Planning and Environment Act 1987 Panel Report Melbourne Planning Scheme Amendment C221 West Melbourne Waterfront Front page 25 January 2017 Planning and Environment Act 1987 Panel Report pursuant to section 25 of the Act Melbourne Planning Scheme Amendment C221 West Melbourne Waterfront 25 January 2017 William O’Neil, Chair Rachael O’Neill, Member Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 Contents Page 1 Introduction ................................................................................................................ 1 1.1 The Amendment ...................................................................................................... 1 1.2 Procedural issues ..................................................................................................... 2 1.3 Background to the proposal .................................................................................... 2 1.4 Summary of issues raised in submissions ............................................................... 3 1.5 Issues dealt with in this Report ............................................................................. 11 2 Planning context ....................................................................................................... 13 2.1 Policy framework ................................................................................................... 13 2.2 Planning scheme provisions .................................................................................. 19 2.3 Ministerial Directions and Practice Notes ............................................................. 20 2.4 Discussion .............................................................................................................. 21 2.5 Conclusion ............................................................................................................. 21 3 Does the Amendment have adequate strategic planning policy support or is it premature? ............................................................................................................... 22 3.1 The issue ................................................................................................................ 22 3.2 Evidence and submissions ..................................................................................... 22 3.3 Discussion .............................................................................................................. 33 3.4 Conclusions ............................................................................................................ 36 4 Odour and dust impacts and capacity to achieve adequate separation distances ................................................................................................................... 38 4.1 The issue ................................................................................................................ 38 4.2 Evidence and submissions ..................................................................................... 38 4.3 Discussion .............................................................................................................. 44 4.4 Conclusion ............................................................................................................. 49 4.5 Recommendation .................................................................................................. 49 5 Noise ........................................................................................................................ 50 5.1 The issue ................................................................................................................ 50 5.2 Evidence and submissions ..................................................................................... 50 5.3 Discussion .............................................................................................................. 53 5.4 Conclusion ............................................................................................................. 55 5.5 Recommendations ................................................................................................ 55 6 Traffic ....................................................................................................................... 57 6.1 The issue ................................................................................................................ 57 6.2 Evidence and submissions ..................................................................................... 57 6.3 Discussion .............................................................................................................. 60 6.4 Conclusion ............................................................................................................. 61 6.5 Recommendations ................................................................................................ 61 Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 7 Built Form Outcomes ................................................................................................ 64 7.1 The issue ................................................................................................................ 64 7.2 Evidence and submissions ..................................................................................... 64 7.3 Discussion .............................................................................................................. 68 7.4 Conclusion ............................................................................................................. 71 7.5 Recommendations ................................................................................................ 71 8 Appropriateness of using a Development Plan Overlay ............................................. 73 8.1 The issue ................................................................................................................ 73 8.2 Evidence and submissions ..................................................................................... 73 8.3 Discussion .............................................................................................................. 74 8.4 Conclusion ............................................................................................................. 77 8.5 Recommendation .................................................................................................. 77 8.6 Further recommendation ...................................................................................... 77 9 Net Community Benefit ............................................................................................ 78 9.1 The issue ................................................................................................................ 78 9.2 Submissions ........................................................................................................... 78 9.3 Discussion .............................................................................................................. 79 9.4 Conclusion ............................................................................................................. 79 10 Drafting of the Development Plan Overlay Schedule 12 ............................................ 80 10.1 The issue ................................................................................................................ 80 10.2 Submissions ........................................................................................................... 80 10.3 Discussion .............................................................................................................. 81 10.4 Conclusion ............................................................................................................. 81 11 Section 173 Agreement protocol ............................................................................... 82 11.1 The issue ................................................................................................................ 82 11.2 Submissions ........................................................................................................... 82 11.3 Discussion .............................................................................................................. 82 11.4 Conclusion ............................................................................................................. 82 Appendix A Submitters to the Amendment Appendix B Hearing Document list Appendix C Panel Recommended Version of Schedule 12 to the Development Plan Overlay Appendix D Protocol regarding West Melbourne Waterfront Section 173 Agreement Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 List of Figures Page Figure 1 The subject site ........................................................................................................ 1 Figure 2 Dynon Local Area Plan (Clause 21.15‐1 Melbourne Planning Scheme) ................................................................................................................. 29 Figure 3 Figure 6 ‐ Managing the ‘urban’ river – Footscray/Footscray Wharf length ..................................................................................................................... 70 List of Abbreviations C2Z Commercial 2 Zone COM City of Melbourne DELWP Department of Environment, Land, Water and Planning DPO Development Plan Overlay DPO12 Development Plan Overlay Schedule 12 DTPLI Department of Transport, Planning and Local Infrastructure (former) EAO Environmental Audit Overlay EPA Environment Protection Authority LPPF Local Planning Policy Framework LSIO Land Subject to Inundation Overlay MRVDG Maribyrnong River Valley Design Guidelines MPA Metropolitan Planning Authority MSC Melbourne Seafood Centre MSS Municipal Strategic Statement MUZ Mixed Use Zone PoMC Port of Melbourne Corporation SPPF State Planning Policy Framework VDRP Victorian Design Review Panel VPA Victorian Planning Authority VPP Victoria Planning Provisions WMW West Melbourne Waterfront Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 Overview Amendment Summary The Amendment Melbourne Planning Scheme Amendment C221 Common name West Melbourne Waterfront Brief description The purpose of the Amendment is to rezone the subject site from the Commercial 2 Zone to the Mixed Use Zone; apply the Development Plan Overlay and insert Schedule 12; and, apply the Environmental Audit Overlay. Subject site 156‐174, 176‐178, 180‐194, 196‐214 and 216‐232 Kensington Road, West Melbourne. The Proponent WMW Developments Pty Ltd Planning Authority City of Melbourne Authorisation Authorisation was granted on 10 February 2016. Exhibition The Amendment was exhibited from 7 April to 20 May 2016. Submissions Number of Submissions: 21 16 submissions raised issues with the Amendment and five submitters were in support of the Amendment. Panel Process The Panel William O’Neil (Chair) and Rachael O’Neill Directions Hearing Planning Panels Victoria on 4 October 2016. Panel Hearing Planning Panels Victoria on 8, 9, 10, 11 and 14 November 2016. Site Inspections Accompanied, 2 November 2016. Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 Appearances Ms Juliet Forsyth, Barrister on behalf of City of Melbourne. Council called Mr Koos de Keijzer, Architect, DKO, to provide expert evidence in Urban Design. Mr Stuart Morris QC and Mr Barnaby Chessell, Barrister instructed by Rigby Cooke on behalf of the Proponent, WMW Developments Pty Ltd, called the following expert witnesses: - Mr Andrew Biacsi, Town Planner, Contour Consultants. - Mr Mark Sheppard, Urban Designer, David Lock and Associates. - Mr Tim Pollock, Environmental Engineer, GHD. - Mr Matthew Stead, Acoustic Engineer, Resonate Acoustics. - Mr John Kiriakidis, Traffic Engineer, GTA Consultants. Mr Joseph Monaghan and Ms Tess Bowyer of Holding Redlich on behalf of the Melbourne Seafood Centre. They called the following expert witnesses: - Mr David Barnes, Town Planner, Hansen Partnership. - Mr Peter Ramsay, Chemical Engineer (odour evidence), Peter J Ramsay & Associates. - Mr Simon McHugh, Acoustic Engineer, Marshall Day Acoustics. - Mr Tim McKinley, Traffic Engineer, Cardno. Mr Samuel Trowse on behalf of the Environment Protection Authority (EPA). Ms Kaye Oddie. At the Direction of the Panel, the Proponent compiled a tracked Further Information changes version of Development Plan Overlay Schedule 12 that was Lodged the result of the without prejudice discussion with parties on the last day of the Hearing. The revised Schedule, including tracked changes, was distributed to parties on 25 November 2016. Date of this Report 25 January 2017 Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 Executive Summary (i) Summary Melbourne Planning Scheme Amendment C221 (the Amendment) seeks to rezone the subject land to facilitate a mixed use redevelopment of land. The site is approximately 2.8 ha in area and has extensive frontage to the Maribyrnong River. The land is proximate to both the Footscray Major Activity Centre and Melbourne’s Central Business District. The redevelopment of the site will represent a significant urban renewal outcome including substantial residential, retail, commercial and open space land uses. In response to the exhibition of the Amendment, 21 submissions were received. Submissions in support of the Amendment include: Melbourne Water which, subject to conditions, is supportive of the Amendment and noted that it would create opportunities to improve the waterway and amenity outcomes in the area The Port of Melbourne Corporation (PoMC) which considers that the Amendment provides the necessary safeguards to ensure port‐related issues are appropriately considered as part of the approval process for future development at the site The Melbourne Planning Authority (MPA) (now Victorian Planning Authority (VPA)) which submitted that the proposed development is consistent with state and local planning policies for urban renewal in the Expanded Central City, and offers a considerable opportunity for the development of a new community on the Maribyrnong River within the Dynon Urban Renewal Precinct. The submission expressed the view that the proposed planning controls have been appropriately selected to influence built form outcomes and are suitable for the local context. The key issues raised in opposing submissions expressed concern that: The Amendment lacked a strong strategic basis and that rezoning of the land was premature in the absence of a current and complete Structure Plan for the Dynon Precinct The proposed redevelopment of the site will create land use conflicts with established commercial and industrial operations and, in particular, conflict with the operation of the Melbourne Seafood Centre (MSC) Inadequate risk assessment of industrial residual air emissions, including dust and odour, has occurred to date and therefore it is premature to introduce a planning framework that will result in the introduction of sensitive land uses The redevelopment of the site will increase existing traffic and parking congestion The development guidelines in the proposed Development Plan Overlay will result in unacceptable built form and amenity outcomes The Development Guidelines need review to better reflect the Maribyrnong River Valley Design Guidelines 2010 (MRVDG) and to clarify expectations regarding the quantum and location of the public open space contribution A definitive development proposal has not been exhibited and the Development Plan Overlay does not contain provision for third party review of future proposals. Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 The Panel has considered all written submissions as well as submissions and evidence presented and tested during the Hearing. Having participated actively throughout the preparation of the Amendment and the review of submissions made in response to it, the City of Melbourne (COM) concluded that it strongly supports the Amendment, subject to modifications to the exhibited Schedule 12 to the Development Plan Overlay. In forming this position the COM stated that strategic support for the Amendment is abundant, and can be found not just in the Local Planning Policy Framework (LPPF) but also in Plan Melbourne and the State Planning Policy Framework (SPPF). They highlighted that Plan Melbourne specifically encourages urban renewal within locations proximate to the city centre, such as the subject land, and the absence of a formal Structure Plan for the precinct was not an impediment and should not delay the rezoning of the land via this Amendment. The Panel has formed the view that the Amendment has strategic merit and its approval will facilitate the intensive redevelopment of land that has been clearly and unambiguously identified within Plan Melbourne as an ‘Urban Renewal Area’ in Plan Melbourne as part of the ‘Expanded Central City’. Whilst the Panel is supportive of the Amendment and is of the view that the rezoning will not prejudice the future rezoning and redevelopment of the remainder of the Dynon Precinct, it acknowledges that further risk assessment of industrial residual air emissions, including dust and odour from nearby established industrial and commercial land uses, will need to be undertaken to inform the location of sensitive land uses within the subject site. The EPA highlighted the need for the further risk assessment. The Panel notes that on the last day of the Hearing the EPA expressed its support for the scope of the risk assessment and terminology used in the Schedule of the Development Plan Overlay to guide its preparation. The Panel concludes: The Amendment enjoys significant strategic planning support, particularly from its designation as an ‘Urban Renewal Area’ in Plan Melbourne as part of the ‘Expanded Central City’. The COM, the MPA (now VPA), Melbourne Water, VicTrack, Public Transport Victoria and the Port of Melbourne Authority are among the submitters that strongly support advancement of the Amendment and the urban revitalisation and renewal that it contemplates. Approval of the Amendment will directly and proactively respond to Plan Melbourne “Initiative 2.2.2 ‐ Unlock the capacity of urban‐renewal precincts for higher density development’ which is a strategic state priority. While the LPPF within the Melbourne Planning Scheme has not been updated to reflect Plan Melbourne’s vision for the subject site, the Panel is satisfied that there is sufficient recognition in the LPPF that the site is ear marked for the purposes advanced via the Amendment. The detailed site investigations and strategic assessment and planning that has been undertaken by WMW in consultation with the COM, relevant state government agencies and authorities, and landowners over the last three years has resulted in the preparation of a robust strategic planning framework for the site (and its abuttals) via the proposed DPO12. Melbourne Planning Scheme Amendment C221 Panel Report 25 January 2017 The subject land possesses a number of characteristics that distinguish it from other parts of the Dynon Precinct as a suitable candidate for urban renewal in the shorter term. The requirement within Schedule 12 to the Development Plan Overlay to undertake a comprehensive risk assessment of industrial residual air emission, including dust and odour, will help inform the location of sensitive land uses within the subject land in order to minimise potential for land use conflicts and aid in the management of buffer issues. The redevelopment of the subject land in the manner provided for via Schedule 12 to the Development Plan Overlay: - will unlikely result in unreasonable land use and amenity conflicts - will not prejudice the realisation of further urban renewal opportunities within the balance of the sub‐precinct or the broader precinct in the longer term. The Amendment has the benefit of substantial strategic policy support and its implementation in the short term would be consistent with the principles of orderly planning. (ii) Recommendations Based on the reasons set out in this Report, the Panel recommends that Melbourne Planning Scheme Amendment C221 be adopted as exhibited subject to the following: 1. Replace the exhibited version of Schedule 12 to the Development Plan Overlay with the Panel Recommended Version provided in Appendix C. (iii) Further recommendations The Panel makes the following further recommendation: The City of Melbourne should continue to consult with neighbouring land owners, such as the Melbourne Seafood Centre, and relevant agencies, to inform its review and assessment of any future detailed development concept for the subject land.
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