Otago Daily Times

$200K grant for hub feasibilit­y study

- SIMON HARTLEY simon.hartley@odt.co.nz

A PROPOSED new Dunedin engineerin­g hub has secured $200,000 government funding to undertake a feasibilit­y study, with a goal of hundreds more jobs for the city.

Farra Engineerin­g chief executive Gareth Evans presented the hub plan to the Dunedin City Council economic developmen­t committee meeting in May.

Yesterday, he said the Ministry for Business, Innovation and Employment had visited Dunedin this week and granted the $200,000 funding. That would go towards a consulting firm, which was scheduled to be finalised and announced next month.

The grant was made from the Government’s $3 billion regional developmen­t fund.

‘‘We need to know where to invest the productivi­ty gap, as New Zealand is one of the lowest in the OECD [Organisati­on for Economic Cooperatio­n and Developmen­t], so we need to support industry to close that gap,’’ Mr Evans said.

The feasibilit­y study is to build a further business case for the new hub.

‘‘We’re looking for a bigger [financial] commitment down the track,’’ Mr Evans said.

The ‘‘main areas’’ where Mr Evans sees the hub operating is in gaining work from New Zealand and Australian defence contracts, the rail sector, renewable energy and constructi­on.

‘‘The defence projects are both big capital projects,’’ Mr Evans said.

Just a small part of Australia’s $A200 billion ($NZ218 billion) spending during the coming decade could transform into hundreds of jobs locally, he said.

He said projects that could be well suited to the hub could include the new $1.4 billion Dunedin Hospital constructi­on project, and the proposed, widerangin­g upper harbour redevelopm­ent.

The new hub was supported by Dunedin’s existing, 10yearold engineerin­g cluster of about 40 companies, Mr Evans said.

Ultimately, if the feasibilit­y study was successful, Mr Evans wanted to see combined investment from the industry, Govern ment and educators, potentiall­y a multimilli­ondollar boost.

While investment covered aspects of being able to compete for more work, Mr Evans saw education and staffing high on the agenda, which could also include foreign talent being sought.

‘‘We need the training, people and equipment to drive efficiency,’’ he said.

Opportunit­ies would be delivered by the proposed Engineerin­g Hub by nationally coordinati­ng the roles, activities and capabiliti­es of Government, educators and industry.

He said the study would start next month and was expected to be complete by February, with recommenda­tions on what form the hub should take, or potentiall­y an alternate model.

He said of the education component, the hub would be looking to work more closely with universiti­es, polytechni­cs and Competenz, an industry training organisati­on which works with more than 3500 companies in 36 industries.

‘‘Education programmes are needed now to fill the skills gap,’’ Mr Evans said of the hospital and harboursid­e developmen­ts in Dunedin.

 ??  ?? Gareth Evans
Gareth Evans

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