on infrastructure matters. An initial options assessment and shortlisting have already been undertaken and this report presents a second assessment of options to further inform IV in their process of developing the Strategy. 1.1 Infrastructure Victoria s 30 year strategy Infrastructure Victoria s 30 year infrastructure strategy will outline short, medium and long-term infrastructure needs and priorities for Victoria. Designed to be independent and evidence-based, it will include a pipeline of projects to provide guidance to government and the community while also allowing the private sector to plan and make investment decisions. An indicative timeline for the strategy is provided in Figure 4 below. Figure 4 Infrastructure Victoria's 30 year strategy timeline Source: Infrastructure Victoria 1.2 Option development and assessment to date The Laying the Foundations discussion paper was released as the first stage (of four) of the Strategy, setting out what IV is trying to achieve and identifying what is required to reach their goal. To demonstrate to the community, stakeholders and Government that a detailed evidence base approach has been taken to developing the Strategy, IV will be releasing an Options Paper in the second stage which will detail how each option has been assessed as well as the shortlisting process involved. Infrastructure capability assessments were prepared by Deloitte and Aurecon as a stocktake of the current infrastructure environment in Victoria. From this, a series of 240 new infrastructure options were developed designed to meet 25 future needs and 10 future objectives for infrastructure in Victoria through consultation with Government departments and the broader community. An initial assessment and shortlisting (Assessment 1) has already been undertaken on these options through a cost and contribution assessment. This assessment plotted options by a metric of their anticipated contribution to meeting an infrastructure need, along with an estimate of the whole of life cost, while also including an identification of the degree of evidence (information and analysis) available for each. 1.3 Purpose of the economic, social and environmental and option relationship mapping assessments AECOM and PwC were commissioned to provide a second stage of advice relating to options assessment, and technical and costing advice (Assessment 2) which will inform the Options Paper. Figure 5 below details how Assessment 2 works towards the Options Paper, and greater strategy document.

15 3 Figure 5 Assessment 2 timeline Source: Infrastructure Victoria, AECOM and PwC This report presents the methodology and results for Options Assessment 2, which involves two key areas of assessment: 1. A high-level economic, social and environmental assessment for the options shortlisted comparing the economic, social and environmental contribution of each shortlisted option 2. An option relationship mapping assessment evaluating an option s potential impact on other options in meeting needs. This identifies where it may be beneficial to consider options together, and similarly avoid potential conflicts between options Infrastructure Victoria will consider the results from the options assessment in this report for preliminary filtering as well as to inform definition and explanation of the options being considered for development of the Strategy. 1.4 Updates from IV s We Hear You consultation paper In late April 2016, Infrastructure Victoria released their We Hear You r paper that summarised and responded to community consultation sessions relating to the Laying the Foundations paper. There were a number of changes made to IV s overall strategy; however the most pertinent to Assessment 2 were the changes to the needs. In the process of confirming the framework, some of the original needs were refined and some were deleted, resulting in the original 25 needs being condensed to 19. This included the introduction of two new needs. This updated list of needs was used throughout Assessment 2 and all results presented relate to the 19 needs. The full list of the 19 updated needs (including their descriptions) is provided in Appendix A. These changes to the needs had a flow on effect to the options generated in Assessment 1, as some options became less significant to the strategy, while other options needed to be reassessed for their contribution to the updated 19 needs. It was also necessary to assess new options which addressed the new needs. To accommodate the changes to the needs and contribution metrics, AECOM and PwC undertook a number of cost and contribution assessments (replicating the work done in Assessment 1). This was in order to allow IV to filter the new and reassessed options for inclusion in Assessment 2. Where existing needs were changed, the assessment was for the contribution against the need only. New options generated to meet new needs required both whole of life cost and contribution assessments. The results of this cost and contribution assessment are provided in Supplement B.

16 4 1.5 Structure of this report The following sections of this report provide the following: - Section 2.0 provides an overview of the approaches applied for the economic, social and environmental and option relationship mapping assessments, along with key assumptions which AECOM and PwC have applied to assess each option - Section 3.0 presents the Infrastructure Victoria description of each option (contained in Supplement A) - Section 4.0 contains results which are presented to enable comparison of options by: Infrastructure Victoria needs Infrastructure sector Economic, social, or environmental outcome Whole of life cost range Highly detrimental ratings. - Section 5.0 delivers the option relationship mapping results which are presented by: Infrastructure Victoria needs Relationship type - Section 6.0 recommends next steps in the process towards developing the Strategy - Appendix A lists the infrastructure needs provided by Infrastructure Victoria - Appendix B provides further information about PwC s Geospatial Economic Model (GEM) used in the economic, social and environmental assessment - Appendix C contains feedback from subject matter specialists on selected options - Supplement A contains the 130 options including their economic, social and environmental rating and options relationship summary. - Supplement B contains the cost and contributions for additional and revised options assessed during Assessment 2.

17 5 2.0 Approach to Options Assessment 2 Papers previously prepared to support the Strategy, including Laying the Foundations: Setting objectives and identifying needs for Victoria s 30 year infrastructure strategy, identified the importance of understanding infrastructure in the context of both its influence upon, and the ways in which it is influenced by society, the economy and environment. The Economic, Social and Environmental Framework (ESE Framework) is a decision process designed to help identify, analyse and prioritise, in a transparent way, both reform and capital investment infrastructure options through the three different lenses of economic, social and environmental impact. This framework has been tailored to the objectives of the Strategy, to enable a comparative, relative assessment of each option. The ESE Framework aims to help: - Assess the contribution of a portfolio of infrastructure decisions against the achievement of economic, social and environmental aspirations - Communicate the contributions and trade-offs to a wide audience in IV s Option Book. 2.1 Process to undertake Assessment 2 Over an eight week period, AECOM and PwC applied a process to rapidly develop the framework and criteria relevant to the Strategy and apply consistent ratings across options. The approach was underpinned by feedback loops and consideration of comparisons between options. AECOM and PwC obtained input from Infrastructure Victoria and internally sourced sector specialists in economics/general policy, planning, transport, water, power, environment, education, health, justice and arts/culture. This process, summarised in Figure 6, enabled a high level assessment of each option against a set of qualitative and quantitative criteria. Figure 6 Assessment 2 process design Source: Infrastructure Victoria 2.2 Background literature and research A literature review of global and domestic best practice around the measurement and evaluation of economic, environmental and social impacts was undertaken in order to draw out and synthesise approaches that are applicable to a multi-criteria evaluation of infrastructure options and which complemented IV s overall goals and aspirations. Key documents include: - Global Reporting Option s Sustainability Reporting Guidelines - UK Department for s Analysis Guidance: WebTAG - World Business Council for Sustainable Development s Measuring Impact Framework Methodology - Infrastructure Sustainability Council of Australia s IS Rating Tool - PwC s Total Impact Measurement and Management Framework - PwC s Sustainable Finance Toolkit - RobecoSAM s Corporate Sustainability Assessment.

18 6 2.3 Approach to economic, social and environmental assessment The ESE Framework provides a consistent basis for comparing options in the economic, social and environmental process, bringing together an assessment of social, economic and environmental criteria, including tangible and intangible measures. It has been designed to measure the relative costs and benefits of each option, and to provide a comprehensive measure of the overall net impact of each option. The framework considers the effects of each option on those who make use of an option directly (for example, users of a new road) and on those who do not make use of an option directly but who are still affected (for example, the impacts of a priority lane for taxis and buses to Tullamarine Airport on other road users). It also incorporates the effects of any externalities which are generated by each option (for example, the potential for increased dumping of waste if prices for waste collection are increased), and its overall social impacts. By incorporating the impacts of each option on different sectors, the framework ensures a more holistic evaluation of each option is completed, rather than one which focuses on the financial viability of each option alone. The criteria are aligned to the objectives and needs which IV has identified to underpin its 30-year strategy. The ESE Framework is illustrated in Figure 7.

19 7 Figure 7 ESE Framework applied for Infrastructure Victoria in economic, social and environmental assessment Source: PwC

20 8 Figure 7 illustrates the ESE Framework structures assessment of benefits and dis-benefits according to economic, social and environmental criteria. For each option, a rating of highly beneficial to highly detrimental has been applied against the individual criteria. This enables flexibility to examine the impact of an option against specific criteria, or attribute a total rating to each option for ranking based on the balance of relative environmental, social and economic benefits and dis-benefits. Whole of life costs of the options were identified by Deloitte and Aurecon in Assessment 1, in bands ranging from less than $100 million to greater than $10 billion. An additional eight whole of life costs of options were assessed by AECOM and PwC that aligned to new options that were not present in Assessment 1. The whole of life costs can be compared to the benefits and dis-benefits identified using the ESE Framework. The whole of life cost estimates have been used for this purpose in the reporting for individual option assessments.

21 Economic, social and environmental rating methodology Each option was rated against the individual criteria outlined in Figure 7, and the average economic, social and environmental rating was calculated. The overall rating of each option reflects the average of its economic, social and environmental ratings. Each category is weighted equally for the overall rating, though it may also be weighted according to its importance to a need. Three criteria types were used to assess each option. These criteria were designed to combine both raw data and informed analysis for each evaluation including: quantitative criteria, qualitative criteria, and quantitative evidencebased criteria. Qualitative criteria For each criterion, ratings were assigned on a scale from highly detrimental to highly beneficial. AECOM and PwC worked with IV and subject matter specialists to verify assumptions and results. This process also allowed further insight and detail to be built in to the options assessment. Quantitative criteria For the criteria number of beneficiaries, output data from PwC s Geospatial Economic Model (GEM model) were used to quantify the magnitude of each option s impact upon three population groups (small, medium and large). The direction of this data (i.e. positive, neutral or negative) was qualitatively assessed to ensure each option was rated appropriately. The GEM model is detailed further in Appendix B. Quantified evidence-based Within the ESE Framework, PwC s GEM model was also used as a structured database to quantify evidence to inform ratings. The GEM outputs were used to assess the likely magnitude of each option s impact, for example to illustrate the difference between a large effect on a large industry (likely to be highly beneficial or highly detrimental), as compared to a large effect on a small industry (likely to be moderately beneficial, moderately detrimental, or neutral) Reporting of rating outcomes The ESE Framework was used to rate the 130 options presented in this report. Option specific rating Each option was rated based on the average ESE outcomes identifying ratings per economic, social and environmental criterion ranging from highly beneficial to highly detrimental. Highly detrimental flag The economic, social and environmental analysis documents where highly detrimental ratings were given, the number of these which apply to the option, and lists the category (economic, social or environmental) where it was applied. These are presented in the report by need. Total ESE rating The average economic, social and environmental category ratings were quantified both individually and collectively, providing a summary of the overall economic, social and environmental analysis. Attributing a total rating to each option also allowed options to be ranked based on a balance of relative environmental, social and economic benefits and dis-benefits Criteria applied in assessment The Framework brings together assessments of a number of economic, social and environmental criteria. In order to reflect cost benefit analysis as closely as possible for the economic, social and environmental analysis, options have been rated from highly beneficial to highly detrimental The criteria are outlined below in Table 2 through Table 4.

22 10 Table 2 Economic Rating Matrix Rating matrix: over 30 year time horizon Category Objectives Criteria * Denotes quantified criteria Description Highly beneficial Moderately beneficial Neutral Moderately detrimental Highly detrimental Economic Enable workforce participation Lift Victoria s productivity Support Victoria s changing, globally integrated economy Build resilience to shocks Access to jobs Business cost savings Contribution to Gross State Product * Avoided State costs Degree to which an option is likely to attract additional tourists or generate additional international trade Reduce risk of or minimise disruption (a) Number of households with a journey to work currently >45 mins which are likely to be affected by option (b) Number of households situated < than 45 mins to a new employment generated Degree to which an option results in a direct change in the supply chain costs of businesses in the State (a) Proportion of State GSP impacted (%) based on the geographical area (SA2) likely to be affected by an option, or/weighted with: (b) Proportion of State GSP impacted (%) based on the industry (e.g. agriculture, land transport) likely to be affected by an option Additional cost savings to the State, a measure separate to the whole of life cost estimate Degree to which an option is likely to attract additional tourists or improve the competiveness of export industries Degree to which an option improves the resilience of critical infrastructure to disruptive events, or addresses infrastructure-related emergency response challenges Significant reduction in number of households with a journey to work > 45 minutes Significant reduction in costs to businesses No appreciable/ applicable change No appreciable/ applicable change Significant increase in number of households with a journey to work > 45 minutes Significant increase in costs to business Evidence for the rating was generated using the PwC GEM Model, which was applied in tandem with qualitative assignment depending on the degree to which the option is considered to affect Gross State Product over the 30 year period Significant reduction in State costs Significant increase in tourists/ competitiveness of export industries Significantly reduces the incidence and impact of shocks No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change N/A - increases in State costs captured in whole of like cost assessment Significant adverse impact on tourists/ competitiveness of export industries Significant adverse impact on infrastructure shocks Source: AECOM and PwC

23 Table 3 Social Rating Matrix 11 Rating matrix: over 30 year time horizon Category Objectives Criteria * Denotes quantified criteria Description Highly beneficial Moderately beneficial Neutral Moderately detrimental Highly detrimental Social Respond to population growth and change Support healthy, safe and vibrant communities Reduce disadvantage Number of beneficiaries * Access to education Housing supply and affordability Health and safety Access to culture/ sporting/ recreation facilities Supports low socio-economic areas * Supports remote or regional communities Number of people based in the geographical area (region/remoteness classification) likely to be affected Degree to which option improves access to/availability of health care and/or education (early childhood, school, higher education) Degree to which option improves housing supply and affordability for Victorians Degree to which option improves community health and safety outcomes (access and availability) Degree to which option improves community access to social (including cultural), sporting and recreation facilities Degree to which option supports low SEIFA 1 index communities Degree to which option supports Victoria's remote or regional communities PwC GEM model used to quantify total number of people impacted by the option, qualitative assessment of the direction of the benefit Significantly improves access to education Significantly improves housing affordability Significantly improves health and safety outcomes Significantly improves access to facilities No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change Significant adverse impact on access to education Significant adverse impact on housing affordability Significant adverse impact on community health and safety outcomes Significant adverse impact on access to facilities Evidence for the rating was generated using the PwC GEM Model, which was applied in tandem with qualitative depending on the degree to which the option is considered to affect low SEIFA index communities Significantly improves outcomes for remote or regional communities No appreciable/ applicable change Significant adverse impact on remote or regional communities Source: AECOM and PwC 1 ABS derived Socio-Economic Indexes for Areas

24 Table 4 Environmental Rating Matrix 12 Rating matrix: over 30 year time horizon Category Objectives Criteria * Denotes quantified criteria Description Highly beneficial Moderately beneficial Neutral Moderately detrimental Highly detrimental Environmental Resource use and emissions: Support climate change and adaption Pollution and waste: Promote sustainable production and consumption Ecology and habitat: Protect and enhance natural environments Resource use Energy use Greenhouse gas emissions Water use Water, air and waste Noise pollution and visual amenity Impact on ecosystems and habitat Degree to which option contributes to the extraction/use of resources (construction and lifecycle) Degree to which option reduces consumption of non-renewable energy sources and/or improves efficiency of energy usage (construction and lifecycle) Degree to which option reduces carbon dioxide emissions from direct and indirect sources (construction and lifecycle) Degree to which option reduces consumption of water and/or improves efficiency of water usage (construction and lifecycle) Degree to which option reduces the release of air and water pollutants, or waste generation, which may affect communities and/or surrounding ecosystems (construction and lifecycle) Degree to which option reduces noise impacts on communities or improves visual amenity (construction and lifecycle) Degree to which option affects habitats and ecosystems (construction and lifecycle) Significantly reduces resource use Significantly reduces nonrenewable energy consumption Significantly reduces GHG emissions Significantly reduces water consumption Significantly reduces the release of air and water pollutants, or waste generation Significantly reduces noise pollution or improves visual amenity Improves habitat or ecosystem No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change No appreciable/ applicable change Significantly increases resource use Significantly increases nonrenewable energy consumption Significantly increases GHG emissions Significantly increases water consumption Significantly increases the release of air and water pollutants, or waste generation Significantly increases noise pollution or improves visual amenity Significant adverse impact on habitat or ecosystem Source: AECOM and PwC

25 Approach to option relationship mapping The purpose of the option relationship mapping was to identify an option s relationships to other options. The assessment identified where grouping certain options together may be beneficial. It also identified where options may clash in intent and/or purpose, and thus where trade-offs may need to be made. Overall, the assessment forms an important input into decision-making regarding the potential sequencing and packaging of options, as well as where trade-offs may need to be made between options. The option relationship mapping assessment was guided by the following questions: 1. Which options may provide an even greater contribution if they were complemented by one or more other options? 2. Which options may enable other options? 3. Which options depend on other options? 4. Which options would not be feasible to undertake together? Defining relationships Four types of relationships were defined: complementary, enabling, dependent and either/or. An explanation of these relationship types is provided in Table 5. Table 5 Defining relationships Complementary Where the relationship would either: a. Enhance the qualities of each option and what they aim to achieve (the purpose) b. Increase overall impact in terms of purpose (i.e. the whole benefit would be greater than the sum of the individual benefits) A + B = A B For example: undertaking option A plus option B together would have a greater benefit than the sum of the individual benefits of undertaking them separately. Either option A or option B could be undertaken without the other, but doing so would not create the same amount of benefit. Undertaking A and B together will create a larger benefit than undertaking them separately Enabling Where the relationship would give impetus (i.e. make it more possible, but not dependent). For example: option A gives impetus to undertaking option B. Option B could go ahead without option A occurring, but it may not have the same beneficial outcome. An example could be a regulation change that provides better guidance to how a new asset should meet a need. A B A enables B

26 14 Dependent Where implementation of an option is reliant upon the implementation of another option. For example: When the feasibility or benefit of undertaking option B (the dependent) relies upon undertaking option A (the dependency) either beforehand or concurrently. Dependencies may exist due to shifts in supply and demand; locational aspects; built options being dependent on regulatory or behaviour changes, and vice-versa. A B Either/Or B is dependent on A Where an option: a. Competes with another option, or b. Reduces the benefit or need for undertaking another option. This may be due to similarity and overlap in purpose and/or intent. For example: if undertaking option A, it may not make sense to undertake option B, or option B may become infeasible. A or B Either A or B can occur, but not both Source: AECOM Method for option relationship mapping assessment The identification of relationships between needs followed the process set out below: - Grouping options according to which needs they would assist to meet - Determining the strategic intents (purposes) that would be required of options to meet a need - Grouping of options according to their relevant strategic intent and also according to a hierarchy of: a) reducing demand for assets through behaviour change, b) better use of existing assets, and c) increasing supply of fixed assets - Identifying relations between options within the same group and across the same need. Then identifying relations between the options of one need with those of within the other 18 needs. The above top-down approach was complemented with a rapid bottom-up assessment which identified relations across all options, independent of need or strategic intent grouping. This served as a means to sense check and also to capture any relationships between options, which were outside the structure of the needs and strategic intent. The results of this is provided in the Supplement A.

27 Assumptions and limitations Many of the options evaluated were in the preliminary development stages meaning there was limited information available to use to assess them. Table 6 below details the assumptions, and provides examples of how they were used in the case of specific options. Table 6 Assumptions made Each option was analysed as a standalone project Assumption Options were treated as individual projects as per the description provided. Any complementary, enabling, dependant and either/or relationships between options were not considered during the economic, social and environmental analysis. These relationships were investigated further in the option relationship mapping analysis, which occurred separately to the economic, social and environmental analysis. Example: CPM (car parking management) The whole of life cost was used to define the option and the scale of impact Assumption A whole of life cost assessment for each option was undertaken in Assessment 1 by Deloitte and Aurecon, with subsequent assessment by AECOM and PwC. Assumptions made to estimate the whole of life cost were used to define option impacts. Each option has been assessed based on direct outcomes Assumption Each option has been assessed based on direct outcomes - Where an option enables other secondary outcomes, these have been included in the discussion and explored in the option relationship mapping, but not assessed under the economic, social and environmental analysis. Each option has been assessed based on net impact CPM involves a change to parking prices designed to limit the attractiveness of parking in the central city, with no improvement to access to public transport or public transport services. On a stand-alone basis, the option was assessed as moderately detrimental for access to jobs. The option relationship mapping analysis notes that the option could be enhanced by implementation in conjunction with other options. Example: BWP2 (bicycle and walking path expansion and improvement) and BWP3 (bicycle and walking path separation Both BWP2 and BWP3 support growth in active transport through investments in bicycle infrastructure. BWP2 is costed in the range of $ million and focuses on incremental expansion and upgrades to the existing network, while BWP3 is costed in the range of $1-5 billion, involving considerable investment in new bicycle paths and grade separation. The whole of life cost for these options has been used to differentiate them when rating. Example: BWP1 (bicycle and walking path data capture) BWP1 involves better collection of data for active transport travel patterns. Without using the results of this data collection to inform any other options, any benefits associated with the option would be minimal, and so the option achieved an overall neutral rating. Benefits from the use of data to better assess current programs or plan for future infrastructure were not assumed to be realised when assessing the option. Assumption For some options, there may be beneficial and detrimental outcomes against the same criteria. In these cases, the net outcome is reflected in the economic, social and environmental rating. Example: AGC (aging coal generation assets) AGC incentives renewable power plants against brown coal power station life extensions and additions. This is anticipated to result in a reduction in Latrobe Valley jobs associated with the closure of coal generators, which are estimated to be mostly offset by the jobs created for renewable energy asset construction and maintenance, as well as jobs associated with technology development and innovation. Overall, the rating assigned for access to jobs was neutral.

28 16 Funding and financing of options has not been captured in the ratings Assumption Unless specifically stated within the option, assumptions about funding/financing methods were not made for the analysis of the option. This includes pricing and costs to end users, which are a funding source (e.g. utility prices, ticket fares). Coordination with other governments has not been assumed Assumption Where an option concerns an area influenced by multiple levels of government, it has been assumed that there is no coordination in the actions of governments, unless specifically stated in the option. Options have been assessed based on the ability of the State Government to implement changes. The impacts of each option have been assessed at single point of time Assumption Victoria s economy, land-uses and demographics will naturally evolve during the 30 year time horizon. At this stage of the Strategy development, the amount of information around potential timing of options varies. Where practical, the economic, social and environmental analysis has accounted for future highlevel economic, land-use or demographic changes, documented in the options book. Overall, options have been assessed assuming social, economic and environmental conditions are close to today s conditions. Options were not considered to target areas or specific communities Assumption Example: HSR (high speed rail from Sydney to Melbourne) HSR involves a substantial investment (>$10 billion) to build a high speed rail line between Melbourne and Sydney. In assessing the option, no assumptions where made about how the project would be financed or funded, including no assumptions about ticket prices. The economic, social and environmental analysis is intended to establish benefits, which can be offset by the whole of life cost estimates. In later stages of the project's assessment, the timing of costs and benefits will be established as well as potential funding mix between local, state and federal governments. These values can then be discounted back to current day values on the basis of funding and financing assumptions through net present value, or benefit-cost ratio analysis. Example: TNP ( network price regime) and RFC (recreation facility co-location and shared use) TNP relates to reviewing current pricing of the transport network. In assessing the option, it has been assumed that Federal taxes (such as fuel excise) that affect the price of passenger and freight transport, remain in place. RFC involves State and Local Government working more closely to deliver centralised recreation facilities. Cooperation and coordination have been assumed in rating this option Example: CCT (Central city tram network extension) and PMC (Port of Melbourne container terminal expansion) It was assumed that in CCT, E-gate and Fisherman s Bend was already developed meaning there would be sufficient demand for new tram services. In rating PMC, it has been assumed that current trends in growth of containerised freight continue into the future. Example: ACM (aged care and mental health investment) and HCP (health care patient subsidised travel)

29 17 Unless it is stated or clear from the description, options are assumed to be implemented evenly state-wide. ACM relates to a large investment in new facilities for residential care, disability services and mental health services. As there is no discussion of targeting this investment is interpreted as occurring across the state, with no dis-proportionate benefits or dis-benefits to low socio economic or regional and remote communities. HCP relates to condensing services for regional communities. The targeting of rural communities then informs HCP's assessment under the economic, social and environmental framework. The options exist in an unconstrained environment Assumption Any extractive or natural resources were assumed to not be restricted when the option was analysed. Global perspective in use of non-renewable resources Example: HSR (High speed rail from Sydney to Melbourne) and RRW1 (regional and rural water pricing) When assessing HSR, it was assumed that any necessary raw materials required for construction or the energy supply were unrestricted. Assumption Example: AEV (alternative energy vehicles ) When resources would need to be sourced interstate or overseas, the effects of this was rated rather than only the explicit impact on Victorian resources. Construction assumptions Assumption Construction was only assumed to be part of the option implementation when clearly stated in the description or detailed in the option whole of life cost construction. Mitigation of construction related environmental impacts Mass-produced electric vehicles are not currently manufactured in Australia (including resource intensive components such as batteries). This option contains a number of incentives to promote the use of electric vehicles and was therefore assessed as having detriments to resource use, alongside benefits for other environmental criteria including amenity. Example: HIC (health infrastructure coordinated planning) Key impacts of HIC relate to improved planning, and the option itself does not involve any construction. Environmental impacts of the option were assessed as neutral. Assumption Approval processes at different levels of government include environmental assessments, and compel project proponents to develop mitigation strategies to address environmental outcomes. The exception is habitat destruction, which is a feature of greenfield developments. For developments on brownfield sites, it has been assumed that further habitat destruction is overall marginal. Source: AECOM and PwC Example: HPF (HPFV network completion) This option is to complete the state-wide HPFV network in accordance with the Victorian Freight And Logistics Plan, which will involve construction, extensions and upgrades to a number of roads. Due to the extent of the construction, some habitat loss is anticipated, although other construction impacts are assumed to be carefully addressed during the planning process, through processes such as environmental impact assessments.

30 18 Options assessment 2

31 Options assessed Infrastructure Victoria has undertaken a process to identify a long list of options and to develop a filtered list of 130 options for the options assessment presented in this report. The options have been developed from a range of government and public input, and therefore reflect a wide range of infrastructure sectors, mix of new investment and policy changes, and address a broad range of identified needs for Victoria. The full output of the economic, social and environmental and option relationship mapping assessments conducted option by option is provided in Supplement A to this report. Table 7 below contains the full list of 130 options analysed, along with the corresponding three letter option code used throughout this report and supplements. Table 7 Option Code Full Options List Option Name ACG Ageing coal generation asset transition S(A)1 ACM Aged care and mental health residential care investment S(A)2 AHR Affordable and social housing targeted development S(A)3 ALP Active lifestyle infrastructure provision S(A)4 ALR Active lifestyle infrastructure regulation S(A)5 ARN Arterial road network employment centre enhancements S(A)6 AST Access to services through technology and ICT S(A)7 ATM Advanced traffic management S(A)8 BHT Bicycle highways through the central city S(A)9 BRG Burnley rail group upgrades S(A)10 BVA Bicycle and vehicle accident fault allocation S(A)11 BWP1 Bicycle and walking path data capture S(A)12 BWP2 Bicycle and walking path expansion and improvement S(A)13 BWP3 Bicycle and walking path separation S(A)14 CAR Critical asset centralised risk management S(A)15 CCJ Central city job cap S(A)16 CCT Central city tram network extension S(A)17 CLR City loop reconfiguration S(A)18 CPC Melbourne arts and sports precinct connectivity S(A)19 CPI Coastal protection infrastructure S(A)20 CPM Car parking management S(A)21 CPS1 Centralised planning scheme S(A)22 CRE Clyde rail extension S(A)23 CRR2 Central regional rail control centre S(A)24 CSC Justice case management system S(A)25 Supplement A Page # CSS1 Community space shared use agreements S(A)26

32 20 Option Code Option Name CSS2 Community space statewide event planning S(A)27 CSU Community and public space utilisation deregulation S(A)28 DCD Data centre location diversification S(A)29 DTS Doncaster tram service S(A)30 ECE2 Early childhood education centralised planning model S(A)31 ECE3 Early childhood education corporate office facilities S(A)32 EDM1 Energy demand management efficiency schemes S(A)33 EDM2 Energy demand management tariff reform S(A)34 EED Energy efficient development S(A)35 EOC Employment outside central city incentivisation S(A)36 ETM Emergency traffic management S(A)37 EWE Eastern freeway to CityLink connection S(A)38 EWW CityLink to Western Ring road connection S(A)39 FLS Waste landfill site land buffers S(A)40 FPL Freight precinct land use planning S(A)41 GAT Growth area train station upgrade and provision S(A)42 GFR Geelong fast rail S(A)43 GRE Geelong rail electrification S(A)44 GWR Geelong and Werribee rail upgrade S(A)45 HAC Health and aged care repurposing of facilities S(A)46 HAP Health and aged care not-for-profit and private sector involvement S(A)47 HCD Health care delivery role change S(A)48 HCL Habitat corridor link expansion and improvement S(A)49 HCP Health care patient subsidised travel program extension S(A)50 HCS Health care smart facilities S(A)51 HCT2 High capacity trains - 10 car S(A)52 HCT3 High capacity trains - 7 car S(A)53 HEP Health education programs S(A)54 HIC Health infrastructure coordinated planning S(A)55 HPF HPFV network completion S(A)56 HSP1 Hoddle Street/Punt Road public transport prioritisation S(A)57 HSR High speed rail from Sydney to Melbourne S(A)58 HWD Household waste disposal fees S(A)59 Supplement A Page # IRA Infrastructure resilience assessment test S(A)60

33 21 Option Code Option Name ITT Increased telecommuting S(A)61 JCS Justice and human services colocation S(A)62 LBS Growth area bus service expansion S(A)63 LLI Landfill waste levy increase S(A)64 MAB Melbourne Airport bus dedicated road priority S(A)65 MAH Melbourne Airport heavy rail line S(A)66 MAM Melbourne Airport metropolitan public transport connections S(A)67 MBF Melbourne to Brisbane freight rail line S(A)68 MMS Melbourne Metro 2 S(A)69 MPW Mobile police and justice workforce S(A)70 MRE1 Melton rail electrification S(A)71 MTN Employment centre mass transit network S(A)72 NEL North-East link S(A)73 NHE Northern metropolitan corridor health service expansion S(A)74 NPP1 National park pricing and expenditure regime S(A)75 NPP2 National park private management S(A)76 OMR Outer metropolitan ring road S(A)77 PHC Preventative health care awareness S(A)78 PHR Public high rise housing estate renovation S(A)79 PMC Port of Melbourne container terminal expansion S(A)80 PMM Port of Melbourne to metropolitan container shuttle S(A)81 PTA Public transport alternative use of taxis or hire cars S(A)82 PTT Public transport train timetabling S(A)83 PTV Public transport accessibility S(A)84 RBU Regional bus upgrades S(A)85 RCP Residential and commercial property densification S(A)86 RFC Integrated shared use community and recreation facilities S(A)87 RFI Riparian fence investment S(A)88 RHU Regional highway upgrades S(A)89 RMU Recycled material usage in building construction S(A)90 RRE1 Regional rail eastern corridor dedicated rail track S(A)91 RRE2 Regional rail electrification S(A)92 RSA Road space allocation changes S(A)93 Supplement A Page # RSF Rail signals and fleet upgrade S(A)94

34 22 Option Code Option Name RWN River and waterways natural flow regimes S(A)95 RWW Recycled treated wastewater for drinking S(A)96 SCC Community health facility access S(A)97 SCU1 School campus utilisation S(A)98 SEP Education and medical research precincts linking with the private sector S(A)99 Supplement A Page # SFU School facility use for Out of School Hours Care S(A)100 SHA Social housing asset rationalisation and refresh S(A)101 SHD1 Social housing utilising the Defence Housing Australia rental model S(A)102 SHG Social housing government role change S(A)103 SHS1 Affordable housing sector regulatory amendment S(A)104 SHS2 Social housing "Social Rental" model S(A)105 SHS3 Social housing stock transfer model S(A)106 SHT Social housing tenant transfer within a community S(A)107 SIF School infrastructure funding certainty S(A)108 SIP Subregional infrastructure planning S(A)109 SOO School boundary enrolment S(A)110 SSP SmartBus service provision increase S(A)111 SSS School shortages S(A)112 SSW School sector-wide planning information S(A)113 STE School and tertiary education cooperation S(A)114 STO Strategic transit-oriented development corridors S(A)115 TAF TAFE Recapitalisation S(A)116 TNI network information centralisation S(A)117 TNP network price regime S(A)118 TPU Train platform utilisation S(A)119 TSC Train station car parking improvement S(A)120 TTF Tram and train fleet modifications S(A)121 TWR Recycled treated wastewater for non-potable peri-urban agricultural use S(A)122 UDC Urban development in established areas S(A)123 VEL Vocational Education long term funding certainty S(A)124 WDF Webb Dock freight rail access S(A)125 WIR Waterway infrastructure to remove pollutants S(A)126 WRE1 Wallan rail electrification S(A)127 WRE2 Wollert rail extension S(A)128

35 23 Option Code Option Name Supplement A Page # WSE Wind and solar energy generation large scale investments S(A)129 WVW Wyndham Vale to Werribee rail extension S(A)130 Source: Infrastructure Victoria

36 24 Results by option

37 Results by option The economic, social and environmental framework was applied to the options as per Section 2.0, with results for individual options detailed in Supplement A. This section presents star charts that allow comparisons of multiple option ratings. Options have been clustered by need, by infrastructure sector, by outcome and by cost grouping. Additionally, options which received a highly detrimental rating were also noted and presented in Section 4.6. For full option names and further descriptions of options presented in this section, please refer to Supplement A. 4.1 Results presentation Figure 8 illustrates a sample star chart, detailing the data that has been included, and providing guidance on how to interpret the scales.

38 26 Figure 8 Sample radar chart Source: AECOM and PwC

39 Results by need The following lists the options which rated the highest and lowest using the economic, social and environmental framework for each of the 19 needs. Greater detail on these needs is provided in Appendix A. Need 1 Address infrastructure demands in areas with high population growth The range of ratings for options which apply to need #1 Address infrastructure demands in areas with high population growth can be seen below in Figure 9. Figure 9 #1 Address infrastructure demands in areas with high population growth Source: AECOM and PwC

40 28 Need 2 Address infrastructure challenges in areas with low or negative growth The range of ratings for options which apply to need #2 Address infrastructure challenges in areas with low or negative growth can be seen below in Figure 10. Figure 10 #2 Address infrastructure challenges in areas with low or negative growth Source: AECOM and PwC

41 29 Need 3 Respond to increasing pressures on health infrastructure, particularly due to ageing The range of ratings for options which apply to need #3 Respond to increasing pressures on health infrastructure, particularly due to ageing can be seen below in Figure 11. Figure 11 #3 Respond to increasing pressures on health infrastructure, particularly due to ageing Source: AECOM and PwC

42 30 Need 4 Enable physical activity and participation The range of ratings for options which apply to need #4 Enable physical activity and participation can be seen below in Figure 12. Figure 12 #4 Enable physical activity and participation Source: AECOM and PwC

43 31 Need 5 Provide spaces where communities can come together The range of ratings for options which apply to need #5 Provide spaces where communities can come together can be seen below in Figure 13 through Figure 15. Figure 13 #5 Provide spaces where communities can come together (CSS1) Source: AECOM and PwC Figure 14 #5 Provide spaces where communities can come together (CSS2) Source: AECOM and PwC

44 32 Figure 15 #5 Provide spaces where communities can come together (CSU) Source: AECOM and PwC

45 33 Need 6 Improve accessibility for people with mobility challenges The range of ratings for options which apply to need #6 Improve accessibility for people with mobility challenges can be seen below in Figure 16. Figure 16 #6 Improve accessibility for people with mobility challenges Source: AECOM and PwC

46 34 Need 7 Provide better access to housing for the most vulnerable Victorians The range of ratings for options which apply to need #7 Provide better access to housing for the most vulnerable Victorians can be seen below in Figure 17. Figure 17 #7 Provide better access to housing for the most vulnerable Victorians Source: AECOM and PwC

47 35 Need 8 Address expanded demand on the justice system The range of ratings for options which apply to need #8 Address expanded demand on the justice system can be seen below in Figure 18 through Figure 20. Figure 18 #8 Address expanded demand on the justice system (CSC) Source: AECOM and PwC Figure 19 #8 Address expanded demand on the justice system (JCS) Source: AECOM and PwC

48 36 Figure 20 #8 Address expanded demand on the justice system (MPW) Source: AECOM and PwC

49 37 Need 9 Provide access to high-quality education infrastructure to support lifelong learning The range of ratings for options which apply to need #9 Provide access to high-quality education infrastructure to support lifelong learning can be seen below in Figure 21. Figure 21 #9 Provide access to high-quality education infrastructure to support lifelong learning Source: AECOM and PwC

50 38 Need 10 Meet growing demand for access to economic activity in central Melbourne The range of ratings for options which apply to need #10 Meet growing demand for access to economic activity in central Melbourne can be seen below in Figure 22 and Figure 23. Figure 22 #10 Meet growing demand for access to economic activity in central Melbourne Source: AECOM and PwC

51 39 Figure 23 #10 Meet growing demand for access to economic activity in central Melbourne (Heavy Rail) Source: AECOM and PwC

52 40 Need 11 Improve access to middle and outer metropolitan major employment centres The range of ratings for options which apply to need #11 Improve access to middle and outer metropolitan major employment centres can be seen below in Figure 24. Figure 24 #11 Improve access to middle and outer metropolitan major employment centres Source: AECOM and PwC

53 41 Need 12 Improve access to jobs and services for people in regional and rural areas The range of ratings for options which apply to need #12 Improve access to jobs and services for people in regional and rural areas can be seen below in Figure 25. Figure 25 #12 Improve access to jobs and services for people in regional and rural areas Source: AECOM and PwC

54 42 Need 13 Improve the efficiency of freight supply chains The range of ratings for options which apply to need #13 Improve the efficiency of freight supply chains can be seen below in Figure 26. Figure 26 #13 Improve the efficiency of freight supply chains Source: AECOM and PwC

55 43 Need 14 Manage threats to water security, particularly in regional and rural areas The range of ratings for options which apply to need #14 Manage threats to water security, particularly in regional and rural areas can be seen below in Figure 27 and Figure 28. Figure 27 #14 Manage threats to water security, particularly in regional and rural areas (RWW) Source: AECOM and PwC Figure 28 #14 Manage threats to water security, particularly in regional and rural areas (TWR) Source: AECOM and PwC

56 44 Need 15 Manage pressures on landfill and waste recovery facilities The range of ratings for options which apply to need #15 Manage pressures on landfill and waste recovery facilities can be seen below in Figure 27. Figure 29 #15 Manage pressures on landfill and waste recovery facilities Source: AECOM and PwC

57 45 Need 16 Help preserve natural environments and minimise biodiversity loss The range of ratings for options which apply to need #16 Help preserve natural environments and minimise biodiversity loss can be seen below in Figure 30. Figure 30 #16 Help preserve natural environments and minimise biodiversity loss Source: AECOM and PwC

58 46 Need 17 Improve the health of waterways and coastal areas The range of ratings for options which apply to need #17 Improve the health of waterways and coastal areas can be seen below in Figure 31. Figure 31 #17 Improve the health of waterways and coastal areas Source: AECOM and PwC

59 47 Need 18 Transition to low carbon energy supply and use The range of ratings for options which apply to need #18 Transition to low carbon energy supply and use can be seen below in Figure 32. Figure 32 #18 Transition to low carbon energy supply and use Source: AECOM and PwC

60 48 Need 19 Improve the resilience of critical infrastructure The range of ratings for options which apply to need #19 Improve the resilience of critical infrastructure can be seen below in Figure 33 through Figure 35. Figure 33 #19 Improve the resilience of critical infrastructure (CAR) Source: AECOM and PwC Figure 34 #19 Improve the resilience of critical infrastructure (DCD) Source: AECOM and PwC

61 49 Figure 35 #19 Improve the resilience of critical infrastructure (IRA) Source: AECOM and PwC

62 Results by infrastructure sector As a way of further analysis, the options were separated by infrastructure sector and end market as assigned by AECOM and PwC. Using these sectors as a context allows a greater understanding of how the options rate against equivalents within their end markets. These are shown in Sections through During the detailed specialist review phase of the project, option ratings were reviewed by subject matter specialists. Specialist commentary on the options and economic, social and environmental ratings has been included in Supplement A: Options assessed. In some cases specialists provided commentary related to the options outside of the scope of the economic, social and environmental analysis. Where applicable, this feedback has been included in this section Economic/General Policy The range of ratings in the Economic/General Policy sector can be seen below in Figure 36. Figure 36 Economic/General Policy Source: AECOM and PwC

63 Planning The range of ratings in the Planning sector can be seen below in Figure 37. Figure 37 Planning Source: AECOM and PwC

64 Public transport heavy rail The range of ratings in the Public Heavy Rail sector can be seen below in Figure 38. Figure 38 Public Heavy Rail Source: AECOM and PwC

65 Public transport general The range of ratings in the Public General sector can be seen below in Figure 39. Figure 39 Public - General Source: AECOM and PwC

66 Active transport The range of ratings in the Active sector can be seen below in Figure 40. Figure 40 Active Source: AECOM and PwC

67 Ports and freight The range of ratings in the Ports and Freight sector can be seen below in Figure 41. Figure 41 Ports and Freight Source: AECOM and PwC

68 Roads The range of ratings in the Roads sector can be seen below in Figure 42. Figure 42 Roads Source: AECOM and PwC

69 Water The range of ratings in the Water sector can be seen below in Figure 43. Figure 43 Water Source: AECOM and PwC

70 Power The range of ratings in the Power sector can be seen below in Figure 44. Figure 44 Power Source: AECOM and PwC

71 Environment The range of ratings in the Environment sector can be seen below in Figure 45 through Figure 47. Figure 45 Environment (CPI) Source: AECOM and PwC Figure 46 Environment (HCL) Source: AECOM and PwC

72 60 Figure 47 Environment (RFI) Source: AECOM and PwC

73 Education The range of ratings in the Education sector can be seen below in Figure 48. Figure 48 Education Source: AECOM and PwC

74 Health The range of ratings in the Health sector can be seen below in Figure 49. Figure 49 Health Source: AECOM and PwC

75 Justice The range of ratings in the Justice sector can be seen below in Figure 50 through Figure 52. Figure 50 Justice (CSC) Source: AECOM and PwC Figure 51 Justice (JCS) Source: AECOM and PwC

76 64 Figure 52 Justice (MPW) Source: AECOM and PwC

77 Arts, culture and sport The range of ratings in the Arts, Culture and Sport sector can be seen below in Figure 53. Figure 53 Arts, Culture and Sport Source: AECOM and PwC

78 Results by ESE category Economic, social and environmental category outcomes were assigned to each of the options and can be seen in Sections through This context shows which options most supported and least supported economic outcomes, social outcomes, and environmental outcomes. The following sections and tables show for which ESE category, an option rated the highest. The reference to Supplement A is provided for quick reference to further information on how and why an individual option has rated a certain way for ESE categories Economic Options which individually rated highest economically, when compared to their social and environmental ratings are listed in Table 8. Table 8 Options which rated highest economically compared to their social and environmental ratings Option Code Option Name Supplement A Page # ARN Arterial road network employment centre enhancements S(A)6 ATM Advanced traffic management S(A)8 BWP1 Bicycle and walking path data capture S(A)12 CAR Critical asset centralised risk management S(A)15 CCT Central city tram network extension S(A)17 CLR City loop reconfiguration S(A)18 CPI Coastal protection infrastructure S(A)20 CRE Clyde rail extension S(A)23 CSC Justice case management system S(A)25 EWE Eastern freeway to CityLink connection S(A)38 EWW CityLink to Western Ring road connection S(A)39 HAP Health and aged care not-for-profit and private sector involvement S(A)47 HCD Health care delivery role change S(A)48 HPF HPFV network completion S(A)56 HSR High speed rail from Sydney to Melbourne S(A)58 IRA Infrastructure resilience assessment test S(A)60 MAB Melbourne Airport bus dedicated road priority S(A)65 MAH Melbourne Airport heavy rail line S(A)66 MAM Melbourne Airport metropolitan public transport connections S(A)67 MMS Melbourne Metro 2 S(A)69 NEL North-East link S(A)73 NPP1 National park pricing and expenditure regime S(A)75 NPP2 National park private management S(A)76 OMR Outer metropolitan ring road S(A)77 PHR Public high rise housing estate renovation S(A)79 PMC Port of Melbourne container terminal expansion S(A)80

79 67 Option Code Option Name Supplement A Page # RCP Residential and commercial property densification S(A)86 RHU Regional highway upgrades S(A)89 RSF Rail signals and fleet upgrade S(A)94 SEP Education and medical research precincts linking with the private sector S(A)99 SHD1 Social housing utilising the Defence Housing Australia rental model S(A)102 SHG Social housing government role change S(A)103 SHS3 Social housing stock transfer model S(A)106 SIP Subregional infrastructure planning S(A)109 SOO School boundary enrolment S(A)110 SSW School sector-wide planning information S(A)113 STO Strategic transit-oriented development corridors S(A)115 TAF TAFE Recapitalisation S(A)116 TNI network information centralisation S(A)117 TNP network price regime S(A)118 TSC Train station car parking improvement S(A)120 TWR Recycled treated wastewater for non-potable peri-urban agricultural use S(A)122 VEL Vocational Education long term funding certainty S(A)124 WDF Webb Dock freight rail access S(A)125 WRE2 Wollert rail extension S(A)128 WVW Wyndham Vale to Werribee rail extension S(A)130 Source: Infrastructure Victoria, AECOM and PwC

80 Social Options which individually rated highest socially, when compared to their economic and environmental ratings are listed in Table 9 Table 9 Options which rated highest socially compared to their economic and environmental ratings Option Code Option Name Supplement A Page # ACM Aged care and mental health residential care investment S(A)2 AHR Affordable and social housing targeted development S(A)3 AST Access to services through technology and ICT S(A)7 BHT Bicycle highways through the central city S(A)9 BVA Bicycle and vehicle accident fault allocation S(A)11 BWP3 Bicycle and walking path separation S(A)14 CCJ Central city job cap S(A)16 CPC Melbourne arts and sports precinct connectivity S(A)19 CPS1 Centralised planning scheme S(A)22 CRR2 Central regional rail control centre S(A)24 CSS1 Community space shared use agreements S(A)26 CSS2 Community space statewide event planning S(A)27 CSU Community and public space utilisation deregulation S(A)28 DCD Data centre location diversification S(A)29 DTS Doncaster tram service S(A)30 ECE2 Early childhood education centralised planning model S(A)31 ECE3 Early childhood education corporate office facilities S(A)32 EDM2 Energy demand management tariff reform S(A)34 EOC Employment outside central city incentivisation S(A)36 ETM Emergency traffic management S(A)37 FPL Freight precinct land use planning S(A)41 GAT Growth area train station upgrade and provision S(A)42 GFR Geelong fast rail S(A)43 GWR Geelong and Werribee rail upgrade S(A)45 HAC Health and aged care repurposing of facilities S(A)46 HCP Health care patient subsidised travel program extension S(A)50 HCS Health care smart facilities S(A)51 HEP Health education programs S(A)54 HIC Health infrastructure coordinated planning S(A)55 ITT Increased telecommuting S(A)61 JCS Justice and human services colocation S(A)62

81 69 Option Code Option Name Supplement A Page # LBS Growth area bus service expansion S(A)63 MPW Mobile police and justice workforce S(A)70 MTN Employment centre mass transit network S(A)72 NHE Northern metropolitan corridor health service expansion S(A)74 PHC Preventative health care awareness S(A)78 PTA Public transport alternative use of taxis or hire cars S(A)82 PTT Public transport train timetabling S(A)83 PTV Public transport accessibility S(A)84 RBU Regional bus upgrades S(A)85 RFC Integrated shared use community and recreation facilities S(A)87 RRE1 Regional rail eastern corridor dedicated rail track S(A)91 RRE2 Regional rail electrification S(A)92 RSA Road space allocation changes S(A)93 RWW Recycled treated wastewater for drinking S(A)96 SCC Community health facility access S(A)97 SCU1 School campus utilisation S(A)98 SFU School facility use for Out of School Hours Care S(A)100 SHA Social housing asset rationalisation and refresh S(A)101 SHS1 Affordable housing sector regulatory amendment S(A)104 SHS2 Social housing "Social Rental" model S(A)105 SHT Social housing tenant transfer within a community S(A)107 SIF School infrastructure funding certainty S(A)108 SSP SmartBus service provision increase S(A)111 SSS School shortages S(A)112 STE School and tertiary education cooperation S(A)114 TPU Train platform utilisation S(A)119 WRE1 Wallan rail electrification S(A)127 Source: Infrastructure Victoria, AECOM and PwC

82 Environmental Options which individually rated highest economically, when compared to their social and environmental ratings are listed in Table 10. Table 10 Options which rated highest environmentally compared to their economic and social ratings Option Code Option Name Supplement A Page # ACG Ageing coal generation asset transition S(A)1 ALP Active lifestyle infrastructure provision S(A)4 ALR Active lifestyle infrastructure regulation S(A)5 BRG Burnley rail group upgrades S(A)10 BWP2 Bicycle and walking path expansion and improvement S(A)13 CPM Car parking management S(A)21 EDM1 Energy demand management efficiency schemes S(A)33 EED Energy efficient development S(A)35 FLS Waste landfill site land buffers S(A)40 GRE Geelong rail electrification S(A)44 HCL Habitat corridor link expansion and improvement S(A)49 HCT2 High capacity trains - 10 car S(A)52 HCT3 High capacity trains - 7 car S(A)53 HSP1 Hoddle Street/Punt Road public transport prioritisation S(A)57 HWD Household waste disposal fees S(A)59 LLI Landfill waste levy increase S(A)64 MBF Melbourne to Brisbane freight rail line S(A)68 MRE1 Melton rail electrification S(A)71 PMM Port of Melbourne to metropolitan container shuttle S(A)81 RFI Riparian fence investment S(A)88 RMU Recycled material usage in building construction S(A)90 RWN River and waterways natural flow regimes S(A)95 TTF Tram and train fleet modifications S(A)121 UDC Urban development in established areas S(A)123 WIR Waterway infrastructure to remove pollutants S(A)126 WSE Wind and solar energy generation large scale investments S(A)129 ACG Ageing coal generation asset transition S(A)1 ALP Active lifestyle infrastructure provision S(A)4 ALR Active lifestyle infrastructure regulation S(A)5 BRG Burnley rail group upgrades S(A)10 BWP2 Bicycle and walking path expansion and improvement S(A)13

83 71 Option Code Option Name Supplement A Page # CPM Car parking management S(A)21 EDM1 Energy demand management efficiency schemes S(A)33 EED Energy efficient development S(A)35 FLS Waste landfill site land buffers S(A)40 GRE Geelong rail electrification S(A)44 HCL Habitat corridor link expansion and improvement S(A)49 HCT2 High capacity trains - 10 car S(A)52 HCT3 High capacity trains - 7 car S(A)53 HSP1 Hoddle Street/Punt Road public transport prioritisation S(A)57 HWD Household waste disposal fees S(A)59 LLI Landfill waste levy increase S(A)64 MBF Melbourne to Brisbane freight rail line S(A)68 MRE1 Melton rail electrification S(A)71 PMM Port of Melbourne to metropolitan container shuttle S(A)81 RFI Riparian fence investment S(A)88 RMU Recycled material usage in building construction S(A)90 RWN River and waterways natural flow regimes S(A)95 TTF Tram and train fleet modifications S(A)121 UDC Urban development in established areas S(A)123 WIR Waterway infrastructure to remove pollutants S(A)126 WSE Wind and solar energy generation large scale investments S(A)129 Source: Infrastructure Victoria, AECOM and PwC

84 Results by cost category Each of the options were assigned an estimated whole of life cost during Assessment 1. These costs fit into six categories: - Whole of life cost of less than $100 million - Whole of life cost between $100 million and $500 million - Whole of life cost between $500 million and $1 billion - Whole of life cost between $1 billion and $5 billion - Whole of life cost between $5 billion and $10 billion - Whole of life cost greater than $10 billion. A summary of the overall economic, social and environmental ratings by cost category is provided in Figure 54. Figure 54 Cost category ratings Source: AECOM and PwC

85 Highly detrimental rating The detrimental ratings flag those options which could potentially have an adverse impact on at least one ESE criterion, even if the option was deemed to have positive impacts overall. From the list of 130 options, four options received highly detrimental ratings in at least one criterion. The tables below show which options were flagged as detrimental for economic, social and environmental criteria. The full itemised rating breakdown across all criteria is provided in Supplement A. Two options had a highly detrimental rating for at least one economic criterion. Table 11 Options that rated highly detrimental for at least one economic criterion. Code Option Number of detrimental ratings Location in Supplement A CCJ Central city job cap 2 S(A)16 LLI Landfill levy increase 1 S(A)64 SCU1 School campus utilisation 1 S(A)98 Source: AECOM and PwC Two options had a highly detrimental rating for at least one social criterion. Table 12 Options that rated highly detrimental for at least one social criterion. Code Option Number of detrimental ratings Location in Supplement A CCJ Central city job cap 1 S(A)16 LLI Landfill levy increase 1 S(A)64 Source: AECOM and PwC Two options had a highly detrimental rating for at least one environmental criterion. Table 13 Options that rated highly detrimental for at least one environmental criterion. Code Option Number of detrimental ratings Location in Supplement A HPF HPFV network completion 1 S(A)56 LLI Landfill levy increase 1 S(A)64 Source: AECOM and PwC

86 Option relationship mapping 5.1 Results by relationship Sections through show results by the type of relationship between options being complementary, enabling, dependent or either/or. Overall 126 relationships were identified between the 130 options.

87 Table 14 AECOM Complementary relationships Table 14 highlights relationships that may enhance the qualities of each option, and increase the overall impact if options were packaged together. The table also indicates for which needs a relationship is relevant to. Overall 130 relationships were identified as complementary. Complementary relationships Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments 75 All IRA Infrastructure resilience assessment test CAR Critical asset centralised risk management These options complement each other as they should facilitate the identification and prioritisation of critical infrastructure, the risks they face and appropriate measures required to protect them. All CPS1 Centralised planning scheme CAR All All UDC UDC Urban development constraint in established areas Urban development constraint in established areas RCP CCJ Critical asset centralised risk management Residential and commercial property densification Central city job cap These options complement each other as they should facilitate the identification and prioritisation of critical infrastructure, the risks they face and appropriate measures required to protect them. Centralising coordination of infrastructure and services with population changes may benefit centralised risk management. Pairing these options may enhance co-ordination between planning and risk mitigation in specific areas in the state. This partnering could be particularly strong in taking into account the effects of shifting demographics and implications for critical infrastructure in both high growth (1) and low growth (2) areas across the state. These options complement each other as they are planning controls and instruments that enable increased residential and commercial density of development. This reduces the risk of further development that is disconnected from the existing and planned transport network adding to travel times and additional services (eg. roads, buses). These options complement each other as they are planning controls and instruments that enable increased residential and commercial density of development. This reduces the risk of further development that is disconnected from the existing and planned transport network adding to travel times and additional services (eg. roads, buses). Arts, Culture and Sport SIP Subregional infrastructure planning CSS1, CSU Community space shared use agreements, Community and public space utilisation regulation These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of establishing and adopting common shared-use agreements and regulations for the use of community or public spaces. Education SSS School shortages SCU1 School campus utilisation These options complement each other as they encourage better utilisation of school buildings as part satisfying future demand. This helps to ensure that scarce capital expenditure is committed on constructing new local assets at the right time.

88 76 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Education SSS School shortages SOO School boundary enrolment These options complement each other as they encourage a more informed view of the entire schooling system and utilisation of school buildings as a basis for satisfying future demand. This helps to ensure that scarce capital expenditure is committed on constructing new local assets at the right time.. Education SSS School shortages SFU School facility use for out of school hours care These options complement each other as they encourage better utilisation of new school buildings as part satisfying future demand for out of school hours care. This helps to ensure that scarce capital expenditure is committed on constructing new local assets at the right time. Education SSS School shortages STE School and Tertiary Education cooperation These options complement each other as they encourage better utilisation of buildings and facilities as part satisfying future demand. This helps to ensure that scarce capital expenditure is committed on constructing new local assets at the right time. Education STE School and Tertiary Education cooperation SCU1 School campus utilisation These options complement each other as they encourage better utilisation of buildings and facilities as part satisfying future demand. This helps to ensure that scarce capital expenditure is committed on constructing new local assets at the right time. Education SIF School infrastructure funding certainty SSS School shortages Suggest these options have an enabling relationship based on strength of feedback from DET Education SIF School infrastructure funding certainty SCU1 School campus utilisation These options complement each other as it will be necessary to identify and obtain any additional and new maintenance funding required to facilitate a future increase in utilisation of school buildings.

89 77 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Education SIF School infrastructure funding certainty SOO School boundary enrolment These options complement each other as it will be necessary to identify and obtain any additional and new maintenance funding required to facilitate a future increase in utilisation of school buildings. Education SIF School infrastructure funding certainty SFU School facility use for out of school hours care These options complement each other as it will be necessary to identify and obtain any additional and new maintenance funding required to facilitate a future increase in utilisation of school buildings. Education SFU School facility use for out of school hours care SCU1 School campus utilisation These options have a complementary relationship as they both involve better utilisation of buildings within a school campus to satisfy demand for out of school hours care. Education SIP Subregional infrastructure planning SEP, TAF, ECE2, SIF, VEL, SSS Various education infrastructure options These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of planning, design and implementation of state-wide infrastructure and maintenance programs. Education ECE3 Early childhood education corporate office facilities ECE2 Early childhood education centralised planning model Some benefit in terms of resource efficiencies and increased capacity may derive from a centralised planning body taking into account the additional opportunities and requirements of commercial arrangements with building owners to accommodate early childhood facilities Energy EDM 2 Energy demand management tariff reform EDM1 Energy demand management efficiency schemes These options complement each other as they should both encourage energy use by consumers within the industrial and commercial sectors to be reduced and any future growth in energy demand to be deferred. Energy EDM 1 Energy demand management efficiency schemes EED Energy efficient development These options complement each other as they should both encourage energy use in industrial and commercial buildings to be reduced and any future growth in energy demand to be deferred.

90 78 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Energy WSE Wind and solar energy generation large scale investments ACG Ageing coal generation asset transition These options complement each other as they should both encourage investment in lower emission energy sources to satisfy future demand for energy, including initiatives to reduce reliance on carbon intensive power plants. Health SCC Community health facility access PTA Public transport alternative use of taxi or hire car If universal design principles are applied to bus and taxi/hire infrastructure (eg. paths, pick-up/drop-off stops), these options should complement each other as they should facilitate an improvement in how people with mobility challenges can access public transport services. Health SCC Community health facility access PTV Public transport vehicle accessibility If universal design principles are applied to bus, tram and train infrastructure (eg. paths, ramps, lifts, pick-up/drop-off stops), these options should complement each other as they should facilitate an improvement in how people with mobility challenges can access public transport services. Health ACM Aged care and mental health residential care investment HAC Health and aged care repurposing of facilities These options complement each other as the new or existing re-purposed facilities could support more efficient delivery of aged care and mental health services. Health ACM Aged care and mental health residential care investment HCS, RFP Healthcare smart facilities, Residential facilities for people with disabilities These options complement each other as innovations in technology and models of care could be an important part of how additional aged care, mental health and disability services are provided in peoples' homes or via new purpose built facilities. Health HCP Health care patient subsidised travel program extension HAC Health and aged care repurposing of facilities Subsidised patient travel would support the situation when health services are relocated away from an existing location under option HAC, by still enabling access to health services. Health HAP Health care not-for-profit and private sector involvement HAC Health and aged care repurposing of facilities These options complement each other as the not for profit and private sectors could be an important part of how health and aged care services are provided through new or existing re-purposed facilities. Larger benefits may be achieved as both intervention and incentives will be working towards the same goal from both government and nongovernment sources. Health HAP Health care not-for-profit and private sector involvement HCS Healthcare smart facilities Option HCS may have a greater impact if co-ordinated with greater private sector involvement.

91 79 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Health NHE Northern metropolitan corridor health service expansion HAP Health and aged care private sector involvement The NHE option may have a greater impact if co-ordinated with greater private sector involvement. Health PHC Preventative health care awareness HEP Health education programs These options complement each other as tailored health education programs should encourage adoption and evaluation of any technologybased preventative health solutions that are trialled and subsequently rolled out across the community. Health HCS Healthcare smart facilities HAC Health and aged care repurposing of facilities Adopting innovations in technology and models of care complements investment in more efficient new facilities or re-purposing of existing ones. Health HCS Healthcare smart facilities THR Tertiary hospital refurbishment or replacement Adopting innovations in technology and models of care complements investment in more efficient new tertiary hospital facilities. Health SIP Subregional infrastructure planning ICT ITT Increased telecommuting Justice SIP Subregional infrastructure planning PHC, ACM, HAP, HCD, HIC, HAC, HCS, NHE, RFP, THR EOC, CCJ Various transport options JCS, MPW, CSC Various health infrastructure options Employment outside central city incentivisation, Central city job cap Justice colocation of services, Mobile police and justice workforce, Justice case management system These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of planning, design and implementation. These options complement each other as they facilitate through alternative policy/regulatory approaches (eg. telecommuting, pricing, relocation from city) a reduction in demand for commuting and parking in the CBD, especially at peak times. This will help to optimise the performance of the transport network. These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of planning and implementing state-wide infrastructure and maintenance programs Justice PSS Police station supersites MPW Mobile police and justice workforce Whilst the MPW option could be delivered without PSS, the benefits of a shift in service delivery model to a more mobile police force operating out of supersites would be supported by delivering both together.

92 80 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Justice CSC Justice case management system MPW Mobile police and justice workforce Subject to this being within the scope of the standardised justice case management system, these options complement each other as they should facilitate more efficient state-wide mobile ICT access to the system by police from their vehicles. Planning SIP Subregional infrastructure planning ALP, RFC, BWP2, BWP3 Various active lifestyle options These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of planning and implementing improvements to public spaces, recreational facilities, modified and new bicycle and walking paths. Planning SIP Subregional infrastructure planning CAR, TNP, RSA, CPS1, UDC, EOC, STO, RCP Various regulatory and planning control options These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of developing and implementing significant infrastructure policy and planning initiatives. Planning SIP Subregional infrastructure planning EWE, EWW, NEL, OMR, WDF, MBF, PMC, PMM, RHU, RRU, BWP2, BWP3, HSP1, MTB, AST, ATM, ETM, ARN, AAH, HSR, CRE, MRE1, NHE, WRE1, WRE2, WVWMAH, GAT, CCT, DTS, MTN, RBU Various major transport options These options complement each other as they should facilitate whole-ofgovernment engagement and decision-making in the process of planning and implementing major transport infrastructure programs. Planning STO Strategic transit oriented development corridors SSP Smart Bus service provision increase Similar relationship to that between STO and MTN options. Planning STO Strategic transit oriented development corridors MTB Mass transit bus network Similar relationship to that between STO and MTN options.

93 81 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Planning STO Strategic transit oriented development corridors CCT Central city tram network extension These options complement each other as the designation of strategic public transport corridors should facilitate planning and development of mass transit systems (eg. buses, trams) for employment centres. This reduces the risk of further development that is disconnected from the existing and planned public transport network adding to travel times and inefficient services. Planning STO Strategic transit oriented development corridors EOC Employment outside central city incentivisation These options complement each other as planned improvements to public transport to and from major employment centres should optimise performance of the local transport network and make it more attractive for businesses to re-locate from the central city. Planning STO Strategic transit oriented development corridors MTN Mass transit network employment centre These options complement each other as the designation of strategic public transport corridors should facilitate planning and development of mass transit systems (eg. buses, trams) for employment centres. This reduces the risk of further development that is disconnected from the existing and planned public transport network adding to travel times and inefficient services. Public PTA Public transport alternative use of taxi or hire car PTV, CIM Public transport vehicle accessibility, Community infrastructure accessibility Given it is not practical for traditional buses, trams and trains to reach all potential customers in all locations, these options should complement each other in being able to extend the reach and connectivity of public transport services on a more accessible and sustainable basis. Public GAT Growth area train station upgrade and provision BHT, BWP2, BWP3 Various cycling and walking path options These options complement each other as they should facilitate the process of planning and constructing better public spaces and the connections between train stations and local bicycle and walking paths to create whole of journey provision. Public TSC Station car parking improvements GAT Growth area train station upgrade and provision These options complement each other as they should both facilitate improved connectivity to public transport services for those that need to use a car to access them. There is a risk that providing more car parking will also reduce the need or efficiency of some connecting bus services. Public CRR2, CRR1 Central regional rail control centre, Key corridor incident management CAR Critical asset centralised risk management These options complement each other as integrated control for passenger and freight movements, and incident management on key corridors should reduce the risk of significant disruptions to regional and metropolitan rail networks.

94 82 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Public SSP SmartBus service provision increase MAM Melbourne Airport metropolitan public transport connections These options complement each other as they facilitate improved frequency, reliability and connectivity of public transport, including SmartBus services, to and from the airport Public BRF Bendigo rail full metropolitan separation RSF Rail signals and fleet upgrade These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work and not part of the scope of major delivery projects such as Melbourne Metro - Stage 1) Public LBS Growth area bus service expansion SSP Smart Bus service provision increase These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services in outer growth areas Public LBS Growth area bus service expansion MTN Employment centre mass transit network These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services in outer growth areas Public LBS Growth area bus service expansion RRE1 Regional rail eastern corridor dedicated rail track These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services with trains along specific routes and areas Public LBS Growth area bus service expansion CRE Clyde rail extension These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services with trains along specific routes and areas Public LBS Growth area bus service expansion WRE1 Wallan rail electrification These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services with trains along specific routes and areas

95 83 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Public LBS Growth area bus service expansion WRE2 Wollert rail extension These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services with trains along specific routes and areas Public LBS Growth area bus service expansion WVW Wyndham Vale to Werribee rail extension These options complement each other as they both facilitate an improvement in the frequency and connectivity of bus services with trains along specific routes and areas Public LBS Growth area bus service expansion NHE Northern metropolitan corridor health service expansion These options complement each other as they should facilitate more people in the local area being able to access health services using bus services in a high growth area. This will help to reduce dependency on car use and parking. Public LBS Growth area bus service expansion TSC Station car parking improvements Improving car parking at some station locations may negate or defer the need for additional local bus services Public LBS Growth area bus service expansion MAH, MAM Melbourne airport heavy rail, Melbourne Airport metropolitan public transport connections, These options complement each other as they should facilitate more people being able to use connecting public transport services to access the airport. This will help to reduce dependency on car use and parking. Public MTN Mass transit network employment centre decoupling SSP Smart Bus service provision increase These options complement each other as they facilitate improved frequency, reliability and connectivity of public transport, including SmartBus services, to and from employment centres. Public EOC Employment outside central city incentivisation SSP, MII, MTN, LBS, ATM SmartBus service provision increase, Multimodal interchange improvements, Employment centre mass transit network, Growth areas bus service expansion, Advanced traffic management These options complement each other as they facilitate improved frequency, reliability and connectivity of public transport to and from employment centres and growth areas. This should facilitate a reduction in demand for commuting by car and parking, help to optimise the performance of the road transport network and make employment centres outside of the CBD more attractive.

96 84 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Public Public Public transport Public MTN Mass transit network employment centre decoupling EOC Employment outside central city incentivisation TPU Train platform utilisation TTF Tram and train fleet modifications TPU Train platform utilisation GAT, BRG, CLR, CRE, GWR, HCT2, HCT3, MAH, MMS, MRE1, RSF, WRE1, WRE2, WVW DTS Doncaster tram service DBI,MII Various public transport infrastructure options involving train stations Doncaster bus improvements, Multimodal interchange improvements These options complement each other as they facilitate improved frequency, reliability and connectivity of public transport to and from employment centres. This should facilitate a reduction in demand for commuting by car and parking, help to optimise the performance of the road transport network and make employment centres outside of the CBD more attractive. These options may potentially encourage greater agglomeration of employment centres in middle and outer areas that would warrant mass transit. These options complement each other as they facilitate ease of access/egress to and from public transport vehicles at platforms and stops, in order to maximise available carrying capacity and minimise the (dwell) time a train or tram is stationary. There is a risk of delays to services if access is inadequate. These options complement each other as the upgrade of train stations and provision of new stations facilitates ease of access/egress to and from public transport vehicles at platforms and stops, in order to maximise available carrying capacity and minimise the (dwell) time a train or tram is stationary. There is a risk of delays to services if access is inadequate. An extension would connect the tram service with a popular destination and existing bus interchanges. These options would increase public transport provision and connectivity in the north-east of Melbourne. Public transport MAB Melbourne airport bus dedicated road priority MAM, ATM Melbourne airport metropolitan public transport connections, Advanced traffic management These options complement each other as they facilitate improvement to the capacity and reliability of bus services and the efficiency of the road transport network to and from the airport. With the widening of the CityLink tollway and Tullamarine freeway over the next few years there may be the opportunity to utilise electronic lane flow and ramp entry management technology to enhance the road priority of the SkyBus service. Public transport MAM Melbourne airport metropolitan public transport connections MAH, MBN, MII Melbourne airport heavy rail, metropolitan bus network reform, Multimodal interchange improvements These options complement each other as improving the frequency and connectivity of local bus services to stations forming part of transport corridors to and from Melbourne airport should maximise patronage and optimise efficiency of the transport network. If this is not done there is a risk that the dependency on cars at parking to access the airport will increase resulting in traffic congestion..

97 85 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Public Public Public Public Public Public RSF Rail signals and fleet upgrade HCT2 High capacity trains - 10 car RSF Rail signals and fleet upgrade HCT3 High capacity trains - 7 car RSF Rail signals and fleet upgrade TTF Tram and train fleet modifications RSF Rail signals and fleet upgrade TPU Train platform utilisation RSF Rail signals and fleet upgrade CRE, MRE1, WRE1, WRE2, MAH, BRF, BRG, CLR, GWR, MMS, WVW MAH Melbourne airport heavy rail BRF, MRE1 Various major rail transport infrastructure options Bendigo rail full metropolitan separation, Melton rail electrification These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work; there may be opportunities to combine them in specific locations as part of the delivery scope of individual infrastructure projects such as Melbourne Metro - Stage 1) These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work; there may be opportunities to combine them in specific locations as part of the delivery scope of individual infrastructure projects).) These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work; there may be opportunities to combine them in specific locations as part of the delivery scope of individual infrastructure projects). This option will require careful planning regarding the allocation of rolling stock across the network to avoid the need to retrofit HCS systems within older trains (likely to be technically complex and may not be feasible). These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work; there may be opportunities to combine them in specific locations as part of the delivery scope of individual infrastructure projects). These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these are undertaken as separate programs of work; there may be opportunities to combine them in specific locations as part of the delivery scope of individual infrastructure projects such as Melbourne Metro - Stage 1) These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. As these major projects both form part of the of the overall concept of future train operations for Melbourne's metropolitan train network (refer NDP-MR, Sunshine-Dandenong Line) they will need careful design of any overlapping scope and planning to minimise interruptions to train operations.

98 86 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Public Public Public Public transport Public WVW Wyndham Vale to Werribee rail extension GWR, GRE CLR City Loop reconfiguration BRG, CRE HCT2, HCT3 High capacity trains - 10 car, High capacity trains - 7 car TPU, GAT Geelong and Werribee rail upgrade, Geelong rail electrification Burnley Rail Group Upgrade, Clyde rail extension Train platform utilisation, Growth area train station upgrades and provision HTC2 High capacity trains - 10 car HTC3 High capacity trains - 7 car HSR High speed rail from Sydney to Melbourne, GFR Geelong fast rail These options complement each other as they should facilitate optimisation of the rail public transport network and improve frequency, capacity and reliability of train services. As these major projects both form part of the of the overall concept of future train operations for Melbourne's metropolitan train network (refer NDP-MR, Cross-City Line, Regional Rail Link) they will need careful design of any overlapping scope and planning to minimise interruptions to train operations. These options complement each other as they should facilitate optimisation of the rail public transport network and improve frequency, capacity and reliability of train services. As these major projects both form part of the of the overall concept of future train operations for Melbourne's metropolitan train network (refer NDP-MR) they will need careful design of any overlapping scope and planning to minimise interruptions to train operations. The successful introduction of new longer high capacity train fleet vehicles, requires an assessment of the impact on existing rail infrastructure associated with the lines they will be running on. This is likely to require adaptations, for example the need to increase platform length at older stations. These options complement each other as they should facilitate optimisation of the metropolitan public transport network and improve frequency, capacity and reliability of train services. (NB. Assuming these train fleet configurations are both required to provide services on different lines, in accordance with patronage demand requirements and platform length constraints). These options complement each other as there may be opportunity to link them in terms of providing connecting services in order to maximise benefits Public TNI, BDL network information centralisation, Big data leveraging TNP network price regime These options complement each other as they should both facilitate better access and usage of real-time information about transport services and disruptions. Road Road ARN ARN Arterial road network employment centre enhancements Arterial road network employment centre enhancements SSP EOC Smart Bus service provision increase Employment outside central city incentivisation These options complement each other as improvements to the road network surrounding major employment centres to prioritise public transport, should optimise performance of the local road network including its use by public transport vehicles such as SmartBus. These options complement each other as improvements to the road network surrounding major employment centres should optimise performance of the local transport network and make it more attractive for businesses to re-locate from the central city.

99 87 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Road Road Road Road ARN ARN ARN ETM Arterial road network employment centre enhancements Arterial road network employment centre enhancements Arterial road network employment centre enhancements Emergency traffic management MTN LBS MTB ACT, ATM Employment centre mass transit network Growth area bus services expansion Mass transit bus network Automated car technology, Advanced traffic management These options complement each other as improvements to the road network surrounding major employment centres to prioritise public transport, should optimise performance of the local road network including its use by public transport vehicles (eg. buses, trams) These options complement each other as improvements to the road network surrounding major employment centres to prioritise public transport, should optimise performance of the local road network including its use by public transport vehicles (eg. buses) connecting to outer growth areas. These options complement each other as improvements to the road network surrounding major employment centres to prioritise public transport, should optimise performance of the local road network including its use by public transport vehicles (eg. buses). The implementation of the ETM option is unlikely to have significant impact on other road users, particularly when combined, eventually, with automated car technologies and advanced traffic management. Road ETM Emergency traffic management CAR Critical asset centralised risk management These options complement each other as improvements to response times by emergency services vehicles should reduce the risk to people and critical assets. Road CRR1 CBD road and rail access ATM, ETM, ACT Advanced traffic management, Emergency traffic management, Automated car technologies These options complement each other as improvements to response times by emergency services vehicles should support the recovery of transport services following a significant disruption. Road ATM Advanced traffic management Road ATM, TNP Advanced traffic management, network price regime EWE, EWW, NEL, OMR HPF Various major road infrastructure projects High productivity freight vehicles network completion These options complement each other as they may reduce or defer the need to expand road network capacity near Melbourne CBD and major employment centres. Advanced traffic management approaches could help manage the effects of induced traffic demand and congestion, and optimise performance of the transport network in terms of traffic flow. These options complement each other as they facilitate the management of traffic demand and congestion on major freeways, and optimise performance of the road transport network in terms of traffic flow, including large freight vehicles.

100 88 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Road LBS, SSP, MAM, MTN, GWR, HSP1, TSC, CRE, WRE 2, WVW, HSR Growth area bus service expansion, SmartBus service provision increase, Melbourne Airport metropolitan public transport connections, Employment centre mass transit network, High speed rail from Sydney to Melbourne TNP, ATM network price regime, Advanced traffic management The ability of options using public transport services to manage the risk and help address local road congestion may require combination with demand management measures such as transport network pricing and/or advanced traffic management Road RHU Regional highway upgrades RRU Regional road upgrades These options complement each other as they should facilitate improved safety and connectivity, and reduced congestion on key parts of the regional road network. This should also improve efficiency and safety for the road freight industry. Road EWE Eastern Freeway to Citylink connection EWW Citylink to Western Ring Road connection These major road options complement each other as they add capacity and connectivity to the part of the transport network which moves vehicles, including freight, east-west across Melbourne CBD. Road NEL North-East Link EWE Eastern Freeway to Citylink connection Further work will explore the potential for these major road options to complement each other. Similarly, further work is needed to understand whether these options could be considered to be alternative solutions to satisfying overall traffic demand and network performance. Social Housing SHS1 Affordable housing sector regulatory amendment AHR Affordable housing targeted development Amending the planning provisions should facilitate requiring developers to include affordable housing as a condition of planning approval for new developments Social Housing SHS1 Affordable housing sector regulatory amendment SAH Affordable and social and housing development incentives Amending the planning provisions should facilitate incentivisation of the community housing and private sectors to undertake development and provide more affordable housing stock through a combination of planning incentives and contribution of land.

101 89 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Social Housing SHD1 Social housing utilising the Defence Housing Australia rental model SHS1, AHR Affordable Social housing sector regulatory amendment, Affordable housing targeted development Option SHD1 is supported by options SHS1 and AHR which provide complementary regulatory reform that may simplify development of new properties. Social Housing SHG Social housing government role change SCP Social housing infrastructure investment framework Option SHG would benefit from being done in conjunction with option SCP to maintain certainty of supply of housing and also provide planning information to the community housing, private and not-for-profit sectors. Social Housing PHR Public high-rise housing estate renovation SHA Social housing asset rationalisation and refresh Option PHR is a component of the option SHA, which covers the whole social housing stock portfolio. Social Housing PHG Public high-rise housing estate regeneration SHA Social housing asset rationalisation and refresh Option PHG is a component of the option SHA, which covers the whole social housing stock portfolio CPM Car parking management ITT, RSA, BHT, MTN Various options covering alternative transport modes transport These options complement each other as they facilitate through alternative approaches (eg. telecommuting, cycling, public transport buses) a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network. CPM Car parking management TSC Station car parking improvements These options complement each other as they facilitate through the improvement of alternative car parking facilities adjacent to public transport, a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network. EOC, CCJ Employment outside central city incentivisation, Central city job cap TNP network price regime These options complement each other as they facilitate through policy/regulatory approaches and incentives (eg. pricing, relocation from city) a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network.

102 90 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments TNI network information centralisation TNP, RSA, PTT, ATM Various options covering alternative approaches These options complement each other as they facilitate through alternative approaches (eg. real-time information, pricing, public transport timetables and disruptions) a reduction in demand for commuting by car, especially at peak times, and a shift to other transport modes. This will help to optimise the performance of the transport network. RSA Road space allocation changes CTC, DTS, MTN Various options covering on-road public transport These options complement each other as the specific projects may require the prioritisation of buses and trams within road corridors in order to optimise the performance of the road transport network. EOC Employment outside central city incentivisation CCJ Central city job cap These options complement each other as they facilitate through alternative policy/regulatory mechanisms (ie. decentralising from CBD) a reduction in demand for access to employment in the CBD and stimulate employment in other employment centres, This will also help optimise performance of the transport network. AEA Active established areas ALP, BWP2, BWP3, BHT Active lifestyle infrastructure provision, Bicycle and walking path expansion and improvement, Bicycle and walking path separation, Bicycle highways through the central city If these options are combined, larger benefits may be achieved These options complement each other as they should facilitate the process of planning and designing better public spaces required to complement and connect active established areas, including train stations. BVA Bicycle and vehicle accident fault allocation BWP2, BWP3 Bicycle and walking path expansion and improvement, Bicycle and walking path separation Strong investment in expanding the network of off-road paths for cycling (e.g. BWP3) could reduce the need for this option by reducing the potential risk of collision with motor vehicles. ALR Active lifestyle infrastructure regulation ALP Active lifestyle infrastructure provision These options complement each other as they should facilitate the process of planning and designing better public spaces in and around new residential developments. Ports and Freight WDF Webb Dock freight rail access PMM Port of Melbourne to metropolitan container shuttle These options complement each other as they should facilitate more efficient port access and shift freight onto rail. It is important they are coordinated to avoid any unintended consequences associated with different scope and timing. The completion of Webb dock freight rail would lead to greater efficiency improvements in the freight supply chain due to the increased volume of freight to transport from the port.

103 91 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments Ports and Freight WDF Webb Dock freight rail access MBF Melbourne to Brisbane freight rail line These options complement each other as they should facilitate more efficient port access and shifting freight onto rail. It is important they are coordinated to avoid any unintended consequences associated with different scope and timing (eg. inadequate stabling and loading facilities for freight trains). Ports and Freight WDF Webb Dock freight rail access PMC Port of Melbourne container terminal expansion These options complement each other as they should facilitate greater port capacity and shift of freight onto rail. It is important they are coordinated to avoid any unintended consequences associated with different scope and timing. As the PMC option would use Webb Dock exclusively for containers, it may work well with rail access at Webb dock. Ports and Freight HPF High productivity freight vehicle network completion PMM, WDF, MBF Port of Melbourne to metropolitan container shuttle, Webb Dock freight rail access, Melbourne to Brisbane freight rail line For some freight the implementation of state-wide High-Productivity Freight Vehicles (HPFV) network could be regarded as an alternative to options envisaging a greater proportion of containerised freight being carried on rail (such as PMM, WDF and MBF). In other respects, however, this option can complement rail-based options in improving freight efficiency. Ports and Freight HPF High productivity freight vehicle network completion ATM, DFV, TNP Advanced traffic management, Driverless freight vehicles, network price regime Complementing the implementation of state-wide High-Productivity Freight Vehicles (HPFV) network with advanced traffic management and driverless freight vehicles would also further strengthen freight network performance. Further investigation is needed into the degree to which transport network pricing and driverless freight vehicles could substitute for the HPF option. ATC Automated car technology ADA, DCR, DFV Advanced driver assistance applications, Driverless car and ride sharing, Driverless freight vehicles Improvements to vehicle connectivity will, when combined with vehicle control technology options provide further opportunities for improved road safety and efficiency, reducing pressure also on our health system TNP network price regime EWE, EWW, NEL, OMR Various major road infrastructure projects These options complement each other as they may reduce or defer the need to expand road network capacity, particularly near Melbourne CBD and major employment centres. Depending upon the pricing regime and locational attributes it could help manage demand and congestion, and optimise performance of the transport network in terms of traffic flow. TNP network price regime ATM Advanced traffic management These options complement each other as they facilitate the management of demand and congestion on major freeways, and aim to optimise performance of the transport network in terms of traffic flow.

104 92 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments CPM Car parking management CCJ Central city job cap CPM Car parking management TNP network price regime These options complement each other as they facilitate through incentives (eg. relocation from city) a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network. These options complement each other as they facilitate through incentives (eg. pricing) a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network. While restricting the number of car parking spaces in the CBD would not conflict with broader transport network pricing, there is a risk that the latter would render the parking levy redundant as an instrument for demand management. CPM Car parking management EOC Employment outside central city incentivisation These options complement each other as they facilitate through incentives (eg. pricing, relocation from city) a reduction in demand for commuting by car and parking in the CBD, especially at peak times. This will help to optimise the performance of the road transport network. ALP Active lifestyle infrastructure provision BWP2 Bicycle and walking path expansion and improvement These options complement each other as they should facilitate the process of planning and constructing better public spaces and their interaction with new bicycle and walking paths (eg. expanding paths to train stations would create whole of journey provision). ALP Active lifestyle infrastructure provision GAT Growth area train station upgrade and provision These options complement each other as they should facilitate the process of planning and constructing better public spaces and the connections between train stations and local bicycle and walking paths to create whole of journey provision. Bicycle storage could complement upgrades at stations. BWP 3 BWP 3 Bicycle and walking path separation Bicycle and walking path separation BWP2 BHT Bicycle and walking path expansion and improvement Bicycle highways through the central city If these options are combined, larger benefits may be achieved These options complement each other as the planning and constructing of new bicycle and walking paths should consider the need for any modifications required to existing roads, bicycle and walking paths, especially where they interconnect. If this is not done it may make the local transport system less safe and efficient. If combined with option BWP3, larger benefits may be achieved as they both relate to the design and construction of bicycle and walking paths. These options complement each other as the planning and constructing of new bicycle and walking paths should consider the need for any modifications required to existing paths, especially where they interconnect. If this is not done it may make the local transport system less safe and efficient.

105 93 Complementary option 1 and option 2 are complementary Option 1 Option 2 Comments BWP 1 Bicycle and walking path data capture ALR Active lifestyle infrastructure regulation These options complement each other as an improved understanding of the usage of existing bicycle and walking paths should inform and improve the process of planning for them in and around new residential developments. RSA PMC Road space allocation changes Port of Melbourne container terminal expansion ALR PMM Active lifestyle infrastructure regulation Port of Melbourne to metropolitan container shuttle These options complement each other as they should facilitate the process of planning and designing usage of road space for other lifestyle uses (eg. cycling events, fund-raising walks). If these options are combined, larger benefits may be achieved due to space re-allocation being completed as part of an active design. These options complement each other as they should facilitate greater port capacity and shift of freight onto rail. It is important they are coordinated to avoid any unintended consequences associated with different scope and timing. The PMC option would work well with the Port of Melbourne to metropolitan container shuttle, as it would help to maintain freight movements in the face of increasing road congestion around the port precinct. Water & Waste RWN River and waterways natural flow regimes EWD Environmental Water delivery Infrastructure In some waterways flow regimes may be complemented by further use of infrastructure (eg. pumps) to deliver environmental watering outcomes. Water & Waste SRH Stormwater harvesting and reuse for non-potable purposes SRQ Stormwater quality management These options complement each other as they raise the profile of stormwater as part of integrated water cycle management. They also present an opportunity for innovation and environmentally sustainable practices in stormwater management. Water & Waste RMU Recycled material usage in building construction LLI Landfill levy increase These options complement each other as they should encourage a reduction in the amount of waste generated and promote recycling by the building construction industry. They should make alternative recycling and waste recovery options more cost competitive, including the reuse of recycled material in building construction. Source: IV and AECOM

106 Enabling relationships Table 15 shows enabling relationships two ways. The first table shows those options in column A that are enabled by options in column B. The second table shows those options in column A enable those in column B. Overall 68 relationships were identified as enabling. Table 15 Enabling relationships Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Arts, Culture and Sport CSU Community and public space utilisation deregulation CSS1 Community space shared use agreements Establishing regulations should enable the establishment and adoption of common shared-use agreements to maximise the ease of access and utilisation of different community and public spaces. This should be a more efficient and sustainable approach than individual community organisations developing separate arrangements. Arts, Culture and Sport CSU Community and public space utilisation deregulation CSS2 Community space state-wide event planning Establishing regulations for the use of community or public spaces should enable more efficient planning and coordination of state-wide events. Arts, Culture and Sport CSS1 Community space shared use agreements SFU, RFC, SLR, RCI School facility use for outside hours school care, Integrated shared-use community and recreation facilities, Schools with low enrolments in rural areas, Relocatable community infrastructure Adopting shared-use agreements should enable better use and co-location of a range of potential static and mobile facilities. This option would establish shared-use agreements between council and community facilities, schools, recreation and cultural facilities. Arts, Culture and Sport CSU, CSS1 Community and public space utilisation deregulation, Community space shared use agreements EWE, EWW, NEL, OMR, BWP2, BWP3, CRE, WRE1, WRE2, MAH Various major transport infrastructure options Establishing common shared-use agreements could enable better access by the community to underutilised land within transport corridors (eg. around and even under roads, paths, bridges and train stations) and turn them into public spaces, perhaps in association with new transport infrastructure projects.

107 95 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments All IRA Infrastructure resilience assessment test CPI Coastal protection infrastructure Undertaking an assessment of the resilience of critical coastal protection infrastructure should enable the identification and prioritisation of the risks they face. This understanding can be used to inform the planning and design of appropriate measures required to protect them. All IRA Infrastructure resilience assessment test CRR2 Central regional rail control centre Undertaking an assessment of the resilience of critical passenger and freight rail networks should enable the identification and prioritisation of the risks they face. This understanding can be used to inform the planning and design of appropriate measures required to protect them. All IRA Infrastructure resilience assessment test DCD Data centre location diversification Undertaking an assessment of the resilience of existing and proposed data centre locations and facilities should enable the identification and prioritisation of the risks and major shocks they face. This understanding can be used to inform the planning and design of appropriate measures required to protect them. Education SIF School infrastructure funding certainty SSS School shortages Feedback from DET suggests that multi-year funding certainty is an important enabler for maintaining and operating new schools. Education TAF TAFE recapitalisation VEL Vocational Education long term funding certainty Improving the understanding of asset management arrangements in the vocational education sector, should enable more certainty in long-term capital and maintenance funding requirements. Education TAF TAFE recapitalisation STE School and Tertiary Education cooperation Improving the understanding of asset management arrangements in the vocational education sector, should enable identification of partnerships and facility sharing that better use facilities across the school and tertiary systems.

108 96 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Education SSW School sector-wide planning information SOO School boundary enrolment Improving the availability of information about usage of school assets should enable a more informed view of the entire schooling system as a basis for changes to school zone boundaries to assist in managing capacity. This could avoid or defer capital expenditure on new assets. Education SSW School sector-wide planning information SIF School infrastructure funding certainty Improving the availability of information about school assets should enable a better understanding of long-term capital and maintenance funding requirements. Education SSW School sector-wide planning information SCU1 School campus utilisation Improving the availability of information about school assets should enable identification and planning of opportunities for expanding capacity or better utilisation of buildings within a school campus. This could avoid or defer capital expenditure on new assets. Education SSW School sector-wide planning information SFU School facility use for out of school hours care Improving the availability of information about school assets should enable identification and coordinating opportunities for better utilisation of buildings within a school campus and meeting demand for out of school hours care. This could avoid or defer capital expenditure on new assets. Education SSW School sector-wide planning information SSS School shortages Improving the availability of information about usage of school assets should enable identification and planning of where new facilities or schools may be required. Justice JHS Justice and human services joint planning JCS Justice colocation of services These options complement each other as they should facilitate joint infrastructure and maintenance planning of justice operations and services (including courts and police) with human services. If this is not done it may make the future justice system less efficient.

109 97 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Justice JHS Justice and human services joint planning CSC Justice case management system These options complement each other as they should facilitate joint infrastructure and maintenance planning of justice operations and services (including courts and police) with human services. If this is not done it may make the future justice system less efficient. Justice JHS Justice and human services joint planning MPW Mobile police and justice workforce These options complement each other as they should facilitate joint infrastructure and maintenance planning of justice operations and services (including courts and police) with human services. If this is not done it may make the future justice system less efficient. Health SCC Community health facility access CIM Community infrastructure accessibility Regulatory amendments to ensure accessibility is incorporated in the development planning enables implementation of the initiatives detailed in the option CIM. Option SCC is specifically targeted at locations where disability and residential aged care services are offered, rather than more broadly across the community. Health HCD Health care delivery role change HCD2 Healthcare decentralised delivery model The shift in service delivery to nurses, pharmacists and allied health professionals under option HCD, is a component of option HCD2, which proposes a health decentralised delivery model. Health HCA Health care alternative delivery options HCD Health care delivery role change Option HCA would be strongly supported by the introduction of e-health records and other data sharing initiatives that could be included in option HCA. ALR Active lifestyle infrastructure regulation BHT Bicycle highways through the central city Improved planning and regulation should enable the process of planning and constructing better bicycle and walking paths in central city areas.

110 98 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments ALR Active lifestyle infrastructure regulation STO Strategic transit oriented development corridors Improved planning and regulation should enable the process of designating strategic public transport corridors ALR Active lifestyle infrastructure regulation AEA Active established areas Improved planning and regulation should enable the process of designating active established areas, including train stations. ALR Active lifestyle infrastructure regulation BWP2 Bicycle and walking path expansion and improvement Improved planning and regulation should enable the process of planning and constructing better bicycle and walking paths in and around new residential developments. ALR Active lifestyle infrastructure regulation BWP3 Bicycle and walking path separation Improved planning and regulation should enable the process of planning and constructing better modifications required to existing roads, bicycle and walking paths in connecting them with new residential developments. If this is not done it may make the local transport system less efficient. BWP1 Bicycle and walking path data capture RSA Road space allocation changes An improved understanding of the usage of existing bicycle and walking paths should enable better planning as the data could be used to then make informed decisions to road, cycle path and walkway space allocation. BWP1 Bicycle and walking path data capture BWP2 Bicycle and walking path expansion and improvement An improved understanding of the usage of existing bicycle and walking paths should enable better planning as the data could be used to then make informed decisions to road, cycle path and walkway space allocation. BWP1 Bicycle and walking path data capture BWP3 Bicycle and walking path separation An improved understanding of the usage of existing bicycle and walking paths should enable better planning and construction of any modifications required to existing roads, bicycle and walking paths. If this is not done it may make the local transport system less efficient.

111 99 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments RSA Road space allocation changes HSP1SSP, MII, MTN, LBS, CCT, MAM, MAB Various on-road public transport options Prioritising on-road public transport (ie. buses, trams) should enable improved frequency, reliability and connectivity of services to and from employment centres and growth areas. This should facilitate a reduction in demand for commuting by car and parking, help to optimise the performance of the road transport network. ADA, ACT, DFV, DCR Automated car technology, Advanced driver assistance applications, Driverless freight vehicles, Driverless car and ride sharing BVA Bicycle and vehicle accident fault allocation Advanced driver assistance and vehicle control technology systems will enable drivers to better avoid collisions with cyclists and pedestrians. RSA Road space allocation changes BWP2, BWP3, BHT Various cycling infrastructure options The appropriate allocation of road space to public and active transport modes, such as cycling and walking paths, should enable better planning and construction of upgrades to them, or constructing new ones. Social Housing SHG, SCP Social housing government role change, Social housing infrastructure investment framework SHS2 Social housing "Social Rental" model Whilst it is possible for option SHS2 to be implemented on its own, it would benefit from the options SHG & SCP being implemented in advance to provide a more established governance framework and forward projection of provision of property respectively. However, the enabling benefit of SHG could be achieved through alternative reform without a full change in the role of government. Social Housing SHG, SHS1, AHR Social housing government role change, Affordable housing sector regulatory amendment, Affordable housing targeted development SHA Social housing asset rationalisation and refresh The regulatory reform proposed under options SHG, SHS1 and AHR would support option SHA, should transfer of ownership and management of the facilities be considered. However, the enabling benefit of SHG could be achieved through alternative reform without a full change in the role of government.

112 100 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Social Housing SHG, SHS3 Social housing government role change, Social housing stock transfer model PHR, PHG Public high-rise housing estate renovation, Public high-rise housing estate regeneration Options PHR and PHG can be done as standalone options, however the regulatory reform proposed under options SHG and SHS3 would support them, should a transfer of ownership and management of the facilities be considered. However, the enabling benefit of SHG could be achieved through alternative reform without a full change in the role of government. Social Housing SHG Social housing government role change SAH, SHD1, SHS3, SHS2 Affordable and social and housing development incentives, Social housing utilising the Defence Housing Australia rental model, Social housing stock transfer model, Social housing "Social Rental" model Option SHG is an enabler to several other options. However, the enabling benefit of SHG could be achieved through alternative reform without a full change in the role of government. Social Housing SHG, SCP Social housing government role change, Social housing infrastructure investment framework SHS3 Social housing stock transfer model Whilst it is possible for option SHS3 to be implemented on its own, it would benefit from the options SHG & SCP being implemented in advance to provide a more established governance framework and forward projection of provision of property respectively. However, the enabling benefit of SHG could be achieved through alternative reform without a full change in the role of government. Social Housing SHG, SCP Social housing government role change, Social housing infrastructure investment framework SHT Social housing tenant transfer within a community Option SHT would be supported by the option SHG, as the part of the adjusted governance role would strengthen the coordination between individual housing organisations. Option SCP would further support the option, as the strategy would identify what stock is required to support changing tenant needs.

113 101 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Social Housing SHG, SCP Social housing government role change, Social housing infrastructure investment framework SHD1 Social housing utilising the Defence Housing Australia rental model Option SHD1 would be supported by SHG and SPC which provide a more established governance framework and forward projection for the provision of new properties respectively. Should SHG be implemented a community organisation could be placed in charge of the management and delivery of this option. Social Housing AHCSH S2SHF SHP1S HD1 SAH Various social housing options that involve provision of new housing stock SHT Social housing tenant transfer within a community As available stock is required to reaccommodate tenants, option SHT would be further supported through the implementation of the option SHA and any other option that provides new housing stock. Social Housing SHS1 Affordable housing sector regulatory amendment AHC, SHS2SHF, SHP1SHD1GOM, SAH Various social housing options that involve provision of new housing stock Amending the planning provisions should enable provision of new affordable social housing All CPS1 Centralised planning scheme UDC Urban development in established areas A centralised planning scheme and governance should enable the application of zoning in specific areas that directs growth in residential development to where it can be serviced by existing and planned infrastructure. This reduces the risk of a gap in matching supply and demand for infrastructure, and inconsistent approaches and outcomes occurring across different planning schemes.

114 102 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments All UDC, CPS1 Urban development in established areas, Centralised planning scheme EWE, EWW, NEL, OMR, BHT, HSR, CRE, MRE1, NHE, WRE1, WRE2, WVWCCT, MAH, CCT Various major transport infrastructure options Zoning of specific areas should enable growth in residential development to be directed to where it can be serviced by major new infrastructure projects. This maximises the availability of services to people in growth areas and reduces the risk of difficult connections or excessive travel distances to reach them. Planning CPS1 Centralised planning scheme RSA Road space allocation changes A centralised planning scheme and governance should enable the allocation of road space within transport corridors. Where this helps to optimise the performance of the transport network, space can be prioritised for use by public transport (eg. buses, trams) and active transport (eg. cycling, walking). All CPS1 Centralised planning scheme STO Strategic transit oriented development corridors A centralised planning scheme and governance should enable the designation of strategic public transport corridors and facilitate increased development (eg. around train stations and tram stops). This reduces the risk of a gap in matching supply and demand for infrastructure, and further development that is disconnected from the existing and planned public transport network adding to travel times and additional services (eg. buses).

115 103 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments All CPS1 Centralised planning scheme RCP Residential and commercial property densification A centralised planning scheme and governance should enable the increased residential and commercial density of development. This reduces the risk of further development that is disconnected from the existing and planned transport network adding to travel times and additional services (eg. roads, buses). All UDC Urban development in established areas STO Strategic transit oriented development corridors Zoning of specific areas should enable growth in residential development to be directed to where it can be serviced by existing and planned infrastructure within strategic public transport corridors (eg. around train stations and tram stops). This reduces the risk of a gap in matching supply and demand for infrastructure, and further development that is disconnected from the existing and planned public transport network adding to travel times and additional services (eg. buses). Planning RCP Residential and commercial property densification STO Strategic transit oriented development corridors Increasing the density of residential and commercial development should enable strategic public transport corridors to be feasible and sustainable. This reduces the risk of further development that is disconnected from the existing and planned public transport network adding to travel times and additional services (eg. buses). Planning RCP Residential and commercial property densification MTN Employment Centre Mass Transit Network Increasing the density of residential and commercial development in employment centres should enable mass transit public transport systems to be viable and sustainable. This reduces the risk of further development that is disconnected from the existing and planned public transport network adding to travel times and inefficient services (eg. buses, trams).

116 104 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Planning RCP Residential and commercial property densification MTB Mass transit bus network Similar relationship to that between RCP and MTN options. Planning RCP Residential and commercial property densification CCT Central city tram network extension Increasing the density of development in Fisherman's Bend and E-Gate should enable an extension to the Melbourne CBD tram network to be viable and sustainable. This reduces the risk of development that is disconnected from the existing and planned public transport network adding to travel times and inefficient services (eg. buses, trams). ICT AST Access to services through technology and ICT ITT, TNI Increased telecommuting, network information centralisation Access to technology and ICT enables an increase in employees working from home, and to support access to realtime information about transport services and disruptions. ICT AST Access to services through technology and ICT LBS, CRE, MRE1, NHE, WRE1, WRE2 WVWCCT, MAH, DTS Various major transport infrastructure options The provision of ICT to the community should enable people to enquire online about the timing of bus and train services that are available as a result of major new infrastructure programs, along with ticketing arrangements, bookings and alerts about any service disruptions. Public TPU, TTF, GAT, TSC, MII, PTA, RRS, RBU, HCT2, Various public transport options involving upgraded or new fleet and related access infrastructure PTV Public transport accessibility Improvements to platforms and stops, along with modifications to trams and trains should enable the public transport system to be more accessible to people with restricted mobility. The risk of not doing this is non-compliance with agreed obligations under DDA legislation.

117 105 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) HCT3 Option 1 Option 2 Comments Public PTT Public transport timetabling LBS, HCT3HCT2TTF, RSF, MAB, MAM, SSP, CRE, MRE1, WRE1, WRE2, WVWMAH, MMS BRF,BRG, CLR, GWR, GFR, GRE, RRE1RRE2CCT, DTS, MTN, MBN Various major public transport services and infrastructure options Review and update of public transport timetables should enable optimisation of the network to ensure additional capacity associated with new services and infrastructure is utilised and connectivity between modes (eg. trains, trams, buses) improved. Public GAT, TSC Growth area train station upgrade and provision, Train station car parking improvement CRE, GWR, MRE1, WRE1, WRE2, WVWMMS Various public transport options involving upgraded or new train stations Whilst these options could be undertaken as separate programs of work, there would be opportunities and efficiencies to undertake upgrades of specific stations as part of the delivery scope of major rail infrastructure projects.

118 106 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Public RSF, MLC, MMS, CLR, BRG, WVWT NI, CRR2 Various public transport options involving major new extensions and enhancements to the rail network and management of it PTN Public transport network resilience These options facilitate significant improvement in the reliability and resilience of the train based public transport system. Public HCT2, HCT3 High capacity trains - 10 car, High capacity trains - 7 car CRE, WRE1, WRE2, WVWBRG, CLR, MMS, MAM, GWR, RRE2GPR Various public transport options involving extensions to the rail network There are significant benefits for overall metropolitan rail network capacity and reliability enabled by the successful introduction of new longer high capacity train fleet vehicles to operate on major extensions or enhancements to the metropolitan rail network Public RRS Regional rolling stock expansion RRE1, RRE2 Regional rail eastern corridor dedicated rail track, Regional rail electrification There are significant benefits for overall regional rail network capacity and reliability enabled by the successful introduction of new longer high capacity train fleet vehicles to operate on major extensions or enhancements to the metropolitan rail network Public PTA Public transport alternative use of taxi or hire car HCP Health care patient subsidised travel program extension The use of subsidised taxis and hire cars where there are no suitable public transport services should enable people in regional communities to access health care services where they are not available locally.

119 107 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments ICT AST Access to services through technology and ICT CSS2MPW, PTA, RBU Community space state-wide event planning, Mobile police and justice workforce, Public transport alternative use of taxi or hire car, Regional bus upgrades In being non-specific with regard to the services targeted, the AST option is assumed to be holistic in approach. Therefore it could be an enabler for people to access and participate online in a range of activities such as: planning community events, communicating with mobile police forces in emergency situations, enquiring about and booking online taxis, cars and buses. Ports and Freight FPL Freight precinct land use planning MBF Melbourne to Brisbane freight rail line Undertaking precinct planning should enable sufficient land to be secured to facilitate appropriate access and shift of freight onto rail Ports and Freight FPL Freight precinct land use planning PMM Port of Melbourne to metropolitan container shuttle Undertaking precinct planning should enable sufficient land to be secured to facilitate appropriate access and shift of freight onto rail EWE, EWW, NEL, OMR, RHU, RRU Eastern Freeway to Citylink connection, East West (West) Link, North-East Link, Outer metropolitan ring road, Regional highway upgrades, Regional road upgrades HPF High productivity freight vehicles network completion Subject to the satisfaction of relevant design standards, completion of these major road options enable implementation of part of the state-wide High-Productivity Freight Vehicles (HPFV) network. This will increase the efficiency of the freight transport system. Environment RFI Riparian fence investment HCL Habitat corridor link expansion and improvement These options both protect biodiversity and enable each other, if installation of fencing is aligned with potential habitat corridors. Effective planning and design will be required to install fences in the right locations, and ensure that they facilitate species migration rather than obstruct it. Water & Waste WIR Waterway infrastructure to remove pollutants SRQ Stormwater quality management Pollutant/litter traps along waterways address some components of stormwater quality management, and enable the comprehensive approach to stormwater quality management of the SRQ concept.

120 108 Enabling - Option 1 enables option 2 (but is not strictly dependent on it) Option 1 Option 2 Comments Energy BCL Brown coal licences ACG Ageing coal generation asset transition Setting an end date for the extension of brown coal licenses to allow long-term withdrawal of these licences and provide a clear signal for industry, enables the development and use of lower carbon emission energy sources Energy ESI Energy storage infrastructure WSE Wind and solar energy generation large scale investments Energy storage investment strategies enable the enhancement in the role of wind and solar energy sources in the national interconnected grid Source: IV and AECOM

121 5.1.3 Dependent relationships Table 16 identifies where an option or set of options are dependent on another option occurring. 13 dependent relationships were identified. 109 Table 16 Dependent relationships Dependent - Option 1 is dependent upon option 2 Option 1 Option 2 Comments Health ACM, HAP, HAC, HCS, PHC, THR, NHE, ETM Aged care and mental health investment, Health and aged care private sector involvement, Health and aged care repurposing of facilities, Healthcare smart facilities, Preventative health care awareness, Tertiary hospital refurbishment or replacement, Emergency traffic management HIC Health infrastructure coordinated planning The options should have a dependent relationship. Undertaking long-term planning of infrastructure will ensure that full consideration is given to growth in population and changes in health demographics, as a basis for investing in new health service provision arrangements, facilities and infrastructure. It will provide the clear governance context for transparency with the community and the private sector. PMC, WDF, MBF Port of Melbourne container terminal expansion, Webb Dock freight rail access, Melbourne to Brisbane freight line FPL Freight precinct land use Undertaking precinct planning in advance of further significant development will ensure full consideration of the opportunities and risks. This has added importance given the Port of Melbourne is expected to be operating on a privatised commercial basis with capacity and contractual constraints. This will encourage improvement in efficiency of the freight supply chain and network. Public transport GAT Growth area train station upgrades and provision GWR Geelong and Werribee rail upgrade Advice from DEDJTR and PTV is that upgrading the rail track lines and capacity linking Werribee and Geelong should be undertaken before upgrading or adding new stations in the growth area (refer Stage 4 of the PTV Metro Rail NDP). Public GRE Geelong rail electrification GWR Geelong and Werribee rail upgrade Advice from DEDJTR and PTV is that upgrading the rail track lines and capacity linking Werribee and Geelong would be required before electrification of the Geelong rail corridor should be undertaken (refer Stage 4 of the PTV Metro Rail NDP).

122 110 Dependent - Option 1 is dependent upon option 2 Option 1 Option 2 Comments Public RHR, MRE1, MAH Rowville rail extension, Melton rail electrification, Melbourne airport heavy rail HTC2 High capacity trains - 10 car Advice from DEDJTR and PTV is that 10 car high capacity trains are required to operate on major improvements of the metropolitan rail network to Rowville, Melton and Melbourne airport. These extensions form part of the overall concept of future train operations for Melbourne's metropolitan train network (refer NDP-MR, Sunshine-Dandenong Line. Public DHR, WRE2 Wollert rail extension, Doncaster heavy rail MMS Melbourne Metro - Stage 2 Advice from DEDJTR and PTV is that Stage 2 of Melbourne Metro would be required to provide sufficient network capacity before major rail extensions to Wollert and Doncaster should be undertaken (refer Stage 4 of the PTV Metro Rail NDP). Public WRE1, RSF Wallan rail extension, Rail signals and fleet upgrade CLR City Loop reconfiguration Advice from DEDJTR and PTV is that reconfiguration of the City Loop would be required to allow signalling upgrades and provide sufficient network capacity for a major extension of the metropolitan rail network to Wollert. This forms part of the overall concept of future train operations for Melbourne's metropolitan train network (refer NDP-MR, Northern Line). Source: IV and AECOM Either/or relationships Table 17 identifies where undertaking both options would not be feasible. This may be because the options are trying to achieve competing goals. Alternatively, the options may be similar in instrument and/or purpose, that it would not make sense to undertake both options. Either/or relationships indicate that a decision relating to a trade-off may need to be made. Overall 13 relationships were identified as either/or.

123 Table 17 Either/or relationships 111 Either/Or- either option 1 or option 2 can occur, but not both Public Option 1 Option 2 Comments RRE2 Regional Rail electrification GRE Geelong rail electrification Assuming that the scope of the regional rail electrification includes the Geelong corridor, if option RRE2 is completed then option GRE would not be required Public GFR Geelong fast rail GRE Geelong rail electrification Assuming that the solution to a Geelong fast rail service would involve new rail power systems (ie. electrification), this option would be an alternative to the GRE option. Public RRE1 Regional rail eastern corridor dedicated rail track GPR Gippsland-Pakenham rail shuttle The GPR option provides increased train services on the Gippsland line that connect with metropolitan services at Pakenham. It is an alternative option to additional tracks from the south-east (RRE1) for the purposes of passenger services. Water & Waste LLI Landfill levy increase HWD Household waste disposal fees These options are similar in that they encourage a reduction in the amount of waste generated and promote recycling in both the household, retail and industrial sectors. Effective planning and design will be required to ensure that the fees and levies charged are perceived as fair and do not encourage an increase in illegal disposal of waste. The two options are unlikely to be implemented together as they both depend on pricing mechanisms and adopting one may negate the need for the other. Environment NPP2 National park private management NPP1 National park pricing and expenditure regime These options are similar in that they both require an understanding of the resources to operate parks successfully for the benefit of the environment and the community. The two options would not be implemented together as they both depend on pricing mechanisms and adopting one negates the need for the other.

124 112 Either/Or- either option 1 or option 2 can occur, but not both Social Housing AHR Option 1 Option 2 Comments Affordable housing targeted development SAH Affordable social housing development incentives The AHR option is an alternative to SAH, which provides incentives, rather than mandatory requirements. Public MAH Melbourne Airport heavy rail line MAB Melbourne airport bus dedicated road priority Option MAB may defer the need for option MAH. Subject to demand, option MAB may not be required once MAH is operational. Public RBU Regional bus upgrades PTA Public transport alternative use of taxi or hire car The PTA option is particularly relevant for smaller regional centres that will not qualify for regional bus upgrades. These options should not proceed together in the same geographical area where suitable bus services and connections to rail services exist already or as a result of recent upgrades. Water & Waste FLS Waste landfill site buffers FWL Future waste landfill site locations These options are similar in that they are both seeking to create additional future waste disposal capacity and avoid land-use conflict. The two options are unlikely to be implemented together in the same geographical area at the same time; buffers could delay or preclude the need for additional landfill sites. Water & Waste TWR Recycled treated wastewater for nonpotable peri-urban agricultural use RTH Recycled treated wastewater for non-potable household use These options should not proceed together in a similar geographical area as the same water resource would be used; using it significantly for one purpose negates availability for the other Water & Waste RWW Recycled treated wastewater for drinking RTA Recycled treated wastewater for non-potable agricultural use In the absence of a fully functional state-wide water grid, these options should not proceed together in a similar geographical area as the same water resource would be used; using it significantly for one purpose negates availability for the other

125 113 Either/Or- either option 1 or option 2 can occur, but not both Water & Waste RWW Option 1 Option 2 Comments Recycled treated wastewater for drinking WSA1 Water supply augmentation As their current scope is state-wide and large scale, these options should not proceed together; undertaking one may negate or significantly delay the need for the other. (Note: Technology for WSA1 may also include desalination). Energy NPC Nuclear plant construction WSE Wind and solar energy large scale investments These options should not proceed together given their significant scale; implementing one of these two options could significantly reduce or defer the need for the other. Source: IV and AECOM.

126 Next steps Infrastructure Victoria will engage with the community and stakeholders to seek feedback on All things considered and the Draft Options Paper including hosting two citizen juries. From this process a Draft Strategy will be developed. Following consultation on the Draft Strategy, Infrastructure Victoria will publicly present a final set of recommendations by the end of The stages in the strategy s development are illustrated in Figure 55 including the key next step of producing an options paper. Figure 55 Next steps Source: Infrastructure Victoria, AECOM and PwC

127 A Appendix A IV Needs

128 a-1 Appendix A IV Needs Need Description Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 Address infrastructure demands in areas with high population growth Address infrastructure challenges in areas with low or negative population growth Respond to increasing pressure on health care, particular due to ageing Enable physical activity and participation Provide spaces where communities can come together Improve accessibility for people with mobility challenges Provide better access to housing for the most vulnerable Victorians Strong population growth in some parts of Victoria, particularly the inner and outer/peri-urban areas of Melbourne and some regional cities, is expected to continue. Infrastructure across a range of sectors, from health and education to transport, is struggling to keep pace with demand. This need seeks to address the deficits that already exist in these areas and better prepare for future growth. While there is much discussion about the pressures of population growth, less attention is given to parts of Victoria that are experiencing low growth or even decline. The distribution of population is a complex story. There is a need to think about the most efficient and equitable means of using infrastructure to support these communities. Over the coming decades, government expenditure on health is expected to increase significantly due to population growth and ageing (as people consume more health services with age), as well as the rise of chronic diseases. Innovative approaches will be needed to respond to increasing pressures on hospitals and community health and aged-care infrastructure. In addition to responding to pressures on the health system, infrastructure can help prevent them. With risk factors like obesity on the rise, encouraging physical activity and participation in organised sport and recreation can play an important role in preventing chronic disease and promoting health and wellbeing. Public spaces, and the community connections they enable, have been recognised as central to social cohesion. These spaces can include parks, libraries, community centres, sports facilities and arts and culture venues. As Victoria s population grows and densification increases, access to public spaces is likely to come under pressure. For people with mobility challenges due to age, disability or other reasons, infrastructure can act as a powerful barrier to (or enabler for) accessing jobs and services and participating in community life. This need seeks to address legacy issues with existing infrastructure and explore new ways to improve accessibility. Rising housing costs have become a significant pressure point for vulnerable Victorians. Access to affordable properties for low income households, particularly in areas with good access to jobs and services, is limited, and demand for social housing is growing at the same time that existing stock is nearing obsolescence.

129 a-2 Need 8 Need 9 Need 10 Need 11 Need 12 Need 13 Need 14 Address expanded demand on the justice system Provide access to high-quality education infrastructure to support lifelong learning Meet growing demand for access to economic activity in central Melbourne Improve access to middle and outer metropolitan major employment centres Improve access to jobs and services for people in regional and rural areas Improve the efficiency of freight supply chains Manage threats to water security, particularly in regional and rural areas Demands on the justice system are expected to grow, driven by population growth, community expectations and new forms of crime (such as cyber-crime). Increased demands for justice services also flow across the system, from police to courts to prisons. There is a need to consider how infrastructure can meet expanded demands on the system and support changing service delivery approaches. Our economy and society are changing so rapidly that education is paramount to ensuring Victoria s global competitiveness and enabling workforce participation. There is a need for education infrastructure to provide opportunities for people across all phases of their lives, as well as be responsive and adaptable to rapid change. Victoria s high productivity industries are typically concentrated in central Melbourne. The centralisation of economic activity is only expected to continue as the economy is increasingly services-driven. Demand for central city access from all parts of Melbourne and many regional areas is likely to grow strongly, leading to increasing capacity constraints on the transport system, which are particularly pronounced in Melbourne s west and north. While central Melbourne is a significant source of economic activity, employment centres in middle and outer metropolitan Melbourne, such as Monash, Dandenong South, Sunshine, East Werribee, Latrobe and Melbourne Airport (and surrounds), will also be critical to the state s economy over the long term. These centres are particularly important employment destinations for people living in surrounding areas, but access will need strengthening. Along with Melbourne, Victoria s regions play an important role in the state s economy, making significant contributions to sectors such as agriculture, tourism and energy production. Some of Victoria s regional cities are also growing strongly (in line with the broader trend towards urbanisation). There are, however, barriers to accessing jobs and services in the regions including comparatively poor digital and transport connectivity. Freight volumes across Victoria are expected to increase over the coming decades, though demand will be influenced by a number of factors including technological advances (such as 3D printing) and the consumer shift from goods to services. There is a need to plan ahead for port capacity and address pressures across the freight network to improve transport efficiency. Victoria s history of drought makes us acutely aware of how important it is to manage water resources sustainably. The demands of a growing population and climate change will put this resource under further pressure. The impacts of water scarcity affect the state as a whole, but are most acutely felt in regional and rural areas.

130 a-3 Need 15 Need 16 Need 17 Need 18 Need 19 Manage pressures on landfill and waste recovery facilities Help preserve natural environments and minimise biodiversity loss Improve the health of our waterways and coastal areas Transition to lower carbon energy supply and use Improve the resilience of critical infrastructure Despite increasing rates of recycling across Victoria, growth in population and industries will mean more waste. Current trends indicate that total waste generation could almost double over the next 30 years, placing pressures on landfills and resource recovery centres. How waste is minimised and managed will be a continuing challenge for the state, particularly in the medium to long term. Conservation areas, such as national and state parks, seek to preserve biodiversity and healthy ecosystems. They also provide ecosystem services such as water catchment and filtration and are part of the state s environmental and cultural heritage (including Victoria s Aboriginal heritage). Pressure on these areas is expected to grow due to urbanisation and increased visitation. Some waterways and coastal environments in Victoria are already in poor condition. This issue is likely to be exacerbated as development increases across catchments and coastlines and the likely impacts of climate change are felt, including hotter, drier weather and sea level rise. Improving waterway and coastal health is important because it affects ecosystems and habitats, water quality and quantity. Transitioning to a lower carbon future will present a number of challenges and opportunities for Victoria over the coming decades. This change is not simply about moving to more sustainable energy generation, but also about reconsidering energy consumption across all infrastructure sectors. There is a need for Victoria s infrastructure, and particularly critical assets, to be more resilient and adaptable in the face of creeping challenges (such as climate change), and unexpected disruptions, both large and small. Source: Infrastructure Victoria

131 Appendix B PwC's GEM Model

132 b-1 Appendix B PwC's GEM Model To enable consistency in ratings across the options, quantitative outputs were used to anchor the ratings assigned for a number of criteria. The quantified ratings were drawn from PwC s GEM model, using a series of filters to produce customised output for each option. The output, which was then distributed into quintiles by metrics to cover the range of highly detrimental to highly beneficial, has been used as the starting point for assigning ratings. For example, the output gives an indication of whether an industry or a population affected is large in relative to others affected by other options. Where an option is too subtle in its effects to be adequately rated using these outputs, qualitative ratings have been used. The approach of quantifying evidence ahead of a qualitative rating was taken for the access to jobs, effect on growth in Gross State Product, number of beneficiaries and supports low socio-economic areas criteria. PwC s GEM model PwC has developed a Geospatial Economic Model (GEM) which enables a more granular understanding of the nuances of local economies across Victoria and provides estimates of economic measures for 2,214 locations within Australia. It provides a detailed dataset for estimating and modelling economic activity and productivity across Australia. The data is consistent and reconcilable with Australian Bureau of Statistics (ABS) estimates of Gross State Product (GSP), Gross Domestic Product (GDP) and employment at a state and national level. Figure 56 illustrates how GEM captures data for local economics within Victoria. It shows the distribution of economic activity across Melbourne (3D mapping) and the role the rail network has had in shaping the location and levels of this growth. This is a unique example showing the links between transport investment and its impact on economic output and urban form. Figure 56 Distribution of economic activity across Melbourne, overlaid with the heavy rail network, Source: PwC Within the ESE Framework, GEM has been used as a structured data set to quantify evidence for use in assigning ratings, according the filters discussion in section 0. The raw data inputs to GEM, and their use in the ESE Framework, are detailed in Table 18.