Carr outlines plan to promote Aus steel

Federal Industry Minister Kim Carr has outlined a new government strategy to encourage the use of Australian steel in domestic projects.

At the ALP national conference today, he announced a new steel industry strategy to promote local use of the local product.

"Steel underpins manufacturing, it underpins construction and transport and so much more," he said.

Senator Carr said it was a three-pronged project, which would include the creation of a steel industry innovation council.

It would ensure that the industry had the best possible access to billions of dollars of public and private sector projects, he said.

The government would also appoint steel supplier advocates who will champion Australian industry participation in major projects.

It will also use existing agencies, such as Enterprise Connect, to make the industry more creative, productive and globally competitive.

The new government strategy follows a $19.1 million funding boost announced earlier this week towards a participation framework that will help Australian businesses get a fairer go at winning government and private sector contracts.

The Minister's statement is below:

STRENGTHENING AUSTRALIA'S STEEL INDUSTRY

A Steel Industry Innovation Council will be established to ensure the industry has the best possible access to billions of dollars of public and private sector projects, Innovation Minister Senator Kim Carr announced today.

The Steel Council will play a key part in making sure Australia has a sustainable and innovative steel industry and recognises the immense challenges to the industry posed by the global economic recession.

The Council will offer advice to Government and will build on the initiatives announced this week that give Australian business fairer access to opportunities arising from the substantial Government investments in transport, energy, communications, housing, education and research infrastructure.

The Rudd Government is determined to give our industry every opportunity to win these projects.

The Council is about ensuring that the Australian steel industry remains world-class and able to respond to the challenges and opportunities of the 21st century.

The Council will:

- provide advice to Government on suitably qualified individuals for consideration as the Supplier Advocate for steel who will champion Australian industry participation in major projects and improve competitiveness and procurement support, particularly for small and medium sized enterprises;

- identify priority opportunities for the Steel Supplier Advocate to work with Enterprise Connect and the Industry Capability Network;

- identify mechanisms to improve connections between project proponents and suppliers, including ensuring that project specifications do not discriminate against Australian suppliers;

- advise on the creation of industry teams to pursue opportunities; and

- identify and advise on actions industry and unions can cooperatively take to support the activity of the Steel Supplier Advocate.

The Council membership will include senior representatives from OneSteel and BlueScope, the Australian Workers' Union and Australian Manufacturing Workers' Union, the Australian Steel Institute, CSIRO, the higher education and research community and the Department of Innovation, Industry, Science and Research.

The Innovation Council complements other moves to strengthen the Australian Industry Participation (AIP) framework announced this week, including:
- expanded support for the Industry Capability Network and for Australian industry to compete for contracts at home and abroad;
- applying the AIP framework to Government procurement and infrastructure projects, by requiring AIP plans;
- clarifying the intent of the Tariff Concession System and Enhanced Project By-law Scheme (EPBS) and strengthening AIP requirements in private sector investment projects which access the EPBS; and
- seeking a reconfirmed commitment to the AIP National Framework through the Council of Australian Governments, and use this opportunity to link government procurement more effectively with industry development, innovation and training initiatives.

Guided by the Steel Council and the Supplier Advocate, the Government will use Enterprise Connect and the Industry Capability