Unlocking economic potential: the link between economic development and planning policy
A thriving economy doesn’t happen by chance - it starts with a well-informed strategic policy framework. For local communities to unlock their full economic potential, they should be guided by a strategic plan with a clear vision that reflects the region’s unique strengths and opportunities. Effective plans go beyond aspirations; they align economic development initiatives, infrastructure investment, and sustainable land use to create a roadmap for long-term growth. By integrating these priorities, local governments can lay the foundation for a resilient and prosperous economy.
To maximise growth, local economic development plans should consider and respond to these strategic planning implications:
Regional Plans and Place-Based Approaches
Regional plans emphasise tailored strategies that leverage the unique strengths of each region. Local economic development strategies should directly respond to these plans, focusing on key industries and initiatives that align with regional priorities. This means understanding and leveraging existing regional assets and fostering place-based economic development. For example, in regional areas with strong agricultural sectors, strategies could focus on value-added processing and agritourism.
Image credit: Willie Creek Pearl Farm, WA
Infrastructure Coordination
Planning policy emphasises the critical role of infrastructure in supporting economic growth. Local strategies must consider existing and planned infrastructure projects, ensuring alignment with state-led initiatives. This includes advocating for necessary infrastructure upgrades and leveraging existing infrastructure to attract investment and foster business growth.
Sustainable Land Use and Environmental Protection
A strategic plan prioritises sustainable land use and environmental protection. Local economic development must integrate these principles, promoting industries that minimise environmental impact and enhance the region's natural assets. This could involve supporting renewable energy projects, promoting eco-tourism, or implementing sustainable development practices in local businesses.
Image Credit: Habitat, sustainable development initiative in Byron Bay NSW
Housing Affordability and Diversity
Planning policies seek to address housing affordability and diversity, recognising their impact on economic participation. Local strategies should consider how economic development initiatives can support the creation of diverse and affordable housing options. This could involve attracting industries that provide well-paying jobs and supporting initiatives that increase housing supply.
Collaboration and Partnerships
Planning encourages collaboration between all levels of government, businesses, and community organisations. Local economic development strategies should foster these partnerships, leveraging the expertise and resources of various stakeholders. This collaborative approach ensures that initiatives are aligned with broader planning objectives, and address the needs of the local community.
Image Credit: Bowmen Special Activation Precinct, City of Wagga Wagga
Resilience and Adaptation
Given the increasing impact of climate change, planning policy should emphasise resilience and adaptation. Local economic development strategies must incorporate these considerations, promoting industries and practices that are resilient to climate change and support the transition to a low-carbon economy. This means planning for future risks, and creating diverse economic opportunities.
For local councils to drive effective economic growth, they must actively collaborate with key departments to ensure their strategies align with broader state priorities. A data-driven approach is essential, leveraging government datasets and tailored economic analyses to inform decision-making. Equally important is the need for regular strategy reviews and adaptations, allowing councils to remain agile in response to shifting state policies and economic conditions. By integrating these practical considerations, councils can create more resilient and forward-thinking economic development plans.
Solve Property Group’s integrated advisory approach delivers evidence based economic insight to inform strategic plans and vice versa. If you would like to get in touch please reach out.