Queensland Miners Gives Their Word for More Local Content

BLACKHAWK, CO, April 12, 2013 (Press-News.org) The Queensland Resources Council (QRC) on Thursday listed a local content code of practice that would observe the state's resources industry strengthen its binds with local contractors.

It was in the state and nation's long-term interest to support flexible and outcomes-based measures to 'join the dots' between the resources sector and local suppliers, QRC CEO Michael Roche said.

"The minerals and energy sector is recognised as underpinning the Queensland economy by providing more than 70 000 direct jobs, and through A$28-billion in local purchases, more than 400 000 indirect jobs.

"However, we're not resting on our laurels. This code is the right vehicle to pursue the twin goals of facilitating a high level of Queensland content in Queensland resource projects, while maintaining and enhancing the sector's competitiveness in increasingly tough global markets," Roche said.

The code presented enhanced opportunities for local industry participation in major projects, allowing resource companies to tailor their approach, based on their individual circumstances, he added.

"It replaces and improves upon the 'tick-a-box' regulatory approach embraced by both the previous state government and current federal government using a system built on giving local businesses a 'full, fair and reasonable' opportunity to be a supplier to resource projects in Queensland."

Roche further added that the code adopted a strong "shared responsibility" framework, with the QRC, government, minerals and energy producers and local suppliers working together to deliver on the principle of 'full, fair and reasonable' opportunity.

Deputy Premier and Minister for State Development, Infrastructure and Planning Jeff Seeney said on Thursday that a new code of practice will see more major resources projects engage local industry suppliers.

He noted that the code would be owned, led and managed by industry and focused on 'full, fair and reasonable' access for local industry in all aspects of their projects.

"The benefits to Queensland's economy of resources and energy investments are potentially huge - the pipeline of projects for environmental approval alone is worth a forecast A$71-billion, plus A$56-billion in liquefied natural gas investment already approved. But the maximum benefit depends on Queensland companies and workforce getting access to major project opportunities."
Resources projects needed practical strategies to engage local industry if they were going to secure enduring community support, deliver projects effectively and maximise benefits for Queenslanders, the Minister noted.

The code would request proponents to take on practical local content tactics to make certain there was early engagement with Queensland industry, all-encompassing procurement practices and presented for guidance and support for proponents to carry out successful strategies.

It established an implementation framework, and a group of industry stakeholders including suppliers to monitor and refine delivery. Importantly, the code also provides a means to assess progress and report outcomes publicly, Seeney aid.

The project proponents would benefit directly from taking ownership of local content principles he added.

"Wherever local companies rise to the challenge, there's an opportunity for long-term local supply solutions to their needs," he said.

He renowned that the state government would do its part in promoting the adoption of the code, in supplier education and helping to position local industry to tender successfully.