Business chief calls for rethink on ESVF levy

Serious threat: Jodie Gillett says the State Government's new Emergency Services and Volunteers Fund levy adds significantly to the cost of doing business. Photo: FILE
BALLARAT business advocate Jodie Gillett has called on the State Government to take another look at its controversial new Emergency Services and Volunteers Fund (ESVF) levy.
Speaking in her role as Victorian Regional Chamber Alliance (VRCA) chair, Ms Gillett – who is also CEO of Commerce Ballarat – joined the large number of critics to have condemned the levy, saying it represented a hike in what commercial properties must pay of more than 60 per cent.
“Victorian Regional Chamber Alliance members implore the Government to acknowledge the current crisis in our business communities and explore ways to make doing business easier and cheaper,” she said.
“Regional and rural communities are grappling with unique challenges – bushfires, flood, drought, increased insurance and energy costs, poor accessibility to both roads, rail and transport.
“This is just another example of this government’s inability to appreciate and acknowledge the very real crisis in our state.
“Chambers of commerce, which themselves are under threat, are witnessing firsthand the exhaustion and mental health issues of our business owners and farmers each and every day.”
The ESVF took effect on 1 July and councils are required to include the charge on rate notices.
It replaces the Fire Services Property Levy and has been forecast to have severe financial impacts because property owners face an almost universal hike in what they must pay.
Councils, farmers and CFA volunteers have been among the most vocal, with a mass protest taking place around the streets of Ballarat in June.
Ms Gillett said the impost was now being felt as rate notices landed, especially by those who own or rent commercial businesses, and acknowledged that all primary production properties in drought areas will have the levy held at the former fire levy as a support measure.
But she added: “Our members are reporting that businesses across the state are experiencing tough trading conditions and increased operational costs.
“The ESVF will add significantly to the cost of doing business in Victoria, with commercial properties expected to see an average increase in the levy of 63 per cent.
“We are seeing business communities under serious threat; they cannot afford any additional costs.
“A sample of VRCA members advise average increases across the following sectors – hospitality 114 per cent, professional services 112 per cent, retail 60 per cent and manufacturing 34 per cent.”
Ms Gillett said Rural Councils Victoria had highlighted that the new levy will take $139 million from rural communities each year.
The VRCA functions as the collective voice of regional chambers of commerce and business associations.
Members from this region include Commerce Ballarat, Ballan and District Chamber of Commerce, Golden Plains Chamber of Commerce, and Be.Bendigo.