Western Bulldogs president David Smorgon has described the new agreement between the AFL and Etihad Stadium over match returns as a 'momentous' decision which will protect the future of the Victorian clubs for the foreseeable future.

The AFL and Etihad Stadium announced on Wednesday that the battle they had fought over several issues, including stadium returns to the clubs, had been resolved, resulting in a $5.5 million injection for tenant clubs, a boost of around $100,000 a game.

The decision protects the clubs from making a loss on playing matches at the 55,000 seat stadium, with the five tenant clubs, Essendon, Western Bulldogs, North Melbourne, Carlton and St Kilda, set for a $1.1 million windfall each every season.

Smorgon, whose club has been one of the worst affected by the previous agreements, said the decision would have a huge effect on those clubs which have been struggling financially and praised the AFL for its persistence in obtaining the best deal from both Etihad Stadium and from the MCG.

"It is a momentous decision for all Victorian clubs, but particularly for the smaller clubs. I think there's been disadvantages and inequalities in our system which has affected the small club in particular. Through no fault of their own, we've really struggled," he said.

"The AFL have worked very closely, very openly and transparently with the clubs on this issue. And I think since then the AFL and all the clubs worked particularly well together and we've delivered the right result, not just here at Etihad Stadium, but also at the MCG."

"The Victorian clubs in particular are going to be the beneficiaries of this. That will help reduce the gap that was appearing based on stadium returns, between non-Victorian clubs and Victorian clubs. All Victorian clubs will benefit, and particularly the smaller clubs, we are also going to be advantaged by this decision."

Smorgon said the spirit of co-operation between the clubs and the AFL was at an all-time high and that had helped achieve the desired outcome in the negotiations with both Etihad Stadium and the MCG.

"I think it's a credit to all of the clubs, who listened to this on Monday, and accepted without one word of criticism or knock back that this is the way we should move forward. We know as an industry we will get bigger, and everyone will be better."

AFL CEO Andrew Demetriou said that while the chief beneficiaries of this will