Hon Simon O'Brien MLC

Hon Simon O'Brien MLC

Former Minister for Finance; Commerce; Small Business

    Changes to the State Government’s approach to local industry participation

    1/07/2011 12:00 AM

    Commerce Minister Simon O’Brien today announced significant changes to the State Government’s approach to local industry participation would ensure major resource projects’ benefits continued to flow into Western Australia. 


    Mr O’Brien said the Government was committed to ensuring WA industry was given full, fair and reasonable opportunity to participate in State-based resource projects.


    “Changes in global market conditions have made it harder for WA-based companies to compete for contracts arising from resource projects under way in the State,” he said. 


    “The Liberal-National Government has developed a 10-step framework to improve channels of communication between suppliers and project proponents to ensure the State has a more complete picture of what benefits resource projects bring to WA.


    “The State Government will work more intensively with proponents who are developing contestable and high-value resource projects to examine in detail the ability to engage with locally-based manufacturing and service companies on their projects.


    “We will also strongly advocate to proponents that they need to demonstrate their local involvement in areas including investment in research and development; regional and community initiatives; support for training and skilling; indigenous employment; and overseas opportunities for competitive local suppliers.      


    “Additionally, the Government will explore future opportunities for local manufacturers and service companies in new and emerging markets as well as renegotiate the Industry Capability Network WA contract with the Chamber of Commerce and Industry.


    “This work will be led by the Local Industry Participation Unit within the Department of Commerce and be underpinned by strong political leadership and communication.  This was considered high priority by the Minister and the Premier.


    “Mandating is not a viable option for WA - it would be counter-productive to the State's open investment and trading environment.  However, this new Government approach to local industry participation will realise genuine and tangible results for our local suppliers.


    “The resource-based investment anticipated to occur over the next five years will be the key determinant of the State’s economic performance, and that success of local industry in domestic supply should be the basis for expansion overseas.”


    For more information on the State Government’s new approach, visit http://www.commerce.wa.gov.au/localindustryparticipation


    Minister's office - 9213 6400