CRITICAL SUCCESS FACTORS AND INVESTMENT FRAMEWORK The Upper Yarra experience reveals key conditions enabling successful community-led transformation: timing certainty( the accelerated closure date focused action), appropriate state government funding, academic partnership providing methodological rigour, community leadership willing to champion innovations, active government agency engagement, and multiple innovation themes providing portfolio resilience.
The financial commitment reflects realistic requirements for meaningful engagement. Over 4½ years, the S3 process will cost approximately $ 1 million through Victorian State Government grants, plus additional state government and RMIT support, and substantial in-kind contributions. Community Development Fund( Stream 2) grants for IWG projects are expected to add $ 500,000 to $ 2 million, bringing total public investment to $ 3 to $ 4 million.
However, in-kind contributions represent substantial additional value: community volunteers contributing 5-10 hours monthly, business owners providing commercial expertise, academic contributions including research and university resources, and government agency regulatory guidance. When viewed as investment rather than expenditure, the S3 approach builds local capacity for ongoing innovation while generating specific projects addressing community needs.
BEYOND 2027: BUILDING THE INNOVATION ENGINE When project funding expires in April 2027, the real test begins. But conversations are already underway about an Upper Yarra Innovation Centre – a concept still taking shape through ongoing community discussions.
This isn ' t about creating another bureaucracy. It ' s about institutionalising the innovation mindset and collaborative networks that have emerged through the S3 process. The goal is simple: ensure the community retains the capacity to identify and respond to future challenges and opportunities. workspace, meeting facilities, and digital collaboration platforms. But the real innovation lies in the governance model: community-controlled, business-focused, academically informed, and governmentsupported without being governmentdependent.
LESSONS LEARNED: THE BENEFITS AND CHALLENGES OF S3 The Upper Yarra experience offers valuable insights for other regions considering this approach.
Benefits:
• Community ownership: Because solutions emerge from community engagement, there is genuine buy-in for implementation.
• Political resilience: Despite controversial logging politics, the LDS process has remained unscathed through community leadership.
• Integration: The Q4 model ensures solutions address economic, social, and environmental objectives simultaneously.
• Adaptability: The innovation ecosystem can respond to changing conditions rather than defending obsolete strategies.
Challenges:
• Time intensity: Meaningful community engagement requires patience and sustained commitment.
• Volunteer dependence: Community representatives provide enthusiasm but have time limitations.
• Academic engagement: Universities are interested in innovation, but academics have competing priorities.
• Agency mindset: Some government agencies with regulatory roles resist innovation-focused approaches.
CONCLUSION: A MODEL FOR AUSTRALIA ' S REGIONS The Upper Yarra ' s journey from timber dependence to innovation hub offers more than inspiration – it provides a replicable methodology for regional transformation. At a time when many Australian communities face economic disruption from technological change, climate impacts, and shifting global markets, the S3 approach with Q4 engagement offers hope. communities taking control of their economic destiny while building the collaborative networks and innovative capacity to thrive in an uncertain future.
The Upper Yarra experience proves that with the right methodology, adequate resources, and genuine community engagement, regional Australia can transform challenge into opportunity. The approach offers particular relevance for communities facing similar transitions, whether from mining closures, agricultural disruption, or manufacturing decline. The question isn ' t whether other regions can replicate this success, it ' s whether they are willing to embrace the collaborative innovation mindset that makes it possible.
The buzz of the forestry industry may have fallen silent, but in the Upper Yarra the quiet hum of innovation is only just beginning.
ABOUT THE AUTHORS
ANNE BLAKEWAY Anne joined Yarra Ranges Council in September 2024 in a newly created role, leading a portfolio which includes Economic Development, Investment, Tourism and Creative Communities. With extensive experience in the tourism and hospitality sector, Anne has held leadership roles in local government in New Zealand for the last 8 years in economic development, stakeholder relationship management, and community development. She has an MBA( Distinction) from the University of Waikato and a BSc( Hons) in Hotel and Tourism Management.
JULIAN GUESS Julian is a seasoned project manager who since joining Yarra Ranges Council in 2016 has led initiatives to deliver solar and battery projects, LED street lighting, The Yarra Ranges Biochar Facility and has partnered with community to deliver on community led renewable energy projects. Since 2023 he has been working with the Upper Yarra community on the Local Development Strategy in the wake of the closure of native timber harvesting on crown land. He has a BAppSci in Environmental Management from Deakin University and a Diploma in Project Management.
The Innovation Centre concept encompasses both physical and virtual elements- potentially including shared
This isn ' t about managing decline or waiting for external salvation. It ' s about
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