Aug 24, 2020

New guide to maximise local opportunity

New guide to maximise local opportunity

A Queensland industry group has developed a guide to better define the ‘local’ when it comes to local content.

The Queensland Local Content Leaders Network (QLCLN) has also released a six-tiered model of procurement where the priority is on the immediate local or natural economic zone of a region. (See table below)

QLCLN member Capricorn Enterprise has strongly supported the network’s recommendations on the subject ‘what is local?’. 

“Based on extensive, independent research, the QLCLN model recognises that a local business comes in many forms and is not only a long-term physical presence in a region,” Capricorn Enterprise chief executive officer Mary Carroll said. 

She said the QLCLN believed a better way to define a local business was as those businesses making a ‘significant contribution’ to local economic activity’.

This included businesses which had a significant physical presence in the local area and businesses which were not owned locally but provided goods, services and labour that were primarily produced or supplied within the local area.”  

Keeping it in the Regions:  A better practice model for local content and defining local business was developed in response to the 2018 House of Representatives Standing Committee Inquiry into mining and resource industry support for businesses in regional economies. 

QLCLN aims to maximise regional spend from major private and public projects, which is paramount to driving investment and economic prosperity in Queensland’s regions.

Capricorn Enterprise regional economic development manager Neil Lethlean said the network’s role was to collaborate and partner with industry to deliver full, fair and reasonable opportunities for capable local businesses to participate in all aspects of the local supply chain.

The group is now calling on the State and Federal Government to consider adoption of the new model on local content definition. 

“We urge the State and Federal Government to understand the importance of this model and for it to be incorporated for government-led procurement projects, embedding this model into licensing agreements of major mining projects,” Mr Lethlean said.

  • See the QLCLN reports HERE