The state government says it wants to nearly double the output of the metropolitan area's most important industrial precincts, including the Kwinana and Rockingham industrial zones, and Latitude 32 and the Australian Marine Complex in Henderson.
State Cabinet today approved the creation of a Western Trade Coast Industries Committee, which will replace the five separate committees that currently govern planning and development over the industrial zones.
The areas currently produce $15.5 billion in economic output annually and employ 11,600 people.
Mr Barnett said the aim was to streamline planning and increase output to $28.3 billion per year and create 22,000 jobs.
"To achieve this we need strong co-ordination between the state government agencies, local governments and industry bodies driving this growth," Mr Barnett said.
"Four project areas within the WTC currently have their own governance frameworks and this disjointed approach is not maximising the area's potential.
"By aligning these efforts alone we can produce an estimated additional $2 billion per annum and an additional 1,600 jobs."
The committee will be chaired by South Metropolitan Region MLC Phil Edman and Kwinana Industries Council director Chris Oughton will be appointed deputy chair.
Premier Colin Barnett other committee members would be sourced from LandCorp, Fremantle Ports and the departments of planning, state development, environment and conservation and transport, as well as the cities of Cockburn and Rockingham and the Town of Kwinana.
Two industry representatives will also be nominated for the committee.