Industry Advocate to support SA industry and local jobs for local workers
21 December 2017
SA Government:
The job-creating role of the
South Australian
Industry Advocate has been enshrined in law, further confirming the
State Government’s commitment to support local workers, producers and
the economy.
Today’s proclamation of the Industry Advocate Act 2017 follows
overwhelming support from local industry associations and business
leaders and gives the Advocate powers to hold contractors to commitments
they have made to use South Australian workers or materials in projects.
Small Business Minister Martin Hamilton-Smith said South Australia was
the first in Australia to establish an Industry Participation Advocate
in 2013 and since that time there has been a shift among lead
contractors and government agencies to focus on using local labour and
local suppliers in government contracts.
Background
Today’s Proclamation of the Industry Advocate Act 2017 recognises how
important government expenditure can be in driving the economy.
The average proportion of State Government goods and services contracts
awarded to South Australian suppliers has grown from 65 per cent to
almost 80 per cent since the Industry Advocate role was created. On the
average reported levels of procurement spending, this increase raises
the economic contribution to the State by over $230 million a year.
Spending on South Australian contractors working on major infrastructure
projects is even higher at more than 90 per cent of the project’s costs.
The Industry Advocate has overseen delivery of strong results on other
projects including Torrens to Torrens. In that project, 89 per cent of
the labour cost so far has been on South Australian residents, with 96
per cent of sub-contracts awarded to South Australia, its suppliers and
SMEs.
Ian Nightingale, who has held the position of Industry Advocate since
the role’s creation, will continue in the new statutory position
reporting to the Minister for Small Business.
Quotes attributable to Small Business Minister Martin
Hamilton-Smith
It’s estimated that more than 90 per cent of businesses in SA are small
to medium sized enterprises, with many wanting to supply goods and
services to government.
The Industry Advocate opens doors for locally based businesses to
improve their chances of winning government work.
A recent Inquiry into the Commonwealth Government Procurement
recommended, “a national Industry Advocate, cast on the highly
successful South Australian model, is urgently needed to overcome a
current procurement culture focused on lowest cost rather than value for
money, lacking in transparency and unaware of the benefits of engaging
Australian businesses”.
Quotes attributable to Industry Advocate Ian Nightingale
I have seen how Government expenditure can provide a huge boost for
businesses and the community through the flow-on benefits of jobs and
additional economic activity.
I am committed to helping these businesses to win Government contracts
and leverage the opportunities these contracts provide to grow and
diversify.
What I would like to see in the New Year is a genuine commitment from
Local Councils to adopt the same Industry Participation Policies used by
the State Government.
Quotes attributable to Phil Sutherland, Civil Contractors
Federation
The Civil Contractors Federation has been a supporter of the Industry
Advocate and policies from the outset. The establishment of a statutory
authority to ensure compliance, will provide the teeth necessary for the
Industry Participation Policy to achieve true social and economic
benefits for South Australia including regional areas of the state
Quotes attributable to Dino D’Ottavi, Best Group
This is wonderful news for any local business that wants to invest and
grow in SA.
Quotes attributable to Jan Irvine, Consult Australia
Consult Australia welcomes the move by government to commit to law the
role of the Industry Advocate. The independence of the Industry Advocate
provides an avenue for local businesses to have a voice and offer
innovative policy solutions.
Quotes attributable to Tony Dixon, Australian Steel Institute
The legislation will help to shore up the independence of the Industry
Advocate role to continue to collaborate widely with the steel sector
for the SA Governments Steel Initiative and provide on-going support and
acknowledgement of the valuable contribution the steel industry is
making in this state.
Quotes attributable to Paul Williams, Australian Subcontractors
Association
Association members have already seen the benefits of the Industry
Advocate role that was created four years ago. South Australian small to
medium sized businesses are now seeing greater opportunities through the
application of industry participation plans extending to sub-contractors
and suppliers.
The proposed legislation would give the Industry Advocate greater powers
to go into bat for these businesses.
--ENDS--
Source: South Australian Government - www.premier.sa.gov.au
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