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Economic Profile

2009


Economic Profile

2009

Disclaimer: Whilst all care and diligence have been exercised in the preparation of this report, the AEC Group Limited does not warrant the accuracy of the information contained within and accepts no liability for any loss or damage that may be suffered as a result of reliance on this information, whether or not there has been any error, omission or negligence on the part of the AEC Group Limited or their employees. Any forecasts or projections used in the analysis can be affected by a number of unforeseen variables, and as such no warranty is given that a particular set of results will in fact be achieved.

This economic profile has been produced on behalf of the Fraser Coast Regional Council by the AEC Group, Level 5, 131 Leichardt Street, PO Box 942, Spring Hill Q 4000


Fraser Coast Economic Profile 2009: Final Report

Executive Summary Introduction On 15 March, 2008 the Fraser Coast Regional Council was formed, including the amalgamation of the Hervey Bay, Maryborough, Woocoo and Divisions 1 and 2 of Tiaro LGAs. The Fraser Coast Economic Profile provides an overview of the new Fraser Coast Regional Council. The Fraser Coast is the gateway to the World Heritage listed Fraser Island and the southern region of the Great Barrier Reef. Hervey Bay is the key tourism hub of the Fraser Coast, with key leisure and tourism activities including whale watching and scuba diving, or simply relaxing on the beach enjoying the sun, surf and sand. Maryborough has unique Queensland heritage values as well as major manufacturing and engineering operations while Woocoo and Tiaro provide ‘tree change’ rural lifestyles in proximity to the benefits provided by the nearby cities of Maryborough and Hervey Bay. Apart from being a popular tourism destination, the Fraser Coast is one of the fastest growing regions in Queensland, with two major regional centres, Hervey Bay and Maryborough, servicing its population. The Fraser Coast includes major road, rail, air and sea transport infrastructure as well as considerable shopping, dining and entertainment options. With many historic sites and contemporary entertainment venues and events to enjoy, as well as all the amenities of a regional centre, the Fraser Coast combines a relaxed country and coastal lifestyle with a strong and expanding business base.

Key Economic Indicators in the Fraser Coast Demographic Profile Between 2001 and 2007, the Fraser Coast population increased by approximately 18,038 persons to 92,458 persons in 2007. Over this period, Hervey Bay experienced the most significant growth, followed by Woocoo/Tiaro and Maryborough. Projected growth over the twenty years to 2026 in the Fraser Coast is expected to exceed that of Non Metropolitan Queensland (NMQ), with Hervey Bay expected to maintain a higher average annual population growth compared to Woocoo/Tiaro and Maryborough. The Fraser Coast has a relatively older population distribution than Non-Metropolitan Queensland. This is a reflection of the region’s reputation for leisure and tourism, producing an idyllic lifestyle option for residents. The increasing number of mature aged persons in the region will likely support continued demand for leisure, lifestyle, and specialised services (such as finance and health services). The largest proportion of household composition was that of couples with no children at home (35.3%) and the Fraser Coast had a significantly larger portion of homes which were fully owned than in Non-Metropolitan Queensland. The Fraser Coast has also exhibited lower housing costs than in Non-Metropolitan Queensland, although costs of housing have increased at a faster rate than income growth. Education levels have increased over the past five years, with increasing proportions of year 10 and 12 retention rates in the Fraser Coast, as well as completion of non-school qualifications. The increasing levels of education qualifications will continue to diversify the labour pool. The majority of residents reported regular Internet use in the Fraser Coast in 2006. Of Internet users, the majority used broadband services. These trends indicate that the Fraser Coast economy has performed strong in recent years, with a growing labour base and wealth creation opportunities. The draw of the region for lifestyle and leisure visitors has continued to expand the employment and skills base, as well as providing expanding services for residents and complementing the traditional industries of manufacturing and agriculture in the region.

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Fraser Coast Economic Profile 2009: Final Report

Economic Profile The Fraser Coast produced an estimated $3.03 billion in Gross Regional Product (GRP) in 2007-08, 19.6% more than 2006-07, and has recorded average annual growth of 9.3% since 2003-04. This is greater than the estimated average annual growth (7.9%) in GRP for Non-Metropolitan Queensland over the period. The Fraser Coast economy is most reliant on the sectors of Manufacturing, Ownership of Dwellings, Construction, Education and Retail Trade. The Fraser Coast has a high proportion of businesses in the industries of Construction, Property and Business Services, Agriculture, Forestry & Fishing, and Retail Trade. Labour Market Profile The Fraser Coast’s labour force increased by 4.1% per annum on average between 2001 and 2006, to 33,092 people, above the recorded expansion in Non-Metropolitan Queensland. The Fraser Coast labour force has continued to increase since the 2006 Census to an estimated 37,147 people in the June Quarter 2008. Occupations of significant employment on the Fraser Coast included Technicians & Trades Workers (employing 16.8% of the workforce), Labourers (14.4%) and Clerical & Administrative workers (13.9%). In comparison to the Non-Metropolitan Queensland occupational averages, the Fraser Coast employed similar proportions of the workforce in all occupations, with the exception of Community and Personal Service workers and Managerial occupations. Industries of significant employment on the Fraser Coast included Retail Trade (employing 13.6% of the workforce), Health Care & Social Assistance (13.2%) and Construction (11.0%). In comparison to NMQ, the Fraser Coast reported greater proportions of persons employed in these top three industries, indicating a greater reliance on these industries for the regional economy. The Fraser Coast recorded lower average wages for all industries in comparison to NMQ, indicating that labour costs for businesses are lower in the Fraser Coast, and reflecting relatively lower costs of living in the region. The implications of these trends indicate that there is a substantial labour supply base that is relatively cost effective in comparison to similar regions throughout the state, indicating the Fraser Coast may provide a cost effective option for many businesses in the future. Investment Profile Residential building investment in the Fraser Coast has experienced a net increase over the past five years, with increases in both the number and value of dwelling approvals recorded between 2003 and 2008. Hervey Bay has been the centre for dwelling construction in the Fraser Coast since the year ended September 2003, accounting for over 80% of total approvals during the five year period. The Fraser Coast property market has recorded significant increases in median sale values since the year ended June 2003, with annual growth averaging approximately 9.9% for all property types over the past five years. Non-residential building investment in the Fraser Coast has also increased considerably since the year ended September 2003, with the value of non-residential building approvals peaking at $112.2 million in the year ended September 2005. The growth experienced in the building and property markets has in part been fuelled by major residential and non-residential projects recently completed or currently under construction in the region. Some notable developments include the recently completed Hervey Bay Airport Industrial Park and the Peppers Pier Resort.

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Fraser Coast Economic Profile 2009: Final Report

Transport The Fraser Coast region includes major roads and highways (the Bruce Highway and the Maryborough-Biggenden Road) bisecting the region north-south and east-west, respectively. Additionally, an extensive rail network connects the localities of the region with each other, the wider Queensland area, and commercial and industrial operations with other transportation linkages. The Fraser Coast has a number of key port facilities and marinas, particularly in Hervey Bay and Maryborough. The Hervey Bay airport is the main passenger facility, catering to the entire region, and has recently undergone expansion and refurbishment, which has in part led to increases in passenger numbers. This extensive and diverse range of transportation infrastructure has allowed the Fraser Coast to position the region as a hub for potential growth and expansion in visitors, residents and industry. Industry Profiles Tourism Tourism is a major economic generator in the Fraser Coast region, particularly in Hervey Bay. As evidenced by Fraser Coast Tourism Region (FCTR) statistics over the past five years, the Fraser Coast experienced increases in overall visitor numbers, an increase in domestic day and international visitors and decrease in domestic overnight visitors. The supply of tourism accommodation has increased from the year ended September 2007 to the year ended September 2008, while the demand (number of guests) decreased. Agriculture & Forestry The agriculture, forestry and fishing sector has had a strong and vibrant history in the Fraser Coast region, most notably for sugar cane and timber production, but also for pastoral and orchard crop enterprises. The Fraser Coast’s agriculture, forestry and fishing industry benefits from strong supply chains and infrastructure linkages between primary producers and major processors of primary products in the region. Manufacturing The Fraser Coast has a strong manufacturing industry that is currently undergoing a period of growth with the rising levels of investment in industrial facilities and regional support industries located within the Fraser Coast Enterprise Zone. Large manufacturers in the region include Downer EDI Rail/ Bombardier, Hyne Timber, Maryborough Sugar and Dale and Meyers Timber Company. Construction The Fraser Coast has seen a strong construction industry in recent years, reflected by significant growth in GRP contribution over the past 10 years and expanding property development. Average annual growth from 2000-01 to 2007-08 was 12.2%, accelerating to 12.9% in the past five years. Retail Trade Retail trade contributed $0.23 billion to the Fraser Coast regional economy in 2007-08, representing 7.5% of the total Gross Regional Product, and an 8.2% increase from the 2005-06 contribution ($0.21 billion). Trade Area Analysis The cities of Hervey Bay and Maryborough play significant roles in the functionality and economy of the Fraser Coast, acting as business and trade centres for the region. Trade areas for Hervey Bay and Maryborough have been defined based on: The role and function of the cities in the context of the wider area; The strength, range and appeal of services and facilities within the cities; The proximity and composition of competing services; and The level of accessibility influenced by such factors as the road network and the presence of physical barriers such as rivers, railways and roads.

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Fraser Coast Economic Profile 2009: Final Report

The Hervey Bay and Maryborough Trade Areas are divided into three areas – primary, secondary and tertiary – based on the accessibility and role of the trade centre relative to its outlying areas serviced. These trade areas are depicted in the maps below. Hervey Bay Trade Areas Map

Maryborough Trade Areas Map

Source: Australian Bureau of Statistics (2003).

It should be noted that the Hervey Bay and Maryborough Trade Areas overlap (for example, the Maryborough Tertiary Trade Area encompasses Hervey Bay Part A, which is

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Fraser Coast Economic Profile 2009: Final Report

part of the Hervey Bay Primary Trade Area), with both of these trade centres servicing the Fraser Coast and surrounding areas. The total Trade Area (the aggregate of the primary, secondary and tertiary trade areas) for Hervey Bay and Maryborough are equivalent. According to the 2006 Census, there were an estimated 94,305 persons in the Trade Areas for Hervey Bay and Maryborough. Total figures for Maryborough and Hervey Bay Trade Areas indicate that both housing costs and household incomes were lower than those reported in NMQ. Within the defined Trade Areas, the highest median household income was recorded in the Primary Trade Area in Hervey Bay ($869 per week) and the Primary Trade Area in Maryborough ($858 per week). Overall, the total value of retail expenditure in the Trade Areas for Maryborough and Hervey Bay is estimated to have been approximately $1.1 billion in 2007-08, with the Primary Trade Area accounting for the largest share of expenditure of the Hervey Bay Trade Areas and the Secondary Trade Area accounting for the largest share of the Maryborough Trade Areas. The Primary Trade Area in Hervey Bay and the Secondary Trade Area in Maryborough reported the highest levels of weekly household retail expenditure for 2007-08, with the largest share of expenditure on groceries & specialty foods. Household retail expenditure is expected to increase at an average annual rate of 2.6% above inflation over the next 20 years.

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Fraser Coast Economic Profile 2009: Final Report Fraser Coast Economic Profile 2009: Final Report

Table of Contents Table of Contents

DOCUMENT CONTROL.......................................................................................... I DOCUMENT CONTROL.......................................................................................... I EXECUTIVE SUMMARY ........................................................................................ II EXECUTIVE SUMMARY ........................................................................................ II TABLE OF CONTENTS........................................................................................ VII TABLE OF CONTENTS........................................................................................ VII 1. INTRODUCTION .......................................................................................... 1 1. 1.1 1.2 1.1 1.3 1.2 1.4 1.3 1.4 2.

INTRODUCTION .......................................................................................... 1 BACKGROUND ................................................................................................. PURPOSE AND OBJECTIVES................................................................................... 1 BACKGROUND ................................................................................................. 1 STUDY AREA AND CATCHMENTS ............................................................................. 1 PURPOSE AND OBJECTIVES................................................................................... 1 LOCATION, CLIMATE AND LIFESTYLE OF THE REGION ..................................................... 2 STUDY AREA AND CATCHMENTS ............................................................................. 1 LOCATION, CLIMATE AND LIFESTYLE OF...................................................................... THE REGION ..................................................... 3 2 CATCHMENT AREA ANALYSIS

2. 2.1

CATCHMENT ...................................................................... 3 DEMOGRAPHIC PAREA ROFILE ANALYSIS ...................................................................................... 2.1.1 POPULATION ......................................................................................... 3 DEMOGRAPHIC PROFILE ...................................................................................... 3 2.1.2 AGE DISTRIBUTION ................................................................................. 5 2.1.1 POPULATION ......................................................................................... 3 2.1.3 HOUSEHOLD COMPOSITION ........................................................................ 6 2.1.2 AGE DISTRIBUTION ................................................................................. 5 2.1.4 HOUSEHOLD OWNERSHIP AND FINANCES ......................................................... 7 2.1.3 HOUSEHOLD COMPOSITION ........................................................................ 6 2.1.5 EDUCATION AND QUALIFICATIONS ................................................................. 9 2.1.4 HOUSEHOLD OWNERSHIP AND FINANCES ......................................................... 7 2.1.6 INTERNET USAGE .................................................................................. 10 2.1.5 EDUCATION AND QUALIFICATIONS ................................................................. 9 ECONOMIC PROFILE ......................................................................................... 11 2.1.6 INTERNET USAGE .................................................................................. 10 2.2.1 GROSS REGIONAL PRODUCT ..................................................................... 11 ECONOMIC PROFILE ......................................................................................... 11 2.2.2 ECONOMIC DIVERSITY ............................................................................ 13 2.2.1 GROSS REGIONAL PRODUCT ..................................................................... 11 2.2.3 BUSINESS BY INDUSTRY .......................................................................... 15 2.2.2 ECONOMIC DIVERSITY ............................................................................ 13 LABOUR MARKET PROFILE .................................................................................. 16 2.2.3 BUSINESS BY INDUSTRY .......................................................................... 15 2.3.1 LABOUR FORCE PARTICIPATION .................................................................. 17 LABOUR MARKET PROFILE .................................................................................. 16 2.3.2 EMPLOYMENT AND UNEMPLOYMENT .............................................................. 18 2.3.1 LABOUR FORCE PARTICIPATION .................................................................. 17 2.3.3 EMPLOYMENT BY OCCUPATION ................................................................... 19 2.3.2 EMPLOYMENT AND UNEMPLOYMENT .............................................................. 18 2.3.4 EMPLOYMENT BY INDUSTRY ....................................................................... 20 2.3.3 EMPLOYMENT BY OCCUPATION ................................................................... 19 2.3.5 INCOME BY INDUSTRY ............................................................................. 21 2.3.4 EMPLOYMENT BY INDUSTRY ....................................................................... 20 ORIGIN AND DESTINATION OF THE WORKFORCE ........................................................ 22 2.3.5 INCOME BY INDUSTRY ............................................................................. 21 2.4.1 JOB AVAILABILITY AND SOURCE OF THE WORKFORCE ......................................... 22 ORIGIN AND DESTINATION OF THE WORKFORCE ........................................................ 22 2.4.2 SELF-CONTAINMENT .............................................................................. 25 2.4.1 JOB AVAILABILITY AND SOURCE OF THE WORKFORCE ......................................... 22 2.4.3 EMPLOYMENT BY INDUSTRY (BY PLACE OF EMPLOYMENT) ..................................... 28 2.4.2 SELF-CONTAINMENT .............................................................................. 25 INVESTMENT PROFILE ....................................................................................... 30 2.4.3 EMPLOYMENT BY INDUSTRY (BY PLACE OF EMPLOYMENT) ..................................... 28 2.5.1 DWELLING INVESTMENT .......................................................................... 31 INVESTMENT PROFILE ....................................................................................... 30 2.5.2 PROPERTY MARKET ................................................................................ 33 2.5.1 DWELLING INVESTMENT .......................................................................... 31 2.5.3 NON-RESIDENTIAL BUILDING INVESTMENT .................................................... 34 2.5.2 PROPERTY MARKET ................................................................................ 33 2.5.4 MAJOR PROJECTS .................................................................................. 35 2.5.3 NON-RESIDENTIAL BUILDING INVESTMENT .................................................... 34 TRANSPORT .................................................................................................. 40 2.5.4 MAJOR PROJECTS .................................................................................. 35 TRANSPORT .................................................................................................. 40 INDUSTRY PROFILES ................................................................................ 43

2.1

2.2 2.2 2.3 2.3

2.4 2.4 2.5 2.5

2.6 2.6 3. 3. 3.1 3.1 3.2 3.3 3.2 3.4 3.3 3.5 3.4 3.5 4.

INDUSTRY PROFILES ................................................................................ 43 TOURISM ..................................................................................................... 43 3.1.1 VISITATION ........................................................................................ 43 TOURISM ..................................................................................................... 43 3.1.2 ACCOMMODATION ................................................................................. 44 3.1.1 VISITATION ........................................................................................ 43 AGRICULTURE & FORESTRY ................................................................................ 45 3.1.2 ACCOMMODATION ................................................................................. 44 MANUFACTURING ............................................................................................ 45 AGRICULTURE & FORESTRY ................................................................................ 45 CONSTRUCTION ............................................................................................. 47 MANUFACTURING ............................................................................................ 45 RETAIL TRADE ............................................................................................... 47 CONSTRUCTION ............................................................................................. 47 RETAIL TAREA RADE ............................................................................................... 47 TRADE ANALYSIS ............................................................................. 49

4. 4.1 4.2 4.1 4.2

TRADE ANALYSIS ............................................................................. 49 TRADE AAREA REA DEFINITION .................................................................................. 49 SOCIO-ECONOMIC CHARACTERISTICS .................................................................... 52 TRADE AREA DEFINITION .................................................................................. 49 4.2.1 POPULATION ....................................................................................... 52 SOCIO-ECONOMIC CHARACTERISTICS .................................................................... 52 4.2.2 HOUSEHOLD FINANCES ........................................................................... 52 4.2.1 POPULATION ....................................................................................... 52 4.2.3 RETAIL EXPENDITURE ............................................................................. 53 4.2.2 HOUSEHOLD FINANCES ........................................................................... 52 4.2.3 R..................................................................................................... ETAIL EXPENDITURE ............................................................................. 56 53 REFERENCES REFERENCES ..................................................................................................... 56

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Fraser Coast Economic Profile 2009: Final Report

1. Introduction 1.1

Background On 15 March, 2008 the Fraser Coast Regional Council was formed, including the amalgamation of the Hervey Bay, Maryborough, Woocoo and Divisions 1 and 2 of Tiaro LGAs. In early 2008 the AECgroup provided a report, the Fraser Coast Economic Profile, which provided an overview of the Fraser Coast Regional Council, including analysis and interpretation of: Relevant demographic and socio-economic characteristics of the region; The region’s economic, business and industry structure and composition; Income and expenditure of residents in the region; Capabilities and capacity of the region’s economic and social infrastructure; Residential and non-residential development activity; and Regional property market characteristics. The Fraser Coast Economic Profile provided information for the Fraser Coast as a whole as well as the regional centres of Hervey Bay, Maryborough, and Woocoo/ Tiaro.

1.2 Purpose and Objectives The Fraser Coast Economic Profile 2009 (this report) provides an update on the Fraser Coast Economic Profile complied by the AECgroup in early 2008. The purpose of the Fraser Coast Economic Profile 2009 is to provide updated socio-economic information on the amalgamated Fraser Coast Local Government Area, as well as details pertaining to the three areas of Maryborough City, Hervey Bay City, and the Shires of Woocoo and Tiaro. The Fraser Coast Economic Profile 2009 assesses these three catchment areas separately to reflect their diverse nature and differences in demographics, socioeconomic characteristics and development patterns. The analysis includes: Description of the Fraser Coast’s location, climate and natural resources; Analysis of demographic and socio-economic information pertaining to the designated catchment areas, including contribution to Gross Regional Product (GRP) and employment flows and self-containment of the region; Economic activity and retail expenditure for the Fraser Coast Trade Areas; Description of the capabilities and capacity of the region’s infrastructure, facilities and services; and Summary of recent and planned developments and potential economic impacts. The profile aims to provide a collection of information on the economic climate of the region through comprehensive discussion around the socio-economic characteristics, statistics and personality of the Fraser Coast in an informative manner. The information will be particularly useful to policy-developers and private commercial entrepreneurs considering investment prospects in the region.

1.3 Study Area and Catchments The Fraser Coast Economic Profile provides analysis of the amalgamated Fraser Coast Regional Council, as well as for the three catchment areas of Maryborough, Hervey Bay and Woocoo/Tiaro. While it is acknowledged that the new Fraser Coast Regional Council incorporates Divisions 1 and 2 of old Tiaro Shire Council, assessment has been based on the entire Tiaro Local Government Area due to data limitations at smaller geographical classifications, however population has been estimated based on this actual boundary. The three catchment areas to be assessed are outlined in the figure below.

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Fraser Coast Economic Profile 2009: Final Report

Figure 1.1: Fraser Coast

Source: Australian Bureau of Statistics (2003)

1.4 Location, Climate and Lifestyle of the Region Only three hours from Brisbane, the Fraser Coast is a premier nature destination, boasting unspoilt stretches of coastline and breathtaking natural Australian flora. The Fraser Coast’s enviable sub-tropical climate, which generally averages a warm 30 degrees in the summer and 22 degrees in the winter, has encouraged sugarcane and orchard industries to flourish. The Fraser Coast is the gateway to the World Heritage listed Fraser Island and the southern region of the Great Barrier Reef. Hervey Bay is the key tourism hub of the Fraser Coast, with key leisure and tourism activities including whale watching and scuba diving, or simply relaxing on the beach enjoying the sun, surf and sand. Maryborough has unique Queensland heritage values as well as major manufacturing and engineering operations while Woocoo and Tiaro provide ‘tree change’ rural lifestyles in proximity to the benefits provided by the nearby cities of Maryborough and Hervey Bay. Apart from being a popular tourism destination, the Fraser Coast is one of the fastest growing regions in Queensland, with two major regional centres, Hervey Bay and Maryborough, servicing its population. The Fraser Coast includes major road, rail, air and sea transport infrastructure as well as considerable shopping, dining and entertainment options. With many historic sites and contemporary entertainment venues and events to enjoy, as well as all the amenities of a regional centre, the Fraser Coast combines a relaxed country and coastal lifestyle with a strong and expanding business base.

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Fraser Coast Economic Profile 2009: Final Report

2. Catchment Area Analysis 2.1 Demographic Profile The Fraser Coast population has increased by approximately 18,038 residents over the past six years to 92,458 persons in 2007. Hervey Bay (5.0%) has experienced the most significant average annual growth rate in this period, followed by Woocoo/Tiaro (3.4%) and Maryborough (1.4%). Projected growth in the Fraser Coast over the next 19 years to 2026 is expected to exceed that of Non Metropolitan Queensland. The Fraser Coast has a relatively older population distribution than Non-Metropolitan Queensland. This is a reflection of the region’s reputation for leisure and tourism, producing an idyllic lifestyle option for residents. The increasing number of mature aged persons in the region will likely support continued demand for leisure, lifestyle, and specialised services (such as finance and health services). The largest proportion of household composition was that of couples with no children at home (35.3%) and the Fraser Coast had a significantly larger portion of homes which were fully owned than in Non-Metropolitan Queensland. The Fraser Coast has also exhibited lower housing costs than in Non-Metropolitan Queensland, although costs of housing have increased at a faster rate than income growth. Education levels have increased over the past five years, with increasing proportions of year 10 and 12 retention rates in the Fraser Coast, as well as completion of non-school qualifications. The increasing levels of education qualifications will continue to add value to the diversifying labour supply base. The majority of residents reported regular Internet use in the Fraser Coast in 2006. Of Internet users, the majority used broadband services. These trends indicate that the Fraser Coast economy is strong, with a growing labour base and wealth creation opportunities. The draw of the region for lifestyle and leisure visitors has continued to expand the employment and skills base, as well as providing expanding services for residents and complementing the traditional industries of manufacturing and agriculture in the region.

2.1.1 Population Historic Population In 2007, the Fraser Coast recorded a population of 92,458 residents, 2,979 more people than recorded in 2006. The Fraser Coast experienced average annual population growth of 3.7% over the six years between 2001 and 2007. This growth rate was over one percentage point higher than that experienced by Non Metropolitan Queensland (NMQ), which was 2.5% for the same period.

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.1: Fraser Coast Population 1996 – 2007 110,000

5.5%

Fraser Coast

100,000

Fraser Coast Growth

NMQ Growth

5.0%

30,000

1.5%

20,000

1.0%

10,000

0.5%

0

0.0% 2007

2.0%

2006

40,000

2005

2.5%

2004

50,000

2003

3.0%

2002

60,000

2001

3.5%

2000

70,000

1999

4.0%

1998

80,000

1997

4.5%

1996

90,000

Note: Historical population has been calculated using the official boundary of the Fraser Coast Regional Council, which includes Dvisions 1 and 2 of Tiaro, as opposed to the entire Tiaro LGA as has been used in the remainder of the report. Source: Australian Bureau of Statistics (2007a)

Within the Fraser Coast, the following regional characteristics were noted: Hervey Bay has been the primary driver of population growth in the Fraser Coast, exhibiting an average annual growth rate of 5.0% between 2001 and 2007 to 57,867 persons (62.6% of the Fraser Coast population); Woocoo/Tiaro (Divisions 1 and 2) recorded the second highest average annual population growth rate over the six year period at 3.4%, with a population of 7,322 persons recorded in 2007 (7.9% of the Fraser Coast population); and Maryborough has recorded an average annual population growth of 29.5% over the six years to 27,269 persons in 2007 (29.5% of the Fraser Coast population). Table 2.1: Historic Population Growth, 2001 - 2007 Region Hervey Bay Maryborough Woocoo/ Tiaro Fraser Coast

NMQ

2001

2006

2007 57,867 27,269 7,322 92,458

Average Annual % Change 2006-07 5.0% 0.2% 2.3% 3.3%

Average Annual % Change 2001-07 5.0% 1.4% 3.4% 3.7%

43,298 25,125 5,997 74,420

55,113 27,211 7,155 89,479

1,999,813

2,271,146

2,324,468

2.3%

2.5%

Source: Australian Bureau of Statistics (2007a)

Projected Population Medium series projections from the Queensland Department of Local Government and Planning (DLGP) indicate that the Fraser Coast population is expected to increase by approximately 2.3% per annum between 2007 and 2026 to 140,172 people, 47,714 more than in 2007. This is slightly higher than the NMQ average annual growth rate projection estimate of 1.9% over the same period.

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Fraser Coast Economic Profile 2009: Final Report

Table 2.2: Projected Population Growth, 2006 - 2026 Region Hervey Bay Maryborough Woocoo/ Tiaro Fraser Coast

NMQ

2006

2007

2016

2026

55,113 27,211 7,155 89,479

57,867 27,269 7,322 92,458

77,431 30,550 9,438 117,419

97,671 31,308 11,193 140,172

Average Annual % Change 2007-26 2.8% 0.7% 2.3% 2.2%

2,271,146

2,324,468

2,830,674

3,311,139

1.9%

Source: Australian Bureau of Statistics (2007a), Department of Local Government and Planning (2007)

Notable regional characteristics include: Hervey Bay is expected to continue to be the major population growth centre, with an average annual growth of 2.8% from 2007 to 2026; Woocoo/Tiaro is expected to experience an identical average annual growth rate as the Fraser Coast region of 2.3% to 2026; Between 2007 and 2026, Maryborough is expected to experience the lowest average annual growth rate compared to Hervey Bay and Woocoo/Tiaro at 0.7%; and It is unlikely that the region will maintain its unprecedented population growth of the last five years (3.7%), with average annual growth rates expected to slow across the Fraser Coast through to 2026.

2.1.2 Age Distribution The Fraser Coast recorded an average age of 41.2 years in 2006, increasing slightly from 40.6 years in 2001. In comparison to NMQ, the Fraser Coast has a relatively older population, with NMQ recording an average age of 37.3 years in 2006. The Fraser Coast’s older population is due in part to the higher proportion of persons aged 60 years and over (26.3%) in comparison to NMQ (18.7%). The 40-59 year and 60 years and over age groups experienced marginal increases in population share from 2001-2006, while younger age groups either declined or remained relatively stable. These trends are in line with NMQ age distribution changes over the same period. Table 2.3: Fraser Coast Age Distribution, 2001 - 2006 Region Hervey Bay 2006 2001 Maryborough 2006 2001 Woocoo/Tiaro 2006 2001 Fraser Coast 2006 2001

NMQ 2006 2001

0 to 14

15 to 24

25 to 39

40 to 59

60 and over

Average Age

19.1% 19.0%

10.2% 9.7%

14.7% 15.7%

27.9% 26.8%

28.1% 28.7%

42.0 42.1

19.9% 21.2%

11.5% 11.9%

16.7% 17.6%

27.6% 26.7%

24.4% 22.6%

40.3 38.9

20.9% 23.5%

9.0% 9.6%

15.6% 17.0%

33.7% 32.9%

20.9% 17.1%

39.4 37.0

19.5% 20.1%

10.5% 10.4%

15.4% 16.4%

28.4% 27.4%

26.3% 25.7%

41.2 40.6

20.9% 21.5%

12.9% 12.7%

19.6% 20.7%

28.0% 26.8%

18.7% 18.3%

37.3 36.8

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

The following regional characteristics were noted: Hervey Bay recorded the highest average age of the three regions within the Fraser Coast catchment at 42.0 years in 2006, down slightly from 2001; Maryborough recorded the second highest average age of the three regions within the Fraser Coast catchment at 40.3 years in 2006 (up 1.4 years from 38.9 in 2001); and

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Fraser Coast Economic Profile 2009: Final Report

Woocoo/Tiaro reported an average age of 39.4 years, representing a 2.4 year increase in the average age since 2001 (up from 37.0 years). This trend was reflective of an increase in the proportion of persons aged 60 years and over (up 3.8 percentage points to 20.9%). The increase in average age noted throughout the localities and the region is likely a reflection of the Fraser Coast’s attractiveness as a sea-change destination and an attractive retirement location.

2.1.3 Household Composition The Fraser Coast reported an average household size of 2.44 persons in 2006, representing slightly larger household sizes than reported in 2001 (2.42 persons). The Fraser Coast has relatively smaller households on average than in NMQ (2.55 persons). The Fraser Coast recorded a similar proportion of family households (73.4%) to NMQ (73.1%). The largest proportion of family households in the Fraser Coast were couples with no children (35.3%), followed by couples with children (25.8%) and one-parent families (11.5%). In comparison to NMQ, the Fraser Coast demonstrated a similar proportion of one-parent families, yet recorded a higher proportion of couples with no children and lower proportion of couples with children. The differing family household composition is likely due to the higher level of older couples in the Fraser Coast with no children living in the family home. Table 2.4: Fraser Coast Household Composition, 2001 - 2006 Region

Family Households

Hervey Bay 2006 2001 Maryborough 2006 2001 Woocoo/Tiaro 2006 2001 Fraser Coast 2006 2001

NMQ 2006 2001

Non Family Households Single Group Person Household

Average Household Size

Total Households

Couple No Children

Couple w/ Children

One Parent Family

Other Family

36.8% 36.2%

24.9% 24.8%

11.5% 11.8%

0.6% 0.9%

22.7% 23.3%

3.3% 3.0%

2.43 2.42

20,322 16,240

31.7% 29.7%

26.0% 27.4%

12.1% 11.9%

1.0% 0.8%

26.7% 27.7%

2.5% 2.5%

2.41 2.42

9,836 9,450

37.2% 35.9%

30.7% 34.2%

9.7% 9.6%

0.7% 0.4%

19.2% 17.8%

2.5% 2.1%

2.58 2.66

3,220 2,701

35.3% 34.0%

25.8% 26.6%

11.5% 11.6%

0.7% 0.8%

23.6% 24.3%

3.0% 2.7%

2.44 2.42

33,378 28,391

30.2% 28.7%

30.4% 31.4%

11.5% 11.4%

1.0% 1.1%

22.8% 23.2%

4.0% 4.1%

2.55 2.56

773,948 696,720

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

The following regional characteristics were noted: Hervey Bay recorded an average household size of 2.43, which is similar to the household size recorded five years ago (2.42) in 2001. Hervey Bay recorded a similar household composition to the Fraser Coast average; Maryborough recorded an average household size of 2.41, also consistent with the average household size five years ago (2.42). Maryborough recorded a lower proportion of households comprised of couples with no children than in the Fraser Coast, and a higher proportion of households comprising single persons; and Woocoo/Tiaro recorded the highest average household size of 2.58 persons, which represented a decline from the 2001 Census figure (2.66).

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Fraser Coast Economic Profile 2009: Final Report

2.1.4 Household Ownership and Finances Household Ownership In 2006 the largest proportion of households were fully owned in the Fraser Coast (43.2%), with a further 28.6% being purchased and 26.9% rented. In comparison to NMQ, the Fraser Coast had a significantly higher proportion of houses that were fully owned in 2006 (43.2% vs. 34.2%). In both regions homeowner characteristics have followed similar trends over the five-year period to 2006. The level of households fully owned has slightly declined over the past five years, whilst the proportion of homes being purchased and rented increased in both regions over this time. Table 2.5: Fraser Coast Household Ownership, 2001 - 2006 Region Hervey Bay 2006 2001 Maryborough 2006 2001 Woocoo/Tiaro 2006 2001 Fraser Coast 2006 2001

NMQ 2006 2001

Fully owned

Being purchased

Rented

Other

43.2% 48.4%

27.0% 20.1%

28.3% 27.8%

1.5% 3.6%

42.5% 47.5%

28.2% 22.3%

28.5% 26.9%

0.8% 3.3%

45.3% 51.9%

40.3% 30.2%

13.5% 13.1%

0.9% 4.8%

43.2% 48.5%

28.6% 21.7%

26.9% 26.2%

1.2% 3.6%

34.2% 40.0%

32.7% 24.0%

32.1% 31.8%

1.0% 4.1%

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

The following regional characteristics were noted: Hervey Bay and Maryborough reported comparable levels of household ownership to the Fraser Coast; and Woocoo/Tiaro reported significantly higher than average levels of households being purchased than the Fraser Coast average. The proportion of households being purchased in Woocoo/Tiaro has increased by over 10 percentage points since 2001. Meanwhile, the proportion of fully owned households was comparable to the Fraser Coast average in 2006. Similar to the Fraser Coast, this proportion represented an overall decline from 2001. Household Finances Average annual household income levels in the Fraser Coast have exhibited strong growth since 2001, increasing at 5.4% per annum on average to $39,112 in 2006. This growth is in line with NMQ levels, in which income has exhibited average annual growth of 5.8% to $49,826 over the same period. This disparity in the recorded average annual income in 2006 reflects a difference in the industrial structure between the Fraser Coast and NMQ (which includes mining industry contributions), the older demographic in the region, and differences in costs of living. This difference is also evidenced by the 2006 rental and mortgage payments in these regions, with Fraser Coast payments reported at $8,769 and $12,183, respectively, and NMQ payments reported at $9,990 and $14,885, respectively. As with income, these living costs have increased since 2001 with both average annual rental payments and average annual mortgage payments exhibiting significant growth to 2006 (5.7% and 8.1%, respectively, in average annual terms) in the Fraser Coast. Similar trends were found in NMQ figures, with rental payments and average mortgage payments increasing in average annual terms by 4.9% and 8.3%, respectively, over the same period.

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Fraser Coast Economic Profile 2009: Final Report

Table 2.6: Fraser Coast Household Finances, 2001 - 2006 Region

Hervey Bay Maryborough Woocoo/Tiaro Fraser Coast

NMQ

Average Annual Household Income 2006 Average Annual % Growth 2001-06 $39,380 6.0% $39,198 4.4% $37,154 4.8%

Average Annual Rental Payment 2006 Average Annual % Growth 2001-06 $9,459 5.6% $7,704 6.2% $6,502 2.0%

Average Annual Mortgage Payment 2006 Average Annual % Growth 2001-06 $13,262 8.6% $11,010 7.6% $10,114 5.8%

$39,112

5.4%

$8,769

5.7%

$12,183

8.1%

$49,826

5.8%

$9,990

4.9%

$14,885

8.3%

Note: These averages are estimated by AECgroup using ABS Census data. Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b), AECgroup.

The following regional characteristics were noted: Average incomes within the Fraser Coast regions were similar, with Hervey Bay exhibiting the highest average annual income ($39,380), slightly higher than the Fraser Coast average annual income of $39,112; Hervey Bay recorded the highest average annual rent at $9,459, followed by Maryborough ($7,704) and Woocoo/Tiaro ($6,502); The highest average annual mortgage payment was recorded in Hervey Bay ($13,262), followed by Maryborough ($11,010) and Woocoo/Tiaro ($10,114); and The lower than NMQ average household income indicates that the Fraser Coast has a lower cost of living than many other regions in Queensland. In line with property market trends in the Fraser Coast, Hervey Bay experienced the largest growth in average annual mortgage payments from 2001 to 2006 (8.6% in average annual terms). This was 0.5 percentage points higher than average annual growth exhibited in the Fraser Coast overall (8.1%). Hervey Bay also recorded the largest average annual growth in average annual household income from 2001 to 2006 (6.0%), 1.2 percentage points higher than Woocoo/Tiaro growth and 1.6 percentage points higher than Maryborough growth. This growth was also larger than that evidenced in the Fraser Coast and NMQ (5.4% and 5.8%, respectively). The amount that households spend on rental payments has also increased within the Fraser Coast localities. Maryborough experienced the largest average annual growth in rental payments (6.2%), which was 0.6 and 3.2 percentage points higher than in Hervey Bay and Woocoo/Tiaro, respectively. Additionally, the growth in Maryborough rental payments was significantly larger than the average annual growth in income for the locality. Household Income Distribution The majority of households in the Fraser Coast earned more than $26,000 per annum in 2006, with 16.4% earning between $26,000 and $52,000, 27.3% between $52,000 and $104,000 and 6.5% earning more than $104,000 per annum.

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Fraser Coast Economic Profile 2009: Final Report

Table 2.7: Fraser Coast Household Income Distribution, 2006 Average Annual Income Range $26,000 or below $26,000 - $52,000 $52,000 - $104,000 $104,000 and above

Hervey Bay

Maryborough

Woocoo/ Tiaro

Fraser Coast

NMQ

50.5% 15.7% 27.1% 6.7%

48.4% 17.3% 28.2% 6.1%

49.8% 17.7% 26.0% 6.5%

49.8% 16.4% 27.3% 6.5%

36.3% 15.7% 34.6% 13.4%

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

Hervey Bay, Maryborough, and Woocoo/Tiaro all reported similar household income distributions to each other and the Fraser Coast as a whole. The largest proportion of households earning more than $104,000 per annum was recorded in Harvey Bay (6.7%), while the largest proportion of households earning $26,000 or below was also in Hervey Bay (50.5%).

2.1.5 Education and Qualifications Approximately 76.9% of persons aged 15 or over in the Fraser Coast had achieved at least a year 10 or equivalent level of schooling, while 30.1% have attained a year 12 or equivalent qualification, and only 0.4% had never attended school. The proportion of the population with a year 10 or equivalent level of school has increased since 2001 by 5.6 percentage points. The Fraser Coast recorded a relatively lower education achievement than NMQ, in which 82.8% of the population aged over 15 had achieved at least level 10 qualifications in 2006, 5.9 percentage points more than the Fraser Coast levels. Table 2.8: Fraser Coast Level of Schooling Achieved, 2001 - 2006 Region Hervey Bay 2006 2001 Maryborough 2006 2001 Woocoo/Tiaro 2006 2001 Fraser Coast 2006 2001

NMQ 2006 2001

Year 12 or equivalent

Year 10 or equivalent

Did not go to school

31.6% 27.3%

77.7% 71.2%

0.4% 0.5%

28.4% 26.0%

75.6% 71.3%

0.6% 0.6%

25.9% 22.5%

75.5% 71.1%

0.4% 0.5%

30.1% 26.4%

76.9% 71.3%

0.4% 0.5%

40.1% 35.8%

82.8% 78.6%

0.4% 0.5%

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

The following regional characteristics were noted: Hervey Bay reported similar schooling achievement levels to the Fraser Coast and slightly higher year 12 retention rates; Maryborough reported relatively similar schooling achievement levels to the Fraser Coast with slightly lower year 12 retention rates; and Woocoo/Tiaro reported lower levels of persons having achieved a year 12 or equivalent level of school. There are diverse tertiary education opportunities in the Fraser Coast, including institutions such as the Fraser Coast Campus of the University of Southern Queensland and the Wide Bay Institute of TAFE campuses in both Hervey Bay and Maryborough. These facilities provide students with a range of certificate, undergraduate, and graduate education opportunities.

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Fraser Coast Economic Profile 2009: Final Report

In 2006 approximately 45.0% of the Fraser Coast population (aged 15 years and over) had obtained tertiary qualification, up 6.4 percentage points from 2001. In line with the NMQ experience, Certificate was the most common non-school qualification in the Fraser Coast (28.2% of those aged 15 and over) in 2006, followed by Bachelor Degree or higher (9.3%), and Advanced Diploma or Diploma qualification (7.4%). The proportion of persons obtaining qualifications increased for all qualification types in the Fraser Coast between 2001 and 2006, although remained below NMQ levels (48.9% of persons aged 15 and over with non-school qualifications in 2006). Table 2.9: Fraser Coast Non-School Qualifications, 2001 - 2006 Region Hervey Bay 2006 2001 Maryborough 2006 2001 Woocoo/Tiaro 2006 2001 Fraser Coast 2006 2001

Bachelor Degree or Higher

Advanced Diploma & Diploma

Certificate

Total

9.8% 8.5%

7.8% 6.5%

28.4% 24.8%

46.0% 39.7%

8.9% 8.5%

6.7% 5.6%

28.4% 23.5%

44.0% 37.6%

7.0% 6.9%

6.6% 4.8%

28.2% 22.7%

41.8% 34.3%

9.3% 8.4%

7.4% 6.0%

28.3% 24.2%

45.0% 38.6%

13.7% 11.5%

8.4% 7.0%

26.7% 23.2%

48.9% 41.7%

NMQ 2006 2001

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

Within the Fraser Coast, the proportions of persons obtaining non-school qualifications also increased over all categories. Specifically: Hervey Bay reported the largest proportion of persons achieving non-school qualifications amongst the regions (46.0%); Certificate qualifications were the dominant type of qualification in all localities, followed by the Bachelor Degree or higher qualifications, then Advanced Diploma and Diploma qualifications; All localities reported a lower proportion of residents aged 15 years or over with nonschool qualifications than NMQ (48.9%); and The increase (6.1%) of non-school qualifications from 2001-2006 indicates an upskilling of the labour force during this time.

2.1.6 Internet Usage Approximately one third of Fraser Coast households (and the majority of Internet users) reported having a broadband Internet connection. More than half the households in the region have Internet access, with 23.9% using dial-up, 30.2% using broadband, and 0.6% using other connection mechanisms. The proportion of Internet users is slightly less than in NMQ, which reportedly experienced Internet usage of 61.3% in 2006. Notably, Internet access is greater in the more urban region of Hervey Bay, while the more regional areas of Maryborough and Woocoo/Tiaro have more limited access, particularly to higher speed broadband. Table 2.10: Fraser Coast Computer and Internet Usage, 2006 Internet Connection No Internet Connection Broadband Dial Up Other

Hervey Bay 43.3% 34.2% 21.9% 0.6%

Maryborough 49.9% 27.1% 22.4% 0.6%

Woocoo/Tiaro 44.2% 13.9% 41.2% 0.7%

Fraser Coast 45.4% 30.2% 23.9% 0.6%

NMQ 38.7% 36.1% 24.6% 0.6%

Source: Australian Bureau of Statistics (2007b)

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Fraser Coast Economic Profile 2009: Final Report

2.2 Economic Profile The Fraser Coast produced an estimated $3.0 billion in Gross Regional Product (GRP) in 2007-08, 19.6% more than in 2006-07, and considerably higher than growth in NonMetro Queensland of 6.0% for the year. The Fraser Coast averaged annual growth of 8.2% between 2001-02 and 2007-08, similar to growth in Non-Metro Queensland, but has accelerated over the past five years averaging growth of 9.3%. The Fraser Coast economy has a high reliance on the sectors of Manufacturing, Ownership of Dwellings, Construction, Education and Retail Trade. With the exception of construction, the Fraser Coast is more heavily reliant on these sectors than Non-Metro Queensland. The Fraser Coast has a high proportion of businesses in the industries of Construction, Property and Business Services, Agriculture, Forestry & Fishing, and Retail Trade.

2.2.1 Gross Regional Product The Fraser Coast produced an estimated $3.03 billion in Gross Regional Product (GRP) in 2007-08, 19.6% more than in 2006-071. This was more than three times the estimated growth in GRP for Non-Metro Queensland of 6.0% for the year. Over the past seven years, the Fraser Coast has experienced average annual growth in GRP of 8.2%, slightly higher than the average growth for Non-Metro Queensland of 8.0%. Figure 2.2: Fraser Coast GRP Growth, 2001-02 – 2007-08 25.0%

Fraser Coast

20.0%

Non-Metro Queensland

% GRP Growth

15.0%

10.0%

5.0%

0.0%

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2007-08

-5.0%

-10.0% Source: AECgroup

In 2007-08 the Fraser Coast was most reliant on the sectors of Manufacturing (17.4%), Ownership of Dwellings (12.4%), Construction (9.9%), Education (8.2%) and Retail Trade (8.1%).

1 Please note that the GRP estimates for 2006-07 presented in the 2008 Fraser Coast Economic Profile SHOULD NOT be used as a point of comparison for the GRP estimates presented in this profile (2009 Fraser Coast Economic Profile). The AECgroup update GRP estimates on an annual basis as new data is made available, which can result in minor adjustments in GRP estimates over time. The GRP estimates presented in this report have incorporated regional estimates of GRP (by Statistical Division) released in 2008 by the Office of Economic and Statistical Research that were not available for the previous profile. As a result, the contribution of some industries and regions to GRP may vary from those provided in the 2008 Fraser Coast Economic Profile.

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Fraser Coast Economic Profile 2009: Final Report

Compared to NMQ, the Fraser Coast has a significantly greater reliance on the sectors of Manufacturing (17.4% compared to 8.0%), Ownership of Dwellings (12.4% compared to 8.0%), Education (8.2% compared to 4.0%), Retail Trade (8.1% compared to 6.9%), Health and Community Services (6.8% compared to 5.6%), Transport and Storage (5.9% compared to 5.4%), Communications (2.9% compared to 1.2%) and Personal and Other Services (2.7% compared to 1.8%). The Fraser Coast has a lower reliance on Construction (9.9% compared to 10.0%), Property and Business Services (7.0% compared to 8.3%), Wholesale Trade (3.8% compared to 4.2%), Mining (3.7% compared to 18.4%), Accommodation, Cafes and Restaurants (2.9% compared to 3.2%), Finance and Insurance (2.0% compared to 3.2%), Electricity, Gas and Water (1.7% compared to 1.9%), Government Administration and Defence (1.6% compared to 2.3%) and Agriculture (1.4% compared to 6.4%). Figure 2.3: Percentage Industry Contribution to GRP (Less Taxes and Subsidies), 2007-08 Manufacturing Owners hip of Dwellings Cons truction Education Retail Trade

Property & Bus Serv Health & Comm Serv Transport & Storage Wholesale Trade

Mining Communications Accom, Cafes & Res t Personal & Other Serv

Finance & Insurance Electricity, Gas & Wat Govt Admin & Defence

Fraser Coast Non-Metro QLD

Agriculture

Cultural & Rec Serv 0.0%

5.0%

10.0%

15.0%

20.0%

% Industry Contribution to GRP Source: AECgroup

The following can be noted regarding the economic reliance on particular sectors in 200708 within the Fraser Coast: Unlike much of regional Queensland, the Fraser Coast is not reliant on mining and resources, deriving much of its economy from manufacturing, construction, retail trade and property & business services; Construction (12.4%), Ownership of Dwellings (12.2%), Manufacturing (10.5%) and Retail Trade (9.0%) contributed significantly to the Hervey Bay economy; Maryborough has a strong reliance on Manufacturing (22.4%), Ownership of Dwellings (10.6%), Education (6.9%) and Health and Community Services (6.4%); Woocoo/Tiaro have a strong reliance on the sectors of Manufacturing (19.1%), Agriculture (14.8%), Ownership of Dwellings (11.7%) and Mining (8.3%); and Taxes less Subsidies was also a significant contribution to regional GRP for all areas of the Fraser Coast.

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Fraser Coast Economic Profile 2009: Final Report

Table 2.11: Regional Sector Contributions to GRP (Less Taxes and Subsidies) in the Fraser Coast, 2007-08 Industry Construction Ownership of Dwellings Manufacturing Retail Trade Education Property & Business Services Health & Community Services Transport & Storage Wholesale Trade Accommodation, Cafes & Restaurants Personal & Other Services Finance & Insurance Communications Cultural & Recreational Services Mining Electricity, Gas & Water Supply Government, Admin & Defence Agriculture

Hervey Bay 13.5% 13.2% 11.3% 9.7% 9.1% 8.9% 7.3% 5.1% 4.2% 4.2% 2.6% 2.3% 2.2% 1.4% 1.4% 1.4% 1.4% 0.7%

Maryborough 6.2% 11.4% 24.0% 6.8% 7.4% 5.3% 6.9% 6.8% 3.1% 1.6% 3.1% 1.8% 3.8% 1.3% 5.8% 2.3% 1.9% 0.7%

Woocoo/ Tiaro 7.3% 12.6% 20.6% 3.4% 5.9% 2.5% 1.3% 6.8% 7.1% 0.8% 0.8% 0.7% 2.4% 0.3% 8.9% 0.3% 2.4% 15.9%

Fraser Coast 9.9% 12.4% 17.4% 8.1% 8.2% 7.0% 6.8% 5.9% 3.8% 2.9% 2.7% 2.0% 2.9% 1.3% 3.7% 1.7% 1.6% 1.4%

NMQ 10.0% 8.0% 8.0% 6.9% 4.0% 8.3% 5.6% 5.4% 4.2% 3.2% 1.8% 3.2% 1.2% 1.3% 18.4% 1.9% 2.3% 6.4%

Source: AECgroup

2.2.2 Economic Diversity The economic diversity of the Fraser Coast has been measured by using an index that calculates the relative share of a region’s industrial employment structure in comparison to the Queensland economy. In this index, Queensland is assumed to have a benchmark diversity value of 1.0, with all areas of comparison estimated to have a diversity of between 0 and 1 relative to the Queensland benchmark, with 0 being the least diverse economy and 1 being as diverse as the Queensland benchmark. In comparison to Queensland, Fraser Coast reported a diversity index of 0.738. The Fraser Coast ranked higher than the LGAs of Ipswich (0.729), Logan (0.689) and the Gold Coast (0.685), indicating the Fraser Coast economy is more in line with the Queensland average than these three areas. Of the three regions within the Fraser Coast, Maryborough economic diversity (indexed at 0.684) was closest to the Queensland benchmark. Hervey Bay and Woocoo/Tiaro recorded lower indexes of 0.661 and 0.512, respectively.

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.4: Fraser Coast Indicator of Economic Diversity, 2006 Kingaroy Woocoo/Tiaro Burnett Hervey Bay Noosa Cooloola Maryborough Gold Coast Logan Ipswich Fraser Coast Maroochydore Bundaberg Redcliffe Pine Rivers Brisbane Beaudesert Caboolture Redland Caloundra NMQ

0.0

0.2

0.4

0.6

0.8

1.0

Source: AECgroup

Analysis of the presence of individual industries within a locality as compared to the Queensland benchmark provides an indication of the relative industry significance. As shown in the figure below, Fraser Coast has several significant variances in comparison to the Queensland industry breakdown. Mining, Wholesale Trade, Finance & Insurance, Property and Business Services, and Cultural & Recreational Services all report significantly lower industry significance in the region when compared to Queensland. Electricity, Gas & Water, and Accommodation, Cafes & Restaurants are comparatively more significant in the Fraser Coast than in Queensland.

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.5: Fraser Coast Industry Significance Relative to Queensland, 2006 Agriculture, Forestry & Fishing Mining Manufacturing Electricity, Gas & Wat Construction Wholesale Trade Retail Trade Accom, Cafes & Rest Transport & Storage Communications Finance & Insurance Property & Bus Serv Govt Admin & Defence Education Health & Comm Serv Cultural & Rec Serv Personal & Other Serv

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

Source: AECgroup

It should be noted that these differences in industry structure do not mean that the Fraser Coast should seek to significantly alter its economic and industrial framework. Rather, the index is best used in understanding the region’s industry balance and strengths in order to enhance and fine-tune local government policies.

2.2.3 Business by Industry The Fraser Coast business industry structure has a high proportion of businesses in the industries of Construction (23.1%), Property and Business Services (16.6%), Agriculture, Forestry and Fishing (14.0%) and Retail Trade (13.7%). Woocoo/Tiaro has a high proportion of agriculture, forestry and fishing type businesses compared to Hervey Bay and Maryborough which have a high proportion of construction and property and business services.

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.6: Business Structure by Industry, YE June 2007 Construction Property & Business Services Agriculture, Forestry & Fishing Retail Trade Transport & Storage Manufacturing Accommodation, Cafes & Restaurants Health & Community Services Finance & Insurance Personal & Other Services Wholesale Trade Cultural & Recreational Services Communication Services

Hervey Bay

Education

Maryborough

Mining

Woocoo/Tiaro

Electricity, Gas & Water Supply

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

% of Total Businesses

Source: AustralianBureau of Statistics (2007c)

The figure above indicates the strong property development market on the Fraser Coast, demonstrated by the high percent of construction and property & business services companies. The graph also shows how important the agricultural sector remains, particulary to Woocoo/Tiaro area.

2.3 Labour Market Profile The Fraser Coast’s labour force increased by 4.1% per annum on average between 2001 and 2006, to 33,092 people, above the recorded expansion in Non-Metropolitan Queensland. The increase in labour force was partially driven by increased levels of participation over the same period. The Fraser Coast labour force has continued to increase since the 2006 Census to an estimated 36,903 people in the September Quarter 2008, although is expected to have declined in recent months in the wake of the global financial crisis. Occupations of significant employment on the Fraser Coast included Technicians & Trades Workers (employing 16.8% of the workforce), Labourers (14.4%) and Clerical & Administrative workers (13.9%). In comparison to the NMQ occupational averages, the Fraser Coast employed similar proportions of the workforce in all occupations, with the exception of Community and Personal Service workers and Managerial occupations. Industries of significant employment on the Fraser Coast included Retail Trade (employing 13.6% of the workforce), Health Care & Social Assistance (13.2%) and Construction (11.0%). In comparison to NMQ, the Fraser Coast reported greater proportions of persons employed in these top three industries, indicating a greater reliance on these industries for the regional economy. The Fraser Coast recorded lower average wages for all industries in comparison to NMQ, indicating that labour costs for businesses are lower in the Fraser Coast, and reflecting relatively lower costs of living in the region. The implications of these trends indicate that there is a substantial labour supply base that is relatively cost effective in comparison to similar regions throughout the state, indicating the Fraser Coast may provide important business opportunities for business expansion and industry investment.

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Fraser Coast Economic Profile 2009: Final Report

2.3.1 Labour Force Participation The Fraser Coast recorded a labour force of approximately 33,092 persons in the 2006 Census with most of the labour force located in Hervey Bay (19,497 persons) and Maryborough (10,152 persons). Since the 2001 Census the Fraser Coast has experienced an average annual labour force growth of 4.1%, above the average labour force growth experienced by NMQ areas of 2.8%. Table 2.12: Fraser Coast Size of Labour Force, 2001 - 2006 Year 2006 2001 % Average Ann. Growth

Hervey Bay 19,497 14,421 6.2%

Maryborough 10,152 9,558 1.2%

Woocoo/Tiaro 3,443 3,040 2.5%

Fraser Coast 33,092 27,019 4.1%

NMQ 1,014,326 883,717 2.8%

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

Trend analysis of the Fraser Coast’s labour force indicates an increase in the labour force since the time of the 2006 Census and a trend upwards since the September Quarter 2003. In the September Quarter 2008, the Fraser Coast’s labour force reached 36,903 people, 1,488 more people than in the September Quarter 2007, although is expected to have declined in recent months in the wake of the global financial crisis. This labour force increase is attributed to a trend upwards in the Hervey Bay, Maryborough and Woocoo/Tiaro areas. Figure 2.7: Trend Labour Force, September Quarter 2003 – 2008

40,000 Tiaro/Woocoo

Maryborough

Hervey Bay

35,000

30,000

No. of Persons

25,000 20,000 15,000

10,000 5,000 0 Sep Q 03

Sep Q 04

Sep Q 05

Sep Q 06

Sep Q 07

Sep Q 08

Source: Department of Workplace Relations (2008)

The labour force participation rate for the Fraser Coast has increased from 56.7% in 2001 to 61.0% in 2006. This increase is in line with the 3.2 percentage point increase in the NMQ participation rate, although the Fraser Coast continues to experience labour force participation rate below the rate of NMQ in 2006 (71.1%). Within the Fraser Coast Region, Maryborough recorded the highest participation rate of 62.9% in 2006, followed by Hervey Bay (60.6%) and Woocoo/Tiaro (58.0%).

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Fraser Coast Economic Profile 2009: Final Report

Table 2.13: Participation Rate, 2001 - 2006 Year 2006 2001 % Change

(a)

Hervey Bay 60.6% 52.7% 7.8%

Maryborough 62.9% 62.4% 0.5%

Woocoo/Tiaro 58.0% 61.2% -3.2%

Fraser Coast 61.0% 56.7% 4.2%

NMQ 71.1% 67.8% 3.3%

Note: (a) This is a percentage point change. Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

2.3.2 Employment and Unemployment The Fraser Coast recorded a total 30,275 employed persons in 2006, representing average annual growth in employment of 5.5% between 2001 and 2006, higher than the 3.6% growth recorded for Non-Metro Queensland. There was a total of 2,817 unemployed persons in the Fraser Coast in 2006, 999 persons less than in 2001. Between 2001 and 2006, unemployment declined at an annual average rate of 5.9% in the Fraser Coast, which was below the decline recorded by Non-Metro Queensland (7.8%). Table 2.14: Employed and Unemployed Persons, 2001 - 2006 Year Employed 2006 2001 % Average Ann. Growth Unemployed 2006 2001 % Average Ann. Growth

Hervey Bay

Maryborough

Woocoo/Tiaro

Fraser Coast

NMQ

17,820 12,197 7.9%

9,320 8,427 2.0%

3,135 2,579 4.0%

30,275 23,203 5.5%

962,645 806,296 3.6%

1,677 2,224 -5.5%

832 1,131 -6.0%

308 461 -7.7%

2,817 3,816 -5.9%

51,681 77,421 -7.8%

Source: Australian Bureau of Statistics (2003), Australian Bureau of Statistics (2007b)

Between the September Quarter 2003 and the September Quarter 2008, the unemployment rate in the Fraser Coast has experienced an overall decline. After peaking in the June Quarter 2004 (12.7%), the unemployment rate in the Fraser Coast declined to 5.1% in the September Quarter 2007, increasing slightly to a rate of 6.6% in the September Quarter 2008. Over this five year period, the unemployment rate has consistently been higher in Hervey Bay. Figure 2.8: Unemployment Rate, September Quarter 2003-September Quarter 2008 16.0%

Hervey Bay Maryborough

14.0%

Woocoo/Tiaro Unemployment Rate (%)

12.0%

Fraser Coast

10.0% 8.0% 6.0% 4.0% 2.0% 0.0% Sep-03

Sep-04

Sep-05

Sep-06

Sep-07

Sep-08

Source: Department of Workplace Relations (2008)

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Fraser Coast Economic Profile 2009: Final Report

2.3.3 Employment by Occupation Occupations of significant employment on the Fraser Coast included Technicians & Trades Workers (employing 16.8% of the workforce), Labourers (14.4%) and Clerical & Administrative workers (13.9%). In comparison to the NMQ occupational averages, the Fraser Coast employed similar proportions of the workforce in all occupations, with the exception of Community and Personal Service workers (11.7% in the Fraser Coast vs. 9.6% in NMQ) and Managerial occupations (Fraser Coast 11.3% vs. 13.5% in NMQ). Figure 2.9: Fraser Coast Employment by Occupation, 2006 20%

Fraser Coast

Non-Metro Queensland

15%

10%

5%

0% Technicians & Labourers Clerical & Professionals Community & Managers Sales workers Machinery trades administrative personal operators & workers workers service drivers workers

Source: Australian Bureau of Statistics (2007b)

The Hervey Bay and Maryborough catchment areas reported relatively similar proportions of occupations to the broader Fraser Coast region. However, the Woocoo/Tiaro catchment reported significant differences in the proportion of the workforce employed in all occupational categories. In particular, Woocoo/Tiaro recorded the following occupations as employing a greater proportion of the workforce compared to the Fraser Coast: Managers; Labourers; and Machinery Operators & Drivers. By comparison, Woocoo/Tiaro recorded the following occupations as employing a lower proportion of the workforce compared to the Fraser Coast: Technicians & Trades workers; Clerical & Administrative workers; Community & Personal Service workers; Professionals; and Sales Workers. The greater proportion of Managers, Labourers, and Machinery Operators & Drivers in Woocoo/Tiaro is in part reflective of the importance of the Agriculture, Forestry and Fishing industry in the region.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.15: Fraser Coast Employment by Occupation, 2006 Occupation Technicians & trades workers Labourers Clerical & administrative workers Professionals Community & personal service workers Managers Sales workers Machinery operators & drivers

Hervey Bay 17.2% 14.1% 13.3% 14.3% 11.9% 10.9% 12.2% 6.1%

Maryborough 16.9% 14.6% 15.5% 12.8% 11.9% 9.1% 10.5% 8.7%

Woocoo/ Tiaro 13.9% 15.8% 12.9% 8.6% 9.5% 20.2% 7.7% 11.3%

Fraser Coast 16.8% 14.4% 13.9% 13.3% 11.7% 11.3% 11.2% 7.4%

NMQ 16.8% 13.8% 13.3% 14.2% 9.6% 13.5% 10.7% 8.1%

Source: Australian Bureau of Statistics (2007b)

2.3.4 Employment by Industry Industries of significant employment on the Fraser Coast included Retail Trade (employing 13.6% of the workforce in 2006), Health Care & Social Assistance (13.2%) and Construction (11.0%). In comparison to NMQ, the Fraser Coast reported greater proportions of persons employed in these top three industries, indicating a greater reliance on these industries for the regional economy. Figure 2.10: Fraser Coast Employment by Industry, 2006 Retail trade Health care & social assistance Construction Accommodation & food services Manufacturing Education & training Public administration & safety Transport, postal & warehousing Other services Agriculture, forestry & fishing Professional, scientific & technical services Administrative & support services Wholesale trade Rental, hiring & real estate services Electricity, gas, water & waste services Financial & insurance services

Fraser Coast

Information media & telecommunications

Non-Metro Queensland

Mining Arts & recreation services

0%

2%

4%

6%

8%

10%

12%

14%

Source: Australian Bureau of Statistics (2007b)

Hervey Bay reported significantly greater employment than Maryborough in the industries of Construction and Accommodation & Food Services, whilst Maryborough reported significantly greater employment than Hervey Bay in the Manufacturing industry. This indicates some specialisation of services in these industries in the region. For example, the increased employment in Accommodation & Food Services in Hervey Bay is reflective of the importance of tourism to the region. The Woocoo/Tiaro region reported significant disparities between the industries of employment in comparison to the Fraser Coast averages. This is due to the more rural

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

characteristics of Woocoo/Tiaro compared to the rest of the Fraser Coast, with its greater reliance on the Agriculture, Forestry & Fishing and Manufacturing industries. Table 2.16: Fraser Coast Employment by Industry, 2006 Industry Retail trade Health care & social assistance Construction Accommodation & food services Manufacturing Education & training Public administration & safety Transport, postal & warehousing Other services Agriculture, forestry & fishing Professional, scientific & technical services Administrative & support services Wholesale trade Rental, hiring & real estate services Electricity, gas, water & waste services Financial & insurance services Information media & telecommunications Mining Arts & recreation services

Hervey Bay 14.1% 13.3% 13.5% 10.8% 6.4% 8.5% 5.3% 4.0% 4.1% 1.9% 3.7% 3.2% 2.5% 2.7% 1.6% 1.8% 1.1% 0.8% 0.7%

Maryborough 13.8% 13.8% 7.0% 7.8% 13.2% 8.5% 7.4% 5.6% 4.0% 2.3% 2.5% 3.0% 2.4% 1.5% 2.1% 1.4% 1.8% 0.9% 0.7%

Woocoo/ Tiaro 9.7% 10.7% 8.2% 4.3% 12.7% 6.5% 7.6% 6.4% 3.8% 16.3% 1.6% 2.5% 2.7% 1.7% 1.6% 1.2% 0.8% 1.1% 0.6%

Fraser Coast 13.6% 13.2% 11.0% 9.2% 9.2% 8.3% 6.2% 4.7% 4.0% 3.5% 3.1% 3.1% 2.5% 2.2% 1.8% 1.6% 1.3% 0.8% 0.7%

NMQ 12.4% 9.9% 10.2% 8.2% 9.2% 7.6% 6.5% 4.8% 3.8% 6.0% 4.2% 2.9% 3.5% 2.2% 1.1% 2.2% 1.2% 2.7% 1.5%

Source: Australian Bureau of Statistics (2007b)

2.3.5 Income by Industry Average individual weekly income in the Fraser Coast was estimated by to be $660, less than the NMQ average of $742. The Fraser Coast recorded lower average wages for all industries in comparison to NMQ, in part indicative of lower costs of living in the Fraser Coast region. Within the Fraser Coast, the highest reported average weekly incomes were in the industries of in 2006 included: Mining ($1,254); Electricity, Gas, Water & Waste Services ($995); and Public Administration & Safety ($873). Industries in the Fraser Coast with reported weekly income below the average individual income level for the Fraser Coast include: Accommodation & Food Services ($432); Retail Trade ($471); and Arts & Recreation Services ($485). All industries in the Fraser Coast region reported lower income levels than those of NMQ.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.17: Fraser Coast Average Weekly Income by Industry, 2006 Industry Mining Electricity, gas, water & waste services Public administration & safety Financial & insurance services Information media & telecommunications Education & training Construction Professional, scientific & technical services Rental, hiring & real estate services Manufacturing Health care & social assistance Transport, postal & warehousing Wholesale trade Administrative & support services Agriculture, forestry & fishing Other services Arts & recreation services Retail trade Accommodation & food services

Hervey Bay $1,380 $962 $869 $863 $782 $819 $798 $751 $766 $672 $720 $643 $597 $549 $563 $516 $486 $489 $456

Maryborough

$667

All Industries Average Weekly Income

NMQ

$1,086 $1,030 $895 $765 $864 $800 $784 $745 $640 $740 $675 $681 $623 $531 $543 $519 $490 $446 $390

Woocoo/ Tiaro $1,195 $1,042 $822 $721 $518 $621 $718 $737 $745 $731 $666 $718 $562 $473 $507 $663 $450 $427 $317

Fraser Coast $1,254 $995 $873 $825 $802 $797 $789 $749 $738 $711 $701 $667 $601 $537 $532 $531 $485 $471 $432

$1,525 $1,111 $875 $913 $838 $811 $891 $895 $853 $792 $729 $825 $772 $622 $598 $610 $596 $508 $477

$661

$620

$660

$742

Source: Australia Bureau of Statistics (2007b), AECgroup

Hervey Bay recorded the highest total average weekly income for 2006 ($667), which was higher than the Fraser Coast average. Incomes in this locality were generally higher than the Fraser Coast average in the Mining industry, the Accommodation and Food Services industry, and the Financial Services industry, which all reported substantially higher weekly income levels than in Woocoo/Tiaro and Maryborough. Incomes in Maryborough were generally in line with the Fraser Coast averages, however average income in Woocoo/Tiaro of $620 was $40 below the Fraser Coast average. Incomes in Woocoo/Tiaro were significantly lower than in the Fraser Coast in the industries of Information, Media, & Telecommunications ($518) and Accommodation & Food Services ($317), but higher in Electricity, Gas, Water & Waste Services ($1,042) and Transport, Postal & Warehousing ($718).

2.4 Origin and Destination of the Workforce The Fraser Coast has a low proportion of resident workers that seek employment outside of the region, reflecting a relatively high availability of employment opportunities in the Fraser Coast in comparison to the size of the resident working population. Even so, employment self-containment in the Fraser Coast has weakened slightly over the past five years, despite considerable growth in jobs available in the region, with the Fraser Coast experiencing significant growth in the resident worker population over the period.

2.4.1 Job Availability and Source of the Workforce In 2006, the Fraser Coast recorded a total of 26,069 jobs in the area, with 25,388 workers (97.4%) sourced from the resident population and 681 workers (2.6%) commuting to work within the region from elsewhere. Between 2001 and 2006, the number of available jobs in the Fraser Coast increased by 5,123 jobs, representing growth of 24.5% in the total number of jobs in the area. Over this period, the number of jobs in the Fraser Coast filled by local residents has increased by 26.5% (5,313 workers), while the number of workers sourced from outside the region has decreased by 21.8% (190 workers). As a result of the faster growth in employment positions filled by local residents, the number of workers sourced from outside the region has fallen from 4.2% in 2001 to 2.6% in 2006.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

The reduction in the proportion of workers sourced from outside the region indicates the increasing ability of the Fraser Coast resident workforce to fill employment position requirements in the region and the increasing competitiveness of the resident population in attaining these positions. Within the Fraser Coast, Hervey Bay experienced a 40.5% growth in total jobs between 2001 and 2006, a greater increase compared to Maryborough (9.4%) and Woocoo/Tiaro (11.5%). In line with the higher growth in total jobs, Hervey Bay (41.1%) experienced the most significant increase in workers sourced from its resident population over this period, compared to Woocoo/Tiaro (23.2%) and Maryborough (5.1%). In 2006, Hervey Bay recorded a higher proportion of its workforce sourced from its residents (93.3%), compared to Woocoo/Tiaro (77.1%) and Maryborough (69.5%), while Maryborough sourced the highest proportion of workers from elsewhere in the Fraser Coast (27.6%), compared to Woocoo/Tiaro (15.3%) and Hervey Bay (44.8%). In line with this, Woocoo/Tiaro recorded a higher proportion of it workforces sourced from outside Fraser Coast (7.5%), compared to Maryborough (2.9%) and Hervey Bay (1.9%). Table 2.18: Source of Workforce Summarised, Fraser Coast Region Place of Origin Hervey Bay No. of Jobs Available No. Sourced from Hervey Bay Resident Workforce No. Sourced from Elsewhere in Fraser Coast No. Sourced from Outside Fraser Coast % Sourced from Resident Hervey Bay Workforce (a) % Sourced from Elsewhere in Fraser Coast (a) % Sourced from Outside Fraser Coast (a) Maryborough No. of Jobs Available No. Sourced from Maryborough Resident Workforce No. Sourced from Elsewhere in Fraser Coast No. Sourced from Outside Fraser Coast % Sourced from Maryborough Resident Workforce (a) % Sourced from Elsewhere in Fraser Coast (a) % Sourced from Outside Fraser Coast (a) Woocoo/Tiaro No. of Jobs Available No. Sourced from Woocoo/Tiaro Resident Workforce No. Sourced from Elsewhere in Fraser Coast No. Sourced from Outside Fraser Coast % Sourced from Woocoo/Tiaro Resident Workforce (a) % Sourced from Elsewhere in Fraser Coast (a) % Sourced from Outside Fraser Coast (a)

Fraser Coast Total No. of Jobs Available No. Sourced from Fraser Coast Resident Workforce No. Sourced from Outside Fraser Coast % Sourced from Fraser Coast Resident Workforce (a) % Sourced from Outside Fraser Coast (a)

2001

2006

% Change

10,050 9,335 426 289 92.9% 4.2% 2.9%

14,123 13,171 677 275 93.3% 4.8% 1.9%

40.5% 41.1% 59.0% -4.7% 0.4% 0.6% -0.9%

9,797 7,085 2,336 377 72.3% 23.8% 3.8%

10,721 7,447 2,960 314 69.5% 27.6% 2.9%

9.4% 5.1% 26.7% -16.6% -2.9% 3.8% -0.9%

1,099 767 127 205 69.8% 11.5% 18.7%

1,225 945 188 92 77.1% 15.3% 7.5%

11.5% 23.2% 48.3% -55.2% 7.4% 3.8% -11.2%

20,946 20,075 871 95.8% 4.2%

26,069 25,388 681 97.4% 2.6%

24.5% 26.5% -21.8% 1.5% -1.5%

Note: (a) The % change value provided is a percentage point change. Source: Australian Bureau of Statistics (2009).

Of the 275 employees in Hervey Bay sourced from outside the Fraser Coast in 2006, most were sourced from elsewhere within the Wide Bay Burnett Statistical Division (SD) (23.3%), Brisbane SD (22.2%) and the Sunshine Coast SD (13.8%). Brisbane (10.5%), Bundaberg (6.2%), Cooloola (5.8%) and Isis (5.8%) represented the top four sources of workers by Local Government Area (LGA) in Hervey Bay.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.19: Source of Non-Resident Workforce, Hervey Bay Place of Work Brisbane (C) Bundaberg (C) Cooloola (S) Isis (S) Maroochy (S) Noosa (S) Caloundra (C) Burnett (S) Ipswich (C) Beaudesert (S) Wide Bay-Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 23.1% 4.2% 5.2% 3.5% 7.3% 3.5% 1.0% 2.1% 5.2% 0.0% 20.3% 39.9% 11.9% 28.0%

2006 10.5% 6.2% 5.8% 5.8% 5.8% 4.4% 3.6% 3.3% 2.5% 2.2% 23.3% 22.2% 13.8% 40.7%

% Change -12.5% 2.0% 0.6% 2.3% -1.5% 0.9% 2.6% 1.2% -2.7% 2.2% 3.0% -17.7% 1.9% 12.8%

Source: Australian Bureau of Statistics (2006).

Of the 314 employees in Maryborough sourced from outside the Fraser Coast in 2006, 56.1% were sourced from the Wide Bay-Burnett SD, followed by 11.5% from Sunshine Coast SD, 8.0% from the Brisbane SD and 24.5% elsewhere. Cooloola (21.0%), Bundaberg (10.5%), Isis (10.5%) and Burnett (7.0%) represented the key LGAs where Maryborough employees were sourced from at the time. Table 2.20: Source of Non-Resident Workforce, Maryborough Place of Work Cooloola (S) Bundaberg (C) Isis (S) Burnett (S) Brisbane (C) Maroochy (S) Caloundra (C) Noosa (S) Kilkivan (S) Gayndah (S) Wide Bay Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 12.1% 5.6% 3.2% 4.3% 16.9% 4.6% 2.4% 0.8% 0.8% 0.0% 29.2% 29.5% 7.8% 33.5%

2006 21.0% 10.5% 10.5% 7.0% 4.8% 4.8% 4.1% 2.5% 1.9% 1.3% 56.1% 8.0% 11.5% 24.5%

% Change 9.0% 4.9% 7.3% 2.7% -12.1% 0.2% 1.7% 1.7% 1.1% 1.3% 26.8% -21.5% 3.7% -9.0%

Source: Australian Bureau of Statistics (2006).

58.7% of the of the 92 Woocoo/Tiaro employees sourced from outside the Fraser Coast in 2006 came from the Wide Bay-Burnett SD, 14.1% from the Brisbane SD, 12.0% from the Sunshine Coast SD and 15.2% from elsewhere. Cooloola Shire (47.8%), Kilkivan Shire (7.6%), Brisbane City (2.1%) and Maroochy Shire (5.4%) were the key sources of Woocoo/Tiaro employees in 2006.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.21: Source of Non-Resident Workforce, Woocoo/Tiaro Place of Work Cooloola (S) Kilkivan (S) Brisbane (C) Maroochy (S) Caboolture (S) Murgon (S) Logan (C) Caloundra (C) Noosa (S) Bundaberg (C) Wide Bay Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 16.7% 2.9% 21.1% 2.9% 2.9% 0.0% 2.9% 2.0% 0.0% 0.0% 21.1% 40.2% 4.9% 33.8%

2006 47.8% 7.6% 6.5% 5.4% 4.3% 3.3% 3.3% 3.3% 3.3% 0.0% 58.7% 14.1% 12.0% 15.2%

% Change 31.2% 4.7% -14.6% 2.5% 1.4% 3.3% 0.3% 1.3% 3.3% 0.0% 37.6% -26.1% 7.1% -18.6%

Source: Australian Bureau of Statistics (2006).

In 2006, 2.6% (681 employees) of the Fraser Coast workforce was sourced form outside the region. Cooloola Shire (18.5%) represented the main source of the workforce sourced from outside the region, followed by Bundaberg and Brisbane (7.3%), Isis (7.2%) and Maroochy (5.3%). Figure 2.11. Source of Non-Resident Workforce, Fraser Coast Cooloola (S)

18.5%

Bundaberg (C)

7.3%

Brisbane (C)

7.3%

Is is (S)

7.2%

Maroochy (S)

5.3%

Burnett (S)

4.6%

Caloundra (C)

3.8%

Noosa (S)

3.4%

Kilkivan (S) Ipswich (C)

2.3%

1.0%

Elsewhere 0.0%

39.2% 5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

Source: Australian Bureau of Statistics (2006).

2.4.2 Self-Containment The proportion of the resident workforce that is employed within the region is an indicator of the level of employment ‘self-sufficiency’ or ‘self-containment’ in the region. The Fraser Coast had 23,177 residents indicating they were employed in 2006, with over three-quarters (76.2%) of these working within the region. The remaining 23.8% of resident workers within the Fraser Coast commute to work outside the region. This is indicative of a relatively high supply of jobs compared to job seekers in the Fraser Coast, resulting in less than a quarter of residents having to seek employment elsewhere.

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Fraser Coast Economic Profile 2009: Final Report

Between 2001 and 2006, the level of employment self-containment in the Fraser Coast decreased slightly from 76.2% to 74.6%, which was likely impacted by a faster rate of growth in the resident workforce (30.7%) compared to jobs available (24.5%) in the Fraser Coast over this period. This means that the current level of job creation is below (6.2 percentage points) the rate required to sustain the growth in the resident working population, forcing many to seek jobs outside of the Fraser Coast region. Table 2.22: Destination of Resident Workforce, Fraser Coast Region Place of Work Hervey Bay Residents Employed No. Residents Employed in Hervey Bay No. of Residents Employed Elsewhere in Fraser Coast No. Residents Employed Outside Fraser Coast % Residents Employed in Hervey Bay (a) % Residents Employed Elsewhere in Fraser Coast (a) % Residents Employed Outside Fraser Coast (a) Maryborough Residents Employed No. Residents Employed in Maryborough No. of Residents Employed Elsewhere in Fraser Coast No. Residents Employed Outside Fraser Coast % Residents Employed in Maryborough (a) % Residents Employed Elsewhere in Fraser Coast (a) % Residents Employed Outside Fraser Coast (a) Woocoo/Tiaro Residents Employed No. Residents Employed in Woocoo/Tiaro No. of Residents Employed Elsewhere in Fraser Coast No. Residents Employed Outside Fraser Coast % Residents Employed in Woocoo/Tiaro (a) % Residents Employed Elsewhere in Fraser Coast (a) % Residents Employed Outside Fraser Coast (a)

Fraser Coast Total Residents Employed No. Residents Employed in Fraser Coast No. Residents Employed Outside Fraser Coast % Residents Employed in Fraser Coast (a) % Residents Employed Outside Fraser Coast (a)

2001

2006

% Change

12,174 9,643 1,336 1,195 79.2% 11.0% 9.8%

17,823 13,832 1,915 2,075 77.6% 10.7% 11.6%

46.4% 43.4% 43.3% 73.7% -1.6% -0.2% 1.8%

8,430 7,238 507 685 85.9% 6.0% 8.1%

9,320 7,769 778 773 83.4% 8.3% 8.3%

10.6% 7.3% 53.6% 12.8% -2.5% 2.3% 0.2%

2,573 778 1,133 662 30.2% 44.0% 25.7%

3,139 1,003 1,329 808 31.9% 42.3% 25.7%

22.0% 28.9% 17.3% 22.0% 1.7% -1.7% 0.0%

23,177 17,659 5,518 76.2% 23.8%

30,282 22,604 7,678 74.6% 25.4%

30.7% 28.0% 39.1% -1.5% 1.5%

Note: (a) The % change value provided is a percentage point change. Source: Australian Bureau of Statistics (2006).

Of the 2,075 Hervey Bay residents employed outside the Fraser Coast in 2006, 7.1% worked in the Wide Bay-Burnett SD, 6.6% in the Brisbane SD, 1.4% in the Sunshine Coast SD and 84.9% elsewhere. Brisbnae (4.7%), Bundaberg (2.2%), Isis (1.7%) and Coolola (1.0%) are the top four places of work for Hervey Bay residents working outside the region. Between 2001 and 2006, the number of Hervey Bay residents employed in the Wide BayBurnett SD and Sunshine Coast SD declined by 2.5% and 0.9%, while increases were recorded in Brisbane SD (0.3%) and elsewhere (3.2%). The proportion of residents working in Brisbane (-0.4%), Bundaberg (-0.1%) and Isis (-2.2%) declined between 2001 and 2006, while a 1.0% increase was recorded in Cooloola.

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Fraser Coast Economic Profile 2009: Final Report

Table 2.23: Destination of Resident Workforce, Hervey Bay Place of Work Brisbane (C) Bundaberg (C) Isis (S) Cooloola (S) Maroochy (S) Ipswich (C) Miriam Vale (S) Redland (S) Gayndah (S) Burnett (S) Wide Bay Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 5.1% 2.4% 3.9% 0.0% 1.0% 0.5% 0.3% 0.0% 0.3% 0.3% 9.6% 6.4% 2.4% 81.7%

2006 4.7% 2.2% 1.7% 1.0% 1.0% 0.9% 0.5% 0.5% 0.4% 0.3% 7.1% 6.6% 1.4% 84.9%

% Change -0.4% -0.1% -2.2% 1.0% -0.1% 0.3% 0.2% 0.5% 0.1% 0.0% -2.5% 0.3% -0.9% 3.2%

Note: Includes destination of resident workforce outside of place of residence. Source: Australian Bureau of Statistics (2006).

Of the 773 Maryborough residents working outside the Fraser Coast, 10.5% were employed in the Wide Bay-Burnett SD, 6.3% in the Brisbane SD, 1.9% in the Sunshine Coast SD and 81.2% elsewhere. 3.9% of Maryborough residents employed outside the region were employed in Brisbane Bay City, followed by 3.2% in Cooloola, 2.4% in Bundaberg and 1.6% in Brisbane Undefined. Between 2001 and 2006, Maryborough recorded an increased proportion of residents working outside the region in the Wide Bay-Burnett SD (0.2%), Brisbane SD (0.1%), Sunshine Coast SD (0.1%) and elsewhere (0.2%). Brisbane Undefined (1.6 percentage points) experienced the most significant increase for this period compared to all other LGAs Maryborough’s residents were employed in, while Brisbane City (-1.1 percentage points) experienced the most significant decline. Table 2.24: Destination of Resident Workforce, Maryborough Place of Work Brisbane (C) Cooloola (S) Bundaberg (C) Brisbane Undefined Maroochy (S) Isis (S) Biggenden (S) Burnett (S) Eidsvold (S) Kingaroy (S) Wide Bay Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 5.0% 3.5% 3.3% 0.0% 1.4% 1.2% 0.0% 0.0% 0.0% 0.0% 10.4% 6.3% 1.8% 81.0%

2006 3.9% 3.2% 2.4% 1.6% 1.5% 1.2% 0.8% 0.0% 0.0% 0.0% 10.5% 6.3% 1.9% 81.2%

% Change -1.1% -0.2% -0.9% 1.6% 0.1% 0.0% 0.8% 0.0% 0.0% 0.0% 0.2% 0.1% 0.1% 0.2%

Note: Includes destination of resident workforce outside of place of residence. Source: Australian Bureau of Statistics (2006).

Out of the 808 Woocoo/Tiaro residents working outside the Fraser Coast in 2006, 57.1% were employed in the Wide Bay-Burnett SD, 6.3% in the Brisbane SD, 4.6% in the Sunshine Coast SD and 32.0% elsewhere. Over 50% (51.6%) of Woocoo/Tiaro residents working outside the Fraser Coast were employed in Cooloola Shire, followed by 19.5% in Cooloola Shire, 4.1% in Hervey Bay and 1.2% in Brisbane. Between 2001 and 2006, the proportion of Woocoo/Tiaro residents working outside the region in the Wide Bay-Burnett SD (-4.5%) and elsewhere (-0.3%) declined, compared to an incline in the proportion of residents working in the Brisbane SD (2.6%), Sunshine Coast SD (2.3%). Contributing to this, the proportion of Woocoo/Tiaro residents working in Cooloola (-1.6%), while increases were recorded in Brisbane (0.9%) and Maroochy (2.8%).

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.25: Destination of Resident Workforce, Woocoo/Tiaro Place of Work Cooloola (S) Brisbane (C) Maroochy (S) Biggenden (S) Kilkivan (S) Noosa (S) Caboolture (S) Bundaberg (C) Logan (C) Mundubbera (S) Wide Bay Burnett SD Brisbane SD Sunshine Coast SD Elsewhere

2001 53.2% 2.3% 0.0% 2.7% 1.1% 1.4% 0.5% 0.0% 0.0% 0.0% 61.6% 3.7% 2.3% 32.3%

2006 51.6% 3.3% 2.8% 1.7% 1.4% 1.4% 1.3% 1.2% 0.9% 0.4% 57.1% 6.3% 4.6% 32.0%

% Change -1.6% 0.9% 2.8% -0.9% 0.4% 0.0% 0.8% 1.2% 0.9% 0.4% -4.5% 2.6% 2.3% -0.3%

Note: Includes destination of resident workforce outside of place of residence. Source: Australian Bureau of Statistics (2006).

2.4.3 Employment by Industry (by Place of Employment) The Fraser Coast has a high concentration of workers employed in the retail trade, health and community services, manufacturing, education and accommodation, cafes and restaurants industries, suggesting that that the region has a primary focus on providing health, retail, social and education services to meet the basic needs and desires of the local community. In line with the prominence of these sectors in the Fraser Coast, retail trade and education are key (within the top five industries of employment) industries of employment in Hervey Bay, Maryborough and Woocoo/Tiaro. Health and community services and property and business services are key industries of employment in the major service regions of Hervey Bay and Maryborough, while the majority of employment in Woocoo/Tiaro is in the agriculture, forestry and fishing industry. The Fraser Coast provided employment for approximately 26,069 people in 2006. The key industries of employment in 2006 included retail trade (19.3%), health and community services (13.5%), manufacturing (10.4%), education (9.3%) and accommodation, cafĂŠs and restaurants (7.7%). Conversely, the industries employing the lowest proportion of residents in the region include mining (0.3%), electricity, gas and water (1.3%), communication services (1.5%), cultural and recreational services (1.9%) and finance and insurance (2.0%). The most significant increases in employment proportions between 2001 and 2006 were experienced by the agriculture, forestry and fishing (1.4 percentage points), retail trade (1.1 percentage points), manufacturing (0.8 percentage points) and cultural and recreational services (0.8 percentage points) industries. Conversely, the most significant decreases in the proportion of employment were experienced by the construction (-2.7 percentage points), property and business services (-0.8 percentage points), health and community services (-0.6 percentage points), personal and other services (-0.6 percentage points) and government administration and defence (-0.5 percentage points).

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.12. Employment by Industry, Fraser Coast (by Place of Employment) 18.2% 19.3%

Retail Trade 14.1% 13.5%

Health and Community Services 9.7% 10.4%

Manufacturing

9.1% 9.3%

Education 7.5% 7.7%

Accommodation, Cafes and Restaurants

7.1% 6.4%

Property and Business Services

Construction

5.3% 3.6%

Agriculture, Forestry and Fishing

8.0%

5.0%

4.1% 4.5%

Transport and Storage

4.9% 4.4%

Government Administration and Defence

4.5% 3.9%

Pers onal and Other Services

3.2% 3.6%

Wholesale Trade

Finance and Insurance

1.8% 2.0%

Cultural and Recreational Services

1.1% 1.9% 1.2% 1.5%

Communication Services

1.7% 1.3%

Electricity, Gas and Water Supply

2001

2006

0.4% 0.3%

Mining 0%

5%

10%

15%

20%

25%

% Contribution to Employment

Source: Australian Bureau of Statistics (2006).

Hervey Bay provides employment for approximately 14,123 workers. The key industries of employment in Hervey Bay include: Retail trade (21.1%); Health and community services (13.7%); Accommodation, cafes and restaurants (11.8%); Education (10.2%); and Property and business services (7.6%). Similarly, retail trade (18.5%), health and community services (14.5%), education (8.7%) and property and business services (5.5%) ranked as the top five industries of employment in Maryborough in 2006. Unlike Hervey Bay, manufacturing (15.5%) employed a high proportion of people in Maryborough in 2006. Woocoo/Tiaro is the primary destination of employment for a workforce of 1,225 employees. Compared to Hervey Bay and Maryborough, Woocoo/Tiaro has a less diverse industry base, with 63.1% of workers employed in agriculture, forestry and fishing. Other key industries in Woocoo/Tiaro include: Manufacturing (13.5%); Retail trade (12.1%); Education (10.4%); and Transport and storage (6.5%).

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.13. Employment by Industry, 2006 (by Place of Employment) 12.1%

Retail Trade 2.5%

Health and Community Services

14.5% 13.7%

3.5% 4.1%

Accommodation, Cafes and Restaurants

18.5% 21.1%

11.8% 10.4% 8.7% 10.2%

Education

4.0% 5.5% 7.6%

Property and Business Services

6.4% 4.9% 5.8%

Construction

Manufacturing

13.5% 15.5%

5.6% 2.6% 3.9% 4.2%

Personal and Other Services

5.9% 5.3% 3.6%

Government Administration and Defence Transport and Storage

6.5% 5.3% 3.6%

Wholes ale Trade

6.1% 3.5% 3.5%

Agriculture, Forestry and Fishing

63.1%

2.8% 2.7%

Cultural and Recreational Services

1.7% 1.7% 2.1%

Finance and Ins urance

0.8% 2.0% 2.1%

0.0% 1.6% 1.1%

Electricity, Gas and Water Supply

Woocoo/Tiaro

1.2% 2.1% 0.9%

Communication Services

Maryborough (C)

1.6% 0.2% 0.3%

Mining 0%

Hervey Bay (C)

10%

20%

30%

40%

50%

60%

70%

% Contribution to Employment Source: Australian Bureau of Statistics (2006).

2.5 Investment Profile Residential building investment in the Fraser Coast has experienced a net increase over the past five years, with increases in both the number and value of dwelling approvals recorded between 2003 and 2008. Hervey Bay has been the centre for dwelling construction in the Fraser Coast since the year ended September 2003, accounting for over 80% of total approvals during the five year period. The Fraser Coast property market has recorded significant increases in median sale values since the year ended June 2003, with annual growth averaging approximately 9.9% for all property types over the past five years. The value of non-residential building approvals in the Fraser Coast increased 3.6% over the year to $84.1 million in the year ended September 2008. Non-residential building investment in the Fraser Coast has increased considerably since the year ended September 2003, with the value of non-residential building approvals higher in the past four years when compared to five or six years ago. The growth experienced in the building and property markets has in part been fuelled by major residential and non-residential projects recently completed or currently under construction in the region. Some notable developments include the recently completed Hervey Bay Airport Industrial Park and the Peppers Pier Resort.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

2.5.1 Dwelling Investment Dwelling Approvals In the year ended September 2008, there were 1,302 dwellings approved in the Fraser Coast, 152 less than the previous year (1,454) and 123 less than the average number of approvals over the past four years (1,425). The total number of dwellings approved in the year ended September 2008 (1,302) exceeds the number of dwellings approved in year ended September 2003 (1,233), with an average annual growth of 1.1% over the period indicating a net increase in dwelling investment in the region over the long-term, despite a steady decline in approvals over the past four years. Within the Fraser Coast, Hervey Bay (-174) and Woocoo/Tiaro (-6) experienced a decline in dwelling approvals between the year ended 2007 and the year ended 2008, whilst Maryborough (28) experienced an increase. Despite a recent decline in dwelling approvals, Woocoo/Tiaro (21.1% per annum) experienced the most significant growth in dwelling approvals over the past five years compared to Maryborough (9.3% per annum) and Hervey Bay (-1.2% per annum). Throughout this period Hervey Bay has consistently accounted for over three-quarters of dwelling approvals. Figure 2.14: Fraser Coast Dwelling Approvals, Year Ended September 2003 – 2008

2,000

Woocoo/Tiaro

Maryborough

Hervey Bay

Building Approvals (No.)

1,500

1,000

500

0 YE Sep 03

YE Sep 04

YE Sep 05

YE Sep 06

YE Sep 07

YE Sep 08

Source: Australian Bureau of Statistics (2008b)

In the year ended September 2008 new houses comprised 81.3% (1,058) of total dwelling approvals in the Fraser Coast, following a 13.3% decline in the number of new house approvals over the year. The decline in new house approvals experienced in the Fraser Coast was driven by a significant decline in Hervey Bay (-16.3%) over this period, followed by Woocoo/Tiaro (-4.2%), contrasting with a slight increase in Maryborough (5.6%). In contrast, approvals for other dwelling types (e.g. flats, units, apartments) increased by 4.3% in the Fraser Coast over this period. Out of the 244 other dwellings approved in the year ended September 2008, Hervey Bay accounted for 82.8% (202), while Maryborough accounted for the remaining 17.2% (42), with no other dwelling approvals recorded in the Woocoo/Tiaro region. Over the past year Hervey Bay (-6.0%) has experienced a decline in other dwelling approvals, while Maryborough experienced an increase of 121.1%.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

When compared to the year ended September 2003, total dwelling approvals in the Fraser Coast have increased at an average annual rate of 1.1%, driven by an average growth of 20.3% per annum in other dwelling approvals which more than offset a decline of 1.4% in new house approvals. Table 2.26: Fraser Coast Dwelling Approvals, Year Ended September 2003 - 2008 Region

YE Sep 08

Hervey Bay New House Other

1,030 828 202

% Change YE Sep 07-08 -14.5% -16.3% -6.0%

Average Annual Growth (YE Sep 03-08) -1.2% -3.6% 15.8%

Maryborough New House Other

136 94 42

25.9% 5.6% 121.1%

9.3% 1.6% n.a.

Woocoo/ Tiaro New House Other

136 136 0

-4.2% -4.2% n.a.

21.2% 21.2% n.a.

Fraser Coast New House Other

1,302 1,058 244

-10.5% -13.3% 4.3%

1.1% -1.4% 20.3%

Source: Australian Bureau of Statistics (2008b)

Value of Dwelling Approvals The total value for the 1,302 dwelling approvals in the Fraser Coast in the year ended September 2008 amounted to $260.0 million, equating to an average value of $200,806 for each approval. Total value of dwelling approvals in the year ended September 2008 was 0.4% greater than the previous year, lower than the 9.9% average annual growth since the year ended September 2003. Over the year the value in other dwelling approvals increased 23.5% while the value in new house approvals decreased by 3.8%, resulting in an overall increase of 0.4% in the value of dwelling approvals for the period. The greater average annual growth of 9.9% over the long term was a result of a 7.2% average annual growth in new house approvals and 29.2% in other dwelling approvals. Table 2.27: Fraser Coast Dwelling Approval Value, Year Ended September 2003 - 2008 Region YE Sep 08

Total Value ($’000) % Change YE Average Ann. Sep 07-08 Growth (YE Sep 03-08) -4.6% 7.2% -8.1% 4.5% 11.9% 24.8%

YE Sep 08 $200,806 $199,082 $207,866

Value per Approval % Change YE Average Ann. Sep 07-08 Growth (YE Sep 03-08) 11.5% 8.5% 9.8% 10.7% 19.1% 9.8%

Hervey Bay New House Other

$206,830 $164,840 $41,989

Maryborough New House Other

$29,551 $21,675 $7,876

40.9% 19.6% 176.4%

20.9% 13.6% n.a.

$217,287 $230,585 $187,524

11.9% 13.2% 25.0%

13.3% 15.0% n.a.

Woocoo/ Tiaro New House Other

$23,665 $23,665 n.a.

11.9% 11.9% n.a.

38.1% 38.1% n.a.

$174,007 $174,007 n.a.

16.9% 16.9% n.a.

17.7% 17.7% n.a.

Fraser Coast New House Other

$260,046 $210,180 $49,865

0.4% -3.8% 23.5%

9.9% 7.2% 29.2%

$199,728 $198,658 $204,365

12.1% 10.9% 18.4%

11.0% 11.1% 9.3%

Source: Australian Bureau of Statistics (2008b)

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Within the Fraser Coast, the following can be noted: Hervey Bay recorded the highest value for total dwelling approvals ($206.8 million), in the year ended September 2008, accounting for 79.5% of the total value of dwelling approvals in the Fraser Coast; Maryborough exhibited the most significant growth in total dwelling approval values over the year (40.9% to $29.6 million); Woocoo/Tiaro experienced the most significant growth in total dwelling approval values over the past five years of 38.1%; Maryborough recorded the highest value per approval in the year ended September 2008 ($217,287), 11.9% higher than the previous year.

2.5.2 Property Market Property market data from the Real Estate Institute of Queensland (2008) indicates that there were 306 house sales, 64 units/townhouse sales and 106 vacant land sales in the Fraser Coast2 in the September Quarter 2008. The number of house (1.3%) and unit/townhouse (6.7%) sales increased over the quarter, while the number of vacant land sales decreased (-13.8%). In the September Quarter 2008, the Fraser Coast recorded a median house sales value of $305,000, compared to $310,000 for median unit/townhouse sales and $150,000 for median vacant land sales. Positive increases were recorded for median house (8.8% and 93.8%), unit/townhouses (4.1% and 102.8%) and vacant land sales (5.2% and 153.0%) value over the one and five year period. Table 2.28: Number of Sales and Median Property Prices, Fraser Coast Region September 2003-2008 Region

Houses Units/ Townhouses Vacant Land

Number of Sales Sep Qtr Jun Qtr % Qtr 2008 2008 Change 306 302 1.3% 64 60 6.7% 106 123 -13.8%

Median Sales Value ($) Sep Qtr % Annual % Change 2008 Change Sep 2003-08 $305,000 8.8% 93.8% $310,000 4.1% 102.8% $150,000 5.2% 153.0%

Note: Fraser Coast Regional data only available as of the June Quarter 2008. Source: Real Estate Institute of Queensland (2008)

Figure 2.15 shows the top ten suburbs in the Fraser Coast by total number of sales (houses, units and townhouses and land) for the September Quarter 2008 as illustrated by the Real Estate Institute of Queensland. Urangan recorded the top number of sales (45 houses, 25 units and townhouses and 7 land), followed by Maryborough (62 houses) and Glenwood (5 houses and 30 land).

2

As of the June Quarter 2008, the Real Estate Institute of Queensland’s ‘Property and Lifestyle’ publication began reporting property data for the Fraser Coast Region. As such, analysis for the region is only short-term. A longer time series of property data is available for the separate Hervey Bay and Maryborough regions.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.15: Number of Sales, House, Units & Townhouses and Land, Fraser Coast Suburbs, September Quarter 2008

Urangan Maryborough Glenwood Torquay Urraween Point Vernon Eli Waters Pialba Kawungan House

Craignish 0

10

20

30

Units & Townhouses

40

50

60

Land

70

80

Number of Sales Note: The Sunshine Acres and Booral house sales include acreage house sales. Source: Real Estate Institute of Queensland (2008)

The top median price data for house, units and townhouses and land sales in the Fraser Coast in the September Quarter 2008 is presented in Table 2.29 below. The highest median house price was recorded for the Sunshine Acres ($425,000), while Urangan ($342,310) recorded the highest median unit/townhouses price and Urraween ($165,000) recorded the highest median land price. Table 2.29: Median Price Data for Houses, Units & Townhouses and Land in the Fraser Coast, September Quarter 2008 Suburb Houses Sunshine Acres Craignish Burrum Heads Booral Tinana Units/ Townhouses Urangan Pialba Torquay Vacant Land Urraween Urangan Wondunna Toogoom Poona

Median Price $425,000 $370,000 $368,000 $358,000 $351,750 $342,310 $247,500 $247,000 $165,000 $160,000 $149,000 $136,000 $126,000

Source: Real Estate Institute of Queensland (2008)

2.5.3 Non-Residential Building Investment The value of non-residential building approvals in the Fraser Coast has increased 3.6% over the year to $84.1 million in the year ended September 2008. The value of nonresidential building approvals in the Fraser Coast has been considerably higher in the past four years when compared to the levels recorded five and six years ago.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Hervey Bay accounted for 68.7% ($57.8 million) of non-residential building investment in the year ended September 2008, followed by Maryborough (30.8% equating to $25.9 million) and Woocoo/Tiaro (0.5% equating to $0.5 million). Hervey Bay and Woocoo/Tiaro have both experienced a decline in the value of nonresidential approvals over the year. In contrast, Maryborough has experienced a significant increase in the value of non-residential building approvals of 130.4%. Over the past five years, Hervey Bay, Maryborough and Woocoo/Tiaro have experienced average annual growth in the value of non-dwelling building approvals of 28.9%, 22.7% and 26.7%, respectively. Figure 2.16: Fraser Coast Value of Non-Residential Building Approvals, Year Ended September 2003 - 2008

$140,000 Tiaro/Woocoo

$120,000

Maryborough

Hervey Bay

Value ($'000)

$100,000 $80,000 $60,000 $40,000 $20,000 $0 YE Sep 03

YE Sep 04

YE Sep 05

YE Sep 06

YE Sep 07

YE Sep 08

Source: Australian Bureau of Statistics (2008b)

2.5.4 Major Projects There has been approximately $578 million invested in recently completed development projects in the Fraser Coast region. Additionally, more than $215 million in projects are currently under construction, with at least $195 million in project development that have been approved and $1.76 billion Queensland Government development projects. Many of the proposed and completed projects relate to leisurestyle accommodation, whether residential, tourist, or both. Significant residential estates are currently under development or recently completed throughout the whole Fraser Coast region providing a range of residential opportunities for both vacant land and land and house packages. Over $144.5 million in tourism and residential developments have recently been completed and are operational, while a number of residential projects have been approved and are awaiting construction. In addition to the considerable residential developments being undertaken in the region, a number of industrial, commercial and infrastructure related projects have recently been completed, under construction or approved. The table below outlines a selection of these major projects, including industrial, tourism, residential, retail, infrastructure, government and mixed use developments.

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Table 2.30: Major Projects Completed, Under Construction, Under Consideration and Under State Initiative in Fraser Coast Project Name

Location

Value ($m)

Description

Completed and Operating

Industry, Manufacturing and Mineral Processing Hervey Bay Airport Industrial Park

Hervey Bay

$75.0

A master-planned joint venture development comprising 79 lots over a 42ha site. The development includes broadband access, industrial water recycling, proximity to a major airport, local shops, service station and car wash, child care and other convenient supporting services. A 5-star resort style waterfront tower comprising 121 apartments and 11 penthouses on a 1ha site opposite the famous Urangan Pier. The development includes views over the bay, landscaped lagoon pool, health club, restaurant, retail shops and premium conference and meeting facilities. 49 beachfront apartments of a 5-star standard. The apartments are fully managed with room service, with the development including landscaped gardens, heated resort pool and private plunge pools, conference facilities and boutique shops and a restaurant on the ground floor. A three-storey development consisting of 138 luxury apartments and 10 townhouses, including 1 acre of tropical gardens and a 35 metre resort pool. Stage one has been completed and is in operation, stage two is under construction. Includes 17 apartments over five stories, including a gym, pool, BBQ area, gardens, and 180 degree bay views. Opposite the beach, the complex includes 36 two and three bedroom units, a resort pool, tennis court, spa and sauna, BBQ entertainment area, and botanic-type gardens. These 28 one, two, and three bedroom units are located opposite the beach and park on the Torquay Esplanade. The complex includes a swimming pool, sauna and spa/gym, and two restaurant areas. Close to the Esplanade and harbour, these 61 villa apartments (including one, two and three bedroom apartments) are set on 5 acres and include a resort pool, sauna, heated spa, BBQ area, and lock up garage. 23 two and three bedroom apartments, located in the Marina Precinct. The complex includes underground parking and a lagoon style pool. The development has 34 two and three bedroom apartments, with six penthouses with rooftop terraces. The complex includes a swimming pool, BBQ facilities, and is located directly opposite the beach. A new international resort hotel with 73 one, two, and three bedroom apartments over four buildings. The complex includes a central pool, BBQ area, and entertainment atrium.

Tourism and Residential Accommodation Peppers Pier Resort

Hervey Bay

$80.0

Allegra Hervey Bay – Grand Mercure Apartments

Hervey Bay

$39.0

Whale Cove Resort Apartments

Hervey Bay

$25.5

Pier One, Esplanade

Hervey Bay

N/A

The Bay, Esplanade

Hervey Bay

N/A

Eden on the Bay

Hervey Bay

N/A

The Quarterdecks Harbour Retreat

Hervey Bay

N/A

Akama

Hervey Bay

N/A

Tingeera

Hervey Bay

N/A

Ramada Resort

Hervey Bay

N/A

Queensland Government Diesel Electric Locomotive

Maryborough

$61.0

Acquisition of 11 by 4,000 Class Diesel Electric Locomotives.

Aramara Switching Station – Ergon Energy

Maryborough

$70.0

Upgrade of the Maryborough Bulk Supply Point – Ergon Energy

Maryborough

$12.0

The facility and associated high-voltage powerlines provide the backbone of the network for Ergon Energy’s 40,000 existing customers across the Fraser Coast and also provide the capacity for new industries and residential growth. The Aramara Switching Station is effectively the hub for incoming power supplies for most of the Wide Bay-Burnett and ensures Ergon Energy can meet the demand for power well into the future. Two new 100MVA transformers replaced the former 34MVA transformers in the substation, located near the Showground north of Maryborough. The substation also had an existing 90MVA transformer to provide the bulk power supply to customers across the Fraser Coast via 11 zone substations.

Infrastructure

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Project Name

Location

New Fibre Optic Cable Link

Maryborough – Hervey Bay

Value ($m) N/A

Description

Construction is for an extension to the existing resort, which will be expanded from 33 apartments to 69 with an additional 36 two and three bedroom apartments. 15 luxury three bedroom apartments, including ducted air conditioning, secure parking and lifts, swimming pool, sauna and spa. Walking distance to the beach. 39 luxury two and three bedroom apartments in a six story building. Includes panoramic sea views over Hervey Bay, as well as resort style amenities such as a pool and sub tropical landscaping.

Under a deal between Ergon Energy, the Fraser Coast Regional Council’s telecommunications company, Widelinx, and the University of Southern Queensland Fraser Coast Campus, residents and business will have access to a new fibre-optic cable link that is being strung with the power lines.

Currently Under Construction

Tourism and Residential Accommodation Bay Hideaway Resort

Hervey Bay

N/A

Freshwater Street

Hervey Bay

N/A

Sea Apartments, the Esplanade

Hervey Bay

N/A

Tourism Attraction/Education Hervey Bay Water Education Park

Hervey Bay

$12.0

Wide Bay Water Corporation has an exciting project underway which will transform the land next to Seafront Oval into both a prime public space for residents and a powerful drawcard for tourists. The park is a hybrid development that will have the combined character of a modern zero-depth water play attraction and an outdoor science museum featuring the properties and nature of water. The principles incorporated into the Hervey Bay Water Education Park are in line with world's best practice in this field. This project has been planned as an exemplary model of public open space and community recreation and education. While this park is very much about having fun it's also about learning and the key message is the conservation and intelligent use of water. It will have sophisticated jets and spouts and fountains so that people can have fun with water without wasting it.

Hervey Bay

$100.0

A hospital, two medical centres, an education facility and dance studio, nursing home and motel accommodation mixedused development.

Nikenbah Wastewater Treatment Plant

Hervey Bay

$35.6

High voltage Powerline MaryboroughNikenbah-Ergon Energy

MaryboroughNikenbah

$26.0

Upgrade of MaryboroughHervey Bay Road

MaryboroughHervey Bay

$11.5

Construction of a wastewater transport system and a modern bioreactor treatment plant with a capacity of 10,000 equivalent dwellings to meet the needs of Hervey Bay’s growing community. Treatment of the wastewater is for unrestricted irrigation use. This line initially will be energised at 66,000 volts and will improve the capacity and reliability of the Hervey Bay network, and ultimately will be upgraded to 132,000 volts when Nikenbah becomes a separate bulk supply substation for Hervey Bay. With the backbone of the network secured, the focus turns to the downstream infrastructure required to make the additional capacity available to existing and new customers. An upgrade of Maryborough–Hervey Bay Road from north of the Dundowran Road intersection to Pialba–Burrum Heads Road commenced in September 2008 and is scheduled for completion in mid-2009, weather permitting. The project includes widening and strengthening a 6.9km section of road with a new bitumen surface at least 10 metres wide, which will allow extra room for turning lanes at intersections and into private accesses. Existing bitumen widths in this area range from 6.5 metres to 9 metres. It also includes upgrading five intersections and improving bus stop areas, private property accesses and signage, as well as installing new overhead lighting.

Mixed Use Development Fraser Shores Medical Precinct

Infrastructure

Job ID: 15004

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Fraser Coast Economic Profile 2009: Final Report

Project Name

Location

Value ($m)

Description

Industry, Manufacturing and Mineral Processing Hyne Timber Tuana Mill Expansion

Maryborough

$30.0

Hyne Timber is investing in expanding the Tuan Sawmill to provide state of the art production methods and increase capacity.

Approved but Construction not Commenced

Industry, Manufacturing and Mineral Processing Port Maryborough Marine Industry Park

Maryborough

$25.0

Proposed Marine Industry Park as a joint initiative of local and state government bodies and private sector investors. The Park will comprise 65ha within the 200ha Fraser Coast Marine Industry Precinct and modelled on the Gold Coast Marine Park. The Park will provide world-class facilities for the manufacture of boats and light ships, marine components, the repair of vessels of up to 500 tons and a broad range of professional marine services including design, project management and engineering. The development will include a Marine Trade Training Institute that will provide marine vocational skills training, tertiary marine science and marine engineering training. Three six-storey buildings comprising 71 units. The ground floor of the hotel will include a bottle shop component, restaurant, conference facilities and retail shops. Eight-story development with four levels of 105 hotel suites and three floors of 36 residential apartments. Ground floor will include retail shops and two restaurants. 92 apartments in two seven-story towers overlooking the marina. Includes in-house cinema. 67 serviced apartments over 4 levels, including a day spa, restaurant, pool, gym, and car parking.

Tourism and Residential Accommodation Beach House Hotel Development

Hervey Bay

N/A

Allegra – Waterfront

Hervey Bay

N/A

Oakstand Property Group: Pulgul Street Oakstand Property Group: Freshwater Street Baliene on the Bay

Hervey Bay

$70

Hervey Bay

$35

Hervey Bay

N/A

Odern

Hervey Bay

N/A

Opus Developments, Scarness

Hervey Bay

N/A

WATDEV – Anchorage – Urangan

Hervey Bay

N/A

Gilligan’s Backpackers – Esplanade Pialba

Hervey Bay

N/A

Setcorp Development Esplanade, Torquay Eli Waters Tavern

Hervey Bay

N/A

Hervey Bay

N/A

Augustus Estate Urraween – Stages 4&5 Doug Ring Subdivision, Wondunna

Hervey Bay

N/A

Hervey Bay

N/A

Job ID: 15004

Three six storey buildings containing 138 apartments, communal car parks, walkways, full landscaping, and pool. 37 luxury apartments, including basement parking, landscaped gardens, resort pool, and gym. The complex will be adjacent to the Marina precinct and walking distance to shops, cafes and restaurants. Eight storey development with ground floor shops and a restaurant (café) fronting the Esplanade, 5 single storey (including mezzanine) ‘beach houses’, 141 residential units and a landscaped open space podium level for communal recreation. Proposal to build 254 residential units in five buildings, with communal recreation area, landscaped lawn areas and water feature, barbecues, gazebo, lap pool, gymnasium, cinema and games room. Described as a five start back packer hostel accommodation development, this 6 storey development consists of 136 suite accommodation units (500 beds), five (5) retail tenancies fronting Hillyard Street and a Hotel fronting Charlton Esplanade incorporating a restaurant, beer garden, gaming facility and function room. A six storey residential development containing 94 multiple units and a restaurant/café with a floor area of 311m2 on the Esplanade frontage of the site. Proposal for a new family tavern with a gross floor area of 1,401m2 including a beer garden, function rooms and restaurant. A separate application for an 87 unit motel on the same site is currently being assessed by Council. Plans include 77 residential lots and preliminary approval for a retirement village (nursing home – 120 beds). 102 residential lots, retail shops, Multiple Units, Dual Occupancy Dwellings and a Child Care Centre.

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Fraser Coast Economic Profile 2009: Final Report

Project Name

Location

Ocean Blue – Halcro St, Pialba

Hervey Bay

Value ($m) N/A

Royle Street Residential Development

Maryborough

N/A

Description Approved residential subdivision for 174 lots, 48 which have been completed. Includes a large public park including a new Council community centre. A residential development providing stylish and innovative riverside living incorporating 24 contemporary environmentally sustainable medium density housing. Situated on a 1ha site bordering the Mary River just five minutes from the city centre, the development will utilise innovative subtropical architecture to create a new style of housing more compatible to the Queensland climate.

Mixed Use Development Invergowrie Pty Ltd Mixed-use development

Hervey Bay

N/A

Stage 1: 107 one, two and three bedroom residential units plus nine penthouses; 1,160 m2 of retail space, including restaurants and cafĂŠs; private and communal open space, including pool, gym, sundeck and BBQ area; and car park. Stage 2: 120 one two and three bedroom residential units plus nine penthouses; 230 m2 of commercial space including three retail tenancies; private and communal open space; and parking.

Benchmark Superstore

Hervey Bay

$65.0

Bay Central Shopping Centre

Hervey Bay

N/A

Major shopping development consisting of retail showrooms and shop, service station, fast food store and indoor recreation. A 6000m2 extension to the existing Bay Central Shopping Centre consisting of shops and offices.

Owanyilla

N/A

Hervey Bay

$800.0

The development of Urangan Boat Harbour will incorporate 235 additional marina berths, a new state of the art secure dry storage facility capacity for 200 boats, a new tourist terminal, a 50% increase in trailer parking capacity, additional car parking, boat ramps, and new facilities for government agencies and the Volunteer Marina Rescue. New apartment buildings, right on the harbour, as well as cafes, restaurants and shops will add to the vibrancy and attractiveness of the harbour precinct. Investors are Watpac and the Seymour group.

4000 Class Electric Locomotive Cairns Tilt Train

Maryborough

$94.0

Manufacture of 15 by 4000 Class Electric Locomotives.

Maryborough

$139.0

City train Additional Passenger Units (SEQIPP) Electric Locomotive Upgrade

Maryborough

$295.0

Manufacture of two diesel-powered tilt trains for passenger services. Manufacture of an additional 20 by three-car passenger units.

Maryborough (incl. Rockhampton)

$141.0

Mettrip Rolling Stock (SEGIPP)

Maryborough

$289.0

Retail

Infrastructure Canterwood Mill Site Redevelopment

The 60 hectares site of the former woodchip mill at Owanyilla, 14km south of Maryborough, is being developed privately as an industrial park and intermodal rail road freight exchange with connection to Queensland Rail network. Queensland Government Development Projects

Water Urangan Boat Harbour Development Project

Rail

Overhaul of 18 by 3900 electric locomotives, 50 by 3500/3600 electric locomotives and 11 by 3900 class freight locomotives, as well as distributed power system for all coal electric locomotives. Manufacture of 24 by three-car passenger units and ancillary stabling works for suburban train networks in South East Queensland.

Note: N/A = not available Source: Fraser Coast City Council (unpublished)

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Fraser Coast Economic Profile 2009: Final Report

2.6 Transport The Fraser Coast region includes major roads and highways (the Bruce Highway and the Maryborough-Biggenden Road) bisecting the region north-south and east-west. Additionally, an extensive rail network connects the localities of the region with each other, the wider Queensland area, and commercial and industrial operations with other transportation linkages. The Fraser Coast has a number of key port facilities and marinas, particularly in Hervey Bay and Maryborough. The Hervey Bay airport is the main passenger facility, catering to the entire region, and has recently undergone expansion and refurbishment, which has in part led to increases in passenger numbers. This extensive and diverse range of transportation infrastructure has allowed the Fraser Coast to position the region as a hub for potential growth and expansion in visitors, residents and industry. There is a comprehensive network of roads, rail, port, and air transportation infrastructure servicing the Fraser Coast region. These networks provide support for the tourism, agriculture, and retail industry, including supporting the transportation needs of the local communities. Road The Fraser Coast is bisected north-south by the Bruce Highway, which runs nearby both Hervey Bay and Maryborough. The region is connected to the western suburbs via Maryborough-Biggenden Road and the Isis Highway, which extends more than 65 kilometres to Biggenden Shire. The table below summarises average annual daily traffic counts on key roads in the region by the Department of Main Roads. As can be seen, traffic counts increased over the two years between 2005 and 2007 on most major roads in the Fraser Coast. Table 2.31: Daily Traffic Counts (Vehicles), 2005 & 2007 Road Bruce Highway (near Maryborough) Maryborough/Hervey Bay Road (near Maryborough) Maryborough/Hervey Bay Road (North Torbanlea) Maryborough/Hervey Bay Road (South Torbanlea) Maryborough/Cooloola Road (near Tuan)

2005 9,400 4,900 12,100 9,500 3,100

2007 9,800 5,200 12,800 9,500 3,500

% Change 2005-07 4.3% 6.1% 5.8% 0.0% 12.9%

Source: Department of Main Roads (2007; 2009)

Ports & Sea The Fraser Coast has a number of key port facilities and minor marinas. The Port of Maryborough is the key port of the Fraser Coast region, a non-trading port that is the responsibility of the Ports Corporation Queensland. Established marinas and facilities exist at Tin-Can Bay, Urangan Boat Harbour (Hervey bay) and Maryborough City. In May 2008, the intentions for an $800 million redevelopment of Hervey Bay’s Urangan Boat Harbour was announced, including 230 new marina berths, an extension of the harbour wall, 100 new boat trailer parks, 4 new boat ramp lanes and a new ferry terminal (Enterprise Innovations, 2008). As at December 31 2008, there were a total of 9,263 recreational vessel registered in the Fraser Coast, 66.9% in Hervey Bay, 27.5% in Maryborough and the remaining 5.6% in Wooco/Tiaro. Over the past four years recreational vessel registrations have grown at an average annual rate of 5.4% in the Fraser Coast, with the most significant growth experienced by Woocoo/Tiaro (19.0%) compared to Hervey Bay (6.7%) and

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Fraser Coast Economic Profile 2009: Final Report

Maryborough (0.9%). Overall, the Fraser Coast (5.4%) experienced a higher average annual growth rate between 2004 and 2008 compared to Queensland (4.6%). Table 2.32: Number of Recreational Vessels on Register, December 2004-08 Region Hervey Bay Maryborough Woocoo/Tiaro Fraser Coast

Queensland

Dec-04

Dec-05

Dec-06

Dec-07

Dec-08

4,789 2,451 258 7,498

5,119 2,468 318 7,905

5,565 2,378 432 8,375

5,906 2,491 489 8,886

6,201 2,545 517 9,263

Average Annual % Change 2004-08 6.7% 0.9% 19.0% 5.4%

190,414

199,713

208,928

219,033

227,578

4.6%

Source: Queensland Transport (2009)

Airports The Fraser Coast has one major commercial airport located at Hervey Bay (the Fraser Coast Airport). This airport has recently undergone an extensive, $13 million redevelopment, as a result the Airport won the Australian Airport of the Year in 2006. The redevelopment included the provision of more runway space, an expansion of the terminal to four times its original size, a new terminal to meet jet aircraft specifications and an enhancement of facilities to cater for up to 180 incoming and outgoing passengers at any one time. The facility redevelopment coincided with a $100 million development project of the nearby Hervey Bay Airport Industrial Park. As of March 2009, Jetstar Airlines (Syd-HVB), Virgin Blue (Syd-HVB) and QantasLink (Bne-HVB) were providing services to the region, offering 32 return flights per week and a total of 2,052 seats (Tourism Queensland, 2009). The impact of the redevelopment and provision of increasingly affordable service to the region has manifested in a considerable expansion in passenger numbers to and from the region, from 39,650 passengers in the December Quarter 2005 to 59,650 passengers in the December Quarter 2008. When compared to a year earlier, the Fraser Coast Airport recorded an increase of 3.8% in passenger numbers from the December Quarter 2007 (57,456 passengers). This growth in passenger traffic is evidence of the strong tourism, leisure and property development markets in the Fraser Coast, which all attract people from outside the immediate area.

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Fraser Coast Economic Profile 2009: Final Report

Figure 2.17: Total Airport Passengers, December Quarter 2003 – 2008 70,000

60,000

No. Passengers

50,000

40,000

30,000

20,000

10,000

0 Dec-03

Dec-04

Dec-05

Dec-06

Dec Q 07

Dec Q 08

Source: Hervey Bay Airport Authority (2009)

Rail The Fraser Coast has regular services in Maryborough (inland to Hervey Bay) on the Spirit of Capricorn, Sunlander and Tilt Train services from north and south with direct connections to Hervey Bay on the Trainlink coach. Rail services also include those catering for the widespread agriculture, timber, and manufacturing industries in the region. Downer EDI Rail, the rail division of Downer EDI Limited, in joint venture with Bombardier Transportation Pty Ltd, has a facility located in Maryborough, and is Australia’s leading provider of rolling stock and associated maintenance. The joint venture offers services designing, manufacturing, and maintaining locomotive and related machinery. The Maryborough facility directly employs 275 manufacturing staff, 50 engineering, design and drafting staff, and 20-30 project management staff. It is anticipated that an additional 20+ engineering staff and another 30 – 50 employees across the entire operation will be employed over the next two years. The joint venture currently maintains significant contracts including providing and refurbishing locomotives for Queensland Rail. Additionally, the joint venture has contracts in place until 2012, including providing goods and services to the City of Perth, Queensland Rail, and potentially within the Queensland coal network as the industry expands.

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Fraser Coast Economic Profile 2009: Final Report

3. Industry Profiles 3.1 Tourism Tourism is a major economic generator in the Fraser Coast region, particularly in Hervey Bay. As evidenced by Fraser Coast Tourism Region (FCTR) statistics over the past five years, the Fraser Coast experienced increases in overall visitor numbers, an increase in domestic day and international visitors and decrease in domestic overnight visitors. The supply of tourism accommodation has increased from the year ended September 2007 to the year ended September 2008, while the demand (number of guests) decreased.

3.1.1 Visitation In the year ended September 2008, the Fraser Coast Tourism Region (FCTR) recorded a total of 1.77 million visitors, exhibiting an increase of 8.9% from the 1.69 million visitors recorded in year ended September 2007. Over the five year period between the year ended September 2003 and year ended September 2008, the FCTR experienced average annual growth of 1.4% in the number of visitors to the region. Total visitation to the region in the year ended September 2008 comprised 46.0% (814,000 persons) domestic day visitors, 42.5% (753,000 persons) domestic overnight visitors and 11.5% (204,000 persons) international visitors. In the year ended September 2003, 48.4% of visitors were domestic overnight, 40.0% domestic day and 11.6% international. In line with this, domestic day visitors to the region have grown at an annual average rate of 4.3% over the past five years, compared to -1.1% for domestic overnight and 1.2% for international visitors. This is indicative of a trend for domestic visitors to the region to take more day visits and less overnight visits, while the proportion of international visitors have remained relatively stable. Intrastate visitors comprised 79% of visitors to the region in the year ended September 2008, with 29% originating in Brisbane and 21% interstate. The primary reason for domestic overnight visitation to the region was for holiday travel purposes (43.0% of domestic overnight visitors), followed by visiting friends and relatives (42.0%), business purposes (13.0%) and other (2.0%). Between the year ended September 2007 and year ended September 2008 there has been an apparent shift towards visiting friends and relatives (35.5% increase), followed by travel for business purposes (18.2% increase), while the visits to the region for holiday purposes has experienced a decline (-23.2%). The United Kingdom accounted for the largest share of international visitors in the year ended September 2008 (approximately 26.0%) followed by New Zealand (6.0%) and the United States of America (5.0%). The primary purpose for international visitation was for holiday (95%), followed by visiting friends and relatives (4%).

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Fraser Coast Economic Profile 2009: Final Report

Figure 3.1: Visitation to the Fraser Coast Tourism Region, Year Ended September 2003 – 2008 2,500,000 International

Domestic Day

Domestic Overnight

2,000,000

1,500,000

1,000,000

500,000

0 YE Sep 2003

YE Sep 2004

YE Sep 2005

YE Sep 2006

YE Sep 2007

YE Sep 2008

Source: Tourism Queensland (2008)

3.1.2 Accommodation In the year ended September 2008 there were 80 establishments in the Hervey Bay/Maryborough Tourism Region, 3.9% more than the previous year. The 80 establishments provided a total of 2,323 guest rooms in the year ended September 2008, 2.8% more rooms compared to the year ended September 2007, with the growth in the number of establishments exceeding the growth in the number of rooms for the period. Table 3.1: Tourist Accommodation Supply and Demand, Hervey/Maryborough Tourism Region, Year Ended September 2007 – 2008(a). Indicator Supply Establishments Rooms

YE Sep 2008

YE Sep 2007

Annual % Change (b)

80 2,323

77 2,260

3.9% 2.8%

458,663 449,598 53.5% $47.4

454,280 468,232 56.1% $43.4

1.0% -4.0% -2.6% 9.3%

Demand Room Nights Occupied Guest Arrivals Room Occupancy Rate Takings from Accommodation ($ millions)

Notes: (a) These statistics are for hotels, motels, and serviced apartments with 5 or more rooms; (b) The annual percentage change indicated for Room Occupancy Rate is a percentage point change. Source: Australian Bureau of Statistics (2008a)

The increase in the number of rooms supplied exceeded the demand in accommodation, with guest arrivals declining by 4.0%, although these guests stayed longer on average resulting ingrowth in the number of room nights occupied of 1.0%. The higher growth in the number of rooms supplied compared to rooms demanded drove a 2.6 percentage point reduction in the room occupancy rate over the period. The slight increase in room nights occupied contributed to takings from accommodation increasing by 9.3% to $47.4 million in the year ended September 2008.

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Fraser Coast Economic Profile 2009: Final Report

3.2 Agriculture & Forestry The agriculture, forestry and fishing sector has had a strong and vibrant history in the Fraser Coast region, most notably for sugar cane and timber farming, but also for pastoral and orchard crop enterprises. The Fraser Coast’s agriculture, forestry and fishing industry benefits from strong supply chains and infrastructure linkages between primary producers and major processors of primary products in the region. The Fraser Coast’s agriculture, forestry and fishing sector is an important contributor to the Wide Bay Burnett regional economy, providing employment and export opportunities to the region. Historically, the region has in part relied on the timber and sugar processing industries for development and economic sustainability, with Maryborough one of the original cane growing areas in Queensland. Additional points of note regarding the Fraser Coast’s agriculture, forestry and fishing sector include: The sector contributed $39.7 million to the Fraser Coast estimated GRP in 2007-08. The greatest proportion of this contribution came from the Woocoo/Tiaro region ($20.5 million) followed by Hervey Bay ($10.7 million) and Maryborough ($8.5 million); The contribution of agriculture, forestry and fishing to the regional economy has fluctuated in recent years, displaying an average annual decline of 4.6% over the previous eight years to 2007-08. Over the past three years, however, the contribution of the sector to the regional economy has declined more drastically in average annual terms by approximately 17.5%; and Forestry has played a key role in the Fraser Coast, particularly in Maryborough, which serves as an integral hub for the State’s sustainable forestry production in both plantation timber and native timber. The State run Forestry Plantations Queensland (FPQ), which began trading in 2006, manages softwood and hardwood forest estates, including significant plantations in the Maryborough region.

3.3 Manufacturing The Fraser Coast has a strong manufacturing industry that is currently undergoing a period of growth with the rising levels of investment in industrial facilities and regional support industries located within the Fraser Coast Enterprise Zone. Manufacturing contributed an estimated $0.5 billion to the Fraser Coast Regional economy in 2006-07, 10.0% more that in 2007-08. The areas of Hervey Bay and Maryborough have a strong reliance on the manufacturing sector, which is expected to strengthen in the future particularly with the emerging levels of industrial estate investment that is occurring within the Fraser Coast Enterprise Zone (FCEZ). The following industrial parks that are largely occupied by manufacturers are located within the FCEZ (Fraser Coast Enterprise Zone, www.fcez.com.au, 2008): Bay Central Industrial Estate: Includes 26 acres of fully-serviced land with access to major transport infrastructure. The established estate supports a range of industries including heavy machinery construction, car seat manufacturing, civil engineering and welding works. Hervey Bay Airport Industrial Estate: The $70 million, 40 hectare master-planned industrial park is the only industrial park in Queensland with direct access air freight

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Fraser Coast Economic Profile 2009: Final Report

services. This, combined with its position next to the redeveloped airport, make the Hervey Bay Airport Industrial Estate ideally situated to provide express logistical support to industry, and ideal for avionics and warehousing businesses. The Estate includes seven precincts, which enables the clustering of businesses and industry. The project is being developed by the Hervey Bay City Council in conjunction with Seashift Pty Ltd. Dundowran Industrial Park: Dundowran Industrial Estate presents 26 acres of fully-serviced general industry-zoned land with access to all major transport infrastructure. Wide Bay Business Park: The recently opened stage 1 and 2 Wide Bay business park is set to become the engineering, manufacturing, construction and transport hub of the Wide Bay Burnett Region. Port Maryborough Marine Industrial Park: Seeks to utilise accessible engineering expertise and the region’s maritime history to provide world-class facilities for the manufacture of boats and light ships, marine components, vessel repair and a broad range of marine services. Tourism Food Precinct: Located in Hervey Bay’s CBD, the tourism precinct takes advantage of the 1.3 million annual visitors to the region and specialises in the manufacture of gourmet foods. Moonaboola Industrial Estate: The Moonaboola Industrial Estate is equipped for various industrial activities in particular timber processing, manufacturing and engineering. The estate also has an internationally recognised medical equipment manufacturing company for the design and manufacture of world-class medical patient transport trolleys. Additionally, the following manufacturing organisations have a significant presence in the Fraser Coast region: Hyne Timber: The largest Softwood Sawmiller in Australia, Hyne Timber participates in the timber processing, wholesaling and exporting industries. The company has been based in Maryborough for 125 years. It has an estimated turnover of $250 million and employs approximately 1,250 direct and contracted employees. The Hyne Tuan Mill: A state of the art processing facility with capacity of 600,000 cubic metres per annum. The mill is currently undergoing a $30 million, 30% expansion which is expected to be completed in 2008. Dale and Meyers Timber Company: With locations in Tiaro and Woocoo, this longstanding timber company manufactures telegraph poles and cross arms. It has recently invested in the retail hardware sector and is the largest timber trade centre operator in Queensland. The company has an annual turnover of $150 million and employs approximately 570 workers. The company is currently constructing a new $15 million complex on Alice Street in Maryborough, which will be completed in 2008. Downer EDI Rail/ Bombardier Transportation: Located in Maryborough, the rail division of Downer EDI Limited, in joint venture with Bombardier Transportation Pty Ltd, is Australia’s leading provider of rolling stock and associated maintenance. Amongst other services, the joint venture manufactures locomotives and related machinery, and currently maintains significant contracts in manufacturing locomotives for Queensland Rail. The facility in Maryborough directly employs 275 manufacturing staff. The manufacturing sector employs an estimated 9.2% of the total number of employed persons within the Fraser Coast and employment prospects are expected to strengthen in the sector, particularly for marine manufacturing with the development of associated training facilities to support the growth of the Port Maryborough Marine Industrial Park.

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Fraser Coast Economic Profile 2009: Final Report

3.4 Construction The Fraser Coast has demonstrated a strong construction industry over recent years, reflected by significant growth in GRP contribution over the past 10 years and expanding property development. Average annual growth from 2000-01 to 2007-08 was 12.2%, accelerating to 12.9% in the past five years. The construction industry contributed $0.28 billion to the Fraser Coast Regional economy in 2007-08, 8.7% more than in 2006-07. Growth in the construction industry in the region is likely due to: The increasing investment and development of commercial and industrial lands within and around the Fraser Coast Enterprise Zone; The increasing investment in residential development, particularly in multi-unit dwellings; Over $345 million of major projects that are currently under construction in the Fraser Coast region; and The construction industry employed approximately 11.0% of total employed persons in 2006.

3.5 Retail Trade Retail trade contributed $0.23 billion to the Fraser Coast regional economy in 2007-08, representing 7.5% of the total Gross Regional Product, and an 8.2% increase from the 2006-07 contribution ($0.21 billion). The retail industry continues to cater for everyday shopping needs and, increasingly, lifestyle, leisure, and tourist retail demands. Hervey Bay contains the majority of retail centres at: Pialba Precinct; Boat Harbour Drive Precinct; Scarness, Torquay & Urangan Pier Precincts; Urangan Central; and Eli Waters. The Boat Harbour precinct comprises a mix of major retail, retail showroom, fast food, entertainment and professional service functions. The Hervey Bay Central shopping centre occupies much of the core area. The Pialba Precinct district maintains the traditional retail, commercial, and social centre hub, with ribbon development and satellite retail centres providing services on a smaller price and size scale. Due to its accessibility, and proximity to related attractions, potential exists to continue to expand services catering to tourists and lifestyle patrons through urban renewal and concentrated redevelopment of the Pialba Precinct. There have been significant retail refurbishment and construction projects in the region, including the redevelopment of Eli Waters Shopping Centre and major expansions of Pialba Place Shopping Centre and Bay Plaza complexes. There are also plans for extension of Hervey Bay Centro and a Benchmark Superstore development, incorporating a mix of retail showrooms, fast food, lifestyle and service station facilities. Key regional aspects of the retail industry include:

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Fraser Coast Economic Profile 2009: Final Report

Hervey Bay provides services for both everyday shopping needs and lifestyle and tourist clientele. Shops include department stores, bulky goods trail, supermarkets, and specialty stores. Major refurbishment and development has occurred in Hervey Bay retail centres, including the total redevelopment of the Eli Waters Shopping Centre, and the expansion of Pialba Place shopping centres and Bay Plaza shopping centre; There are no major retail centres in Woocoo/Tiaro; and Maryborough provides local and convenience retail services to residents through two main shopping centres (Maryborough Plaza and Station Square) and two smaller centres (Bell Hilltop and Tinana Place). The Maryborough Heritage Markets are also held weekly and include a large number of local stalls, discount goods, and entertainment. Table 3.2: Shopping Centres in the Fraser Coast Catchment Shopping Centre and Locality Hervey Bay Urangan Central

Type

Major Tenants

Gross Floor Space

Market

Neighborhood

Gross Lettable Area (GLA): 4,980 m2

Every day shopping needs of area residents and tourists.

Pialba Place Shopping Centre

Sub-regional

GLA: 16,352 m2

Centro Hervey Bay

Sub-regional

Centro Hervey Bay

Sub-regional (expansion approved but not commenced)

Woolworths (3,187m2) Childcare facility Service station Small specialty stores. Coles (4,384 m2) Big W (6,435 m2) 32 specialty retailers Target (5,592m2) Supa IGA (2,349m2) 49 Specialty Retailers Banks Supermarket

Every day shopping needs of area residents and tourists. Convenience, every day and specialty shopping needs. Essential services, specialist retailers, caters to tourists and leisure and lifestyle patrons.

Bay Plaza

Neighborhood

Woolworths (3,788m2) 11 Specialty Retailers

Eli Waters

Neighborhood

Benchmark Superstore

Neighbourhood (approved for construction)

Woolworths (4,000 m2) Specialty retail NA

Maryborough Maryborough Plaza

Neighborhood

Tinana Place Bell Hilltop Station Square

Neighborhood Neighborhood Sub-regional

Coles: (3,545 m2) Food for Less: (1,580 m2) N/A N/A Big W (5,355 m2) Bi-Lo (3,000 m2) Best & Less (1,200 m2)

GLA: 15,559m2 GLA: 6,500m2

Large format retail: 1,744m2 Specialty Retail shops: 1,390m2 632 car spaces GLA: 6,012m2 GLA: 5,600 m2 GLA: NA Retail showrooms and shop, service station, fast food store and indoor recreation.

Developing into mixed use by CRI development group. Convenience, every day and specialty shopping needs.

Convenience needs of the surrounding residential areas. Personal and lifestyle services, incorporating ancillary convenience retail.

GLA: 9,156 m2

Open Monday to Saturday catering to convenience needs of area residents.

GLA: 14,855 m2

Open Monday to Saturday catering to convenience needs of area residents.

Source: Hervey Bay City Council (2008); DKD net (2008); Realcommercial.com.au (2008); UrbisJHD (2006); CRI Australia (2008); and Centro Properties Group (2008).

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Fraser Coast Economic Profile 2009: Final Report

4. Trade Area Analysis 4.1 Trade Area Definition Trade areas for Hervey Bay and Maryborough have been defined based on: The role and function of the cities in the context of the wider area; The strength, range and appeal of services and facilities within the cities; The proximity and composition of competing services; and The level of accessibility influenced by such factors as the road network and the presence of physical barriers such as rivers, railways and roads. Both Hervey Bay and Maryborough exist within close proximity to major and local road networks and a rail system. These transport networks connect the two trade centres to outlying localities, enabling access to these outlying areas to the diverse range of services provided in Hervey Bay and Maryborough. In defining the trade areas for Hervey Bay and Maryborough, consideration has been given to data availability at the sub-regional level, as well as the identified catchments used in previous Economic Profiles for Hervey Bay and Maryborough. As indicated by Figures 4.1 and 4.2, the Hervey Bay and Maryborough Trade Areas are large areas which extend south to just before Tin Can Bay and Gympie, west to encompass Biggenden and Woocoo shires, and north to include Isis Shire. The Hervey Bay and Maryborough Trade Areas are divided into three areas – primary, secondary and tertiary – based on the accessibility and role of the trade centre relative to its outlying areas serviced. It should be noted that the Hervey Bay and Maryborough Trade Areas overlap (for example, the Maryborough Tertiary Trade Area encompasses Hervey Bay Part A, which is part of the Hervey Bay Primary Trade Area), with both of these trade centres servicing the Fraser Coast and surrounding areas. In the following analysis, the total Trade Area (the aggregate of the primary, secondary and tertiary trade areas) for Hervey Bay and Maryborough are equivalent, and will be referred to as the Fraser Coast Trade Area. The Trade Areas for Hervey Bay are as follows: Primary Trade Area: Hervey Bay LGA Pt A CCD 3100102 (Hervey CCD 3100111 (Hervey CCD 3100129 (Hervey CCD 3100410 (Hervey CCD 3100415 (Hervey

Bay Bay Bay Bay Bay

Pt Pt Pt Pt Pt

B) B) B) B) B)

Secondary Trade Area: Hervey Bay LGA Pt B (less those localities included in the Primary Trade Area) Isis LGA Woocoo LGA3 Maryborough LGA4 CCD 3072302 (Biggenden) CCD 3072303 (Biggenden) CCD 3100801 (Tiaro) CCD 3100802 (Tiaro) CCD 3100803 (Tiaro) CCD 3100804 (Tiaro) CCD 3100814 (Tiaro) 3 4

This is with the exception of CCDs 3100702 and 3100703 This is with the exception of CCDs 3100410 and 3100415

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Fraser Coast Economic Profile 2009: Final Report

Tertiary Trade Area: Tiaro LGA (less those localities included in the Secondary Trade Area) CCD 3072301 (Biggenden) CCD 3072304 (Biggenden) CCD 3072305 (Biggenden) CCD 3072306 (Biggenden) CCD 3100702 (Woocoo) CCD 3100703 (Woocoo) The Trade Areas for Hervey Bay are outlined in the map below. Figure 4.1. Hervey Bay Trade Areas

Source: Australian Bureau of Statistics (2003).

The trade areas for Maryborough are as follows: Primary Trade Area: Maryborough LGA5 Hervey Bay LGA Pt B6 Woocoo LGA7 CCD 3100801 (Tiaro) CCD 3100802 (Tiaro) CCD 3100803 (Tiaro) CCD 3100804 (Tiaro) CCD 3100808 (Tiaro) CCD 3100814 (Tiaro)

5 6 7

This is with the exception of CCDs 3100410 and 3100415 This is with the exception of CCDs 3100102, 3100111 and 3100129 This is with the exception of CCDs 3100701, 3100702 and 3100703

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Fraser Coast Economic Profile 2009: Final Report

Secondary Trade Area: Hervey Bay LGA Pt A Tiaro LGA CCD 3100102 (Hervey Bay CCD 3100111 (Hervey Bay CCD 3100129 (Hervey Bay CCD 3100410 (Hervey Bay CCD 3100415 (Hervey Bay CCD 3072303 (Biggenden) CCD 3072304 (Biggenden) CCD 3071706 (Isis) CCD 3071708 (Isis) CCD 3071709 (Isis) CCD 3071710 (Isis) CCD 3071713 (Isis) CCD 3100701 (Woocoo) CCD 3100702 (Woocoo) CCD 3100703 (Woocoo)

Pt Pt Pt Pt Pt

B) B) B) B) B)

Tertiary Trade Area: Isis LGA (less those localities included in the Secondary Trade Area) CCD 3072301 (Biggenden) CCD 3072302 (Biggenden) CCD 3072303 (Biggenden) The Trade Areas for Maryborough are outlined in the map below. Figure 4.2. Maryborough Trade Areas

Source: Australian Bureau of Statistics (2003).

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Fraser Coast Economic Profile 2009: Final Report

4.2 Socio-Economic Characteristics The cities of Hervey Bay and Maryborough play significant roles in the functionality and economy of the Fraser Coast, acting as business and trade centres for the region. According to the 2006 Census, there were an estimated 94,305 persons in the Trade Areas for Hervey Bay and Maryborough. Total figures for Maryborough and Hervey Bay Trade Areas indicate that both housing costs and household incomes were lower than those reported in NMQ. Within the defined Trade Areas, the highest median household income was recorded in the Primary Trade Area in Hervey Bay ($869 per week) and the Primary Trade Area in Maryborough ($858 per week). Overall, the total value of retail expenditure in the Trade Areas for Maryborough and Hervey Bay is estimated to have been approximately $1.1 billion in 2007-08, with the Primary Trade Area accounting for the largest share of expenditure of the Hervey Bay Trade Areas and the Secondary Trade Area accounting for the largest share of the Maryborough Trade Areas. The Primary Trade Area in Hervey Bay and the Secondary Trade Area in Maryborough reported the highest levels of weekly household retail expenditure for 2007-08, with the largest share of expenditure on groceries & specialty foods. Household retail expenditure is expected to increase at an average annual rate of 2.6% above inflation over the next 20 years.

4.2.1 Population According to the 2006 Census, there were an estimated 94,305 persons in the Fraser Coast Trade Area, which encompasses the region outlined in Section 4.1, above. In the Hervey Bay Trade Areas, the majority of the population resides in the Primary Trade Area (51.6%), followed by the Secondary Trade Area (43.0%). In the Maryborough Trade Areas, the majority of the population resides in the Secondary Trade Area (59.2%), while 36.1% of the population resides in the Primary Trade Area. Table 4.1: Estimated Resident Population, Hervey Bay and Maryborough Trade Areas, 2006 Trade Areas

ERP 2006

% of Locality

Hervey Bay Trade Areas Primary Secondary

48,677 40,522

Primary + Secondary

89,199

51.6% 43.0% 94.6% 5.4%

Tertiary

5,106

Maryborough Trade Areas Primary Secondary

34,028 55,791

Primary + Secondary

89,819

Tertiary Fraser Coast Trade Area

Non Metro Queensland

4,486

36.1% 59.2% 95.2% 4.8%

94,305

100.0%

2,141,402

n.a.

Source: Australian Bureau of Statistics (2007a)

4.2.2 Household Finances Total figures for the Fraser Coast Trade Area indicates that both housing costs and household incomes were considerably lower than those reported in NMQ.

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Fraser Coast Economic Profile 2009: Final Report

Of Hervey Bay’s trade areas, the Primary Trade Area exhibited the highest median household income ($869 per week), followed by the Secondary and Tertiary Trade Areas which had relatively lower household incomes of $848 and $719 per week. The Hervey Bay Primary Trade Area recorded the highest housing costs within the region, with median monthly home loan repayments and median household weekly rents of $1,207 per month and $187 per week, respectively. By comparison, despite the Secondary Trade Area recording only a slightly lower median household income, housing costs were considerably lower with median monthly home loan repayments and median weekly rents reported at $983 and $151, respectively. This may indicate a relatively higher availability of finances for consumer and retail expenditure per household in this trade area. Home ownership levels varied across Hervey Bay Trade Areas in 2006, with the Primary Trade Area reporting the lowest level of home ownership and households purchasing their home (41.6% and 25.9%, respectively) while the Tertiary Trade Area recorded the highest (46.4% and 34.0%, respectively). Meanwhile, the Primary Trade Area exhibited the highest proportion of households renting (27.9%), and the Tertiary Trade Area the lowest level of households renting (15.6%). Within the Maryborough Trade Areas, the Primary and Secondary Trade Areas recorded the highest median household income in 2006 ($858 and $854 per week, respectively), with the highest housing costs reported in the Secondary Trade Area ($1,158 in median monthly home loan repayments and $181 in median weekly rent). A review of household finances suggests that households in the Primary Trade Area may have a relatively higher availability of finances for consumer and retail expenditure than the other trade areas. Maryborough’s Tertiary Trade Area has the highest level of outright home ownership and residences being purchased and lowest level of households renting. Overall, home ownership was higher in all Trade Areas in the Hervey Bay and Maryborough regions, in comparison to Non-Metropolitan Queensland. Table 4.2: Household Finances, 2006 Financial Indicator Household Income and Expenditure Median Weekly Household Income Median Monthly Housing Loan Repayment Median Weekly Rent

Hervey Bay Trade Areas Maryborough Trade Areas PTA STA TTA PTA STA TTA $869 $1,207

$848 $983

$719 $823

$858 $986

$854 $1,158

$796 $945

$187

$151

$110

$152

$181

$140

41.6% 25.9% 27.9% 4.6%

43.2% 29.2% 23.7% 3.9%

46.4% 34.0% 15.6% 4.0%

42.0% 29.4% 24.6% 3.9%

42.0% 26.8% 26.7% 4.5%

52.1% 27.0% 17.2% 3.7%

Fraser Coast Trade Area

NMQ

$845 $1,095 $1,069 $1,340 $169

$198

Housing Tenure Type Fully Owned Being Purchased Rented Other

42.7% 33.2% 28.1% 31.7% 25.0% 31.2% 4.3% 3.9%

Source: Australian Bureau of Statistics (2007b)

4.2.3 Retail Expenditure 4.2.3.1

Current Residential Spending Levels Retail expenditure in the Fraser Coast is estimated to have averaged $502 per week in 2007-08, comparable to the NMQ level of $516. Of this expenditure, almost half was spent on groceries and specialty foods ($122) and motor vehicles and parts ($109). The Primary and Secondary Trade Areas in Hervey Bay reported the highest levels of weekly household retail expenditure for 2007-08 ($508 per week and $499 per week, respectively), while average weekly expenditure in the Tertiary Trade Area followed closely at $497 per week. In Maryborough, the Secondary Trade Area reported the highest levels of weekly household expenditure for 2007-08 ($506 per week), followed closely by the Primary and Tertiary Trade Areas, at $501 and $489 per week, respectively.

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Table 4.3: Weekly Household Retail Expenditure by Category, Hervey Bay and Maryborough Trade Areas, 2007-08 Retail Category Groceries & Specialty Food Food and Liquor Catering Clothing & Accessories Furniture, Houseware & Appliances Recreation & Entertainment Equipment Garden & Hardware Goods Motor Vehicles & Parts Other Goods and Personal Services Total

Hervey Bay Trade Areas PTA STA TTA $123 $121 $121 $55 $54 $54 $39 $37 $37 $46 $46 $45 $43 $42 $42 $15 $15 $15 $109 $109 $109 $77 $76 $75 $508 $499 $497

Maryborough Trade Areas PTA STA TTA $122 $123 $119 $54 $55 $53 $38 $39 $35 $46 $46 $45 $42 $43 $40 $15 $15 $15 $109 $108 $108 $76 $76 $74 $501 $506 $489

Fraser Coast Trade Area $122 $54 $38 $46 $42 $15 $109 $76 $502

NMQ

$125 $56 $41 $47 $45 $16 $109 $78 $516

Source: Australian Bureau of Statistics (2007b), AECgroup

In all districts, the largest share of retail expenditure was directed towards grocery & specialty food trade, followed by motor vehicles and parts. Figure 4.3: Total Weekly Household Retail Expenditure, Hervey Bay and Maryborough Trade Areas, and NMQ, 2007-08 Groceries & Specialty Food Food and Liquor Catering Clothing & Acces sories Furniture, Houseware & Appliances Recreation & Entertainment Equipment Garden & Hardware Goods

Motor Vehicles & Parts Other Goods & Personal Services $0

NMQ

Fras er Coast

$20

$40

$60

Maryborough PTA

$80

$100

$120

$140

Hervey Bay PTA

Source: Australian Bureau of Statistics (2007b), AECgroup

Overall, the total value of retail expenditure in the Fraser Coast Trade Area is estimated to have been approximately $1.1 billion in 2007-08. The largest share of retail expenditure for Hervey Bay is in the Primary Trade Area, reflective of the high population in this area and highest reported median household income. Similarly, the higher population in Maryborough’s Secondary Trade Area, relative to the Primary and Tertiary Trade Areas contributes to a larger share of total retail expenditure in this Trade Area despite lower expenditure per household on average.

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Fraser Coast Economic Profile 2009: Final Report

Table 4.4: Total Annual Value of Retail Expenditure in the Fraser Coast, 2007-08 Locality Hervey Bay Trade Areas Primary Secondary Tertiary

$ million $563.6 $440.5 $56.9

Maryborough Trade Areas Primary Secondary Tertiary Fraser Coast Trade Area

$370.4 $639.4 $50.2 $1,060.0

Source: Australian Bureau of Statistics (2007b), AECgroup

4.2.3.2

Forecast Spending Levels The value of retail expenditure in the Hervey Bay and Maryborough Primary Trade Areas is expected to grow at an average annual rate of 2.6% in 2007-08 dollar terms (i.e. not accounting for inflation) over the next 20 years. Table 4.5: Forecast Retail Expenditure in Primary Trade Areas, 2007-08 to 2027-28 Locality

Hervey Bay PTA Maryborough PTA

Expenditure 2007-08 $563 $370

Projections

(to the Year End June) 2013 $660 $441

2018 $761 $508

2023 $863 $576

2028 $940 $627

Source: Australian Bureau of Statistics (2007b), AECgroup

It is expected spending levels will continue to rise with the expanding population in the Fraser Coast region, including developing industry opportunities the influx of retail, commercial, and industry investments. Additionally, the region has seen an expansion of retail trade to include specialty services and niche market goods. In particular the districts surrounding the Hervey Bay locality have seen a boom in these services, indicating the retail market will grow as options for consumers develop beyond residential and local service centres.

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Fraser Coast Economic Profile 2009: Final Report Fraser Coast Economic Profile 2009: Final Report

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Job ID: 15004

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57


PO Box 1943, Hervey Bay Q 4655

1300 794 929

Email: enquiry@frasercoast.qld.gov.au Web: www.frasercost.qld.gov.au 58


Fraser Coast Economic Profile 2009