Australia's resource sector supply chain: prospects and policy
John Dean A , Garry Wall A and Kate Parker ABremer and Company.
The APPEA Journal 53(2) 434-434 https://doi.org/10.1071/AJ12045
Published: 2013
Abstract
This extended abstract identifies potential strengths in the resources sector supply chain, with particular reference to the oil and gas sector. It identifies areas of strength in the supply chain, particularly in fields such as geotechnical services, software, instrumentation, electrical engineering, project management, consultancy, and so on. It argues for a consistent policy approach across the many policy- and service-provision actors involved to maximise industry-development chances in the medium and long term.
The economic benefits of the price, investment, and volume impacts of the present phase of mineral and resource development are well-documented. They are expected to generate a continuing step increase in Australia's GDP, with benefits that will last for many years.
Many actors are involved in shaping policy and providing research and other services across the commonwealth and state spheres. Relevant actors extend beyond government to agencies such as the CSIRO, the CRCs, industry associations, and research capabilities of universities and other institutions pertinent to the sector.
The policy setting is complex, but there is an opportunity to build on and expand the industry and services base underpinning the resources-sector supply chain. In this regard, Australia can learn lessons from Norway where a deliberate policy strategy has helped established a vibrant offshore sector, admittedly in a considerably different institutional context. This extended abstract reviews the Norwegian experience against Australian developments and seeks to understand the role policy has played in this case. This experience is then transposed to the Australian situation.
John's consulting work focuses on innovation, collaboration, and SME development issues in various industry sectors. He worked in the Commonwealth Department of Innovation and its predecessors for 20 years, holding five SES appointments. He also had experience in the Australian Agency for International Development (AusAID) and the Australian Trade Commission. From 2007 he was the inaugural general manager of the $55 million-per annum Enterprise Connect initiative, designing the program and creating its 12 specialist innovation centres around Australia. He built up and led the Enterprise Connect team of 200 staff, who, in its first two years, worked with more than 2,500 manufacturing, mining tech, clean energy, defence, and creative industries firms. Prior to establishing Enterprise Connect, he headed the Global Integration Statement Task Force, which was launched by Prime Minister John Howard in May 2007. The statement supported Australian firms to further integrate with the global economy, and it provided $1.5 billion of initiatives. He also instigated and was responsible the AusIndustry Business Networks Program. This involved a national team of 100 consultant advisers and the program assisted 1,500 firms to form more than 400 networks with the purpose of collectively achieving business outcomes that would not have been possible individually. He had general manager-level responsibility for the building and construction, defence, furniture, and infrastructure sectors; he also prepared the analysis and cabinet submission for the $700 million post-2005 TCF package. He also led the Commonwealth-State National Industry Extension Service (NIES). He held director-level appointments in international science and technology collaboration and in urban development issues. He was a member of CSIRO Sectoral Advisory Boards for Chemicals, TCF, and Building and Construction. |
Garry Wall is an economist with an extensive career in the Australian Public Service and senior executive level in the industry and energy portfolios. Much of his experience was in leading teams and managing task forces dealing with complex policy issues, ranging from business taxation, through specific industry issues and export support measures, to the broad direction and philosophies of industry policy. He has had policy responsibility for a diverse array of industries. He was in charge of developing and implementing two motor-vehicle plans when the focus of assistance was transformed from tariff protection on finished goods to support for business inputs such as investment and innovation. He supervised the establishment of energy technology and business energy efficiency programs set out in the 2004 energy White Paper. In the second half of 2006 he was a senior member of the secretariat to the Uranium Mining Processing and Nuclear Energy Review, which produced a substantial study of the issues relating to the potential for nuclear energy in Australia's energy portfolio. He has provided economic research and policy services to Commonwealth agencies, the ACT Chief Minister's Department, and the Lighthouse Business Innovation Centre. He has conducted several evaluations, including the Diagnostic Imaging Accreditation Scheme, Innovation Connect (ICon), Canberra BusinessPoint, the Aerospace Industry Action Agenda, and the Supplier Access to Major Projects scheme. He was commissioned to undertake a review of rural water pricing in the ACT and the Competition Equalisation Payments program. He prepared scoping studies on the establishment of Enterprise Connect innovation centres for clean energy and mining technology. |
Kathrin Parker has considerable experience in both government and the private sector in Australia and overseas. Kathrin has worked for Commonwealth Department of Industry, Defence and the NZ Ministry of Health in management positions. Her knowledge and understanding of industry development and innovation policy is well developed, covering a range of sectors, including defence industry, pharmaceutical and health industries, automotive and manufacturing. She also has extensive practical experience in program implementation. She was the evaluation and accountability manager for the NZ Health Funding Authority. She has had experience in the private sector as government affairs and issues manager and in the non-profit sector, establishing the European arms of Advance, a leading Australian diaspora network, directly supported by the Commonwealth and the Victorian Governments. |
References
Rayner, V., and Bishop, J., 2013—Industry dimensions of the resource boom: an input-output analysis. Research Discussion Paper, 2013. Reserve Bank of Australia.Scott-Kemmis, D., 2011—Australian story: the formation of Australian mining technology service and equipment suppliers. A pilot study for the United States Studies Centre, University of Sydney. Sydney: the University of Sydney.
