Future Geelong: Victorian Chamber of Commerce and Industry boss Paul Guerra makes case for private investment in Geelong

The boss of the state’s biggest industry group says Geelong has all the attributes to attract private sector investment – it just needs the government to come to the party.

The Victorian Chamber of Commerce and Industry’s Claire McMartin, Paul Guerra and Kylie Warne at the Chamber Change event at GMHBA Stadium. Picture: Mark Wilson.

Eliminating payroll tax for regional Victorian businesses will play an important part in bringing private investment to Geelong, the state’s leading industry groups says.

The move is a key recommendation of the Victorian Chamber of Commerce and Industry’s budget submission to the state government and comes amid a two-day visit to Geelong by its chief executive Paul Guerra.

“Payroll tax in regional Victoria is as close to zero as it can be,” he said.

“So let’s just make it zero and ultimately that provides the incentive for businesses that are looking to move out of metropolitan Victoria to stay in the state, rather than move interstate.”

The tax rate for regional businesses – defined as those paying at least 85 per cent of wages to regionally-based employees – has fallen from 3.65 per cent in 2017 to 1.21 per cent currently.

In a move targeted at small businesses, the state government will increase the tax-free threshold from $700,000 to $900,000 from July 1.

It will increase again to $1m in 12 months’ time.

The tax has long been viewed by industry as inefficient as it essentially punishes growth.

“Payroll tax disincentivises job creation and increased wages,” VCCI’s submission states.

Mr Guerra described Geelong as Victoria’s “most important satellite city” and said private sector expansion was vital following government investment that has included relocating agencies such as WorkSafe and the Transport Accident Commission.

“We know decentralisation is going to occur out of metropolitan Melbourne and Geelong is well placed for that,” he said.

“If you look at all the services (in Geelong), from schooling to health to sporting infrastructure, and then look at the liveability, it’s got everything it needs.

“Our view about the future of work is really simple: people want to live close to their workplaces and we think Geelong has that in spades.

“If there’s people wanting to work then it makes it easier for the private sector to, essentially, refocus and relocate, whether that’s fully or in part.”

Victorian Chamber of Commerce chief executive Paul Guerra at GMHBA Stadium on Wednesday. Picture: Mark Wilson.

Mr Guerra will meet with several businesses during his visit, including Cotton On and Avalon Airport, and speak at Deakin University’s graduation ceremony for its business and law faculty.

On Wednesday he attended VCCI’s Chamber Change event at GMHBA Stadium.

Chamber Change is a VCCI program aimed at increasing the number of female executives.

Almost 380 participants have completed the program since it launched in July 2022.

“It’s not just about breaking barriers – it’s about building bridges towards a more inclusive and prosperous business landscape and we are excited to be taking it to Geelong’s business community,” Mr Guerra said.

VCCI’s Chanelle Pearson described Chamber Change as a movement towards gender equality and empowerment.

“We are committed to fostering an environment where women can thrive, succeed and inspire others to do the same,” she said.

Rosie King, chief executive of Netball Victoria, was the keynote speaker at the event.

Jeremy Crawford – Geelong Chamber of Commerce chief executive

In one word, describe what Geelong stands for:

Liveability

Describe what you think Geelong should stand for:

A prosperity-fuelled city of innovation and design with leading technologies and a self-sustaining economy that is inclusive of all.

Describe what differentiates Geelong from other regional cities:

Our abundance of lifestyle assets, mature education providers, and mix of traditional and emerging industries all working collaboratively to take our city further.

Premier at Future event

Jacinta Allan will speak at next week’s Future Geelong event in just her second visit to the region as premier.

The event, themed Redefine Geelong, is a key feature of this year’s Future Geelong program and will be held at GMHBA Stadium on Friday, March 1.

Spearheaded by the Geelong Advertiser, the event will continue the conversation about who we are as a region and what sets us apart from others.

Long touted as the premier-in-waiting, Ms Allan succeeded Daniel Andrews in September.

She grew up in Bendigo and entered parliament in 1999 as the member for Bendigo East, aged just 26.

Ms Allan is the longest serving female minister in Australia’s history and Victoria’s longest serving Labor minister.

Demographer Bernard Salt will also speak at the event, while Deputy PM and Corio MP Richard Marles will take part in a Q&A with Geelong Advertiser editor Nadja Fleet.

A panel discussion will feature Geelong Mayor Trent Sullivan, Viva Energy chief executive Scott Wyatt, Barwon Water chair Jo Plummer, and GeelongPort boss Brett Winter.

Viva investment a big tick

Viva Energy chief executive Scott Wyatt says the company’s investment to produce ultra-low sulphur gasoline from next year is a “big tick of confidence” in the Geelong refinery.

The $350m project, which includes a $125m contribution from the federal government as part of its fuel security package, is creating significant employment during construction.

The resultant fuel will help reduce vehicle emissions and better align Australia’s fuel quality with international standards.

“It’s the biggest investment in the refinery for some time,” Mr Wyatt said.

He made the comments after Viva released its full-year results to the Australian Stock Exchange on Wednesday.

Mr Wyatt said Viva would continue to play an important role in the energy transition, particularly around renewable fuels.

“The most tangible of reducing emissions (currently) is being able to supply products like sustainable aviation fuel for the airlines, renewable diesel for trucking and bus companies, allowing them to continue using the vehicles they’re using today, but using a fuel made from renewable sources and therefore has very low emissions,” he said.

Viva’s profit of $318m was down on the previous year, while its expected capital expenditure across all divisions this year remained between $440-475m.

The company employs around 400 people directly at the refinery, with a similar number of contractors on site at any one time.

Originally published as Future Geelong: Victorian Chamber of Commerce and Industry boss Paul Guerra makes case for private investment in Geelong