Government backs Taranaki economy, jobs

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An industry-led initiative to help Taranaki firms pursue large-scale procurement opportunities has been accelerated by a Regional Infrastructure Fund grant of $3 million, Regional Development Minister Shane Jones says. The Taranaki Alliance aims to help local companies secure more than $100m in contracts over its first three years, supporting the retention or redeployment of hundreds of skilled roles in the oil and gas sector. “Taranaki has a huge amount of expertise and experience in engineering, logistics and manufacturing due to decades of oil and gas sector work. These firms are now looking for new opportunities to apply that know-how and retain the region’s talent,” Mr Jones says. “This region has been a powerhouse economy in New Zealand for several decades but that is in jeopardy with the decline in our oil and gas industries due in part to decisions made by the previous government. The decision last week by Methanex to idle its operations from next year, with the loss of 150 jobs, is evidence of that. “This Coalition Government supports the country’s regional economies, and this grant will help Taranaki businesses harness their combined knowledge and experience on new projects, ensuring the region continues to grow and prosper.” The Taranaki Alliance was set up last year by Te Puna Umanga Venture Taranaki, the region’s economic development agency, in partnership with local engineering, manufacturing, and technical services firms. It will work as a hub to help firms collaborate on identifying, tendering for and, ultimately, securing large-scale national and international contracts across infrastructure, advanced manufacturing, energy, and civil sectors. It will also provide international partners with a one-stop shop to access the region’s heavy industry and engineering prowess. “This funding provides a significant boost to Taranaki’s efforts to diversify its economy. It will support the region to make a structural shift away from oil and gas sector activity to other large-scale projects, while building resilience across the wider business community, not just those companies directly involved.” New Plymouth District Council and Venture Taranaki have also committed funding to the initiative, with further revenue expected from membership and service fees. The Regional Infrastructure Fund grant will advance work towards establishing a commercially sustainable operating model and be used to cover core operating costs, including lead generation, bid co-ordination, lifting compliance and assurance capability, and providing a single entity for representing the region’s economic offering. More than 85 firms have expressed interest in joining the Taranaki Alliance, reflecting strong regional interest in taking a co-ordinated approach to large-scale procurement and supply chain opportunities.

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