A Memorandum of Understanding (MOU) signed between the Western Australian resources sector and business groups in the Goldfields-Esperance is aimed at creating greater opportunities for local businesses.
The MOU, signed by the Chamber of Minerals and Energy WA (CME), Goldfields-Esperance Development Commission (GEDC) and the Kalgoorlie-Boulder Chamber of Commerce and Industry (KBCCI), outlines an agreement to identify opportunities to improve the awareness of local procurement opportunities, grow local business capability and industry connections to increase local content opportunities across the Goldfields region.
CME Chief Executive Paul Everingham, who made the announcement at the What’s Down the Track (WDTT) Forum and Exhibition in Kalgoorlie, said the MOU would build upon the strong contribution of the WA resources sector to the Goldfields-Esperance region.
“In 2017-18, the resources sector contributed more than $1.33 billion to the Federal electorate of O’Connor, which encompasses the Goldfields-Esperance region.
This contribution included wages and salaries, business purchases, community contributions and local government payments. More than 850 businesses in the electorate were also directly supported,” he said.
“These are impressive figures, but we want to do more when it comes to creating greater opportunities for local businesses.
“From tradies to retailers and service providers, small businesses are vital to a vibrant, diversified economy, when they thrive, the community thrives, which is why CME, KBCCI and GEDC believe it’s in all of our best interests to get behind this push for increased local procurement.”
Mr Everingham said a series of local procurement workshops would be held to identify actions already undertaken within the region and identify gaps, ultimately agreeing to a set of best practice, local procurement principles.
The first workshop was held this month, with BHP Nickel West, Evolution, Gold Fields, KCGM, Northern Star Resources, Norton Gold Fields and Oz Minerals attending and committing to the following actions:
- Investigate the simplification of pre-qualification requirements for tenders
- Develop a regional capability register
- Investigate the possibility of a “Procure Goldfields” day with local governments.
“There are more than 224,000 small businesses operating in WA. They employ more than 491,000 workers and contribute in excess of $48 billion to the state’s economy,” Mr Everingham said.
“According to the Small Business Development Corporation, if we each spent only $10 a month with a local small business, it would provide a financial boost of $216 million annually to the small business sector in Western Australia.
“CME is committed to ensure local businesses in the Goldfields-Esperance region are in the best position to win contracts with the State’s major resources companies and I am confident this MOU is the first step towards achieving that.”
