This free camping possibility is very close the the CBD of melbourne. You can easily walk to downtown Melbourne within minutes – to the Federation Square in about half an hour for example. You can check out the Johnson Street south of the Docklands – where you won’t bother many residents. Keep in mind that this place is a simple street camping spot – so do not expect any facilities.
You can park your car here for free at weekends and on weekdays. There is also a library close by, the “Library at the Dock”, which is a bit north of the Johnson street indicated on the map – you know, for WiFi, toilets etc. 🙂