This paper outlines the options, challenges and opportunities for implementing value capture in Victoria, including opportunities that arise from both infrastructure investment and planning changes. If you are interested in understanding more about using value capture to help fund infrastructure in Victoria, this paper will explain it for you. This paper aims to build community awareness and understanding of the concept of value capture and advise the Victorian Government on a way forward by:

• Providing a definition of value capture and associated mechanisms relevant to Victoria.
• Explaining the benefits and limitations of value capture.
• Identifying if, why and when Victoria should seek more opportunities for value capture.
• Identifying key challenges and pathways for implementation and overcoming key challenges.
• Modelling key value capture mechanisms applied to case studies or scenarios related to options considered in Victoria’s draft 30-year infrastructure strategy developed by Infrastructure Victoria (Draft strategy).

Consistent with Infrastructure Victoria’s approach, our analysis considers a range of sectors, including transport, health, education, social housing and planning.