The Federal Government has announced major federal grants of $20 million or more will be made available in the interest of ‘maximising opportunitites for Australian businesses’.

 

The government announced a series of provisos for grant applicants, including future developers to publish more extensive details on opportunities available for Australian businesses.

 

“We will now move to extend the requirement for AIP Plans for federal grants of $20 million or more and for grants of $20 million or more to the States and Territories where they do not apply their own industry participation plans,” Prime Minister Julia Gillard said.

 

“While the Government does not support proposals for mandatory minimum local content obligations, we do want to ensure local suppliers have an opportunity to compete on level terms in bidding for government-supported projects.”

 

 

Following consultation with manufacturing industry stakeholders at the Future Jobs Forum, the Federal Government will make it a requirement for participation plans to be made public for the first time, with an aim to provide greater transparency.

 

 

The Australian Government will make changes to its application of Australian Industry Participation (AIP) Plans for the Enhanced Project By-law Scheme (EPBS) and the potential application of AIP Plans to large Federal Government Grants.

 

The Government will be consulting with interested parties through a Working Group. 

 

 

The working group will advise the Minister for Innovation, Industry, Science and Research on the implementation of the following measures:

  • requiring publication of AIP Plans and outcomes;
  • requiring more comprehensive evidence of opportunities being made available to Australian industry through all stages of the Enhanced Project By law Scheme (EPBS);
  • requiring project proponents to list details of opportunities for Australian industry to participate in major projects on a public website for large EPBS projects (greater than $2 billion);
  • requiring project proponents to report more regularly on AIP Plans and their outcomes, for large EPBS projects (greater than $2 billion);
  • amending the EPBS guidelines to require approval of eligible goods as an additional step for large projects (greater than $2 billion);
  • extending AIP Plans to projects which receive Commonwealth grants over $20 million;
  • extending AIP Plans to large infrastructure projects where funding over $20 million is provided by the Commonwealth through the states and territories, and where a local implementation plan is absent.