DTI task team to tackle ‘bottlenecks’ in Saldanha Bay oil, gas industry

24th March 2015 By: Natalie Greve - Creamer Media Contributing Editor Online

DTI task team to tackle ‘bottlenecks’ in Saldanha Bay oil, gas industry

Trade and Industry Minister Dr Rob Davies has announced the formation of a Ministerial task team – comprising representatives from the community, the business fraternity, labour and government – charged with addressing challenges in the oil and gas industry, specifically those related to the offshore oil rig industry in the Saldanha Bay industrial development zone, in the Western Cape.

The Minister told the Saldanha Bay business community and oil rig management firms during a visit to the Transnet National Ports Authority in the Port of Saldanha on Tuesday that the team would conduct a full four-week audit to identify service bottlenecks in the industry.

“These bottlenecks and challenges include, among others, [the] limited [number of] companies providing oil rig maintenance and repair, inadequate skills development, and [a limited] supply chain for locals.

“[These issues must be addressed] to ensure that the community benefits from the [offshore] oil [industry],” Davies said during his visit, which formed part of the Department of Trade and Industry’s (DTI’s) ‘Taking the DTI to the Factories’ campaign to determine the impact of government’s economic growth stimulation measures.

The Minister was accompanied by representatives of the South African Bureau of Standards, the National Metrology Institute of South Africa, the South African National Accreditation System and the National Regulator for Compulsory Specifications, all of whom met with the Saldanha Bay business community to identify local opportunities.

Davies added that government would not “allow only high-end companies” to benefit from servicing the oils rigs.

“Saldanha Bay has potential [to become] an employment hub, if we do things the right way. Paying attention to getting local businesses accredited to be able to service the oil rigs and becoming proper players [in the industry] is instrumental to growing the economy and creating employment.

“We need to give the local companies a fair opportunity to service the oil rigs by assisting them to meet the standards required,” he noted.

Transnet had earlier announced a R13-billion project to transform Saldanha Bay into the oil and gas hub of South Africa within four years.