Smart Cities Plan - Lake Macquarie City Council

Smart Cities Plan
Lake Macquarie City Council Submission
1. Summary
Lake Macquarie City Council supports the intent
of the Australian Government’s Smart Cities
Plan to create liveable cities through improved
planning, investment and technology.
Local government is critical to the delivery of the
Smart Cities Plan. The Australian Government should
specifically extend its invitation to partner with
relevant local authorities, such as Lake Macquarie City
Council, to deliver City Deals.
Lake Macquarie City Council proposes a partnership
with the Australian and NSW governments, and other
key stakeholders, to pilot a Hunter City Deal. Key
benefits of a Hunter-based pilot are:
2

Significant economic and employment
gains in a location ideally situated to
become an international gateway;

Reduced growth pressures in Sydney and
other areas where relevant per capita
costs are higher; and

A test bed to refine ideas that may later be
applied in more complex or larger scale
situations, such as parts of Australia’s
capital cities.
Smart Cities Plan Lake Macquarie City Council Submission
2. Background
Lake Macquarie City is part of the Hunter region of
NSW, approximately 150 km north of Sydney’s CBD
(Figure 1). The Hunter is the 7th largest city/region in
Australia and outranks cities such as Darwin, Hobart
and Canberra in terms of population and economic
contribution.
satisfaction with the level of service Council provides.
Lake Macquarie City Council is a modern, progressive
organisation that is responsive to change, and
contributes to a fairer society. Council advocates
for the Lake Macquarie community and is a capable
partner for government and other stakeholders.
Council is committed to transforming the way it
delivers key services, by supporting innovation,
and nurturing collaboration. The Lake Macquarie
community values this approach, reporting 93%
Council is aware that continuing to rely on
approaches that have served the City well in the past
are unlikely to be sufficient to meet the challenges of
the future. Council welcomes the Smart Cities Plan as
an important contribution to creating more equitable
and liveable cities across the country. A Hunter
City Deal provides an opportunity to relieve growth
pressure in Sydney, as well as assisting to create a
world-class, tier two city in the Hunter.
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Denman
Ulan
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HUNTER
REGION
Tamworth
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Within the Hunter, Lake Macquarie is the largest
regional area with a population of 204,166 distributed
across 9 town centres and 90 villages. The City offers
an incredible lifestyle, with world-class infrastructure,
engaged and connected communities, a strong and
diversified local economy, and superb natural beauty.
The Hunter's population growth will create the need
for 115,000 new homes and 66,000 new jobs by
2030. Lake Macquarie is expected to make the largest
individual contribution with 36,000 new dwellings
and 12,200 new jobs. Lake Macquarie City Council
has well-developed plans to accommodate and
support this growth, within the framework set by the
Lower Hunter Regional Strategy. A City Deal for the
Hunter will accelerate delivery of these targets and
improve access to further growth areas within the
lower Hunter.
NEWCASTLE AIRPORT
PORT OF NEWCASTLE
Cessnock
M1
CO
RR
ID
OR
HUNTER CITY
NEW SOUTH
WALES
SYDNEY
AIRPORT
CENTRAL COAST
LAKE MACQUARIE
Gosford
SYDNEY
PORT BOTANY
Figure 1 – Locality plan
Smart Cities Plan Lake Macquarie City Council Submission
3
3. Proposed Pilot City Deal
3.1 Concept plan
Lake Macquarie City Council offers the geographic
centre of the lower Hunter as a core element of a pilot
Hunter City Deal.
This area (Figure 2) has existing underdeveloped land
and appropriate land use planning to support highdensity residential, commercial and industrial activity,
but lacks the coordinated infrastructure investment
across private and government sectors needed to
achieve the full potential economic uplift in this area.
The relevant site has all of the elements required to
create national and local benefits under the Smart
City Plan, while drawing valuable lessons that could
be applied in other cities. The site includes:
•
An emerging major centre, where job clustering
is already occurring and concept designs are
completed for a major public transport node
(Lake Macquarie Transport Interchange);
•
Land that is already zoned for high density
residential, commercial and industrial activity;
•
Proximity to the proposed high speed rail
corridor and potential Hunter station;
•
Proximity to the Main Northern Railway;
•
Detailed area plans for urban renewal, including
areas which have now been fully remediated
following previous industrial acticity;
•
Proximity to significant sport, recreation and
cultural facilities;
•
Proximity to leading health centre, university and
other tertiary education
•
Proximity to international sea port, airforce base
and international airport; and
•
Proximity to Sydney.
Growth of the Glendale Regional Centre
Improved Transport Accessibility
Residential Intensification
Enhanced Environment and
Recreation Areas
Indicative development outcomes
over 10 years:
•
75,000m2 retail
•
20,000m2 light industrial
•
1250 houses
Private capital investment $790m
Glendale
Cardiff
Warners Bay
Charlestown
Mt Hutton
Toronto
Belmont
Morisset
Figure 2 – Hunter City Deal Pilot Precinct Plan
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Smart Cities Plan Lake Macquarie City Council Submission
LAKE
MACQUARIE
Swansea
Infrastructure required to support economic uplift
within the Hunter City Deal pilot area, centred on
north Lake Macquarie (Figure 3), includes:


A new railway station and bus interchange
at Glendale, the Lake Macquarie Transport
Interchange;

13 recreation and cultural facility projects;
and
A further 11 public and active transport
projects;

9 road infrastructure projects.
Public Transport, Cycling and Walking
12 projects $196m
Recreation and Cultural Facilities
13 projects $184m
Road Infrastructure
9 projects $116m
Public infrastructure Investment $496m
Glendale
Cardiff
Warners Bay
Charlestown
Mt Hutton
Toronto
Belmont
Morisset
LAKE
MACQUARIE
Swansea
Figure 3 – Hunter City Deal Pilot Infrastructure
Smart Cities Plan Lake Macquarie City Council Submission
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3.2 Project partners
IIn addition to Lake Macquarie City Council and the
Australian Government, partners in the Hunter City
Deal pilot include:
•
The NSW Government, as the owner of road
and rail infrastructure, and planning authority
for large-scale development, and owner of
substantial undeveloped land holdings within
the pilot area;
6
•
Regional Development Australia, Hunter;
•
Hunter Councils Inc, the regional organisation of
councils and its members;
•
Utilities including Hunter Water Corporation,
Telstra, Ausgrid and Jemena;
•
The administrator of now remediated lands; and
•
A number of major retail developers including
Stockland, with already approved or welldeveloped proposals for the area.
Smart Cities Plan Lake Macquarie City Council Submission
3.3 Conceptual projected
economic uplift
High-level concept analysis (Table 1) indicates that the
infrastructure investment, from both the private and
public sectors, to deliver the Hunter City Deal Pilot
would be $1.2 billion over 10 years.
This infrastructure is expected to accelerate
development of the area, leading to further private
sector investment in residential, commercial and
industrial assets of $790 million. This investment is
expected to lead to around 10,700 new jobs, 7,650
new dwellings and a total output of $4.2 billion per
annum.
Table 1 – High-level concept economic analysis of Hunter City Deal Pilot
Total
Public
Private
Estimated capital
investment
$1.3 billion
$496 million
$790 million
Estimated direct jobs
4,770
670
4,100
Estimated total jobs
10,700
2,200
8,500
Estimated output
$4.2 billion
$1.0 billion
$3.2 billion
Smart Cities Plan Lake Macquarie City Council Submission
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"In the Hunter, the
employment market
is in transition, from a
heavy reliance on mining
and mining related
services to a more
diversified economy
based on manufacturing,
construction, mining, real
estate, financial services
and retail trade."
4. Specific Comments on the
Smart Cities Plan
4.1 Promoting job clusters
Council supports the Australian Government’s
proposal to create economic centres at the heart
of 30-minute cities. In the Hunter, the employment
market is in transition, from a heavy reliance on
mining and mining related services to a more
diversified economy based on manufacturing,
construction, mining, real estate, financial services
and retail trade.

60 minutes

#3


to Sydney on the M1
regional city in NSW by
population
Lake Macquarie City is situated within 90 minutes of
Sydney CBD, 40 minutes from an airport that is soon
to commence international flights, and 25 minutes
to an international port (Figure 4). The City currently
has access to 2.1 million people within 90 minutes,
providing a wide range of skilled workers just beyond
a reasonable daily commute. Improved transport
infrastructure can deliver a 30-minute city.

25 minutes

$17.8 billion
to international
harbour
total output
estimate
13,000
1 million
thriving businesses
visitors each year
36,000
City target for
new dwellings


40 minutes

75%

8000
to domestic airport
households connected
to broadband
new businesses in
past five years
2000+
50ha+
development
applications
approved each year
industrial land
available
Figure 4 – Key economic statistics for Lake Macquarie City
Smart Cities Plan Lake Macquarie City Council Submission
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Lake Macquarie City’s economic development
company, Dantia, has identified seven key industries
that the City is concentrating on developing (Table
2). Development of these key industries will rely
on strong collaboration among local businesses
and industry bodies, the support of local research
institutions, particularly the world-class University of
Newcastle, supply of skilled labour from the region,
and enabling policy frameworks and investment by
all three levels of government.
The existing commercial centre of Charlestown and
the emerging centres of Glendale and Morisset are
ideal locations for the development of job clusters
that support the national economy. Glendale, in
particular, is both the demographic and geographic
centre of the lower Hunter and has the potential to
deliver sustained employment growth to support the
region
Table 2 – Competitive advantages of priority industries in Lake Macquarie City
Industry
Competitive advantages

•
Main Northern rail line provides quick and easy access to Australia’s busiest freight
and transport corridor.
Engineering and
manufacturing
•
Proximity to the Hunter Valley, Central Coast, Newcastle and Sydney population
centres make it an ideal strategic location.
•
World-class infrastructure, from certified industrial sites and centres, to reliable
utilities designed to support manufacturing industries.
•
Workforce development that is proactive in matching industry needs with skilled
and experienced talent and job-ready programming is on offer at local educational
institutions.
•
Local government is demonstrating a strong commitment to the manufacturing
sector with master-planned industrial parks.
•
State, private and local roads support truck movements and could provide
improved access to potential manufacturing and logistics chains.

•
Land values are extremely competitive for developers and operators wanting to
take advantage of the ideal location and infrastructure the City has to offer.
Logistics
•
A growing population base creating increasing demand for logistics services.
•
The Hunter has the potential to operate as an international gateway to Sydney and
service centre for northern NSW
•
Northern Lake Macquarie is the geographic and demographic centre of the lower
Hunter, and the logical centre for improved freight and public transport services.

The City’s is close to international air and sea routes and has impressive natural assets
that include:
Tourism
•
Lake Macquarie - Australia's largest saltwater lake.
•
Watagan National Park - a bushwalker's haven.
•
Beaches, rocky points and cliff tops - along the majestic east coast of NSW.
•
Creeks, estuaries, outcrops and beaches – tailor-made for fishing adventures.
•
Multiple conservation reserves - offering diverse camping and bushwalking
alternatives.
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Smart Cities Plan Lake Macquarie City Council Submission
Industry
Competitive advantages

•
The City has nine main town centres serving as hubs for the local communities that
circle Lake Macquarie. Each of these centres has its own uniquely identifiable and
community-based retail and commercial precincts. Geographic dispersal makes
each independently viable and successful, and facilitates access to economically
and socially-diverse markets around the Lake.
•
The City has a well-established hub for commercial and retail activities at
Charlestown, and emerging growth centres at Morisset and Glendale.
•
The City and surrounds have substantial areas of un- or under-developed lands,
zoned for commercial development, that have the potential to relieve growth
pressure in Sydney.
•
Population growth, combined with a growing proportion of residents attaining
trade and industry-related post-secondary school qualifications, is placing
unprecedented demands on private and public sector education infrastructure in
the City. This infrastructure is critical to transforming the region to a knowledgebased economy.

•
A simultaneously growing and ageing population increases demand and
opportunities across a broad healthcare spectrum.
Health
•
A population spread around 9 town centres, as opposed to a centralised
population density, provides for a range of diverse, smaller-scale and decentralised
healthcare investment opportunities.

•
The City already nurtures a strong work ethos and willingness to embrace
technology.
Technology
•
By the close of 2016, the National Broadband Network will service about 52 per
cent of business and residential premises in the City. Internet connectivity will
become standard and the local workforce will expect innovative and technologyfocused business investment.
•
An extremely diverse City-wide economy has created an entrepreneurial business
base with more than 13,000 prospering businesses.
Retail and
commercial

Education
Council actively monitors both supply and demand
for employment land, and ensures that land use
planning and development assessment processes do
not create unnecessary barriers to development of
those lands.
The most recent assessment of employment lands
identified that the existing regional centre of
Charlestown and the emerging regional centres of
Glendale/Cardiff and Morisset should be a focus
for federal, state, as well as local, government
investment. Significant demand for employment
lands exists in those areas, in part supported by the
City’s natural assets, existing employment strengths
and proactive approach to local governance
Smart Cities Plan Lake Macquarie City Council Submission
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"Council supports
the aim of the Smart
Cities Plan to deliver
affordable housing close
to employment centres
and improve connectivity
between housing and
employment centres"
4.2 Delivering affordable housing
responses to delivering affordable properties for
purchase, at both the local and NSW Government
levels, could include:
The supply of affordable housing is a critical issue
across the nation, and Lake Macquarie City is no
exception. Lake Macquarie City has a wide range
of housing affordability, with median suburb
house prices between 4 and 18 times median city
household income (Figure 5).
Council supports the aim of the Smart Cities Plan
to deliver affordable housing close to employment
centres and improve connectivity between housing
and employment centres. Council has been active in
this space since introduction of the City’s first longterm strategic land use plan in 2000.
In NSW, government policy focus to date has been
on rental accommodation, which has been assisted
by the Australian Government’s National Rental
Affordability Scheme, but has not addressed creation
of an affordable purchase market. Potential policy
•
Increasing the supply of more affordable housing
land for purchase, such as in Lake Macquarie
where housing and most other costs of living are
considerably more affordable than Sydney;
•
Making housing cheaper through the use of
manufactured housing;
•
Limiting the ability of developers to set restrictive
covenants that demand minimum dwelling
floor areas and limited, often more expensive,
building materials;
•
Providing land and dwellings to low and medium
income families via Community Housing
Authorities; and
•
Assisting financially through low-interest housing
loans to low and moderate income families.
MULTIPLICATION FACTOR
OF CITY MEDIAN
HOUSEHOLD INCOME TO
SUBURB MEDIAN PROPERTY
SALE PRICE
VERY LOW (4.11 - 6.7)
LOW (6.71 - 8.1)
MEDIUM (8.11 - 10.2)
HIGH (10.21 - 13.2)
VERY HIGH (13.21 - 18.3)
Glendale
Cardiff
Warners Bay
Charlestown
Mt Hutton
Toronto
Belmont
Morisset
LAKE
MACQUARIE
Swansea
Figure 5 –Suburb level median property sale price compared to median city household income
Smart Cities Plan Lake Macquarie City Council Submission
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4.3 Improving accessibility and
liveability through transport and
infrastructure
Transport and infrastructure are critical to delivering
the Australian Government’s aspirations for more
liveable cities. Council supports the concept
described in the Smart Cities Plan for accessibility to
be driven by demand management and investment
in an integrated suite of private, public and active
transport infrastructure.
At present, there is no integrated public transport
network for the Hunter. The Lower Hunter
Transport Strategy identifies the need for proactive,
integrated and co-ordinated approach to transport
infrastructure. Key recommendations for integrated
transport in the Hunter include:
•
Completing the Lake Macquarie Transport
Interchange, which involves construction
of a new train station and bus interchange
at Glendale, and is central to the delivery of
integrated public transport in the region;
•
Establishing a Hunter Transport Authority with
clear brand identification, integrated ticketing
14
and coordinated timetabling across transport
modes; and
•
Retaining all gazetted rail and tram corridors for
future system flexibility.
The Mayors of the Hunter councils have identified the
Lake Macquarie Transport Interchange as the highest
priority infrastructure project for the region. When
constructed, it is expected to be the region’s main
public transport node.
Council recognises the need for high-speed
connections between capital and regional cities. The
proposed high-speed rail line between Melbourne
and Brisbane traverses Lake Macquarie City, and
the City provides the logical location for a station to
service the Hunter region (Figure 6). This location, at
Killingworth, is situated adjacent to the M1, Hunter
bypass and New England Highway. It also has
excellent road links to Newcastle sea port and airport
and regional centres in Lake Macquarie. It could
be readily integrated with existing public transport
networks through construction of a public transport
route to the lower speed transport network via the
Lake Macquarie Transport Interchange.
Smart Cities Plan Lake Macquarie City Council Submission
LAKE MACQUARIE LGA
PROPOSED HIGH SPEED
RAIL LINE
A15
PROPOSED KILLINGWORTH
HIGH SPEED RAIL STATION
Glendale
Cardiff
LAKE MACQUARIE
TRANSPORT INTERCHANGE
Warners Bay
M1
Toronto
Belmont
B53
Morisset
Charlestown
Mt Hutton
LAKE
MACQUARIE
Swansea
A43
Figure 4 – Proposed rail augmentation projects in Lake Macquarie City
Smart Cities Plan Lake Macquarie City Council Submission
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4.4 Increasing liveability and
sustainability through urban design
Council supports the Australian Government’s
commitment to quality urban design that is
articulated in the Smart Cities Plan. As noted in the
Plan, regional cities can have advantages in terms of
green space and amenity.
Council has recognised that the City's prosperity,
natural assets, and community are essential elements
of residents’ quality of life. Each of the City’s nine
town centres has their own unique identify and
services, that provide a sound foundation for
application of the 30-minute city concept.
Council’s long-term strategic land use plan, Lifestyle
2030, provides direction for the future urban and
rural land use pattern, based on achieving the
principles of sustainability. Lifestyle 2030 describes
Council’s aspirations for the City to be a place:
•
where the environment is protected and
enhanced;
•
where the scenic, ecological, recreational, and
commercial values and opportunities of the Lake
and coastline are promoted and protected;
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•
with a prosperous economy and a supportive
attitude to balanced economic growth, managed
in a way to enhance quality of life and satisfy
the employment and environmental aims of the
community;
•
that recognizes, encourages, develops its diverse
cultural life and talents, protects, and promotes
its heritage;
•
that encourages community spirit, promotes
a fulfilling lifestyle, enhances health and social
well-being, encourages lifestyle choices, and has
opportunities to encourage participation in sport
and recreation;
•
that promotes equal access to all services and
facilities and enables all citizens to contribute to
and participate in the City's economic and social
development; and
•
that promotes affordable housing.
These aspirations are embedded in the City’s
planning controls, and seek to create one of the most
liveable places in Australia.
Smart Cities Plan Lake Macquarie City Council Submission
4.5 Driving smart investment through
innovative funding
in UK City Deals have primarily revolved around
agreeing on the metrics used to determine actual
value captured through that targeted investment.
Lake Macquarie City Council acknowledges
that innovative funding models and improved
collaboration among key stakeholders are required to
address the growing infrastructure backlog across the
country.
There are a range of existing funding mechanisms in
NSW that could be more effectively used to capture
value associated with infrastructure investment in
targeted locations including voluntary planning
agreements, special rates, developer contributions,
parking fees, environmental upgrade agreements,
and various elements of the taxation system (land tax,
payroll tax, stamp duty, GST, sales taxes etc). Some
of these methods require legislative amendment to
make them more amenable for use in an Australian
City Deal.
Some of the advantages of the City Deals model
are that it devolves decision-making about
prioritisation and subsequent investment to the
local level, provides certainty about the quantum
of funding available to deliver a Deal, and reduces
the administrative effort required to distribute
infrastructure funds. The complexities experienced
Smart Cities Plan Lake Macquarie City Council Submission
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4.6 Delivering smart policy
Lake Macquarie City Council supports the Australian
Government’s proposal to streamline the planning
and development process to create more liveable
Australian cities.
Local government plays a crucial role, through
policy and leadership, in facilitating development
at the city scale. It is the level of government most
connected to communities of place, and the level of
government most trusted to deliver local aspirations.
Collaboration among all three tiers of government,
as capable and respected partners, is critical to the
success of the Smart Cities Plan. The location of the
Hunter City Deal pilot within one LGA, with strong
collaborative relationships with regional councils and
higher levels of government, simplifies development
and delivery of a pilot deal.
Council has a proven record of policy performance
in relation to identifying emerging issues for the City
and developing significant programs to address
them. In the early 2000s, Council developed its first
long-term strategic land use plan, Lifestyle 2020.
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This plan, developed with extensive input from the
Lake Macquarie community, articulated the City’s
core values of sustainability, equity, efficiency, and
liveability.
This plan has been recently superseded by Lifestyle
2030, which reaffirms those core values and informs
both the 10 year Community Strategic Plan and
the citywide Local Environmental Plan. Council
developed its first Community Strategic Plan in 2008,
two years ahead of the then NSW Department of
Local Government’s timeframe for implementation
of its Integrated Planning and Reporting Framework.
Council subsequently developed a Long Term
Financial Plan and a range of asset management,
social and environmental plans to guide investment
in essential works and services. These strategic plans
provide a sound foundation for identification of
priority infrastructure projects that benefit both the
City and the region.
Council has a proven record delivering major
infrastructure projects including the first part of
the Lake Macquarie Transport Interchange and the
northern NSW football facility.
Smart Cities Plan Lake Macquarie City Council Submission
4.7 Encouraging smart technology
outcomes (Figure 7) for Lake Macquarie City to those
articulated in the Smart Cities Plan.
Lake Macquarie City Council supports the Australian
Government’s proposal to apply new technologies
to improve the efficiency, sustainability and
serviceability of our cities.
Council would welcome the opportunity to
participate in a national smart communities
acceleration program to recognise and facilitate the
pivotal role of local government in creating local
conditions conducive to technology and knowledgedriven economic development, consistent with the
National Innovation and Science Agenda.
Innovative application of new technology is
inherently local. It relies on creative, connected
communities supported by digital infrastructure
and open, supportive, flexible government. Local
government plays a crucial role in facilitating this
innovation through the efficient and sustainable
provision of infrastructure, facilities and programs
that enable and empower people to connect, learn,
create and innovate.
Council has adopted a digital economy strategy,
Lake Mac Smart City, Smart Council, and established
a dedicated position to drive the strategy. Council’s
digital strategy seeks to achieve very similar
Council is particularly interested in the Australian
Government’s commitment to driving the use of
energy efficient technologies. Council established
greenhouse gas emission reduction targets in 2008
for its own operations and for the City. In working
towards these targets, Council aims to support its
community to reduce energy waste, save money, and
make an equitable contribution to mitigating climate
change.
Five strategic outcomes
#2
#1
Connected
communities
Online Government
and participation
#5
#3
Great places
Innovation
and investment
#4
Digital literacy
and inclusion
Figure 5 – Lake Mac Smart City strategic outcomes
Smart Cities Plan Lake Macquarie City Council Submission
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