Balloon hits powerlines in Melbourne crash

Dramatic video shows the moment a hot air balloon pulls off a landing in high-wind in Melbourne this morning.

The balloon landed at Essendon Airport in winds of up to nine knots, with 10 people on board about 7am.

After landing in the strong winds the pilot made a "layover landing", meaning the balloon basket rolled onto its side.

However, the basket continued to roll along the ground for another 75m and dropping the deflated balloon over the airport's fence where it came into contact with powerlines.

All passengers had a lucky escape with no injuries reported.

Brett Kelly, who shot the video, said he thought the balloon might have been in trouble when he saw it.

"It was coming in pretty quickly, and (the pilot) was hitting the gas a fair bit," he said.

Police are investigating the incident, but Ambulance Victoria said no injuries were sustained by the passengers, who stayed around to help pack the balloon up.

A report is also being prepared for the Australian Transport Safety Bureau.

With AAP.