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.
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