Valuations of Victorian properties are now undertaken annually instead of every two years.

When you review the council rate notices for Victorian properties, the valuation is likely to be higher for Melbourne properties.  No so, in the country.

Thereafter a benefit to the revenue of each Melbourne based council.

Since this change seems to be driven by State budget efforts to increase revenue from land tax (and council rates) earlier, will this work in reverse when properties are falling in value?

If the valuation appears too high, owners can appeal the valuation, but it must be done promptly or wait another year.